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 overseas countries and territories associated with the European Economic Community (OCT) (1992/1993)
Date: 1992-06-04
Institutions: European Commission
Subjects: overseas countries and territories, spirits, tariff quota

COMMISSION  OF THE EUROPEAN  COMMUNITIES 

C0M(92) 235 final 

Brussels,  4  June  1992 

Proposal  for a 

COUNCIL  REGULATION  (EEC) 

opening  and providing  for  the administration  af  a  Community 

tariff  quota  for  rum,  tafia  and  arrack, originating  in 

the overseas countries and  territories  associated 

with  the European  Economic Community  (OCT) 

(1992/93) 

(presented  by  the  Commission) 

EXPLANATORY  MEMORANDUM 

Annex  V of Council  Decision 91/482/EEC of  27 July  1991  provides 

that  rum,  tafia and arrack  falling within CN-codes  2208 40 10, 

2208 40 90, 2208 90 11 and  2208 90  19, originating  in the overseas 

countries  associated  with  the EEC shall  be  imported  free of 

customs duty  into the Community  within  the  limits of  a tariff 

quota.  The volume of  the  tariff  quota  is to be determined  by 

reference  to an annual  basic  amount, calculated  in hectolitres of 

pure alcohol, equal  to the amount  of  the  imports effected  during 

the best  of  the  latest  three years  for which  statistics  are 

available.  This basic  amount  is subject  to a growth  rate of  27 % 

for  the period until  31 December  1992. 

By  Decision 91/482EEC,  the Council  has established  arrangements 

for  trade between  the Kingdom of  Spain  and  the Portuguese  Republic 

on  the one hand  and  the overseas  countries  and  territories  (OCT) 

on  the other.  The  result  is that  the  imports of  the products  in 

question  in these  two countries have  the benefit  of  the tariff 

quota.  However, as regards  the quota  duties, which  will  be 

applicable, particular  provisions  are provided  for  in the Article 

101 of  the abovementioned  Decision. 

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

ranges  from  1 July  to 30 June of  the  following  year. 

The  imports of  the products  in question  during  the  last  three 

years were as follows : 

- 2 -

(in hi of pure alcohol) 

1989 

1990 

1991 

- 

- 

- 

1,20 

36,67 

-

Benelux 

Denmark 

Germany 

Greece 

Spain 

France 

Ireland 

Italy 

0,33 

-

686 

- 

-

-

-

-

Portugal 

- 

- 

. 

-

Un i ted 

Kingdom 

440,16 

519 

51 

EC 

1 126,49 

519 

88.87 

In these circumstances, the volume of the Community tariff quota 

for the period from 1 July 1992 to 30 June 1993 should be fixed at 

1278.57 hectolitres of pure alcohol. 

However, the volume of the annual quantity cannot  in any case be 

less than 15 000 hectolitres of pure alcohol. 

-  3 -

4. 

Following  the  decision  of  the Court  of  Justice of  27  September 

1988  (case  51/87),  it  is appropriate  not  to provide  shares  for 

allocation  among Member  States. 

As  regards  the management  system  of  this quota,  it  is proposed 

that  the whole  volume of  the subject  to  this  tariff  quota  should 

form  a community  reserve  to which  all  Member  States will  have 

access  according  to  the procedure  laid down  in Article  3 of  the 

proposed  Regulation. 

This  is the purpose  of  the attached  proposal. 

ANNEX  : proposal  for  a Regulation 

Proposal  for 

COUNCIL  REGULATION  (EEC)  No 

/92 

opening  and  providing  for  the  administration  of  a  C o m m u n iy  tariff  quota  for 
rum,  tafia  and  arrack  originating  in  the  overseas  countries  and  territories  (OCT) 
associated  with  the  European  Economic  Community  (1992/93) 

THE  COUNCIL  OF  THE  EUROPEAN  COMMUNITIES, 

Having  regard  to  the  Treaty  establishing  the  European 
Economic  Community, 

Having  regard  to  Council  Decisional  / ^ 8 2 ' E EC  of 
J u ly  1 9 91  on  the  association  of  the  overseas  countries 
Economic 

territories 

European 

with 

the 

27 

and 
Community  ('), 
and  in  particular 

Annex  V  thereto, 

Having  regard  to  the  proposal  from  the  Commission, 

tafia  and  arrack 

Whereas  Annex  V  to  Decision 91/482/EEC  provides  that 
rum, 
the 
Community  free  of  customs  duties  within  the  limits  of  a 
Community  tariff  quota  ; 

shall  be 

imported 

into 

as 

last 

extended 
for 

by 
trade  between 

Whereas  the  Community  has  established  by  Decision 
86/47/EEC^y, 
Decision 
the 
90/669/EEC  (3),  arrangements 
Kingdom  of  Spain  and  the  Portuguese  Republic  on  the 
one  hand  and  the  overseas  countries  and  territories  (OCT) 
on  the  other;  whereas  this  Decision  lays  down  provisions 
concerning  the  quota  duties  to  be  applied  by  those  two 
Member  States  on  imports  of  products  originating  in  the 
O C T; 

hectolitres  of  pure  alcohol,  occurred  in  1989,  whereas,  on 
that  basis,  the  quota  volume  should  therefore  be  fixed  at 

1 2 7 8 , 57  hectolitres  of  pure  alochol  ; 

Whereas  by  application  of  the  provisions  of  Article  2  (a) 
of  Annex  V to  Decision  V I A ^ ^ E EC  the  quota  volume  in 
15 000 
should 
question 
hectolitres  of  pure  alcohol  ; 

however  be 

increased 

to 

into  all  Members  States  until 

Whereas  it  is  in  particular  necessary  to  ensure  for  all 
Community  importers  equal  and  uninterrupted  access  to 
the  abovementioned  quota  and  uninterrupted  application 
of  the  rates  laid  down  for  that  quota  to  all  imports  of  the 
products  concerned 
the 
quota  has  been  used  up  ; whereas  it  is  appropriate  to  take 
the  necessary  measures  to  ensure  effective  Community 
the 
administration  of 
Member  States  the  opportunity  to  draw  from  the  quota 
volume  the  necessary  quantities  corresponding  to  actual 
imports  ;  whereas  this  method  of  administration  requires 
close  cooperation  between  the  Member  States  and  the 
Commission  ; 

tariff  quota  while  offering 

this 

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  quota  may  be  carried  out  by  any  one  of  its 
members. 

Whereas  the  annual  size  of  the  quota  is to  be  fixed  on  the 
basis  of  a  basic  annual  quantity,  calculated  in  hectolitres 
of  pure  alcohol,  equal  to  the  amount  of  imports  during 
the  best  of  the  past  three  years  for  which  statistics  are 
available  and  to  which  quantity  a  growth  rate  equal  to 
27  %  is  applied  ; whereas  the  quota  period  ranges  from  1 
July  to  30  June  ; 

HAS  ADOPTED  THIS  REGULATION 

Article  1 

Whereas  Community  statistics  for  these  products  and  the 
trend  for  the  years  198 9 to  199<j  show  that  the  highest 
volume  of  imports  into  the  Community  of  the  products 
in  question  originating  in  the  OCT,  namely  1  126,49 

From  1  July  1992  to  30  June  1993,  the  following 
1. 
products  originating  from 
imported 
duty  free  into  the  Community  within  the  limit  of  the 
relevant  Community  tariff  quota  mentioned  : 

the  OCT  shall  be 

Order  No 

CN  code 

Description 

Quota  Volume 
(in  hi  of  pure 
alcohol) 

Quota  duty 

09.1621 

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

Rum,  tafia  and  arrack 

15 000 

Free 

(1)  OJ  N.  L 263,  19.9.1991,  p.  27 
(2)OJ  NcT  L  63,  5.  3.  1986,  p.  95. 
Q ) OJ  No  L  365,  28.  12.  1990,  p.  79. 

-  2  -

2. 
The  rules  of  origin  applicable  to  the  products 
referred  to  in  paragraph  1 shall  be  those  set  out  in  Annex 
II  to  Decision 91 

/68&EEC. 

3.  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  Decision  86/47/EEC. 

Article  2 

tariff  quota  referred 

The 
in  Article  1  shall  be 
administered  by  the  Commission,  which  may  take  any 
appropriate  measure  with  a  view  to  ensuring  the  efficient 
administration  thereof. 

to 

Article  3 

free  circulation 

including  a  request 
for  a  product  covered  by 

If  an  importer  presents  in  a Member  State  a declaration  of 
for 
entry 
into 
preferential  benefit 
this 
Regulation,  and  if  this  declaration  is  accepted  by  the 
customs  authorities,  the  Member  State  concerned  shall 
draw,  from  the  tariff  quota,  by  means  of  notification  to 
the  Commission,  a quantity  corresponding  to  these  needs. 

The  drawings  are granted  by  the  Commission  on  the  basis 
of  the  date  of  acceptance  of  the  declarations  of  entry  into 
free  circulation  by  the  customs  authorities  of  the  Member 
State  concerned,  to  the  extent  that  the  available  balance 
so  permits. 

If  a  Member  State  does  not  use  the  quantities  drawn,  it 
shall  return  them  as soon  as  possible  to  the  tariff  quota. 

If  the  quantities  requested  are  greater  than  the  available 
balance  of  the  tariff  quota,  allocation  shall  be  made  on  a 
pro  rata  basis  with  respect  to  the  requests.  Member  States 
shall  be  informed  by  the  Commission  of  drawings  made. 

Article  4 

Each  Member  State  shall  ensure  that  importers  of  the 
product  concerned  have  equal  and  continuous  access  to 
the  quota  for  such  time  as  the  residual  balance  of  the 
quota  volume  so  permits. 

Article  5 

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

The  requests  for  drawing,  with  the  indication  of  the  date 
of  acceptance  of 
said  declaration,  must  be 
communicated  to  the  Commission  without  delay. 

the 

Article  6 

This  Regulation  shall  enter  into  force  on  1  July  1992 

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

Done  at  Brussels, 

For  the  Council 

The  President 

6 

FINANCIAL  RECORD 

1.  Budget  Iine concerned  : Chap.  12 Art.  120 

2. 

Legal  basis  : Art.  136 of  the Treaty 

3- 

Title of  the  tariff measure  concerned  : Proposal  for  Council 

regulation  (EEC) opening  and  providing  for  the administration  af a 

Community  tariff  quota  for  rum,  tafia and  arrack, originating  in 

the overseas  countries  and  territories  associated  with  the 

European  Economic  Community  (OCT)  (1992/93) 

4. 

Oblect ive  : Execution of  an autonomous measure  (Decision  relating 

to the association  of Overseas Countries  and  Territories  to the 

EEC) 

5.  Method  of  calculation : 

CCT  heading:  2208 40 10, 2208 40 90, 2208 90  11,  2208 90  10 

Volume of  the quota: 15 000 hi 

Duty  to be applied: free 

Normal  CCT  duty: 

in containers  holding  2  litres or  less  : 1 ECU/hl/% vol  alcohol  + 

5 ECU/hl 

in containers  holding more  than 2  litres  : 1 ECU/hl/% vol  alcohol 

6. 

Duty-loss  : 

Loss of  revenue  for  the period  1.7.92 to 30.6.93  stands  at  l 504 

725  ECU. 

(2  litres or  less  : 945 hi) 

(more  than  2  litres  : 14 055 hi) 

7 

For the period 1991/1992, a same  loss stood at 

Method of calculation 

15 000 X  400 

- 

945 (< 2 I) 

6 346 

15 000 X  5 946  - 14 055 (> 2 I) 

6 346 

15 000 

945 X 105  -  99 225 

14 055 X 100 - 1 405 500 

1 504 725 ECU 

ISSN 0254-1475 

COM(92) 235 final 

DOCUMENTS 

EN 

il  02 

Catalogue number : CB-CO-92-242-EN-C 

ISBN 92-77-44629-3 

Office for Officiai Publications of tbe European Communities 
LP2985 Luxembourg