Proposal for a COUNCIL DECISION concerning the conclusion and signature of an Agreement in the form of an exchange of letters between the European Economic Community and the Republic of Hungary on the reciprocal establishment of tariff quotas for certain wines
Date: 1993-09-01
Institutions: European Commission
Subjects: Hungary, agreement (EU), tariff quota, trade agreement, trade promotion, wine

COMMISSION OF THE  EUROPEAN  COMMUNITIES 

COM(93) 358  final 

Brussels, 1  September 1993 

Proposal  for a 

COUNCIL DECISION 

concerning the conclusion  and signature of  an Agreement  in the form of  an exchange 

of  letters between the European Economic  Community  and the Republic of Bulgaria 

on the reciprocal  establishment of tariff  quotas for certain wines 

Proposal  for a 

COUNCIL DECISION 

concerning the conclusion  and signature of an Agreement  in the form of  an exchange 

of  letters between the European Economic Community  and the Republic of Hungary 

on the reciprocal  establishment of tariff  quotas for certain wines 

Proposal  for a 

COUNCIL DECISION 

concerning the conclusion  and signature of an Agreement in the form of an 

exchange of  letters between  the  European  Economic Community  and Romania 

on the reciprocal  establishment of tariff quotas for certain wines 

(presented by the Commission) 

EXPLANATORY  MEMORANDUM 

1.  The  Council  Decision  of  14.12.1992  authorised  the  Commission  to 
open  negotiations with  Bulgaria,  Hungary  and  Romania  aimed  at  the 
reciprocal  establishment of  tariff quotas for certain wines, and on 
reciprocal  protection  and  control  of  wine  denominations.  The 
agreements on reciprocal  setting-up of  tariff quotas are covered by 
this proposal. 

2.  The negotiations carried out  by  the Commission  on  the basis of  the 
Councils'  negotiating  directives  have  produced  agreements,  in  the 
form  of  exchanges  of  letters,  of  which  the  main  elements  may  be 
summarized  as follows : 

a)  The  tariff  concessions  which  the  Community  and  the  three 
countries  shall  mutually 
for  wines 
originating  on  their  respective  territories  are  based  on  the 
criteria  already  agreed  for  agricultural  products  during  the 
negotiation of  the European agreements : 

grant  each  other 

fixing of quotas on  the basis of  recent  trade flows-, 
annual  quota  increases;, 
progressive  reduction  of  customs  duties  with  a more  rapid 
progression by the Community 
tariff concessions  limited to an  initial  period of 5 years. 

b)  In  order  to  encourage  a  policy  based  on  quality,  the 
concessions  granted  by  the Community  cover  quality  wines  as a 
priority.  Furthermore,  it  is foreseen that the annual  increase 
in  quotas  should  be  applied  only  to  wines  imported  into  the 
Community  in bottles. 

3.  Since  the  agreements'  provisions  are  directly  linked  to  measures 
covered  by  the CAP and common  commercial  policy,  it  is necessary  to 
give these agreements a Community  character 

4.  In order  to facilitate the application of certain provisions of  the 
agreements,  it  is  proposed  that  the  Commission  be  authorised  to 
carry  out  the  necessary  technical  adaptations  through  the  Wine 
Management  Committee  procedure  as  laid  down  in  Article  83  of 
Regulation  (EEC) no 822/87, which  allows close  cooperation  between 
the Member  States and  the Commission. 

5.  In the  light of  the above,  it  is proposed  to the Council  to approve 
these agreements, which  conform  fully  to the spirit of  the European 
agreements  and  Interim  agreements  on  trade  and  trade-related 
matters  already  concluded  between  the  Community  and  these 
countr ies. 

Financial  implications  : 

Small  and Medium-sized  enterprises 

PROPOSAL 

Council Decision 

of 

concerning  the conclusion and signature of an Agreement  in the form 
of an exchange of letters between the European Economic  Community 
and the Republic of Bulgaria on the reciprocal  establishment 
of tariff quotas  for certain wines 

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 conclusion of the Agreement negotiated between the European 
Economic  Community  and the Republic of Bulgaria on the reciprocal 
establishment  of tariff quotas for certain wines will promote the 
development of trade in wine within the meaning of the Association Agreement 
and the Interim Agreement on trade and trade-related matters, concluded 
between the Community  and Bulgaria; whereas  it is therefore desirable to 
approve the said Agreement; 

Whereas,  in order to facilitate the implementation  of certain provisions of 
the Agreement,  the commission should be authorized to conclude the necessary 
legislation  for implementation  of the Agreement  in accordance with the 
procedure  laid down in Article  83 of Council Regulation  (EEC) No 822/87 of 
16 March  1987 on the common organization of the market in wine1, as last 
amended by Regulation  (EEC) No 1566/932; 

Whereas,  since the provisions of the Agreement are directly  linked to 
measures covered by the common commercial  and agricultural policy,  it must 
be established  at community  level, 

1 OJ No L 84, 27.3.1987, p. 1. 
2 OJ NO L  154, 25.6.1993, p. 39 

HAS DECIDED AS FOLLOWS: 

Article 1 

The Agreement  in the form of an exchange of letters between the European 
Economic community and the Republic of Bulgaria on the reciprocal 
establishment of tariff quotas  for certain wines is hereby approved on 
behalf of the  community. 

The text of the Agreement  is attached to this Decision. 

Article 2 

The President of the Council is hereby authorized  to designate the person 
empowered  to sign the Agreement  referred to in Article  1 in order to bind 
the Community. 

Article 3 

The Commission  is hereby authorized  to conclude the necessary  legislation 
for implementation  laid down in the second indent of point  6 and in point 8 
of the Agreement,  in accordance with the procedure  laid down in Article 83 
of Regulation  (EEC) No 822/87. 

Article 4 

This Decision  shall be published  in the Official Journal of the European 
Communities. 

Done at Brussels, 

For the council 
The President 

AGREEMENT 

in the form of an exchange of  letters between  the European 
Economic Community  and the Republic of Bulgaria concerning 
the reciprocal  establishment of  tariff quotas  for certain wines 

A.  Letter  from  the Community 

Brussels 

Sir, 

I have the honour  to refer  to the consultations which  have taken place 
between  the European Economic Community  and  the Republic of Bulgaria 
concerning  the reciprocal  establishment of  tariff quotas  for certain wines. 
Since  it  is in the  interest  both of  the Community  and of Bulgaria to promote 
trade  in wine  in accordance with Articles 21(5) and  14(5) respectively of 
the Association Agreement  and  the  Interim Agreement  on  trade and 
trade-related matters between  the Community  and Bulgaria, signed on 
8 March  1993, the two Parties have agreed  to grant  each other  reciprocal 
tariff concessions subject  to the maximum quantities and  the conditions set 
out  below: 

1.  Bulgaria  is to open annual  tariff  quotas subject  to reduced  customs 

duties as set out  in point  3 for wine originating  in the Community  up to 
the following quantities: 

-  42 000 hectolitres of wine falling within  subheadings ex  2204 21 and 

ex  2204 29 of  the Bulgarian Customs tariff; 

-  1 000 hectolitres of quality  sparkling wine, whether  or  not  produced 

in specified  regions,  in accordance with Title  111 of Regulation  (EEC) 
No 2332/92, in containers holding not more than 2  litres, falling 
within subheading ex 2204 10 of  the Bulgarian Customs Tariff. 

The abovementioned quotas will  be  increased each year  as from  1 January  1994 
in accordance with Table  1 in the Annex. 

2.  The Community  is to open annual  tariff quotas subject  to reduced  customs 
duties as set out  in point  3 for wine originating  in Bulgaria up  to the 
following quantities: 

-  214 000 hectolitres of quality wine,  including quality wine with a 
designation of origin,  in accordance with Bulgarian  legislation on 
wine-growing,  in containers holding not more  than 2  litres, falling 
within subheading ex 2204 21 of  the Combined Nomenclature-, 

-  118 000 hectolitres of quality  wine,  including quality wine with a 
designation of origin,  in accordance with Bulgarian  legislation on 
wine-growing  and wine obtained  from grapes of  the "Gamza" vine variety 
designated  and presented under  that name or under  the synonym 
"Kadarka",  in containers holding more than 2  litres falling within 
subheading ex 2204 29 of  the Combined  Nomenclature; 

-  1 000 hectolitres of quality  sparkling wine  in accordance with 

Bulgarian  legislation on wine-growing,  in containers holding not more 
than 2  litres, falling within subheading ex 2204 10 of  the Combined 
Nomenclature. 

The abovementioned quotas will  be  increased each year  as from 
1 January  1994  in accordance with Table 2  in the Annex. 

3.  The following  reduced customs duties will  apply  to the maximum  annual 
quantities set out  in points 1 and 2: 

(a)  in the case of duties applied by Bulgaria  to  imports of wine originating 

in the Community: 

-  in 1993, 90% of  the basic duty; 

-  in 1994, 80X of  the basic duty; 

-  in 1995 and subsequent  years, 70% of  the basic duty; 

(b) in the case of duties applied  by  the Community  to  imports of wine 

originating  in Bulgaria: 

-  in 1993, 80% of  the basic duty-, 

-  in 1994, 60% of  the basic duty. 

-  in 1995 and subsequent  years, 40% of  the basic duty. 

4.  For  the purposes of  this Agreement, wine will  be deemed  to originate  in 
the Community  or  in Bulgaria  if  it has been produced  from  fresh grapes 
wholly  produced  and harvested  in the territory of  the Party  in question 
in accordance with  the rules governing  the oenological  practices and 
processes  referred  to  in Title  II of Regulation  (EEC) No 822/87. 

5.  The period  covered by the quotas  referred  to  in points  1 and 2 wi11  run 
from  1 January  to 31 December  of  the same year.  If this Agreement  comes 
into force after  1 January  1993, the annual  quotas set out  in points 1 
and  2 wi11  be adjusted  pro rata  temporis. 

6.  Imports of wine under  the concessions provided  for  in this Agreement 

will  be subject  to presentation of: 

- an  import  licence valid  from  its date of  issue  to the end of  the 

fourth month  thereafter, unless  the quota  period  expires before  the 
latter  date. Licences must  be granted without  discrimination between 

¥-

the economic  operators  concerned.  They will  entail  a system  of 
securities,  introduced  and  administered  so  that  the agreed  quantities 
may  actually  be  imported.  The  two Parties will  exchange  information 
regularly on  the number  of  licences  issued and  used; 

and 

- a certificate  issued by  a mutually  recognized  official  body  appearing 

on a  11st  to be drawn up  Jointly, to the effect  that  the wine  in 
question  complies with  points  1, 2 and  4. 

7.  The  Parties must  ensure  that  the benefits granted  reciprocally  are not 

called  into question by other  measures. On  application,  the Party  in 
question  will  in particular  issue  import  licences as  referred  to  in 
point  6  for up  to the quantities  agreed  to  in point  1 and will  refrain 
from  taking any measure which may  prevent  them  from being  used. 

8.  Consultations are  to take place  at  the  request  of  either  Party  on  any 
problem  relating  to the way  this Agreement  operates. Both  Parties may 
amend  the  latter  by mutual  consent. 

9.  This Agreement  will  apply  on  the one hand  in the  territories  where  the 

Treaty  establishing  the European  Economic  Community  is  in force  under 
the conditions  laid down  therein  and on  the other  hand  in the  territory 
of  Bulgaria. 

10. This Agreement  will  enter  into  force on  1 October  1993 and will  apply 

for  an  initial  period  expiring  on  31 December  1997. During  the  first  six 
months of  1997, consultations will  take place  to decide whether  and  on 
what  terms  it  is to be  extended. 

I should  be obliged  if you would  confirm  that  your  Government  is in 
agreement  with  the contents of  this  letter. 

Please  accept,  Sir,  the assurance  of  my  highest  consideration. 

For  the Council  of  the European  Communities 

« 

ANNEX 

Increase  in quotas  for wine  referred  to  in points  1 and 2 

Table  1: 

Quantities of wine originating  in the Community  and 
qualifying for  tariff reductions 

Bulgarian 
Customs 
Tariff 
code 

ex  2204 21 

ex  2204 29 

ex  2204 10 

Description 

1993 

1994 

1995 

1996 

1997 

Quantity  in hectolitres 

Wine of  fresh grapes 

42.000  46.200  50.400  54.600 58.800 

Quality sparkling wine, 
whether or not  produced 
in specified regions, 
in containers holding 
not more  than 2 litres 

1 . 0 00 

1 . 1 00 

1 . 2 00 

1 . 3 00 

1 . 4 00 

Table 2: 

Quantities of wine originating  in Bulgaria and qualifying 
for  tariff  reductions 

CN code 

Descr iption 

1993 

1994 

1995 

1996 

1997 

Quantity  in hectolitres 

ex  2204 21 

Quality wine,  including 
quality wine with a 
designation of origin 

214.000 247.000 280.400 313.600 346.800 

quality wine,  including 
qua Iity wine with a 
designation of origin, and 

ex 2204 29  wine obtained  from grapes of 

the  "Gamza" vine variety 
designated  and presented 
under  that name or under 
the synonym  "Kadarka" 

118.000 118.000 118.000 118.000 118.000 

ex  2204 10  containers holding not 

1.000 

1.100 

1.200 

1.300 

1.400 

Quality sparkling wine  in 

more than 2 Iitrès 

B. Letter  from Bulgaria 

Brussels, 

Sir, 

I have  the honour  to acknowledge  receipt  of your  letter of  today's date 
which  reads as follows: 

"I have the honour  to refer  to the consultations which  have taken place 
between  the European Economic Community  and the Republic of Bulgaria 
concerning  the reciprocal  establishment of  tariff quotas for certain wines. 
Since  it  is  in the  interest  both of  the Community  and of Bulgaria  to promote 
trade  in wine  in accordance with Articles 21(5) and  14(5) respectively of 
the Association Agreement  and  the  Interim Agreement  on  trade and  trade-
related matters between  the Community  and Bulgaria, signed on 8 March 1993, 
the two Parties have agreed  to grant  each other  reciprocal  tariff 
concessions subject  to the maximum quantities and  the conditions set out 
below-. 

1. Bulgaria  is to open annual  tariff quotas subject  to reduced  customs 

duties as set out  in point  3 for wine originating  in the Community  up to 
the following quantities: 

42 000 hectolitres of wine falling within subheadings ex  2204 21 and 
ex  2204 29 of  the Bulgarian Customs Tariff; 

1 000 hectolitres of quality  sparkling wine, whether  or  not  produced 
in specified  regions,  in accordance with Title  I 11 of  Regulation 
(EEC) No 2332/92,  in containers holding not more  than 2 litres, 
falling within subheading ex  2204 10 of  the Bulgarian Customs 
Tariff. 

The abovementioned quotas will  be  increased each year  as from 
1 January  1994  in accordance with Table  1 in the Annex. 

2. The Community  is to open annual  tariff quotas subject  to reduced  customs 
duties as set out  in point  3 for wine originating  in Bulgaria up to the 
following quantities: 

214 000 hectolitres of quality wine,  including quality wine with a 
designation of origin,  in accordance with Bulgarian  legislation on 
wine-growing,  in containers holding not more  than 2  litres, falling 
within subheading ex 2204 21 of  the Combined  Nomenclature; 

118 000 hectolitres of quality wine,  including  quality wine with a 
designation of origin,  in accordance with Bulgarian  legislation on 
wine-growing  and wine obtained  from grapes of  the  "Gamza" vine 
variety  designated  and presented under  that name or under  the 
synonym  "Kadarka",  in containers holding more  than 2  litres, falling 
with  subheading ex 2204 29 of  the Combined  Nomenclature; 

>lo 

1 000 hectolitres of quality  sparkling wine  in accordance with 
Bulgarian  legislation on wine-growing,  in containers holding not 
more  than 2  litres, falling within subheading ex 2204 10 of the 
Combined  Nomenclature. 

The abovementioned quotas will  be  increased each year as from 
1 January  1994  in accordance with Table 2  in the Annex. 

3. The following  reduced customs duties will  apply  to the maximum annual 

quantities set out  in points 1 and 2: 

(a)  in the case of duties applied by Bulgaria  to  imports of wine 

originating  In the Community: 

in 1993, 90% of  the basic duty; 

in 1994, 80% of  the basic duty; 

-  in 1995 and subsequent  years, 70% of  the basic duty-, 

(b)  in the case of duties applied by the Community  to  imports of wine 

originating  in Bulgaria: 

-  in 1993, 80% of  the basic duty, 

-  in 1994, 60% of  the basic duty; 

-  in 1995 and subsequent  years, 40% of  the basic duty. 

4. For  the purposes of  this Agreement, wine will be deemed  to originate in 
the Community  or  in Bulgaria  if  it has been produced  from  fresh grapes 
wholly  produced  and harvested  in the territory of  the Party  in question 
in accordance with  the rules governing  the oenological  practices and 
processes referred  to  in Title  II of Regulation  (EEC) No 822/87. 

5. The period covered by the quotas referred  to  in points  1 and 2 wiI I run 

from  1 January  to 31 December of  the same year.  If this Agreement  comes 
into force after  1 January  1993, the annual  quotas set out  in points 
1 and  2 wiI I be adjusted  pro rata  temporis. 

6.  Imports of wine under  the concessions provided  for  in this Agreement will 

be subject  to presentation of: 

- 

an  import  licence valid  from  its date of  issue to the end of  the 
fourth month  thereafter, unless  the quota period expires before the 
latter date.  Licences must be granted without  discrimination 
between  the economic operators concerned.  They will  entail  a system 
of  securities,  introduced  and administered  so that  the agreed 
quantities may actually be  imported.  The two Parties will  exchange 
information regularly on the number of  licences  issued and used; 

•M 

and 

a certificate  issued  by  a mutually  recognized  official  body 
appearing  on  a  list  to be drawn up  Jointly,  to  the effect  that  the 
wine  In question  complies with  points  1, 2 and  4. 

7. The  Parties must  ensure  that  the benefits granted  reciprocally  are not 
called  Into question  by other  measures.  On  application,  the Party  in 
question will  in particular  issue  import  licences as  referred  to  in 
point  6  for up  to the quantities  agreed  to  in point  1 and will  refrain 
from  taking  any measure  which  may  prevent  them  from  being  used. 

8. Consultations are  to take place  at  the request  of  either  Party  on  any 
problem  relating  to the way  this Agreement  operates.  Both  Parties may 
amend  the  latter  by mutual  consent. 

9.  This Agreement  will  apply  on  the one  hand  in the  territories  where  the 

Treaty  establishing  the  European  Economic  Community  is  in force  under 
the conditions  laid  down  therein  and on  the other  hand  in the  territory 
of  Bulgaria. 

10. This Agreement  will  enter  into  force on  1 October  1993 and will  apply 
for  an  initial  period  expiring  on  31 December  1997.  During  the  first 
six months of  1997, consultations will  take place  to decide whether  and 
on what  terms  it  is to be  extended. 

I should  be obliged  if you would  confirm  that  your  Government  is  in 
agreement  with  the contents of  this  letter." 

I have  the  honour  to confirm  that  my  Government  is  in agreement  with  the 
contents of  your  letter. 

Please  accept,  Sir,  the assurance  of my  highest  consideration. 

For  the Government  of  the 
Republic of  Bui gar ia 

--It 

ANNEX 

Increase  in quotas for wine  referred  to  in points  1 and 2 

Table  1:  Quantities of wine originating  in the Community  and. qualifying 

for  tariff  reductions 

Bulgarian 
Customs 
Tariff 
code 

ex  2204 21 

ex 2204 29 

ex 2204 10 

Descr ipt ion 

1993 

1994 

1995 

1996 

1997 

Quantity  in hectolitres 

Wine of  fresh grapes 

42.000  46.200  50.400  54.600 58.800 

Quality sparkling wine, 
whether  or not  produced 
In specified  regions, 
in containers  holding 
not more  than 2 litres 

1.000 

1.100 

1.200 

1.300 

1.400 

Table 2:  Quantities of wine originating  in Bulgaria and qualifying for 

tariff  reductions 

CN code 

Descr ipt ion 

1993 

1994 

1995 

1996 

1997 

Quantity  in hectolitres 

ex  2204 21 

Quality wine,  including 
quality wine with a 
designation of origin 

214.000 247.000 280.400 313.600 346.800 

Quality wine,  including 
quality wine with a 
designation of origin, and 

ex  2204 29  wine obtained  from grapes of 

the  "Gamza" vine variety 
designated  and  presented 
under  that  name or under 
the synonym  "Kadarka" 

118.000 118.000 118.000 118.000 118.000 

ex  2204  10  containers  holding  not 

1.000 

1.100 

1.200 

1.300 

1.400 

Quality  sparkling wine  in 

more  than 2  Ii très 

-13 

t s 

Joint  declaration 

on point  10 of  the EEC/Bulgaria Agreement 
concerning  the reciprocal  establishment of  tariff qmotas 
for certain wines 

The Parties confirm  their  intention of bringing  the Agreement  into force as 
soon as possible and by 1 October  1993 at  the  latest. 

V 

PROPOSAL 

Council Pecision 

of 

concerning the conclusion and signature of an Agreement  in the form 
of an exchange of letters between the European Economic  Community 
and the Republic of Hungary on the reciprocal  establishment 
of tariff quotas for certain wines 

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 conclusion of the Agreement negotiated between the European 
Economic community  and the Republic of Hungary on the  reciprocal 
establishment  of tariff quotas for certain wines will promote the 
development of trade in wine within the meaning of the Association Agreement 
and the Interim Agreement on trade and trade-related matters, concluded 
between the Community  and the Republic of Hungary; whereas  it is therefore 
desirable to approve the said Agreement; 

Whereas,  in order to facilitate the implementation  of certain provisions of 
the Agreement,  the Commission  should be authorized to conclude the necessary 
legislation  for implementation  of the Agreement  in accordance with the 
procedure  laid down in Article  83 of council Regulation  (EEC) No  822/87 of 
16 March  1987 on the common organization of the market  in wine*, as last 
amended by Regulation  (EEC) No  1566/932; 

Whereas,  since the provisions of the Agreement are directly  linked to 
measures covered by the common commercial  and agricultural policy,  it must 
be established  at Community  level, 

1 OJ No L  84,  27.3.1987, p. 1. 
2 OJ No L  154, 25.6.1993, p. 39. 

HAS DECIDED AS FOLLOWS: 

/IS" 

Article 1 

The Agreement  in the form of an exchange of letters between the European 
Economic Community  and the Republic of Hungary on the  reciprocal 
establishment  of tariff quotas for certain wines  is hereby approved on 
behalf of the  Community. 

The text of the Agreement  is attached to this Decision. 

Article 2 

The President  of the Council is hereby authorized to designate the person 
empowered  to sign the Agreement  referred to in Article  1 in order to bind 
the  Community. 

Article 3 

The Commission  is hereby authorized to conclude the necessary  legislation 
for implementation  laid down in the second indent of point 6 and  in point 8 
of the Agreement,  in accordance with the procedure  laid down in Article 83 
of Regulation  (EEC) No 822/87. 

Article 4 

This Decision shall be published  in the Official Journal of the European 
Communities. 

Done at Brussels, 

For the Council 
The  President 

AA> 

AGREEMENT 

in the form of an exchange of  letters between  the European 
Economic Community  and the Republic of Hungary  concerning 
the reciprocal  establishment of  tariff quotas  for certain wines 

A.  Letter  from  the  Community 

Brussels, 

Sir, 

I have the honour  to refer  to the consultations which  have  taken place 
between  the European Economic Community  and the Republic of Hungary 
concerning  the reciprocal  establishment of  tariff  quotas for certain wines. 
Since  it  is  in the  interest  both of  the Community  and of Hungary  to promote 
trade  in wine  in accordance with Articles 20(5) and  14(5) respectively of 
the Association Agreement  and  the  Interim Agreement  on  trade and  trade-
related matters between  the Community  and Hungary, signed on 
16 December  1991, the two Parties have agreed  to grant  each other  reciprocal 
tariff concessions  subject  to the maximum quantities and  the conditions set 
out below: 

1.  Hungary  is to open annual  tariff  quotas subject  to reduced  customs 

duties as set out  in point  3 for wine originating  in the Community  up to 
the following quantities: 

-  24 000 hectolitres of wine  in containers holding  not more  than 

2  litres, falling within subheading ex 2204 21 of  the Hungarian 
Customs  tariff; 

- 63 500 hectolitres of wine  in containers holding more than 2  litres, 

falling within subheading  ex  2204 29 of  the Hungarian Customs Tariff; 

-  2 500 hectolitres of quality sparkling wine, whether or not  produced 

in specified  regions, in accordance with Title  M I of Regulation  (EEC) 
No 2332/92, in containers holding not more  than 2  litres, falling 
within subheading ex 2204 10 of  the Hungarian Customs Tariff. 

The abovementioned quotas will  be  increased each  year as from 
1 January  1994  in accordance with Table  1  in the Annex. 

•^ 

2.  The Community  is to open annual  tariff  quotas subject  to reduced  customs 

duties as set out  in point  3 for wine originating  in Hungary up to the 
following quantities: 

-  115 000 hectolitres of quality wine,  including wine of  superior 

quality and quality wine bearing  the geographical  indication  "TokaJ" 
and wine bearing  the name  "Tajbor"  (Country wine)  in accordance with 
Hungarian Law No 36/1970 on wine-growing  and  implementing Regulation 
No 40/1977  (MEM), as amended by Regulations Nos 7/1990 (FM) and 
23/1992 (FM), in containers holding not more  than 2  litres, falling 
within subheading ex  2204 21 of  the Combined  Nomenclature; 

- 70 000 hectolitres of wine  in containers  holding more  than 2 litres, 
falling within subheading  ex  2204 29 of  the Combined  Nomenclature; 

-  2 500 hectolitres of quality  sparkling wine  in accordance with 

Hungarian Law No 36/1970 on wine-growing  and  implementing  Regulation 
No 40/1977  (MEM), as amended  by Regulations Nos 7/1990 (FM) and 
23/1992 (FM), in containers holding  not more  than 2  litres, falling 
within subheading ex  2204 10 of  the Combined  Nomenclature. 

The abovementioned quotas will  be  increased each year  as from 
1 January  1994  in accordance with Table 2  in the Annex. 

3.  The  following  reduced customs duties will  apply  to the maximum  annual 

quantities set out  in points  1 and 2: 

(a)  in the case of duties applied by Hungary  to  imports of wine 

originating  in the Community: 

-  in 1993, 90% of  the basic duty; 

-  in 1994, 80% of  the basic duty; 

in 1995 and subsequent  years, 70% of  the basic duty-, 

(b)  in the case of duties applied by the Community  to  imports of wine 

originating  in Hungary: 

-  in 1993, 80% of  the basic duty; 

-  in 1994, 60% of  the basic duty; 

in 1995 and subsequent  years, 40% of  the basic duty. 

4.  For  the purposes of  this Agreement, wine will  be deemed  to originate  in 

the Community or  in Hungary  if  it has been produced  from  fresh grapes 
wholly produced  and harvested  in the territory of  the Party  in question 
in accordance with  the rules governing  the oenological  practices and 
processes referred  to  in Title  II of Regulation  (EEC) No 822/87. 

s\f 

5.  The period covered  by  the quotas referred  to  in points  1 and 2 wi11  run 
from  1 January  to 31 December  of  the same year.  If this Agreement  comes 
Into force after  1 January  1993, the annual  quotas set out  in points 1 
and 2 will  be adjusted  pro rata  temporis. 

6.  Imports of wine under  the concessions provided  for  in this. Agreement 

will  be subject  to presentation of: 

-  an  import  licence valid  from  its date of  issue to the end of  the 

fourth month  thereafter, unless  the quota period expires before the 
latter date. Licences must  be granted without  discrimination between 
the economic operators concerned. They may entail  a system of 
securities,  introduced  and administered  so that  the agreed  quantities 
may actually  be  imported. The  two Parties will  exchange  information 
regularly on  the number  of  licences  issued and used; 

and 

-  a certificate  issued by a mutually  recognized official  body appearing 

on a  list  to be drawn up  Jointly, to the effect  that  the wine  in 
question complies with points  1, 2 and 4. 

7.  The Parties must  ensure  that  the benefits granted  reciprocally  are not 

called  into question by other measures. On application, Hungary will  in 
particular  issue  import  licences as referred  to  in point  6 for up  to the 
quantities agreed  to  in point  1 and will  refrain  from  taking any measure 
which may prevent  them  from being used. 

8.  Consultations are to take place at  the request  of either  Party on any 
problem  relating  to the way  this Agreement  operates. Both Parties may 
amend  the  latter  by mutual  consent. 

9.  This Agreement  will  apply on the one hand  in the territories where the 

Treaty  establishing  the European  Economic Community  is  in force under 
the conditions  laid down  therein  and on  the other  hand  in the territory 
of  Hungary. 

10. This Agreement  will enter  into force on  1 October  1993 and will  apply 

for an  initial  period expiring on  31 December  1998. During  the first six 
months of  1998, consultations will  take place  to decide whether  and on 
what  terms  it  is to be extended. 

I should be obliged  if you would  confirm  that  your  Government  is in 
agreement  with  the contents of  this  letter. 

Please accept, Sir, the assurance of my  highest  consideration. 

For  the Council  of  the European  Communities. 

A* 

ANNEX 

Increase In quotas for wine referred to in points 1 and 2 

Table 1:  Quantities of wine originating  in the Community and qualifying 

for tariff reductions 

Hungarian 
Customs 
Tariff 
code 

Description 

1993  1994  1995  1996  1997  1998 

Quantity  in hectolitres 

ex 2204 21  Wine of fresh grapes  24.000 28.500 33.000 37.500 42.000 46.500 

ex 2204 29  Wine of fresh grapes  63.500 63.500 63.500 63.500 63.500 63.500 

Quality sparkling wine, 
whether or not produced 

ex 2204 10  in specified regions,  2.500  2.625  2.750  2.875  3.000  3.150 

in containers holding 
not more than 2 litres 

Table 2:  Quantities of wine originating in Hungary and qualifying for 

tariff reductions 

CN code 

Descr i pt ion 

1993 

1994  1995 

1996 

1997 

1998 

Quantity  in hectolitres 

ex 2204 21  wine of superior quality 

Quality wine, including 

115.000 130.000 145.000 160.000 175.000 190.000 

quality and quality 
wine bearing 
the geographical 
indication "TokaJ" 
and wine bear ing 
the name "Tajbor" 

ex 2204 29  Wine of fresh 

70.000  70.000  70.000  70.000  70.000  70.000 

grapes 

Quality spark Iing 

ex 2204 10  wine in containers 2.500  2.700  2.900  3.100  3.300  3.500 

holding not more than 
2 Iitrès 

fco 

B. Letter  from Hungary 

Brussels, 

Sir, 

I have  the honour  to acknowledge  receipt of your  letter of  today's date 
which  reads as follows: 

"I have the honour  to refer  to the consultations which  have  taken place 
between  the European  Economic Community  and  the Republic of  Hungary 
concerning  the reciprocal  establishment of  tariff quotas  for certain wines. 
Since  it  is  in the  interest  both of  the Community  and of Hungary  to promote 
trade  in wine  in accordance with Articles 20(5) and  14(5) respectively of 
the Association  Agreement  and  the  Interim Agreement  on  trade and  trade-
related matters between  the Community  and Hungary, signed on 
16 December  1991, the two Parties have agreed  to grant  each other  reciprocal 
tariff concessions subject  to the maximum quantities and  the conditions set 
out  below: 

1. Hungary  is to open annual  tariff  quotas subject  to reduced  customs duties 
as set out  in point  3 for wine originating  in the Community  up  to the 
following quantities: 

24 000 hectolitres of wine  in containers holding not more  than 
2  litres, falling within subheading ex  2204 21 of  the Hungarian 
Customs Tariff; 

63 500 hectolitres of wine  in containers holding more  than 2 litres, 
falling within subheading ex  2204 29 of  the Hungarian  Customs 
Tariff; 

2 500 hectolitres of quality  sparkling wine, whether  or  not  produced 
in specified  regions,  in accordance with Title  111 of  Regulation 
(EEC) No 2332/92,  in containers holding not more  than 2 litres, 
falling within subheading ex 2204 10 of  the Hungarian Customs 
Tariff. 

The abovementioned quotas will  be  increased each  year  as from 
1 January  1994  in accordance with Table  1 in the Annex. 

2. The Community  is to open annual  tariff quotas subject  to reduced  customs 
duties as set out  in point  3 for wine originating  in Hungary up to the 
following quantities: 

115 000 hectolitres of quality wine, including wine of  superior 
quality  and quality wine bearing the geographical  indication  "Tokaj" 
and wine bearing the name  "Tajbor" (Country wine)  in accordance with 
Hungarian Law No 36/1970 on wine-growing  and  implementing Regulation 
No 40/1977  (MEM), as amended by Regulations Nos 7/1990 (FM) and 
23/1992  (FM), in containers holding not more  than 2  litres, falling 
within subheading ex 2204 21 of  the Combined  Nomenclature; 

j(M 

70 000 hectolitres of wine  in containers holding more  than 2  litres, 
falling within subheading ex 2204 29 of  the Combined  Nomenclature; 

2 500 hectolitres of quality  sparkling wine  in accordance with 
Hungarian Law No 36/1970 on wine-growing  and  implementing Regulation 
No 40/1977  (MEM), as amended by Regulations Nos 7/1990.(FM) and 
23/1992  (FM), in containers holding not more than 2  litres, falling 
within subheading ex 2204 10 of  the Combined  Nomenclature. 

The abovementioned quotas will  be  increased each  year  as from 
1 January  1994  in accordance with Table 2  in the Annex. 

3. The following  reduced  customs duties will  apply  to the maximum annual 

quantities set out  in points  1 and 2: 

(a)  in the case of duties applied by Hungary  to  imports of wine 

originating  in the Community: 

in 1993, 90% of  the basic duty; 

in 1994, 80% of  the basic duty; 

in 1995 and subsequent  years, 70% of  the basic duty; 

(b)  in the case of duties applied by  the Community  to  imports of wine 

originating  in Hungary: 

in 1993, 80% of  the basic duty; 

in 1994, 60% of  the basic duty; 

in 1995 and subsequent  years, 40% of  the basic duty. 

4. For  the purposes of  this Agreement, wine will  be deemed  to originate  in 
the Community  or  in Hungary  if  it has been produced  from  fresh grapes 
wholly produced  and harvested  in the territory of  the Party  in question 
in accordance with the rules governing  the oenological  practices and 
processes referred  to  in Title  II of Regulation  (EEC) No 822/87. 

5. The period covered by  the quotas referred  to  in points  1 and  2 wi11  run 

from  1 January  to 31 December  of  the same year.  If this Agreement  comes 
into force after  1 January  1993, the annual  quotas referred  to  in points 
1 and 2 will  be adjusted pro rata  temporis. 

*L 

6.  Imports of wine under  the concessions provided  for  in this Agreement 

will  be subject  to presentation of: 

an  import  licence valid  from  its date of  issue to the end of  the 
fourth month  thereafter, unless the quota period expires before the 
latter date.  Licences must  be granted without discrimination 
between  the economic operators concerned.  They may entail  a system 
of securities,  introduced and administered  so that  the agreed 
quantities may actually be  imported.  The  two Parties will  exchange 
information  regularly on  the number of  licences  issued and used; 

and 

a certificate  issued by a mutually  recognized official  body 
appearing on a  list  to be drawn up  jointly,  to the effect  that  the 
wine  in question  complies with points  1, 2 and 4. 

7. The Parties must  ensure  that  the benefits granted  reciprocally are not 

called  into question by other measures.  On application, Hungary will  in 
particular  issue  import  licences as referred  to  in point 6 for up  to the 
quantities agreed  to  in point  1 and will  refrain  from taking any measure 
which may prevent  them  from being used. 

8. Consultations are to take place at the request of either  Party on any 
problem  relating to the way  this Agreement  operates.  Both Parties may 
amend  the  latter by mutual  consent. 

9. This Agreement  will  apply on  the one hand  in the territories where the 

Treaty establishing  the European Economic Community  is in force under 
the conditions  laid down  therein  and on the other  hand  in the territory 
of  Hungary. 

10. This Agreement  will  enter  into force on  1 October  1993 and will  apply 
for an  initial  period expiring on 31 December  1998.  During  the first 
six months of  1998, consultations will  take place  to decide whether  and 
on what  terms  it  is to be extended. 

I should  be obliged  if you would  confirm  that  your  Government  is in 
agreement  with  the contents of  this  letter." 

I have  the honour  to confirm  that my Government  is  in agreement  with  the 
contents of your  letter. 

Please accept, Sir, the assurance of my highest  consideration. 

For  the Government  of  the 
Republic of Hungary 

*3 

ANNEX 

Increase  in quotas for wine referred  to  in points 1 and  2 

Table  1:  Quantities of wine originating  in the Community  and qualifying 

for tariff  reductions 

Hungarian 
Customs 
Tariff 
code 

Descr ipt ion 

1993  1994 

1995 

1996 

1997 

1998 

Quantity  in hectolitres 

ex 2204 21  Wine of  fresh grapes 

24.000 28.500 33.000 37.500 42.000 46.500 

ex 2204 29  Wine of  fresh grapes  63.500 63.500 63.500 63.500 63.500 63.500 

Quality sparkling wine, 
whether or not produced 

ex 2204 10  in specified regions,  2.500  2.625  2.750  2.875  3.000  3.150 

in containers holding 
not more than 2  litres 

Table 2:  Quantities of wine originating  in Hungary and qualifying for 

tariff  reductions 

CN code 

Description 

1993 

1994  1995 

1996 

1997 

1998 

Quantity  in hectolitres 

ex 2204 21  wine of superior  quality 

Quality wine,  including 

115.000 130.000 145.000 160.000 175.000 190.000 

quality and quality 
wine bearing 
the geographical 
indication "TokaJ" 
and wine bearing 
the name "Tajbor" 

ex 2204 29  Wine of  fresh 

70.000  70.000  70.000  70.000  70.000  70.000 

grapes 

Quali ty spark Iing 

ex 2204 10  wine  in containers 2.500  2.700  2.900  3.100 

3.300  3.500 

holding not more  than 
2  Ii très 

ÏH 

Joint Declaration 

on point 1 of the EEC/Hungary Agreement 
concerning the reciprocal establishment 
of tariff quotas for certain wines 

For  the  purposes  of  applying  subheadings  2204  21-018  and  2204  29-012 of 
the  Hungarian  Customs  Tariff,  wine  intended  for  processing  and  which 
cannot  be  consumed  without  further  processing  or  put  on  the  market  for 
direct human consumption  is considered  "kommersz bor". 

Fortified wine of fresh grapes is to be classified under subheadings 2204 
21-027 and 2204 29-021 of the Hungarian Customs Tariff. 

Liqueurwines,  also  called  "Dessertwines",  are  to  be  classified  under 
subheadings 2204 21-036 and 2204 29-030 of the Hungarian customs Tariff. 

As  a consequence, wine of  fresh  grapes  other than  as referred  to  in the 
first, second and  third paragraphs  is to be classified  under  subheadings 
2204 21-993 and 2204 29-997 of the Hungarian Customs Tariff. 

The classification  of a wine under  any of the subheadings referred to in 
the  first  paragraph  is  subject  to  presentation  of  a  certificate  to  be 
drawn  up  in  accordance  with  the  rules  to  be  laid  down  pursuant  to  the 
second indent of point 6 of the Agreement. 

IS* 

Joint Declaration 

on point  10 of  the EEC/Hungary  Agreement 
concerning  the reeiprocai  establishment of  tariff  quotas 
for certain wines 

The Parties confirm their  intention of bringing the Agreement  into force as 
soon as possible and by  1 October  1993 at the  latest. 

u 

PROPOSAL 

Council Decision 

of 

concerning the conclusion and signature of an Agreement in the form 
of an exchange of letters between the European Economic  Community 
and Romania on the reciprocal  establishment 
of tariff quotas for certain wines 

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 conclusion of the Agreement negotiated between the European 
Economic Community  and Romania on the reciprocal establishment of tariff 
quotas for certain wines will promote the development of trade in wine 
within the meaning of the Association Agreement and the Interim Agreement on 
trade and trade-related matters, concluded between the Community  and 
Romania; whereas  it is therefore desirable to approve the said Agreement; 

Whereas,  in order to facilitate the implementation  of certain provisions of 
the Agreement, the commission should be authorized to conclude the necessary 
legislation  for implementation  of the Agreement  in accordance with the 
procedure  laid down in Article  83 of Council Regulation  (EEC) No 822/87 of 
16 March  1987 on the common organization of the market  in wine1, as last 
amended by Regulation  (EEC) No 1566/932; 

Whereas,  since the provisions of the Agreement  are directly  linked to 
measures covered by the common commercial  and agricultural policy,  it must 
be established  at community  level, 

1 OJ No L  84, 27.3.1987, p. 1. 
2 OJ No L  154, 25.6.1993, p. 39 

*ï 

Article 1 

HAS DECIPEO AS FOLLOWS: 

The Agreement  in the form of an exchange of letters between the European 
Economic community  and Romania on the reciprocal establishment of tariff 
quotas for certain wines is hereby approved on behalf of the 'community. 

The text of the Agreement  is attached to this Decision. 

Article 2 

The President  of the Council is hereby authorized to designate the person 
empowered  to sign the Agreement  referred to in Article  1 in order to bind 
the  Community. 

Article 3 

The Commission  is hereby authorized to conclude the necessary  legislation 
for implementation  laid down in the second indent of point 6 and in point 8 
of the Agreement,  in accordance with the procedure  laid down in Article 83 
of Regulation  (EEC) No 822/87. 

Article 4 

This Decision  shall be published  in the Official Journal of the European 
Communities. 

Done at Brussels, 

For the council 
The President 

tm 

AGREEMENT 

in the form of an exchange of  letters between  the European 
Economic Community  and the Republic of Romania  concerning 
the reciprocal  establishment of  tariff quotas for certain wines 

A.  Letter  from  the Community 

Brussels, 

Sir. 

I have  the honour  to refer  to the consultations which  have taken place 
between  the European  Economic Community  and  the Republic of  Romania 
concerning  the reciprocal  establishment of  tariff quotas for certain wines. 
Since  it  is  in the  interest  both of  the Community  and of Romania  to promote 
trade  in wine  in accordance with Articles 21(5) and  15(5) respectively of 
the Association Agreement  and the  Interim Agreement  on  trade and  trade-
related matters between  the Community  and Romania, signed on 
1 February  1993, the two Parties have agreed  to grant  each other  reciprocal 
tariff concessions subject  to the maximum quantities and  the conditions set 
out below: 

1.  Romania  is to open an annual  tariff quota subject  to reduced  customs 

duties as set out  in point  3 for wine  falling within  heading ex  2204 of 
the Romanian Customs Tariff  and originating  in the Community,  including 
sparkling wine and  liqueur wine, up  to 60 000 hectolitres. 

2.  The Community  is to open an annual  tariff quota subject  to reduced 

customs duties as set out  in point  3 for wine falling within  heading 
ex  2204 of  the Combined  Nomenclature and originating  in Romania, 
Including sparkling wine and  liqueur wine, up  to the quantities set out 
in the Annex. 

3.  The  following  reduced customs duties will  apply  to the maximum  annual 

quantities set out  in points  1 and 2: 

(a)  in the case of duties applied by Romania  to  imports of wine 

originating  in the Community: 

-  in  1993, 90% of  the basic duty; 

in 1994, 85% of  the basic duty-, 

-  in 1995, 80% of  the basic duty; 

-  in 1996 and  1997, 75% of  the basic  duty; 

«5 

•s ^ 

(b)  in the case of duties applied by the Community  to  imports of wine 

originating  in Romania: 

-  in 1993, 80% of  the basic duty; 

-  in 1994, 60% of  the basic duty; 

-  in 1995 and subsequent  years, 40% of  the basic duty. 

4.  For  the purposes of  this Agreement, wine will  be deemed  to originate  in 

the Community or  in Romania  if  it has been produced  from  fresh grapes 
wholly  produced and harvested  in the territory of  the Party  in question 
in accordance with  the rules governing  the oenological  practices and 
processes  referred  to  in Title  II of Regulation  (EEC) No 822/87. 

5.  The period  covered by  the quotas referred  to  in points  1 and 2 wi11  run 
from  1 January  to 31 December  of  the same year.  If this Agreement  comes 
into force after  1 January  1993, the annual  quotas referred  to in 
points  1 and  2 will  be adjusted  pro rata temooris. 

6.  Imports of wine under  the concessions provided  for  in this Agreement 

will  be subject  to presentation of: 

-  an  import  licence valid  from  its date of  issue to the end of  the 

fourth month  thereafter, unless the quota period expires before the 
latter date. Licences must  be granted without  discrimination between 
the economic operators concerned. They may entail  a system of 
securities,  introduced  and administered  so that  the agreed quantities 
may actually  be  imported; 

and 

-  a certificate  issued by a mutually  recognized officiai  body  appearing 

on a  list to be drawn up  Jointly. 

7.  The Parties must  ensure  that  the benefits granted  reciprocally  are not 

called  Into question by other measures. 

8.  Consultations are to take place at  the request  of either  Party on any 
problem  relating  to the way  this Agreement  operates. Both Parties may 
.amend  the  latter  by mutual  consent. 

9.  This Agreement  will  apply on the one hand  in the territories where the 

Treaty  establishing  the European  Economic Community  is  in force under 
the conditions  laid down  therein and on  the other  hand  in the territory 
of  Romania. 

10. This Agreement  will  enter  into force on  1 October  1993 and will  apply 

for  an  initial  period expiring on 31 December  1997. During  the first six 
months of  1997, consultations will  take place  to decide whether  and on 
what  terms  it  is to be extended. 

3o 

I should be obliged  if you would confirm that your Government  is in 
agreement with  the contents of  this  letter. 

Please accept, sir, the assurance of my highest consideration. 

For the Council of  the European Communities. 

ANNEX 

Quantities of wine originating  in Romania 
as referred to  in point  2 

CN code 

1993 

1994 

1995 

1996 

1997 

Description 

Quantity  in hectolitres 

ex 2204 10 
ex 2204 21 
ex 2204 29 

Wine of fresh grapes, 
including sparkling 
wine and  Iiqueur wine 

110.000 120.000 130.000 140.000 150.000 

bA 

B. Letter  from Romania 

Brussels, 

Sir, 

I have the honour  to acknowledge  receipt of your  letter of  today's date 
which  reads as follows: 

"I have  the honour  to refer  to the consultations which  have taken place 
between  the European Economic Community  and the Republic of Romania 
concerning  the reciprocal  establishment of  tariff  quotas for certain wines. 
Since  it  is  in the  interest  both of  the Community  and of Romania  to promote 
trade  in wine  in accordance with Articles 21(5) and  15(5) respectively of 
the Association Agreement  and  the  Interim Agreement  on  trade and  trade-
related matters between  the Community  and Romania, signed on 
1 February  1993, the two Parties have agreed  to grant  each other  reciprocal 
tariff concessions subject  to the maximum quantities and  the conditions set 
out below: 

1. Romania  is to open an annual  tariff  quota subject  to reduced  customs 

duties as set out  in point  3 for wine  falling within heading ex 2204 of 
the Romanian Customs Tariff  and originating  in the Community,  including 
sparkling wine and  liqueur wine, up  to 60 000 hectolitres. 

2. The Community  is to open an annual  tariff quota subject  to reduced 

customs duties as set out  in point  3 for wine falling within  heading 
ex  2204 of  the Combined  Nomenclature  and originating  in Romania, 
including sparkling wine and  liqueur wine, up  to the quantities set out 
in the Annex. 

3. The  following  reduced customs duties will  apply  to the maximum  annual 

quantities set out  in points  1 and 2: 

(a)  in the case of duties applied by Romania  to  imports of wine 

originating  in the Community: 

in 1993, 90% of  the basic duty, 

in 1994, 85% of  the basic  duty; 

in 1995, 80% of  the basic  duty; 

in 1996 and  1997, 75% of  the basic duty-, 

(b)  in the case of duties applied  by  the Community  to  imports of wine 

originating  in Romania: 

in 1993, 80% of  the basic  duty; 

*1 

in 1994, 60% of  the basic duty, 

in 1995 and subsequent  years, 40% of  the basic duty. 

4. For  the purposes of  this Agreement, wine will  be deemed  to originate  in 
the Community  or  in Romania  if  it has been produced  from  fresh grapes 
wholly produced  and harvested  in the territory of  the Party  in question 
in accordance with  the rules governing  the oenological  practices and 
processes  referred  to  in Title  II of Regulation  (EEC) No 822/87. 

5. The period  covered by the quotas referred  to  in points  1 and 2 wi11  run 

from  1 January  to 31 December  of  the same year.  If this Agreement  comes 
into force after  1 January  1993, the annual  quotas referred  to  in points 
1 and 2 will  be adjusted  pro rata  tempor is. 

6.  Imports of wine under  the concessions provided  for  in this Agreement 

will  be subject  to presentation of: 

an  import  licence valid  from  its date of  issue to the end of the 
fourth month  thereafter, unless the quota period  expires before the 
latter  date.  Licences must  be granted without  discrimination 
between  the economic operators concerned.  They may entail  a system 
of securities,  introduced  and administered  so that  the agreed 
quantities may actually be  imported; 

and 

a certificate  issued by a mutually  recognized  official  body 
appearing on a  list  to be drawn up  Jointly. 

7. The Parties must  ensure  that  the benefits granted  reciprocally  are not 

called  into question by other measures. 

8. Consultations are to take place at  the request  of either  Party on any 
problem  relating  to the way  this Agreement  operates.  Both Parties may 
amend  the  latter  by mutual  consent. 

9. This Agreement  will  apply on the one hand  in the territories where the 

Treaty establishing  the European  Economic Community  is  in force under 
the conditions  laid down  therein and on  the other  hand  in the  territory 
of  Romania. 

10. This Agreement  will  enter  into force on  1 October  1993 and will  apply 
for  an  initial  period expiring on  31 December  1997.  During  the first 
six months of  1997, consultations will  take place  to decide whether  and 
on what  terms  it  is to be extended. 

^3 

I should be obliged  If you would confirm  that your Government  is in 
agreement  with  the contents of  this  letter." 

I have the honour  to confirm  that my Government  is in agreement  with  the 
contents of your  letter. 

Please accept. Sir, the assurance of my  highest  consideration. 

For  the Government of  the 
RepubIi c of Roman i a 

ANNEX 

Quantities of wine originating  In Romania 
as referred  to  in point  2 

CN code 

1993 

1994 

1995 

1996 

1997 

Description 

Quantity  in hectolitres 

ex 2204 10 
ex 2204 21 
ex 2204 29 

Wine of  fresh grapes, 
including sparkling  110.000 120.000 130.000 140.000 150.000 
wine and  liqueur wine 

^ 

Joint Declaration 

on point  10 of  the EEC/Romania Agreement 
concerning  the reciprocal  establishment of  tariff  quotas 
for certain wines 

The Parties confirm  their  intention of bringing  the Agreement  into force as 
soon as possible and by  1 October  1993 at the  latest. 

>  "^ 

Financial  Statement 

1. BUDGET  HEADING  : 1000 

APPROPRIATIONS : ECU 1 263.7 million 

2. TITLE : 

Proposal  for Council  Decisions on the conclusion  nnd signature of an Agreement in the form of an 
exchange of letters between  the European Economic  Community  and  the Republics of Bulgaria,  Hungary 
and Romania on the reciprocal  establishment of tariff  quotas  for certain wines 

3. LEGAL  BASIS : Article 83 of Regulation  (EEC) No 822/87 

4. AIMS 

The reciprocal  establishment of tariff quotas  for certain  wines 

5. FINANCIAL  IMPLICATIONS 

PERIOD  OF 12 MONTHS 

5.0  EXPENDITURE 

CHARGED TO THE EC BUDGET 
(REFUNDS/INTERVENTIONS) 

NATIONAL  AUTHORITIES 

OTHER 

5.1  REVENUE 

- OWN  RESOURCES OF THE EC 
(LEVIES/CUSTOMS  DUTIES) 

- NATIONAL 

CURRENT  FINANCIAL  YEAR 
I__I22I__2 

FOLLOWING  FINANCIAL  YEAR 
i  1994  2 

ECU - 3.9 million 

1997. 

1998. 

5 . 0 .1 
5 . 1 .1  LSTIMATED  REVENUE 

ISTIMATED  EXPENDITURE 

5 .2  METHOD  OF CALCULATION 

ECU - 6.2  million 

ECU - 6.7  million 

Loss of income  for  the  Community 
Sec annexed  calculations 

6.0  CAN  THE PROJECT BE FINANCED  FROM APPROPRIATIONS ENTERED IN THE RELEVANT  CHAPTER OF THE CURRENT  BUDGET ? 

6.1  CAN  THE PROJECT BE FINANCED BY TRANSFER  BETWEEN  CHAPTERS OF THE CURRENT  BUDGET ? 

6.2  WILL A SUPPLEMENTARY  BUDGET  (ifc NECESSARY ? 

6.3  W ML  FUTURE  BUDl.LT APPROPRIATIONS BE NECESSARY '> 

COMMENTS 

YES/NO 

YES/NO 

YES/NO 

YES/NO 

ANNEX 

COMMUNITY  WINE QUOTAS  FOR : 

COf'T-1LM"v 

Total quota  (hi) 

BULGARIA  ' 

HUNGARY 

ROMANIA 

1991 

1994 

1995 

199C 

1993 

1994 

1995 

199C 

1993 

1994 

1995 

1994 

333  000 

1((  300 

199  (00 

432  900 

It?  500 

202 700 

217  900 

233  100 

110  000 

120  000 

130  000 

140 000 

Average customs duty (ECU/hl) 

14 

14 

14 

0,6 

0,6 

0,4 

11,2 

8,4 

5,4 

14 

0,4 

S,( 

14 

14 

0,8 

0,4 

11,2 

8,4 

14 

0,4 

5,4 

14 

0,4 

5,( 

14 

14 

0,8 

0,6 

11,2 

8,4 

14 

0,4 

5,4 

14 

0,4 

5,4 

Reduction in duty 

New (reduced) rate 

Revenue without reduction, (nECU B) 

Revenue with reduction (~ECU B) 

Loss (rr.ECU 3) 

of which in 1993  \"zZJ. 

of which in 199^ CvECo/ 

of which in 1995 (~ECl) 

of which in 1996 (mECU) 

i.n 

*.«* 

t< 2< 

*«77 

4,66 

5,13 

5,59 

<,OC 

2,(3 

2,84 

3,05 

3,26 

1,54 

1,(8 

1,82 

1,9( 

3,73 

3,08 

2,24 

2,42 

2,10 

1,70 

1,22 

1,31 

1,23 

1,01 

0,73 

0,78 

0,93 

2,05 

3,34 

3,(4 

0,53 

1,14 

1,83 

1,96 

0,31 

0,(7 

1,09 

1,18 

0,93 

0,53 

2,05 

1,14 

0,31 

0,(7 

3,3( 

1,83 

1,09 

1,9« 

1,18 

ISSN 0254-1475 

COM (93) 358 final 

DOCUMENTS 

EN 

11  03  02 

Catalogue number : CB-CO-93-396-EN-C 

ISBN 92-77-58213-8 

Office for Official Publications of the European Communities 
L/2985 Luxembourg