Proposal for a COUNCIL REGULATION (EC) 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) (1994/95)
Date: 1994-07-12
Institutions: European Commission
Subjects: ACP countries, liqueur, spirits, tariff quota

COMMISSION OF THE EUROPEAN COMMUNITIES 

C0M(94) 277 final 
Brussels, 12.07.1994 

94/0162 (ACC) 

Proposal  for a 

COUNCIL REGULATION  (EC) 

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) 

(1994/95) 

(presented  by  the Commission) 

EXPLANATORY  MEMORANDUM 

1. 

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

on  15.12.1989,  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,  this  is set  out 

in Article  2 of  the  said  Protocol. 

By  reason  of  the  peculiarities  inherent  in  the  rum  market,  the  quota 

period  is from  1 July  to  30  June. 

For  the  quota  period  1 July  1994  to  30  June  1995,  the  quota  volume  is 

equal  to  that  of  the  preceding  period  increased  by  20  000  hi. 

This  increase  contitutes  a  normal  application  of  the  protocol,  without 

prejudice  to  the  answer  to  be  provided,  to  the  question  raised  about 

this  volume  by  the  ACP  countries  on  the  basis  of  Article  2 C of 

Protocol  No.  6 of  the  Lomé  Convention.  This  question  will  be  examined 

in  the  context  of  the  work  and  analyses  to  be  performed  with  a  view  to 

abolishing  quotas  and  of  the  reports  on  that  matter. 

Consequently,  the  Commission  reserves  the  possibility  of  amending  this 

proposal  at  a  suitable  moment,  after  it  has  seen  the  conclusions 

arising  from  this  examination. 

2. 

Preferential  arrangements  should  therefore  be  adopted  in  the  form  of  a 

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

ACP  states. 

This  is  the  purpose  of  the  attached  Council  proposal 

I  -

COUNCIL  REGULATION  (EC) No 

/94 

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 

(1994 to 1995) 

THE COUNCIL OF THE EUROPEAN  UNION, 

Having  regard  to the Treaty establishing  the European 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  fall 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  ot  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 

the quota  for  1994 and  1995 will  be the same as that  for  the previous year 

increased by 20 000 hectolitres of pure alcohol; 

Whereas, the annual  quota  volume  for  the period  from  1 July  1993 to 

30 June  1994 has been  fixed at  224 827 hectolitres of pure alcohol; 

whereas  this volume  is to be  increased by  10 000 hectolitres of pure 

alcohol  for  the second  semester of  1994 and of  10 000 hectolitres of pure 

alcohol  for  the first  semester  of  1995; whereas  the annual  quota  volume for 

the period  1 July  1994 to 30 June  1995 has been  fixed at 244 827 

hectolitres of pure alcohol; 

0J No L 229, 17.8.1991, p.3. 

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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: 

Art icle 1 

From  1 July  1994  to  30  June  1995  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: 

-k-

Order  No  CN code 

Descr ipt ion 

Quota Volume 

Quota duty 

-  3 -

(in hi of pure 

a IcohoI 

09.1605  2208 40 10 

Rum, tafia and arrack 

244 827 

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. 

Art icle 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 

volume. 

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 authorities of  the Member  State concerned, of  the 

declarations of entry  for  free circulation, provided  the residual  balance 

so permi ts. 

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

to the quota  as soon as possible. 

5"-

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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. 

Art icle 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. 

Art icle 5 

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

this Regulation  is complied with. 

Art icle 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. 

Art icle 7 

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  1 July 1994. 

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

a I I Member States. 

Done at 

For  the Counc iI 

The President 

0J No L 358, 21.12.1990, p.4 

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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  (1994/1995) 

4.  Aim: 

To fulfil obligations  imposed by agreements  (Fourth Lomé 

Convention) 

5-  Method of calculation: 

CN codes; 2208 40 10, 2208 40 ©0,  2208 90 11 , 2208 90 19 

Volume of the <pota: 244 827 hi of pure alcohol 

(period 1*7.94-30.6.85} 

Duty  to fce applied: free 

Normal  CCT duty: - 1 ECU/hi/% vol  + 5 €CU/*I  << 2 J) 

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

6.  Loss of revenue: 

Estimate:  56 310 hi  in containers holding 2 litres or  less 

188 517 hi  in containers holding more than 2  litres 

The  loss stands at ECU 23 891 935.  For  the previous period  {1.7.1993 

to 30.6.1994) the  loss stood at ECU 22 754 224. 

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ISSN 0254-1475 

COM(94) 277 final 

DOCUMENTS 

EN 

1102 

Catalogue number : CB-CO-94-331-EN-C 

ISBN 92-77-71706-8 

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