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) (1993/94)
Date: 1993-06-04
Institutions: European Commission
Subjects: ACP countries, liqueur, spirits, tariff quota

COMMISSION  OF THE EUROPEAN  COMMUNITIES 

C0M(93)  243final 

Brussels, 4  June  1993 

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  CACP) 

(1993/94) 

(presented  by  the Commission) 

r 

••4  : 

EXPLANATORY  MEMORANDUM 

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

on  16.12.1989, stipulates that products falling within CN  codes 

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

arrack) and originating  in the ACP  States shall  be  imported  into the 

Community  free of customs duty. 

These preferential  arrangements apply only  to a quantity  to be fixed 

annually by the  Community. 

Regarding  the method  of calculating  the quota  volume. Protocol  No 6 

indicates  In  its Article 2 the elements to be taken  into consideration 

and  it  lays down  that  the method must  be changed  with effect  from 

1994. 

According  to this protocol, the reference base  for  that volume, until 

the end of  1993,  Is the highest  annual  quantity  Imported  Into the 

Community  from  the ACP States during  the three  last years for which 

statistics are available. From 1994 the quota  volume  is each  time to 

equal  the volume of  the previous year with an  increase of  20 000 

hectolitres of pure alcohol. 

As can be seen, the two methods are different  Insofar  as the method 

currently  in use  is based on past  imports, whereas  the future method 

is based on past  quotas.  In the current  proposal, both methods  are 

applicable, as the quota period  extends from  1 July  to 30 June of each 

year, on account  of  the special  characteristics of  the rum market. 

Accordingly  the present  quota volume has been calculated on  the basis 

of  the following  elements : 

-  for  the second  half of  1993, the highest quantity  imported  during 

the corresponding periods  in 1990, 1991  and 1992, 

-  for  the first  half of  1994, the volume opened  for  the  corresponding 

period  In 1993, calculated  in proportion  to the volume opened  for 

the period  1992/1993. On this basis, the quota  volume equals  the 

sum of the following quantities  : 

imports  in the second  half of  1990  (these being  the highest  in 

the  last  three years),  107 693 HPA. 

six  twelfths of  the quota volume opened  for  the period 

1992/1993, 107 134 HPA. A further  10 000 hectolitres of  pure 

alcohol  (50 % of the quantity  Indicated  in Article  2 of  the 

Protocol) has been added  to the sum of  these  two quantities. 

The quota volume for the period 1 July 1993 to 30 June 1994 should 

therefore be 224 827 hectolitres of pure alcohol. 

Preferential arrangements should therefore be adopted  In the form of a 

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

ACP states. 

3.  Community  imports of the goods concerned  In 1990, 1991 and 1992, for 

which full statistics are available» were as follows: 

(in hectolitres of pure alcohol) 

1990 

1991 

1992 

Benelux 

Denmark 

Germany 

Greece 

Spain 

France 

Ireland 

Italy 

Portugal 

9 339 

2 404 

9 773 

2 426 

50 451 

59 319 

5 699 

8 882 

9 514 

17 036 

2 282 

54 

69 

2 270 

1 077 

208 

8 234 

3 256 

90 964 

7 952 

25 385 

12 

2 123 

1 017 

131 

United Kingdom 

70 436 

87 077 

57 871 

150 179  188 139 

196 94S 

4.  This is the purpose of the attached proposal. 

COUNCIL REGULATION  (EEC) No 

./93 

of 

opening  and providing  for  the administration of a Community 

tariff quota for  rum, tafia and arrack originating 

in the African, Caribbean and Pacific  (ACP) States 

(1993 to 1994) 

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 the Fourth ACP-EEC Convention entered  into force on 
1 September  19911; 

Whereas Protocol  6 thereof  stipulates that  products originating  in the 

African, Caribbean  and  Pacific  (ACP) States which  fail  within CN  codes 

2208 40 10, 2208 40 90, 2208 90 11 and 2208 90 19 shall, until  the entry 

into force of a common organization of  the market  in spirits, be allowed 

Into the Community  free of  customs duties under  conditions such  as to 

permit  the development  of  traditional  traffic  flows between  the ACP  States 

and the Community  and between  the Member  States; whereas the Community 

shall  until  31 December  1995 fix each year  the quantities which may  be 

imported  free of customs duties  ; whereas according  to that  protocol, more 

quantities are to be fixed on the basis of the  largest  quantities  imported 

annually  from the ACP  States  into the Community  in the past  three years for 

which statistics are available; whereas for  1994 the quota will  be  the same 

as that  for  the previous year  increased by 20 000 hectolitres of  pure 

alcohoI ; 

Whereas, having  regard  to the  levels reached by  imports of the products 

concerned  Into the Community  during the past  three years  for which 

statistics are available and as a result of the application of  the new 

method of calculation  in force from  1 January  1994, the annual  quota  volume 

for  the period  from  1 July  1993 to 30 June  1994 must  be  fixed at  224 827 

hectolitres of pure alcohol; 

OJ No L 229, 17.8.1991, p.3 

Whereas the volume  is calculated using the foi(owing method: 

•••• 

--il-

for the first half of 1993 the quota volume shall  be equivalent  to the 

level  reached by  imports  into the Community  during  the second  half of 

1991.  i.e. 107 693 hectolitres of pure alcohol.  This  is the  largest 

volume of  imports during the corresponding  periods of the three 

previous years for which full statistics are available; 

for  the first  half of 1994 the quota volume shall  be equivalent  to 

that of  the first half of 1993, I.e. 107 134 hectolitres of pure 

alcohol.  Increased by 10 000 hectolitres of pure alcohol; 

Whereas equal  and continuous access to the said quota should be ensured for 

all Community  importers and the rates  laid down for  the quotas should be 

applied consistently  to all  imports of  the products  in question  into all 

the Member  states until  the Quota  Is exhausted; whereas the decision for 

the opening of tariff quotas  In fulfilment of  its International  obligations 

should be taken by the Community; whereas, to ensure the efficient  common 

administration of these quotas, however, there  is no obstacle  to 

authorizing  the Member  States to draw from the quota volumes the necessary 

quantities corresponding  to actual  imports; whereas, however, this method 

of administration  requires close cooperation between  the Member  States and 

the Commission  and the  latter must,  In particular, be able to monitor  the 

rate at which  the quotas are used up and  inform  the Member  States 

accordingly; 

Whereas measures should be  laid down to ensure that Protocol  6  is 

implemented under  conditions such as to permit  the development of 

traditional  trade flows between the ACP States and  the Community,  and 

between the Member  states; 

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 administration of 

the quotas may be carried out by any one of  its members. 

HAS ADOPTED THIS REGULATION: 

l' 

Article 1 

From 1 July 1993 to 30 June 1994 the following  products originating  in the 

ACP States shall  be Imported  Into the Community  free of customs duty  within 

the  limits of the relevant  Community  tariff  quota shown  below: 

Order No 

CN code 

Description 

Quota Volume 

Quota duty 

(in hi of pure 

a 1coho1 

09.1605 

2208 40 10 

Rum, tafia and arrack 

224 827 

Free 

2208 40 90 

2208 90 11 

2208 90 19 

Article 2 

The tariff  quota  referred  to in Article 1 shall  be administered  by the 

Commission,  which may take all  appropriate administrative measures to 

ensure the effective  administration  thereof. 

Article 3 

If an  importer  presents  In a Member  State a declaration of entry  for free 

circulation  together  with a request  for preferential  treatment  for a 

product  covered by this Regulation, and the declaration  is accepted  by the 

customs authorities, the Member  State concerned  shall  inform the Commission 

and draw an amount  corresponding  to these  requirements  from  the quota 

vo Iume. 

Requests to draw  from  the quota,  indicating  the date of acceptance of the 

said  declarations, must be transmitted  to the Commission  without  delay. 

Drawings shall  be granted by the Commission  by reference  to the date of 

acceptance by the customs author«ties of the Member  state concerned, of  the 

declarations of entry for free circulation, provided  the residual  balance 

so permits. 

If a Member  state does not use the quantities drawn,  it shall  return  them 

to the quota as soon as possible. 

if the quantities requested are greater  than the available balance of  the 

quota volume, allocation shall be made on a pro rata basis.  The Member 

States shall  be  informed by the Commission  of the drawings granted. 

Article 4 

Each Member  State shall  ensure that  importers of  the products concerned 

have equal  and continuous access to the quota as  long as the residual 

balance so permits. 

Article 5 

The Member  States and the Commission  shall  cooperate closely  to ensure that 

this Regulation  is complied with. 

Article 6 

Council  Regulation  (EEC) No 3705/90 of 18 December  1990 on the safeguard 
measures provided  for  in the Fourth ACP-EEC Convention1  shall  apply  to the 

products covered by this Regulation. 

Article  7 

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

publication  in the Official  Journal  of  the European  Communities. 

OJ No L 358. 21.12.1990, p.4. 

It shall  apply from  1 July  1993. 

-f-

This regulation  shall  be binding  in  Its entirety  and directly  applicable  in 

ail Member  States. 

Done at 

For  the Counc iI 

The  President 

FINANCIAL STATEMENT 

1.  Budget heading: Chapter 12, Article 120 

2-  Legal basis: 

Article 113 of the Treaty 

3.  Title of tariff measure:  Proposal for a Council Regulation opening 

and providing for the administration of a Community  tariff quota for 

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

Pacific (ACP) States (1993/1994) 

4.  Aim: 

To fulfil obligations imposed by agreements  (Fourth Lomé 

Convention) 

5.  Method of calculation: 

CN codes: 2208 40 10, 2208 40 90, 2208 90 11, 2208 90 19 

Volume of the quota: 224 827 hi of pure alcohol  (period 1.7.93-

30.6.94) 

Duty to be applied: free 

Normal CCT duty: - 1 ECU/hl/% vol + 5 ECU/hl (< 2 I) 

-  1 ECU/hl/% vol (> 2  I). 

6.  Loss of revenue: 

Estimate:  50 627 hi  In containers holding 2 litres or (ess 

174 200 hi  In containers holding more than 2 litres 

The  loss stands at ECU 22 270 462.  For the previous period (1.7.1992 

to 30.6.1993) the loss stood at ECU 21 670 690. 

ISSN 0254-1475 

COM(93) 243 final 

DOCUMENTS 

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1102 

Catalogue number : CB-CO-93-273-EN-C 

ISBN 92-77-56224-2 

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