Proposal for a Council Regulation (EC) laying down certain rules for the application of the special arrangements for imports of olive oil originating in Algeria
Date: 1996-06-24
Institutions: European Commission
Subjects: Algeria, customs duties, import levy, import policy, olive oil

COMMISSION OF THE EUROPEAN  COMMUNITIES 

Brussels, 24.06.1997 
COM(97)  329  final 

97/0183  (ACC) 

Proposal  for  a 

COUNCIL REGULATION  (EC) 

laying down certain rules for the application of the special arrangements for imports of 
olive oil originating in Algeria 

(presented by the  Commission) 

EXPLANATORY  MEMORANDUM 

1.  Article  16 of  the Cooperation  Agreement  between  the  European  Community  and  the 
People's  Democratic  Republic  of  Algeria  grants  certain  reductions  in  the  levy  on 
imports  into  the  Community  of  olive  oil  other  than  that  which  has  undergone  a 
refining  process. Those reductions consist of a flat-rate deduction of ECU  0.7245/100 
kg and a deduction of ECU  14.60/100 kg provided that Algeria levies an export charge 
of an equal amount. 

2.  Annex B to that Agreement stipulates that the amount to be deducted from  the amount 
of the  levy may be increased  by an additional  amount  under the same conditions and 
arrangements as laid down in Article 16. 

3.  Article  17  of  the  Agreement  provides  for  exemption  from  payment  of  the  fixed 
component of the levy on imports into the Community  of olive oil having undergone a 
refining  process, wholly  obtained  in  Algeria  and  transported  direct  from  that  country 
to the Community. 

4.  As part  of the  Uruguay  Round  of  multilateral  trade  negotiations, the Community  has 
undertaken  to  calculate  tariff  equivalents  for  the  variable  levies  and  replace  them  by 
fixed customs duties. 

5.  This  could  have  prevented  application  of  the  concessions  under  the  current 
arrangements.  Pending the introduction  of new rules by the Council, the  Commission 
adopted  transitional  rules  (Regulation  (EC)  No  2146/95,  as  last  amended  by 
Regulation (EC) No 2388/96), providing for deductions from  the customs duties. That 
transitional arrangement expires on 30 June  1997. 

In order to meet the Community's commitments,  it is therefore  necessary  to introduce 
a new Council  Regulation to implement the concessions in their updated  form. 

6.  In  addition,  for  the  sake  of  administrative  simplification,  the  Commission  proposes 
that  the  Council  should  grant  it  authority  to  make  amendments  required  to  adapt  to 
any  future  changes  made  to  the  agreements  by  the  Council  under  the  Management 
Committee procedure. 

2 

Council  Regulation  (EC) No  ..../97 

of.... 

laying down certain rules for the  application 

of the special arrangements  for  imports of olive oil 

originating  in Algeria 

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  Articles  16 and  17 of,  and  Annex  B to, the  Cooperation  Agreement  between  the 
European Economic Community  and the People's  Democratic  Republic of Algeria1  provide 
for  special  arrangements  for  imports  of  olive  oil  falling  within  CN codes  1509  and  1510, 
wholly  obtained  in Algeria and transported  direct from  that country to the  Community; 

Whereas, for  olive oil  falling  within  CN codes  1509  10  10,  1509  10 90 and  1510  00  10, the 
special  arrangements  provide  for  a  flat-rate  deduction  of  ECU  0.7245  per  100  kilograms 
from  the  applicable  levy,  representing  the  reduction  provided  for  in  Article  16(1 )(a)  of  the 
Agreement;  whereas,  provided  that  Algeria  levies  an  export  charge,  those  arrangements 
provide  for  a  further  reduction  of  that  levy  corresponding  to  the  amount  of  the  special 
charge,  but  not  exceeding  ECU  14.60  per  100 kilograms,  representing  the  reduction 
provided  for  in  Article  16(l)(b)  of  the  Agreement  and  a  deduction  of  ECU  14.60  per  100 
kilograms, representing  the additional  amount  provided  for  in Annex  B to the  Agreement; 

1  OJ No 1.263, 27.9.1978, p. 2. 

Whereas  the  Agreement  on  Agriculture  concluded  during  the  Uruguay  Round  of 
multilateral  trade  negotiations2  provides  that  the  variable  levies  applied  to  imports  of 
agricultural products are to be replaced by fixed customs duties from  1  July 1995; 

Whereas continuation  of the arrangements  makes it necessary  to adopt new  implementing 
rules and repeal Council Regulation (EEC) No 1514/763; 

Whereas, in accordance  with the Agreement, the special export charge should  be  reflected 
in the price of the olive oil  upon  importation  into the Community; whereas, to ensure the 
correct  application  of  the  arrangements  in  question,  the  necessary  measures  should  be 
adopted to ensure that the charge is paid at the latest when the oil is imported; 

Whereas,  if  the  present  conditions  of  the  special  arrangements  provided  for  in  the 
Cooperation  Agreement  are  amended,  in  particular  as  regards  the  amounts,  or  if  a  new 
agreement  is concluded,  it will  be necessary  to adjust  this Regulation  to incorporate those 
changes;  whereas  provision  should  be  made  for  those  adjustments  to  be  adopted  by  the 
Commission  in  accordance  with  the  procedure  laid  down  in  Article  38  of  Council 
Regulation  No  136766/EEC  of  22  September  1966  on  the  establishment  of  a  common 
organisation  of  the  market  in  oils  and  fats4,  as  last  amended  by  Regulation  (EC)  No 
1581/965; 

Whereas,  by  Regulation  (EC)  No  2146/95,6  the  Commission  introduced  an  autonomous 
system as a transitional  measure expiring on 30 June  1997; whereas this Regulation should 
therefore apply from  1  July  1997, 

HAS ADOPTED THIS REGULATION: 

Article 1 

This Regulation  lays down certain rules for the application of the special  arrangements  for 
imports of olive oil originating in Algeria. 

Article 2 

1. 

The  rate  of  customs  duty  applicable  to  imports  into  the  Community  of  olive  oil 
other  than  that  which  has  undergone  a  refining  process,  falling  within  CN  codes 

2  O.I No  I. 336, 23.12.1994,  p.  I. 

•*  O J N oL  169, 28.6.1976,  p. 24. 

4  OJ  No  172,  30.9.1966,  p. 3025. 

5  OJ  N o t,  206,  16.8.1996,  p.  II. 

('  (XI N o L 2 l 5,  9.9.1995,  p.  I. 

1509  10 10, 1509  10 90 and  1510 00  10, wholly obtained  in Algeria and  transported 
direct  from  that  country  to  the  Community,  shall  be  reduced  by  ECU  0.7245  per 
100 kilograms. 

Where  Algeria  levies  a  special  export  charge  on  that  olive  oil,  wholly  obtained  in 
Algeria  and  transported  direct  from  that  country  to  the  Community,  the  rate  of 
customs  duty  shall  be  further  reduced  by  an  amount  equal  to  the  special  charge  but 
not exceeding  ECU  14.60 per  100 kilograms. 

The  reduction  in  the  rate  of  customs  duty  provided  for  in  paragraph  2  shall  be 
applied  to  all  imports  for  which  the  importer  provides  proof,  when  importing  the 
olive oil, that the special  export charge  is reflected  in the import  price. 

Article 3 

The rate of customs duty  applicable to imports  into the Community  of olive oil 
having undergone  a refining  process falling  within CN code  1509 90 00. wholly 
obtained  in Algeria and transported  direct from  that country  to the  Community, 
shall be reduced by  ECU 4.661  per  100 kilograms. 

The rate of customs duty applicable to imports into the Community  of olive oil 
having  undergone a refining  process  falling  within  CN code  1510 00 90, wholly 
obtained  in Algeria and transported  direct from  that country  to the  Community, 
shall be reduced  by  ECU  8.754 per  100 kilograms. 

2. 

3. 

1. 

2. 

Article 4 

Detailed  rules  for  the application  of this Regulation  shall be adopted  by the  Commission  in 
accordance  with  the  procedure  laid  down  in  Article  38  of  Council  Regulation  No 
136/66/EEC. 

Article 5 

Where  the  present  conditions  of  the  special  arrangements  provided  for  in  the  Cooperation 
Agreement  are amended,  in particular  as regards the amounts, or where  a new  agreement  is 
concluded,  the  Commission  shall  adopt  the  resultant  adjustments  necessary  for  this 
Regulation  in accordance  with the procedure  laid down  in Article  38 of Council  Regulation 
No  136/66/EEC. 

Article 6 

Council  Regulation  (EEC) No  1514/76 is hereby  repealed. 

Article 7 

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

It shall  apply  from  1  July  1997. 

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

Done at Brussels, 

For the Council 

The President 

FINANCIAL  STATEMENT 

BUDGET HEADING:  Article  120 (customs duties and other duties) 

DATE 
APPROPRIATIONS:  ECU  13 559.10m 

TITLE:  Proposal  for  a Council  Regulation laying down certain  rules for  the application  of the special  arrangements  for 
imports of olive oil originating  in Algeria 

LEGAL BASIS:  Article  113 of the Treaty 

AIMS OF MEASURE: 
Definitive  introduction  of the concessions granted  in their updated  form. 

FINANCIAL  IMPLICATIONS  (in ECU  million) 

PERIOD OF 12 
MONTHS 

CURRENT 
FINANCIAL 
YEAR  (96) 

FOLLOWING 
FINANCIAL 
YEAR  (97) 

5.0. 

5.1. 

EXPENDITURE  CHARGED TO: 
- EC  BUDGET 

(REFUNDS/INTERVENTION) 

-  NATIONAL BUDGETS 
- OTHER  SECTORS 

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

5.0.1. 
5.1.1. 
5.2. 

ESTIMATED  EXPENDITURE 
ESTIMATED REVENUE 
METHOD  OF  CALCULATION: 

1998 

1999 

2000 

2001 

6.0. 

6.1. 

CAN  THE  PROJECT  BE FINANCED  FROM  APPROPRIATIONS  ENTERED  IN THE  RELEVANT 
CHAPTER  OF THE CURRENT  BUDGET? 
CAN THE  PROJECT  BE FINANCED  BY TRANSFER  BETWEEN  CHAPTERS OF THE  CURRENT 
BUDGET? 
IS A SUPPLEMENTARY  BUDGET  NECESSARY? 
WILL  FUTURE  BUDGET  APPROPRIATIONS  BE NECESSARY? 

YES/NO 

NO 

6.2. 
6.3. 
OBSERVATIONS: 

This measure brings  into force  on a definitive  basis the transitional  arrangements  introduced by the Commission  under  Regulation 
No 2146/95,  as last amended  by  Regulation  No 2388/96. There are no additional  financial  implications. 

> 

ISSN 0254-1475 

COM(97) 329 final 

DOCUMENTS 

EN 

03  11  02 

Catalogue  number  :  CB-CO-97-320-EN-C 

ISBN 92-78-21773-5 

Office  for Official  Publications of the European  Communities 

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