Proposal for a COUNCIL REGULATION (EEC) on certain procedures for applying the Europe Agreement establishing an association between the European Communities and their Member States, of the one part, and the Republic of Hungary, of the other part
Date: 1993-11-15
Institutions: European Commission
Subjects: Hungary, agricultural product, association agreement (EU), member country, protective clause, textile product

COMMISSION  OF THE  EUROPEAN  COMMUNITIES 

COM(93)  554  final 
Brussels,  1f>  November  1993 

Proposal  for a 
COUNCIL  REGULATION  (EEC) 
on  certain  procedures  for  applying  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and their  Member  States, of  the  one  part, 
and  the  Republic  of  Hungary,  of  the  other  part 

Proposal  for  a 
COUNCIL  REGULATION  (EEC) 
on  certain  procedures  for  applying  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and their  Member  States,  of  the  one  part, 
and  the  Republic  of  Poland,  of  the other  part 

(presented  by  the  Commission) 

EXPLANATORY  MEMORANDUM 

The  proposed  Regulations  introduce  the  modalities  for  the  application 
of  certain  safeguard  measures  and  measures  of  commercial  protection 
contained  in  the  Europe  Agreements  and  provide  a  legal  basis  enabling 
the  Commission  to  implement  the  provisions  of  the  Europe  Agreements 
concerning  agricultural  products. 

The  Community  signed  on  December  16,  1991  the  Europe  Agreements  with 
Hungary  and  Poland  respectively.  To  allow  the  commercial  provisions  to 
enter  into  force  as  soon  as  possible,  Interim  Agreements  on  trade  and 
trade  related  matters  were  signed  at  the  same  time  and  entered  into 
force  on  March  1,  1992. 

The  objective  of  the  proposed  Regulations  is  the  introduction  of 
specific  rules  to  the  general  provisions  concerning  the  Community's 
import  regime  (including  the  provisions  establishing  protection  against 
subsidies  and  dumping  practices  in  relation  to  imports  from  third 
countries)  in  order  to  respect  the  obligations  undertaken  in  the  Europe 
Agreements. 

similar  Regulations  have  been  adopted  for  the  implementation  of  such 
measures  under  the  interim  Agreements  (Regulations  (EEC)  N"  518/92. 
29.2.92  p.  3 and  519/92  29.2.92  p . 6 ). 

In  view  of  the  entry  into  force  of  the  Europe  Agreements,  the 
Commission  is  requesting  the  Council  to  adopt  the  proposed  Regulations. 

3 

Proposal  for  a 
COUNCIL  REGULATION  (EEC) 
on  certain  procedures  for  applying  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and  their  Member  States,  of  the  one  part, 
and  the  Republic  of  Hungary,  of  the  other  part 

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 a Europe Agreement establishing an association between the European 
Communities and their Member States, of the one part, and the Republic of 
Hungary, of the other part, hereinafter referred to as  'the Agreement', was 
signed in Brussels on 16 December 1991; 

Whereas pending the entry into force of the Europe Agreement, its provisions 
on trade and trade-related matters have been given effect since 1 March  1992 
by an Interim Agreement on trade and trade-related matters between the 
European Economic Community  and the European Coal and steel Community, of 
the one part, and the Republic of Hungary, of the other part, signed in 
Brussels on  16 December  1991;* 

Whereas pursuant to the conclusions of the Copenhagen European Council on 
21 and 22 June  1993 regarding new trade concessions  for the Central and 
Eastern European countries, an Additional Protocol to the Interim Agreement 
was signed on  ... 1993 by the European Economic Community  and the European 
Coal and Steel Community, of the one part, and Hungary, of the other part, 
and has been applied  since  1 July  1993;2 

Whereas Council Regulation  (EEC) No 519/923 on certain procedures  for 
applying the Interim Agreement on trade and trade-related measures between 
the European Economic Community and the European Coal and Steel Community, 
of the one part, and the Republic of Hungary, of the other part, as amended 
by Regulation  (EEC) No 2234/93,4 provides for the implementation of the 
said Interim Agreement; 

1  O J N oL  1 1 6,  3 0 . 4 . 1 9 9 2,  p.  2. 
2  O J N oL 
3  OJ  No  L  5 6,  2 9 . 2 . 1 9 9 2,  p. 
6 
4  OJ  No  L  2 0 0,  1 0 . 8 . 1 9 9 3,  p.  4 

. .. 

H 

Whereas it is necessary to lay down the procedures  for applying certain 
provisions of the Agreement, incorporating the provisions of Regulation 
(EEC) NO 519/92; 

Whereas, with regard to trade protection measures, it is appropriate, where 
the provisions of the Agreement render it necessary, to lay down specific 
provisions concerning the general rules provided  for in particular in 
Council Regulation  (EEC) No 288/82 of 5 February  1982 on common rules for 
imports5 and in council Regulation  (EEC) No 2423/88 of  11 July  1988 on 
protection against dumped or subsidized  imports from countries not members 
of the European Economic Community;** 

Whereas account should be taken of the undertakings  set out in the Agreement 
when examining whether a safeguard measure should be  introduced; 

whereas the procedures concerning  safeguard clauses provided  for in the 
Treaty establishing the European Economic Community  are also applicable; 

Whereas specific provisions have been adopted  for safeguard measures 
concerning the textile products covered by Protocol  1 of the Agreement; 

Whereas certain special procedures should be introduced  for the application 
of safeguard measures  in the agricultural sectors, 

HAS ADOPTED THIS REGULATION: 

TITLE I 

Agricultural products 

Article 1 

Provisions for the application of Article 20(2) and  (4) of the Agreement 
concerning agricultural products falling within Annex II of the Treaty and 
subject in the framework of the common market organization to a regime of 
levies, and concerning products falling within CN codes  0711 90 50 and 
2003  10 10, shall be adopted  in accordance with the procedure provided for 
in Article 23 of Regulation  (EEC) No  1766/92^ or in the corresponding 
provisions of other regulations establishing a common organization of the 
agricultural markets. These provisions may provide for the introduction of 
system of import certificates  in those sectors in which  such certificates 
are not provided  for by the common organization of agricultural markets. 

5  OJ No L 35, 9.2.1982, p. 1. Regulation  last amended by Regulation  (EEC) 

No 2978/91  (OJ No L 284, 12.10.1991, p. 1 ). 

6  OJ No L 209, 2.8.1988, p. 1. 
7  Council Regulation  (EEC) No  1766/92 of  1 July  1992, in OJ No L 181, 

p. 21. 

5 

TITLE II 

Protective measures 

Article 2 

The Council may, in accordance with the procedures provided  for in 
Article  113 of the Treaty, decide to refer to the Association Council 
established by the Agreement with regard to the measures provided for in 
Articles 28 and  117(2) of the Agreement. Where necessary, the Council shall 
adopt these measures  in accordance with the same procedure. 

The Commission may, on its own initiative or at the request of a Member 
State, present the necessary proposals to this end. 

Article 3 

1. In the case of a practice that may  justify application by the Community 
of the measures provided  for in Article 62 of the Agreement, the Commission, 
after examining the case, on its own initiative or at the request of a 
Member State, shall decide whether such practice is compatible with the 
Agreement, where necessary, it shall propose the adoption of safeguard 
measures to the Council, which shall act in accordance with the procedure 
laid down in Article  113 of the Treaty, except in the cases of aid to which 
Regulation  (EEC) No 2423/88 applies, when measures shall be taken according 
to the procedures  laid down in that Regulation. Measures  shall be taken only 
under the conditions  set out in Article  62(6) of the Agreement. 

2. In the case of a practice that may cause measures to be applied to the 
Community by Hungary on the basis of Article 62 of the Agreement, the 
Commission, after examining the case, shall decide whether the practice is 
compatible with the principles set out in the Agreement. Where necessary, it 
shall take appropriate decisions on the basis of the criteria which result 
from the application of Articles  85, 86 and 92 of the Treaty. 

Article 4 

In the case of a practice which is liable to warrant the application, by the 
Community, of the measures provided  for in Article 29 of the Agreement, the 
introduction of anti-dumping measures shall be decided upon in accordance 
with the provisions  laid down in Regulation  (EEC) No 2423/88 and the 
procedure provided  for in Article 33(2) and  (3)(b) or  (d) of the Agreement. 

Article 5 

1. Where a Member State requests the Commission to apply safeguard measures 
as provided  for in Articles  30 or 31 of the Agreement, it shall provide the 
Commission, in support of its request, with the information needed to 
justify it. If the Commission decides not to apply safeguard measures, it 
shall inform the Council and the Member States accordingly within five 
working days of receipt of the request from the Member State. 

(, 

Any Member State may refer this decision of the Commission to the Council 
within ten working days of its notification. 

If the Council, acting by the qualified majority, indicates its intention to 
adopt a different decision, the Commission shall inform Hungary thereof 
forthwith and shall notify it of the opening of the consultations within the 
Association Council as provided for in Article 33(2) and  (3) of the 
Agreement. 

The Council, acting by a qualified majority, may take a different decision 
within twenty working days of the conclusion of the consultations with 
Hungary within the Association Council. 

2. The Commission shall be assisted by a committee  (hereinafter referred to 
as  'the Committee') composed of representatives of the Member States and 
chaired by a representative of the Commission. 

The Committee shall meet when convened by its chairman. The latter shall 
communicate  any appropriate information to the Member States at the earliest 
opportunity. 

3. Where the Commission, at the request of a Member State or on its own 
initiative, decides that the safeguard measures provided  for in Articles 30 
or 31 of the Agreement should be applied: 

it shall inform the Member States forthwith if acting on its own 
initiative or, if it is responding to a Member state's request, within 
five working days of the date of receipt of that request, 

it shall consult the Committee, 

-  at the same tinte it shall inform Hungary and notify the Association 

Council of the opening of consultations  as referred to in Article  33(2) 
and  (3) of the Agreement, 

at the sane tine it shall provide the Association Council with all the 
information necessary  for these consultations. 

4. In any event, the consultations within the Association Council shall be 
deemed to be completed thirty days after the notification referred to in the 
fourth subparagraph of paragraph  1 and in paragraph  3. 

At the end of the consultations or on expiry of the period of thirty days, 
and if no other arrangement proves possible, the Commission, after 
consulting the Committee, may take appropriate measures to implement 
Articles 30 and 31 of the Agreement. 

/ 

5. The decision referred to in paragraph 4 shall be notified  forthwith to 
the Council, the Member States and Hungary; it shall also be notified to the 
Association Council. 

The decision shall be immediately applicable. 

6. Any Member State may refer the Commission decision referred to in 
paragraph 4 to the Council within ten working days of receiving  notification 
of the decision. 

7. If the Commission has not taken a decision within the meaning of the 
second subparagraph of paragraph  4 within ten working days of the end of the 
consultations with the Association Council or, as the case may be, the end 
of the period of thirty days, any Member State which has referred the matter 
to the Commission  in accordance with paragraph 3 may refer it to the 
Council. 

8. In the cases referred to in paragraphs 6 and 7 the Council, acting by a 
qualified majority, may adopt a different decision within two months. 

Article 6 

1. Where exceptional circumstances arise within the meaning of 
Article 33(3)(d) of the Agreement, the Commission may take  immediate 
safeguard measures  in the cases referred to in Articles  30 and 31 of the 
Agreement. 

2. If the Commission receives a request from a Member State, it shall take a 
decision thereon within five working days of receipt of the request. 

The Commission shall notify the Council and the Member States of its 
decision. 

3. Any Member State may refer the Commission's decision to the council in 
accordance with the procedure provided for in Article 5(6). 

The procedure set out in Article  5(7) and  (8) shall be applicable. 

If the Commission has not taken a decision within the time limit mentioned 
in paragraph 2, any Member State which has referred the matter to the 
Commission may refer it to the Council in accordance with the procedures 
laid down in the first and second subparagraphs of this paragraph. 

The procedures  laid down in Articles  5 and 6 shall not apply to products 
covered by Protocol  1 of the Agreement. 

Article 7 

Article 8 

By way of derogation  from Articles  5 and 6, if the circumstances demand that 
measures are taken concerning  agricultural products on the basis of 
Articles 21 or 30 of the Agreement or on the basis of provisions  in the 
Annexes covering these products, such measures shall be taken according to 
procedures provided  for by the rules establishing  a common  organization of 
the agricultural markets, or in specific provisions  adopted under 
Article 235 of the Treaty  and applicable to products resulting  from the 
processing of agricultural products, provided that the  conditions 
established under Article 21 or Article  33(2) and  (3) of the Agreement are 
met. 

Notification to the Association Council as required by the Agreement  shall 
be the responsibility  of the Commission,  acting on behalf of the  Community. 

Article 9 

Article 10 

This Regulation does not preclude the application of safeguard measures 
provided  for in the Treaty establishing  the European Community, in 
particular  in Articles  109h and  109i, according to the procedures  laid down 
therein. 

Article 11 

This Regulation shall enter into forcé on the day  following  that ©f its 
publication in the Official Journal of the European  Communities. 

It shall apply from the entry  into force of the Europe  Agreement. 

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

Done at Brussels, 

For the Council 
The President 

cs 

Proposal  for a 
COUNCIL REGULATION 1EEC) 
on certain  procedures  for  applying the Europe Agreement  establishing  an association 
between the European  Communities and their Member States, of the one part, 
and the  Republic of  Poland, of the other part 

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 a Europe Agreement establishing an association between the European 
Communities and their Member States, of the one part, and the Republic of 
Poland, of the other part, hereinafter referred to as  'the Agreement', was 
signed in Brussels on  16 December 1991; 

Whereas pending the entry into force of the Europe Agreement, its provisions 
on trade and trade-related matters have been given effect since  1 March  1992 
by an Interim Agreement on trade and trade-related matters between the 
European Economic  Community  and the European Coal and Steel Community, of 
the one part, and the Republic of Poland, of the other part, signed in 
Brussels on  16 December  1991;1 

Whereas pursuant to the conclusions of the Copenhagen European Council on 
21 and 22 June  1993 regarding new trade concessions  for the Central and 
Eastern European countries, an Additional Protocol to the Interim Agreement 
was signed on  ... 1993 by the European Economic Community and the European 
Coal and Steel Community, of the one part, and Poland, of the other part, 
and has been applied  since  1 July  1993;2 

Whereas Council Regulation  (EEC) No 518/92^ on certain procedures  for 
applying the Interim Agreement on trade and trade-related measures between 
the European Economic Community and the European Coal and Steel Community, 
of the one part, and the Republic of Poland, of the other part, as amended 
by Regulation  (EEC) No 2233/93,^ provides for the implementation of the 
said Interim Agreement; 

1  OJ No L  116, 30.4.1992, p. 2. 
2  OJ No L 
3  O J N oL  56, 29.2.1992, p. 3. 
4  OJ No L 200, 10.8.1993, p. 3. 

AXJ 

Whereas it is necessary to lay down the procedures  for applying certain 
provisions of the Agreement, incorporating the provisions of Regulation 
(EEC) No 518/92; 

Whereas, with regard to trade protection measures, it is appropriate, where 
the provisions of the Agreement render it necessary, to lay down specific 
provisions concerning the general rules provided  for in particular in 
Council Regulation  (EEC) No 288/82 of 5 February  1982 on common rules for 
imports5 and in Council Regulation  (EEC) No 2423/88 of  11 July  1988 on 
protection against dumped or subsidized  imports from countries not members 
of the European Economic Community;** 

Whereas account should be taken of the undertakings  set out in the Agreement 
when examining whether a safeguard measure should be  introduced; 

Whereas the procedures concerning safeguard clauses provided for in the 
Treaty establishing the European Economic Community  are also applicable; 

Whereas specific provisions have been adopted for safeguard measures 
concerning the textile products covered by Protocol  1 of the Agreement; 

Whereas certain special procedures should be introduced  for the application 
of safeguard measures in the agricultural sectors, 

HAS ADOPTED THIS REGULATION: 

TITLE I 

Agricultural products 

Article 1 

Provisions  for the application of Article 20(2) and  (4) of the Agreement 
concerning agricultural products  falling within Annex II of the Treaty and 
subject in the framework of the common market organization to a regime of 
levies, and concerning products falling within CN codes  0711 90 50 and 
2003  10 10, shall be adopted in accordance with the procedure provided for 
in Article 23 of Regulation  (EEC) No  1766/92^ or in the corresponding 
provisions of other regulations establishing  a common organization of the 
agricultural markets. These provisions may provide for the introduction of 
system of import certificates  in those sectors in which such certificates 
are not provided  for by the common organization of agricultural markets. 

5  OJ No L 35, 9.2.1982, p. 1. Regulation  last amended by Regulation  (EEC) 

No 2978/91  (OJ No L 284, 12.10.1991, p. 1 ). 

6  OJ No L 209, 2.8.1988, p. 1. 
7  Council Regulation  (EEC) No  1766/92 of  1 July  1992, in OJ No L 181, 

p. 21. 

^M 

TITLE II 

Protective measures 

Article 2 

The Council may, in accordance with the procedures provided  for in 
Article  113 of the Treaty, decide to refer to the Association Council 
established by the Agreement with regard to the measures provided for in 
Articles 28 and  115(2) of the Agreement. Where necessary, the Council shall 
adopt these measures  in accordance with the same procedure. 

The Commission may, on its own initiative or at the request of a Member 
State, present the necessary proposals to this end. 

Article 3 

1. In the case of a practice that may  justify application by the Community 
of the measures provided  for in Article  63 of the Agreement, the commission, 
after examining the case, on its own initiative or at the request of a 
Member state, shall decide whether such practice  is compatible with the 
Agreement, where necessary, it shall propose the adoption of safeguard 
measures to the Council, which shall act in accordance with the procedure 
laid down in Article  113 of the Treaty, except in the cases of aid to which 
Regulation  (EEC) No 2423/88 applies, when measures  shall be taken according 
to the procedures  laid down in that Regulation. Measures  shall be taken only 
under the conditions  set out in Article  63(6) of the Agreement. 

2. In the case of a practice that may cause measures to be applied to the 
Community by Poland on the basis of Article  63 of the Agreement, the 
Commission, after examining the case, shall decide whether the practice is 
compatible with the principles set out in the Agreement, where necessary, it 
shall take appropriate decisions on the basis of the criteria which result 
from the application of Articles  85, 86 and 92 of the Treaty. 

Article 4 

In the case of a practice which is liable to warrant the application, by the 
Community, of the measures provided  for in Article 29 of the Agreement, the 
introduction of anti-dumping measures  shall be decided upon in accordance 
with the provisions  laid down in Regulation  (EEC) No 2423/88 and the 
procedure provided  for in Article  33(2) and  (3)(b) or  (d) of the Agreement. 

Article 5 

1. Where a Member state requests the Commission to apply  safeguard measures 
as provided  for in Articles  30 or 31 of the Agreement, it shall provide the 
Commission, in support of its request, with the information needed to 
justify it. If the Commission decides not to apply safeguard measures, it 
shall inform the Council and the Member States accordingly within five 
working days of receipt of the request from the Member State. 

-n 

Any Member State may refer this decision of the Commission to the Council 
within ten working days of its notification. 

If the Council, acting by the qualified majority, indicates its intention to 
adopt a different decision, the Commission shall inform Poland thereof 
forthwith and shall notify it of the opening of the consultations within the 
Association Council as provided for in Article 33(2) and (3) of the 
Agreement. 

The Council, acting by a qualified majority, may take a different decision 
within twenty working days of the conclusion of the consultations with 
Poland within the Association Council. 

2. The Commission shall be assisted by a committee (hereinafter referred to 
as 'the Committee') composed of representatives of the Member States and 
chaired by a representative of the Commission. 

The Committee shall meet when convened by its chairman. The latter shall 
communicate any appropriate information to the Member States at the earliest 
opportunity. 

3. Where the commission, at the request of a Member State or on its own 
initiative, decides that the safeguard measures provided for in Articles 30 
or 31 of the Agreement should be applied: 

-  it shall inform the Member States forthwith if acting on its own 

initiative or, if it is responding to a Member state's request, within 
five working days of the date of receipt of that request, 

-  it shall consult the committee, 

at the same time it shall inform Poland and notify the Association 
Council of the opening of consultations as referred to in Article 33(2) 
and (3) of the Agreement, 

-  at the same time it shall provide the Association Council with all the 

information necessary for these consultations. 

4. In any event, the consultations within the Association Council shall be 
deemed to be completed thirty days after the notification referred to in the 
fourth subparagraph of paragraph 1 and in paragraph 3. 

At the end of the consultations or on expiry of the period of thirty days, 
and if no other arrangement proves possible, the Commission, after 
consulting the Committee, may take appropriate measures to implement 
Articles 30 and 31 of the Agreement. 

^ 

5. The decision referred to in paragraph  4 shall be notified forthwith to 
the Council, the Member states and Poland; it shall also be notified to the 
Association council. 

The decision shall be immediately applicable. 

6. Any Member state may refer the Commission decision referred to in 
paragraph  4 to the council within ten working days of receiving  notification 
of the decision. 

7. If the Commission has not taken a decision within the meaning of the 
second subparagraph of paragraph 4 within ten working days of the end of the 
consultations with the Association Council or, as the case may be, the end 
of the period of thirty days, any Member State which has referred the matter 
to the Commission in accordance with paragraph 3 may refer it to the 
Council. 

8. In the cases referred to in paragraphs 6 and 7 the Council, acting by a 
qualified majority, may adopt a different decision within two months. 

Article 6 

1. Where exceptional circumstances arise within the meaning of 
Article 33(3)(d) of the Agreement, the Commission may take immediate 
safeguard measures  in the cases referred to in Articles  30 and 31 of the 
Agreement. 

2. If the Commission receives a request from a Member State, it shall take a 
decision thereon within five working days of receipt of the request. 

The Commission  shall notify the Council and the Member States of its 
decision. 

3. Any Member State may refer the Commission's decision to the Council in 
accordance with the procedure provided  for in Article 5(6). 

The procedure set out in Article  5(7) and  (8) shall be applicable. 

If the Commission has not taken a decision within the time limit mentioned 
in paragraph  2, any Member state which has referred the matter to the 
commission may refer it to the Council in accordance with the procedures 
laid down in the first and second subparagraphs of this paragraph. 

The procedures  laid down in Articles  5 and 6 shall not apply to products 
covered by Protocol  1 of the Agreement. 

Article 7 

^ 

Article 8 

By way of derogation  from Articles  5 and 6, if the circumstances  demand that 
measures  are taken concerning  agricultural products on the basis of 
Articles 21 or 30 of the Agreement or on the basis of provisions  in the 
Annexes covering these products, such measures  shall be taken according to 
procedures provided  for by the rules establishing  a common organization of 
the agricultural markets, or in specific provisions  adopted under 
Article 235 of the Treaty  and applicable to products resulting  from the 
processing of agricultural products, provided that the conditions 
established under Article 21 or Article  33(2) and  (3) of the Agreement  are 
met. 

Notification to the Association Council as required by the Agreement  shall 
be the responsibility  of the Commission,  acting on behalf  of the community. 

Article 9 

Article  10 

This Regulation does not preclude the application  of safeguard measures 
provided  for in the Treaty establishing the European Community,  in 
particular  in Articles  109h and  109i, according to the procedures  laid down 
therein. 

Article  11 

This Regulation  shall enter into force on the day  following that of its 
publication  in the official Journal of the European  Communities. 

It shall apply  from the entry  into force of the Europe Agreement. 

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

Bone at Brussels, 

For the Council 
The President 

ISSN 0254-1475 

COM(93) 554 final 

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ISBN 92-77-60765-3 

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