WRITTEN QUESTION No. 437/98 by Mark WATTS to the Commission. Duty-free concessions
Date: 1998-02-16
Institutions: European Parliament, WATTS
Subjects: VAT, airport, application of the law, duty-free sale, excise duty, ferryboat

C 304/104

EN

Official Journal of the European Communities

2. 10. 98

(98/C 304/155)

WRITTEN QUESTION E-0435/98

by Leonie van Bladel (UPE) to the Commission

(24 February 1998)

Subject: Supporting European security policy by rebuilding the Yugoslav economy

Does  the  Commission  agree  that  preserving  peace  and  stability  in  the  Balkans  is  in  the  security  interests  of
Europe, that the Federal Republic of Yugoslavia has a role, of one kind or another, to play in this process, and that
›  even  though  the  country  is  not  democratically  governed  ›  the  leadership  of  the  Federal  Republic  of
Yugoslavia cannot fulfil this role unless it has adequate support from its own people?

Does not the Commission think that the international community(cid:146)s prolonging of the financial and economic
isolation which has been imposed on Yugoslavia for some time now, combined with the country(cid:146)s inadequate
domestic economic policy, amounts to a policy of impoverishment, for which most people in the country blame
the international community, and that there is therefore a lack of broadly based support for the policy which
Europe  wishes  to  pursue,  and  that  the  authorities,  for  internal  political  reasons,  have  only  limited  room  to
manoeuvre?

In the light of the above, is the Commission prepared to urge authorities such as the World Bank and the IMF to
provide  the  Federal  Republic  of  Yugoslavia  with  the  necessary  investment  capital  and,  where  needed,  the
know-how to invest this capital rationally, or, if these institutions are unwilling or unable to help, to promote the
recovery of the Yugoslav economy by other means, so that the people will begin to trust the objectives of the
international community and perhaps subsequently also come to trust political views based on the European way
of thinking?

Answer given by Mr Van den Broek on behalf of the Commission

(24 March 1998)

The ongoing crisis in Kosovo, and the fear of regional spillover, clearly demonstrate the important role to be
played by the Federal Republic of Yugoslavia(FRY) regarding the stability of the Balkans. Unfortunately, it also
demonstrates the unwillingness of the authorities in Belgrade to assume their responsibilities in this regard.

The  deteriorating  state  of  the  Serbian  economy  cannot  be  blamed  on  the  international  community  or  on
(cid:145)continuing effects(cid:146) of previous sanctions but is, rather, the result of the failure of the authorities in Belgrade to
implement the necessary economic reform measures and to comply with the relevant political and economic
conditions  which  are  attached  to  financial  support  from  either  the  international  financial  institutions  or  the
Community. It also demonstrates that the FRY leadership hardly feels the need of support from its own people.

The  Commission  remains  ready  to  propose  the  reinstatement  of  the  autonomous  trade  preferences,  or  the
inclusion of FRY in the PHARE programme as soon as the relevant political and economic conditions are met.
These conditions, which also apply to the other countries covered by the regional approach, include respect for
the fundamental principles of democracy and human rights, internationally recognised standards which are not
negotiable. Compliance with these conditions is, moreover, in the interests of the Serb population, whose needs
are not currently being given due regard by their political leadership.

(98/C 304/156)

WRITTEN QUESTION P-0437/98

by Mark Watts (PSE) to the Commission

(16 February 1998)

Subject: Duty-free concessions

As the Commission has stated many times that tax-free and duty-free sales within the EU will be abolished as
planned in mid-1999, would it confirm the date by which it will present the draft directive required to establish
the alternative VAT and excise duty schemes which will need to be implemented in all Member States to ensure
that  the  various  ferry  and  airline  routes  serving  non-EU  destinations  will  be  able  to  operate  smoothly  after
abolition?