Council Regulation (EC) No 1637/98 of 20 July 1998 amending Regulation (EEC) No 404/93 on the common organisation of the market in bananas
Date: 1998-07-20
Institutions: Council of the European Union
Subjects: ACP countries, common organisation of markets, import, tropical fruit

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Official Journal of the European Communities

28. 7. 98

COUNCIL REGULATION (EC) No 1637/98

of 20 July 1998

amending Regulation (EEC) No 404/93 on the common organisation of the
market in bananas

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European
Community, and in particular Article 43 thereof,

Having regard to the proposal from the Commission (1),

Having regard to the opinion of
liament (2),

the European Par-

Having regard to the opinion of the Economic and Social
Committee (3),

(1) Whereas a number of changes are required in the
provisions on trade with third countries contained in
Title IV of Regulation (EEC) No 404/93 (4);

(2) Whereas the Community’s international commit-
ments under the World Trade Organisation (WTO)
and to the other signatories of the Fourth ACP-EC
Convention should be met, whilst achieving at the
same time the purposes of the common organisation
of the market in bananas;

(3) Whereas a basic tariff quota of 2 200 000 tonnes at
the reduced duty of ECU 75 per tonne is bound in
the WTO;

(4) Whereas the increase in consumption resulting from
enlargement of the Community warrants opening of
an autonomous
tariff quota of 353 000 tonnes;
whereas this autonomous tariff quota should involve
reduction to ECU 75 per tonne of the customs duty
applicable beyond the above bound tariff quota;
whereas this reduction is warranted by the need to
guarantee adequate supply of the Community;

(5) Whereas for traditional ACP bananas retention of the
total quantity of 857 700 tonnes
that may be
imported at nil duty preserves access to the Com-
munity market for the supplier States of the tradi-
tional quantities, in line with Protocol 5 annexed to
the Fourth ACP-EC Convention and with WTO
rules;

particularly Article

(6) Whereas in view of the obligations under the Fourth
168
ACP-EC Convention,
thereof, and of the need to guarantee proper condi-
tions
competition for non-traditional ACP
bananas, application to imports of these bananas of
an ECU 200 preference will allow the trade flows in
question to be maintained under the new import
arrangements introduced by this Regulation;

of

(7) Whereas for the purpose of subdividing the tariff
quotas and, if the situation arises, the traditional ACP
quantity, a single criterion should be used for deter-
mining those producer States with a substantial inter-
est in the supply of bananas; whereas should there be
no reasonable possibility of reaching agreement with
a
the Commission,
those
committee of representatives of the Member States,
must have the authority to carry out allocation using
that criterion;

assisted by

States,

(8) Whereas provision should be made for the autonom-
ous tariff quota to be modified to take account of any
increased Community demand found when a supply
balance is drawn up; whereas provision should also
be made for suitable specific action to be taken in
response to exceptional circumstances liable to affect
supply of the Community market;

(9) Whereas operation of this Regulation should be re-
viewed at the end of an adequate trial period;

(10) Whereas appropriate amendments should therefore
be made to Title IV of Regulation (EEC) No 404/93,

HAS ADOPTED THIS REGULATION:

Article 1

Council Regulation (EEC) No 404/93 is amended as
follows:

1. Articles 16 to 20 of Title IV shall be replaced by the

following:

‘Article 16

(1) OJ C 75, 11. 3. 1998, p. 6.
(2) OJ C 210, 6. 7. 1998.
(3) OJ C 235, 27. 7. 1998.
(4) OJ L 47, 25. 2. 1993, p. 1. Regulation as last amended by Re-
gulation (EEC) No 3290/94 (OJ L 349, 31. 12. 1994, p. 105).

Articles 16 to 20 of this Title shall apply only to fresh
products of CN code ex 0803 00 19.

For the purposes of this Title:

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1. “traditional

imports

from ACP States” means
imports into the Community of bananas originating
in the States listed in the Annex hereto up to a
limit of 857 700 tonnes (net weight) per year; these
are termed “traditional ACP bananas”;

2. “non-traditional imports from ACP States” means
imports into the Community of bananas originating
in ACP States but not covered by definition 1; these
are termed “non-traditional ACP bananas”;

3. “imports

from non-ACP third States” means
bananas imported into the Community originating
in third States other than the ACP States; these are
termed “third State bananas”.

Article 17

All importation of bananas into the Community shall
be subject to submission of an import licence issued by
Member States to any interested party irrespective of
his place of establishment in the Community without
prejudice to specific provisions adopted for the ap-
plication of Articles 18 and 19.

Import licences shall be valid throughout the Com-
munity. Except where derogations are adopted under
the procedure laid down in Article 27, the issue of
such licences shall be subject to lodging of a security
against a commitment to import on the terms of this
Regulation during the period of the licence’s validity.
Except in cases of force majeure the security shall be
wholly or partly forfeit if the operation is not or is only
partly carried out within the time allowed.

Article 18

1.
A tariff quota of 2 200 000 tonnes (net weight)
shall be opened each year for imports of third State
and non-traditional ACP bananas.

Imports of third State bananas under the tariff quota
shall be subject to duty of ECU 75 per tonne, while
imports of non-traditional ACP bananas shall be free
of duty.

3. No duty shall be payable on imports of tradi-
tional ACP bananas.

Should there be no reasonable possibility of se-
4.
curing agreement of all WTO contracting parties with
interest in the supply of bananas, the
a substantial
Commission may under
in
Article 27 allocate the tariff quotas provided for in
paragraphs 1 and 2 and the traditional ACP quantity
between those States with a substantial interest in the
supply.

the procedure set out

By way of derogation from Article 15 non-tradi-
5.
tional ACP bananas imported outside the tariff quotas
indicated in paragraphs 1 and 2 shall be subject to duty
per tonne equal to the duty indicated in Article 15 less
ECU 200.

set

The duty rates

6.
in this Article shall be
converted into national currency at the rates applicable
for the products in question for the purposes of the
common customs tariff.

7.
The additional tariff quota provided for in para-
graph 2 may be increased if demand in the Commun-
ity increases as indicated by a balance sheet of produc-
tion, consumption, imports and exports.

Determination of the elements of the balance sheet, its
adoption and increase of the additional tariff quota
shall be effected under
in
Article 27.

the procedure set out

Should supply of

8.
the Community market be
affected by exceptional circumstances affecting produc-
tion or importation, the Commission shall adopt the
specific measures necessary under the procedure set
out in Article 27.

In such cases the additional tariff quota provided for in
paragraph 2 may be adjusted on the basis of
the
balance sheet indicated in paragraph 7. The specific
measures may derogate from the rules adopted under
Article 19(1). They must not discriminate between
supply origins.

9.
Third State, traditional ACP and non-traditional
ACP bananas re-exported from the Community shall
not be counted against the corresponding tariff quotas.

An additional tariff quota of 353 000 tonnes (net
2.
weight) shall be opened each year for imports of third
State and of non-traditional ACP bananas.

Article 19

Imports of third State bananas under this tariff quota
shall be subject to duty of ECU 75 per tonne while
imports of non-traditional ACP bananas shall be free
of duty.

1.
The tariff quotas indicated in Article 18(1) and (2)
shall be
and imports of
managed in accordance with the method based on
taking account of traditional trade flows (“traditionals/
newcomers”).

traditional ACP bananas

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The Commission shall adopt the implementing ar-
rangements required under the procedures set out in
Article 27.

(e) measures needed to ensure respect for obligations
stemming from agreements concluded by the
Community under Article 228 of the Treaty.’;

Where necessary, other
adopted.

suitable methods may be

2. Article 32 shall be replaced by:

‘Article 32

2.
The method adopted shall as appropriate take
account of the supply requirements of the Community
market and of the need to safeguard its equilibrium.

Article 20

The Commission shall adopt provisions to apply this
Title under the procedure set out in Article 27. Their
scope shall include:

(a) guarantee of the nature, provenance and origin of

the product;

(b) recognition of the document serving to verify these

1.
At the latest by 31 December 2004, the Commis-
sion shall submit to the European Parliament and the
Council a report, accompanied if appropriate by
proposals, on the operation of this Regulation and of
possible alternatives, in particular as regards the import
arrangements.

The report shall in particular analyse the market-
2.
ing trends
for Community, ACP and third State
bananas and assess how the import arrangements have
worked. In this context, special attention shall be paid
to which the most vulnerable ACP
to the extent
suppliers have been able to maintain their position on
the Community market.’;

3. Article 15a shall be deleted;

guarantees;

4. the Annex shall be replaced by the Annex hereto.

(c)

terms of issue and period of validity of import
licences;

(d) any specific provisions needed to facilitate the
switch from the import arrangements applying on
and after 1 July 1993 to the present arrangements
of this Title;

Article 2

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

It shall apply from 1 January 1999.

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

Done at Brussels, 20 July 1998.

For the Council

The President

W. MOLTERER

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ANNEX

‘ANNEX

Traditional imports from the ACP States

Imports originating in the following supplying States, up to a limit of 857 700 tonnes (net weight)
annually:

C(cid:147)te d’Ivoire

Cameroon

Suriname

Somalia

Jamaica

St Lucia

St Vincent and the Grenadines

Dominica

Belize

Cape Verde

Grenada

Madagascar’.