98/478/EC: Commission Decision of 29 July 1998 terminating the anti-subsidy proceeding concerning imports of cochineal carmine originating in Peru (notified under document number C(1998) 2410)
Date: 1998-07-29
Institutions: European Commission
Subjects: Peru, complaint to the Commission, dyestuff, export subsidy, import, originating product

31. 7. 98

EN

Official Journal of the European Communities

L 214/61

II

(Acts whose publication is not obligatory)

COMMISSION

COMMISSION DECISION

of 29 July 1998

terminating the anti-subsidy proceeding concerning imports of cochineal
carmine originating in Peru

(notified under document number C(1998) 2410)

(98/478/EC)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European
Community,

Having regard to Council Regulation (EC) No 2026/97 of
6 October 1997 on protection against subsidised imports
from countries
the European
Community (1), and in particular Article 14(1) thereof,

not members

of

After consulting the Advisory Committee,

Whereas:

(1)

(2)

I. PROCEDURE

In September 1997, the Commission received a
complaint concerning alleged injurious subsidisa-
tion of imports of cochineal carmine originating in
Peru.

The complaint was
lodged by Xantoflor SA
(Monteagudo, Spain) which represents more than
25 % of Community production of the product
concerned, and was supported by Alchim SA and
Sofral SA (Illkirch, France). Together these produ-
cers represent a major proportion of Community
production of cochineal carmine as defined in
Article 10(8) of Council Regulation (EC) No 2026/
97 as none of the other producers expressed its
opinion on the complaint.

(3)

The complaint contained prima facie evidence of
the existence of countervailable subsidies on coch-
ineal carmine and material injury resulting there-

(4)

(5)

(6)

from which was considered sufficient to justify the
initiation of a proceeding.

the European Communities (2)

Accordingly, the Commission, after consultation,
announced in a notice published in the Official
Journal of
the
initiation of an anti-subsidy proceeding concerning
imports into the Community of cochineal carmine
falling within CN code ex 3205 00 00 originating
in Peru.

The Commission officially advised the exporters
and importers known to be concerned, the repres-
entatives of the exporting country and the com-
plainant Community producers. Interested parties
were given the opportunity to make their views
known in writing and to request a hearing within
the time limit set out in the notice of initiation.

II. WITHDRAWAL OF THE COMPLAINT AND

TERMINATION OF THE PROCEEDING

the

that

three producers

Of
supported the
complaint, only Xantoflor SA and Alchim SA
supplied the Commission with a comprehensive
reply to its questionnaire and thus cooperated with
the investigation. These producers account
for
more than 25 % of total Community production of
the product concerned. As no Community produ-
investigation these
cers opposed the present

(1) OJ L 288, 21. 10. 1997, p. 1.

(2) OJ C 335, 6. 11. 1997, p. 5.

L 214/62

EN

Official Journal of the European Communities

31. 7. 98

(7)

(8)

(9)

companies’ output thus constitutes a major propor-
tion of the Community production, as defined in
Article 10(8) of Council Regulation (EC) No 2026/
97.

it

that

In the course of the investigation Xantoflor SA
informed the Commission, by letter of 11 June
1998,
formally withdrew its complaint
concerning imports of cochineal carmine origin-
ating in Peru as it had become apparent
that
circumstances had changed to the extent that the
Community industry and in particular Xantoflor
may not have been suffering material injury.

As Xantoflor SA and Alchim SA together constitute
the Community industry and the output of Alchim
SA represents but a small proportion of the total
Community production of cochineal carmine, the
complaint would not have the support of a major
proportion of the Community producers, even if
Alchim SA continued to support it.

In accordance with Article 14 of Council Regula-
tion (EC) No 2026/97, when the complainant with-
draws its complaint the proceeding may be ter-
minated unless such termination would not be in
the Community interest. The present investigation
has not brought
to light any considerations of
Community interest which would be against the
termination of the proceedings.

(10)

(11)

(12)

Interested parties were informed of the facts and
considerations on the basis of which the Commis-
sion intended to terminate the proceeding, were
given the opportunity to comment and did not
raise any objection.

The Advisory Committee has been consulted and
has raised no objection.

In these circumstances, the anti-subsidy proceeding
concerning imports of cochineal carmine origin-
ating in Peru should be terminated without imposi-
tion of protective measures,

HAS DECIDED AS FOLLOWS:

Sole Article

The anti-subsidy proceeding concerning imports of
cochineal carmine originating in Peru is hereby termin-
ated.

Done at Brussels, 29 July 1998.

For the Commission

Leon BRITTAN

Vice-President