PROPOSAL FOR A COUNCIL REGULATION ( EEC ) OPENING AND PROVIDING FOR THE ADMINISTRATION OF A COMMUNITY TARIFF QUOTA FOR RUM, TAFIA AND ARRACK ORIGINATING IN THE AFRICAN, CARIBBEAN AND PACIFIC STATES ( ACP ) ( 1991/92 )
Date: 1991-04-15
Institutions: European Commission
Subjects: spirits, tariff quota

COMMISSION OF THE EUROPEAN  COMMUNITIES 

___ 

C0M(91)116  final 

Brussels, 15  April  1991 

Proposal  for a 

COUNCIL REGULATION (EEC) 

opening  and providing  for  the administration of a Community  tariff  quotas 

for rum,  tafia and arrack originating  in the African, Caribbean  and 

Pacific  States  (ACP) 

(1991/92) 

(presented  by  the  Commission) 

EXPLANATORY  MEMORANDUM 

1. 

Protocol  No.  6,  annexed  to  the  Fourth  Lomé  Convention,  which  was 

signed  on  15.12.1989,  provides  that  the  products  falling  within  CN 

codes  2208  40  10, 2208  40  90,  2208  90  11  and  2208  90  19  (rum,  tafia 

and  arrack),  originating  in  the  ACP  States,  shall  be  imported  duty 

free  into  the  Community.  In  the meantime,  the  Community  has  decided  by 

Council  Regulation  (EEC) No.  714/90, extended  by  Regulation  (EEC)  No. 

524/91,  to  apply  with  effect  from  1 March  1990,  the  aforementioned 

protocol  No.  6  autonomously  in  anticipation. 

These  preferential  arrangements  are  restricted  to  a  quantity  which  is 

to be  fixed  annually  by  the  Community  on  the  basis  of  the  largest 

quantities  imported  annually  from  the  ACP  States  during  the  last  three 

years  for  which  Statistics  are  available.  Increased  by  an  annual 

growth  rate  of  37% of  the market  of  the  United  Kingdom  and  27% on  the 

market  of  the  other  Member  States. But  if  the  quota  volume  calculated 

on  this  basis  is  less  than  172  000  hi  the  volume  should  be  fixed  at 

this  level  of  172  000  hi. 

2. 

By  Regulation  No.  1820/87  regarding  application  of  the  ACP-EEC  Council 

of  Ministers  Decision  2/87  relative  to  advance  implementation  of  a 

protocol  to  the  third  ACP-EEC  Convention  subsequent  to  the  accession 

of  Spain  and  Portugal  to  the  European  Communities,  the  Council  has 

established  arrangements  for  trade  between  the  Kingdom  of  Spain  and 

the  Portugese  Republic  on  the one  hand  and  the  ACP  States  on  the 

other.  The  result  is that  the  imports  of  the  products  in question  into 

these  two  countries  benefit  from  the  tariff  quota.  However,  as  regards 

the  quota  duties, which  will  be  applicable,  particular  provisions  are 

provided  for  in  the  abovementioned  Protocol. 

3. 

The  preferential  arrangements  should  therefore  be  brought  into  force 

-by  the  opening  of  a Community  tariff  quota  for  rum,  tafia  and  arrack 

originating  in  the  ACP  States. 

Because  of  the  particularities  on  the  rum  market,  the  normal  quota 

period  ranges  from  1 July  to  30  June. 

4.  Community  imports of  the goods concerned  during  the  iast  three years 

were as foi lows: 

Benelux 

Denmark 

Germany 

Greece 

Spain 

France 

Ireland 

Italy 

Portugal 

United 

K i ngdom 

(in hectolitres of pure  alcohol) 

1988 

1989 

1990 

7 389 

7 621 

9 339 

2 038 

1 748 

2 404 

42 523 

48 591 

50 451 

- 

- 

1 216 

586 

156 

19 

5 699 

9 514 

2 189 

2 973 

2 282 

806 

- 

431 

-

54 

63 525 

83 773 

70 436 

119 686 

145 898 

150 179 

The quota  volume to be  taken  into account  on  this basis  for  the period 

1 July  1991  to 30 June  1992 should be  197 771  hectolitres. 

5.  Following  the  Judgement  of  the Court  of  Justice on 27 September  1988 

(Case 51/87),  the volume of  the quota  in question must  not  be carried 

over  in quota  shares between  the Member  States at  least while  the 

pressing  circumstances of  an administrative,  technical  and  economic 

nature prevent  from doing otherwise, also, the economic  difficulties 

that  could  result,  for  the overseas departments  (0SD) from  the sudden 

modification of  the system  relating  to the  imports of  rum  originating 

in the African, Caribbean  and Pacific States  (ACP) constitute 

constraining  circumstances  which  justify  the  temporary  and  partial 

keeping of  this system which will  disappear  in every  respect  in the 

perspective of  the achieving of  the single market.  In this  perspective 

the quantity  attributed  to the constitution  of  the Community  Reserve 

goes  to 40% and 60% of  the quota  volume. 

6. 

For  these reasons  the provisions of  the Regulation  provide  for  the 

splitting  up of  the quota  volume  into two parts, the  first  of which 

will  be allocated  among  the Member  States as quota  shares, with  the 

second  forming  a reserve. 

The calculation of  these  is based on  the  imports of  the products  in 

question  from ACP States during  the previous  three years  1988, 1989 

and  1990, and  the economic outlook  for  the period  in question,  if, 

during  the quota  period,  the Community  reserve were  to be almost 

entirely used up, Member  States should  return  to the said  reserve all 

of  the unused  portion of  their  initial  shares so as  to avoid  part of 

the Community  tariff  quota  from  remaining  unused  in one Member  State, 

when  it could  be used  in others. 

7. 

It  is proposed  that  the draft  for a Council  Regulation described  above 

should be  approved. 

* 

Proposal  for  a 

C O U N C IL  R E G U L A T I ON 

(EEC)  No 

/ 91 

of 

o p e n i n g,  a l l o c a t i ng  a nd  p r o v i d i ng  for  t he  a d m i n i s t r a t i on  of  a  C o m m u n i ty 
tariff 
q u o ta  for  r u m,  t a f ia  a nd  a r r a ck  o r i g i n a t i ng  in  t he  A f r i c a n,  C a r i b b e an  a nd  P a c i f ic 

( A C P)  S t a t es  (1991/92) 

THE  COUNCIL  OF  THE  EUROPEAN  COMMUNITIES. 

Having  regard 
Economic  C o m m u n i t y,  and 
thereof, 

to  the  Treaty  establishing 

the  European 
in  particular  Article  113 

Having  regard  to  the  proposal  from 

the  Commission, 

5 2 4 / /1  ©#  27  F e b r u a ry  1191 

Wfeereas  &e  C o m m u n i ty  signed 
the  Fourth  ACP-EEC 
Convention  at  Lomé  on  15  December  1989  ;  whereas  the 
C o m m u n i ty  decided,  by  Council  Regulation  (EEC)  No 
the  application  of 
Decision  No  1/91  of  the  ACP-EEC  Council  of  Ministers 
extending  Decision  Mo  2MJ 
on  transitional  measures  valid  from 
appfy  Protocol  6  annexed 
mously  in  advance  ; 

l  March  1990  ('),  to 
the  Convention  autono 

concerning 

to 

Whereas  Protocol  6  provides  that  products  originating  in 
the  African,  Caribbean  and  Pacific  <ACP)  States  which  fall 
w « h in  CN  codes  2208  40  10,  2208  40  90.  2208  90  1  1  and 
2208  90  19  shall,  until  the  entry  into  force  of  a  c o m m on 
organization  of  the  market  in  spirits,  he  allowed  into  the 
C o m m u n i ty  free  of  customs  duties  under  conditions  such 
as  to  permit 
trade  flows 
the  development  of  traditional 
between  the  A CP  States  and  the  C o m m u n i ty  and  between 
the  Member  States  ;  whereas  the  C o m m u n i ty  shall  until 
the  quantities  which 
31  December  1993  fix  each  year 
may  be  imported  free  of  customs  duties  on  the  basis  of 
the  largest  quantities  imported  annually  from 
the  ACP 
States  into  the  C o m m u n i ty 
three  years  for 
increased  by  an  annual 
which  statistics  are  available, 
the  United 
growth 
Kingdom 
the 
C o m m u n i ty  ; 

the  market  of 
the  other  markets  of 

rate  of  37  %  on 
on 

in  the  past 

and  27  % 

the  advance 

implementation  of  the  Protocol 

Whereas  by  virtue  of  Council  Regulation 
(EEC)  No 
1820/87  of  25  J u ne  1987  concerning  the  application  of 
Decision  No  2/K7  of  the  ACP-EEC  Council  ot  Ministers 
on 
the 
the 
Third  A C P - E EC  Convention 
Accession  of  the  Kingdom  of  Spain  and  the  Portuguese 
Republic 
is 
made  for  special  arrangements  for  the  quota  dûtes  to  be 
applied  by  those  two  Member  States  ;  whereas  by  reason 
the 
of  the  particularities  peculiar  to  the  market  in  rum 
quota  period  ranges  from  1  July 

to  the  European  C o m m u n i t i es  (2),  provision 

to  30  J u ne  ; 

consequent 

on 

to 

Whereas,  having  regard  to  the  levels  reached  by  imports 
of  the  products  concerned 
into  the  C o m m u n i ty  during 
the  past  three  years  for  which  statistics  are  available,  the 
annual  quota  volume  for  the  period  from  1  July  1991  to 
30  J u ne  199  2 m u st  be  fixed  at  '197  771 hectolitres  of  pure 
alcohol  ; 

(')  OJ  No  L  5£  5-V  191  ,  P.  Z 
H  OJ  No  L  l_72,  30.  6.  1987,  p.  I 

it 

is 

in  particular  necessary 

Whereas 
to  all 
C o m m u n i ty  importers  equal  and  uninterrupted  access  to 
the  abovementioned  quota  and  uninterrupted  application 
of  the  rate  laid  down  for  that  quota  to  all  imports  of  the 
products  concerned  into  all  M e m b er  States  until  the  quota 
has  been  used  up  ; 

to  ensure 

to  allocate 

Whereas,  following  the  case  law  of  the  Court  of  Justice,  it 
is  unlawful 
the  C o m m u n i ty  quotas  between 
the  Member  States,  unless  overriding  circumstances  of  an 
administrative, 
technical  or  e c o n o m ic  nature,  prevent 
acting  otherwise  ; whereas,  in  addition,  in  cases  where  it  is 
decided  to  allocate  quotas,  a  mechanism  should  be  set  up 
whereby 
the  C o m m on  Customs  Tariff 
may  be  protected  ; 

integrity  of 

the 

Whereas  the  e c o n o m ic  difficulties  which  could  result  for 
the  French  Overseas  D e p a r t m e n ts  (FOD)  from  the  sudden 
change  in  the  arrangements  for  importing  rum  from 
the 
African,  Caribbean  and  Pacific  (ACP)  States  constitute 
the 
circumstances  having  a  binding  effect  which 
these 
partial 
temporary 
arrangements  ;  whereas,  however, 
for 
into  national  shares  should  be 
allocation  of 
transitional 
phased  out  and  can  only  be  justified  on  a 
in  any  event 
basis  ;  whereas 
the 
ot 
definitively 
establishment  of  the 

the  arrangements  should 

the  arrangements 

internal  market  ; 

disappear  with 

justify 
of 

maintenance 

the  quota 

prospect 

and 

the 

Whereas,  in  these  circumstances,  it  is  advisable  to  increase 
to  6()  %  the  volume  of  the  C o m m u n i ty  reserve  by  means 
transfer  of  Member  State-
of  a  system  for  the  automatic 
share  to  the  reserve  as  soon  as  80  %  of  the  latter  has  been 
used  up  ; 

Whereas,  during  the  past  three  years  for  which  statistical 
data  are  available,  imports  from  Member  States  have  been 
as  follows  : 

fin 

I'ni'ilit'i 

«  "' 

;•!<• 

//,-,'.// 

M e m b er  Stale 

j 

1WH 

lg*4 

1y*J 

Benelux 
Denmark 
Germany 
Greece 
Spain 
France 
Ireland 
Italy 
Portugal 
United  Kingdom 

7 389 
2 038 
42 523 
— 
— 
1216 
2 989 
806 

— 
63  525 

-  bl\ 
1 ~48 
48  591 
586 
156 
19 
2 973 
4*1 

fiî7~3 

|  — 
! 
i 
I 

| 

9 339 
2 404 
50 451 
5 699 
9 514 

2 282 
54 

70 436 

T O M! 

l i ^ 6 N^ 

< 

: J > S MS 

1J0 17V 

5" 

Whereas,  in  view  of  these  factors,  of  market  forecasts  for 
the  products  in  question  and  of  the  estimates  submitted 
by  certain  Member  States,  quota  shares  may  be  fixed 
approximately  at  the  following  percentages : 

permit  the  development  of  traditional  trade  flows  between 
the  ACP  States  and  the  Community,  on  the  one  hand, 
and  between  the  Member  States  on  the  other ; 

Benelux 
Denmark 
Germany 
Greece 
Spain 
France 
Ireland 
Italy 
Portugal 
United  Kingdom 

5,86 
1,49 
34,05 
1,51 
2,32 
0 , 30 
1,79 
0,31 
0,00 
52,3V 

Whereas  provision  should  be  made  for  a  mechanism  to 
prevent,  when  the  Community  quota  is  not  exhausted, 
goods  from  being  imported  into  a  Member  State  which 
has  exhausted  its  share  only  after  the  full  application  of 
customs  duties,  or  after  having  been  diverted  to  another 
its  share ; 
Member  State  which  has  not  yet  exhausted 
whereas,  in 
the  quota 
these  circumstances,  if,  during 
period,  the  Community  reserve  were  to  be  almost  entirely 
used  up,  Member  States  should  return  to  the  said  reserve 
all  of  the  unused  portion  of  their  initial  shares  so  as  to 
avoid  part  of  the  Community  tariff  quota  from  remaining 
unused  in  one  Member  State,  when  it  could  be  used  in 
others ; 

Whereas  measures  should  be  laid  down  to  ensure  that 
Protocol  5  is  implemented  under  conditions  such  as  to 

Order  No 

CN  code 

Description 

09.160  5 

2208  40  10 
2208  40  90 
2208  90  11 
2208  90  19 

Rum,  tafia  and  arrak 

2.  Within 
the  limit  of  this  quota,  the  Kingdom  of 
Spain  and  the  Portuguese  Republic  shall  apply  customs 
duties  calculated  in  accordance  with  the  1985  Act  of 
Accession  and  Regulation  (EEC)  No  1820/87. 

Article  2 

The  tariff  quota  referred  to  in  Article  1  shall  be 

1. 
divided  into  two  instalments. 

2.  A  frist 
instalment  of  TV  lUrJ  hectolitres  of  pure 
alcohol  shall  be  allocated  amongst  the  Member  States ; 
the  shares  which,  subject  to  Article  3, shall  apply  until  30 
June  199 2  amount  to  the  following  quantities: 

Benelux 
Denmark 
Germany 
Greece 

(hectolitres 
/inre 

of 
.iliohtil) 

I  173 
26  93!i 
1  194 

form  of  administration 

requires  close 
Whereas 
this 
collaboration  between 
the 
Commission,  and  the  Commission  must  be  able  to  keep 
account  of  quota  utilization  rates  and  inform  the  Member 
States  accordingly ; 

the  Member  States  and 

Whereas, since  the  Kingdom  of  Belgium,  the  Kingdom  of 
the  Netherlands  and  the  Grand  Duchy  of  Luxembourg 
are  united  within  and  jointly  represented  by  the  Benelux 
Economic  Union,  any  operation  concerning  the  adminis 
tration  of  the  quotas  may  be  carried  out  by  any  one  of  its 
members, 

HAS  ADOPTED  THIS  REGULATION 

Article  1 

1. 
From  1  July  j.991  to  30  June  1992,  the  following 
products  originating  in  the  ACP  States  shall  be  imported 
duty  free  into  the  Community  within  the  limits  of  the 
relevant  Community  tariff  quota  mentioned  : 

Quota  Volume 
(in  hi  of  pure 
alcohol) 

Quota  duty 

197 771 

Free 

Spain 
France 
Ireland 
Italy 
Portugal 
United  Kingdom 

|  835 
235 
1  415 
245 
10 
41  421; 

3.  A  second  instalment  ofUcj  663hectolitres  of  pure 
alcohol  shall  constitute  the  Community  reserve. 

Article  3 

If  a  Member  State's  initial  share  a  specified  in  Article  2 
(2),  has  been  used  up  entirely,  the  following  provisional 
shall  apply. 

If  an  importer  presents,  in  a  Member  State,  a  declaration 
as  to  entry  into  free  circulation  comprising  a  request  for 
this 
preferential 
Regulation,  and 
the 
customs  authorities,  the  Member  State  concerned  shall,  by 

for  a  product  covered  by 
is  accepted  by 

this  declaration 

treatment 

notifying 
the  Commission,  draw  an  amount  corres 
ponding  to  its  requirements  from  the  reserve  referred  to 
in  Article  2  (3). 

Requests  to  chaw  on  the  reserve  together  with  the  date  of 
acceptance  of  the  said  declaration  must  be  forwarded  to 
the  Commission  without  delay. 

Drawings  shall  be  granted  by  the  Commission  on  the 
basis  of  the  date  of  acceptance  of  goods  for  entry  into  free 
circulation  by  the  customs  authorities  of  the  Member 
State  concerned,  provided  a  sufficient  amount  remains  in 
aie  wserve. 
II  a  Member  State  does  net  use  the  quantities  drawn,  it 
shafi  return  them  to  the  reserve  a* soon  as  possible. 

If  requests  for  drawings  exceed  the  amount  remaining  in 
the  reserve,  an  allocation  shall  be  made  pro  rata.  The 
Member  States  shall  be  so  informed  t*y the  Commission. 

Article  4 

Once  at  least  80 %  of  the  reserve  as defined  in  Article  2 
(3),  has  been  used  up,  the  Commission  shall  inform  the 
Member  States  thereof, 

It  shall  also  notify  Member  States  int this  case  of  the  date 
from  which  drawings  on  the  Community  reserve  must  be 
made  according  to  the  provisions  laid  down  in  Article  3, 
if  these  provisions  ar  not  already  m  effect. 

Within  a time  limit  fixed  by  the  Cmmmission  as  from  the 
date  referred  to  in  paragraph  2,  Mt-tinVi  States  shall  In-
required  to  return  to  the  reserve  aril  their  initial  shares 
which  have  not  been  used  on  thaf  date. 

Article  5 

The  Commission  shall  keep  an  account  of  the  shares 
opened  to  the  Member  States  pursuant  to  Articles  2  and  3 
and  shall,  as  soon  as  it  has  been  notified,  inform  each 
State  of  the  extent  to  which  the  reserves  have  been  used 
up. 

It  shall  inform  the  Member  States  of  the  volume  of  the 
reserve  following  any  return  of  quota  shares  pursuant  to 
Article  4. 

Article  6 

Each  Member  States  shall  ensure  that  importers  of  the 
products  concerned  have  free  access  to  the  quota  for  such 
time  as  the  residual  balance  of  the  quota  volumes  so 
permits. 

Article  7 

The  Member  States  and  the  Commission  shall  cooperate 
closely  that  this  Regulation  is  complied  with. 

Article  8 

Council  Regulation  (EEC)  No  1316/87  of  11  May  1987  on 
the  Third 
the  safeguard  measures  provided 
ACP-EEC  Convention  (')  and 
that  will 
replace  it  under  the  Fourth  ACP-EEC  Convention  shall 
apply  to  the  products  referred  to  in  this  Regulation. 

for 
the  provisions 

in 

Artnli 

9 

This  Regulation  shall  enter  into  force  on  1  July  1991 

This  Regulation  shall  be  binding  in  its  entirety  and  directly  applicable  in  all  Member 
States. 

Done  at  brussels  , 

For  the  Council 

The  Président 

(')  OJ  No  1.  125.  14.  v  1987.  p.  1. 

t 

FICHE  FINANCIERE 

1.  Liane budgétaire  concernée  : chap. 12 art. 120 

2.  Base  Juridique  : art. 113 du traité 

3.  Intitulé de  la mesure  tarifaire  : Proposition de règlement  du 

Conseil  portant ouverture, répartition et mode de gestion d'un 

contingent  tarifaire communautaire pour  le rhum,  le tafia et 

l'arak, originaires des Etats ACP  (1991/1992). 

4.  Oblectif  : Application d'une obligation contractuelle  (Convention 

Lomé IV). 

5.  Mode de calcul  : 

Codes NC  : 2208 40 10; 90 et  2208 90 11; 19 

Volumes du contingent  : 197 771  hl a.p. (période  1.7.91-30.6.92) 

Droits à appliquer  : exemption 

Droits du TDC  : - 1 ECU/hl  par % vol  +5  ECU/hl  (-  2  I) 

-  1 ECU/hI  par X vol  ( +2 I). 

6.  Perte de recettes : 

Estimation  : 45 452 hl en réclp. 2  I ou moins 

152 319 hl en réclp. plus de 2 I. 

La perte s'élève  à 20 004 360 Ecus. Pour  la période  précédente 

(1.7.1990 au 30.6.1991) une perte de 19 684 855 Ecus a été 

Inscrite. 

/ 

FICHE D'IMPACT SUR LA COMPETITIVITE ET L'EMPLOI 

Cette proposition est formulée en conformité avec un engagement 

contractuel de la Communauté. L'Impact découlant de cette concession a 

été pris en considération tors de la prise de décision d'adoption de ce 

contingent et II n'aura pes un caractère sérieux sur  la compétitivité 

•* l'emploi  dans ta Communauté. 

i 

ISSN 0254-1475 

COM(91) 116 final 

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