WRITTEN QUESTION No. 410/99 by Honório NOVO Counter- concessions granted under the future trade agreement with South Africa
Date: 1999-03-01
Institutions: European Parliament, NOVO
Subjects: EU aid, South Africa, designation of origin, export, marketing, negotiation of an agreement (EU), tariff quota, trade agreement (EU), wine

C 348/64

Official Journal of the European Communities

EN

3.12.1999

Can the Commission confirm whether the draft agreement between the EU and South Africa provides for
1.
a ban on the export of South African wines designated as ‘Port’ and/or ‘Porto’ and/or ‘Port Wine’ only at the end
of a five-year period?

2.

Can the Commission confirm whether this ban will include any of the above three designations of origin?

(1999/C 348/080)

WRITTEN QUESTION E-0410/99

by Honório Novo (GUE/NGL) to the Commission

(1 March 1999)

Subject: Counter-concessions granted under the future trade agreement with South Africa

Information from various sources indicates that a draft agreement has been drawn up between the South
African Trade Minister and Commissioner DeusPinheiro regulating future trade relations between the EU and
South Africa.

Under the draft agreement, it appears that South Africa will be able to continue producing wine designated
‘Port’ and/or ‘Porto’ and/or ‘Port Wine’ for the internal market for a period of 12 years, after which the matter
will be analysed again, that is without any binding provision being made from the outset for a ban on the
production of wine with those designations of origin at the end of the 12 years.

It also appears that South Africa will be banned from using the designations of origin ‘Port’ and/or ‘Porto’
and/or ‘Port Wine’ for wines destined for export to third countries after a five-year transitional period.

On the other hand, Agence Europe of 4 February reports that, as a counter-concession, South Africa will
benefit from preferential tariffs for other types of wine which it exports to the European market, including
access to zero duty for some of them.

In this context, can the Commission confirm that the terms of the draft agreement provide for this type
1.
of counter-concession for South Africa? If so, does the Commission not believe that excessive counter-
concessions are being granted in exchange for respecting products with a European designation of origin,
respect which should be guaranteed immediately in any case?

Can the Commission forward a list of the South African wines for which zero customs duty for access to

2.
the Community market has already been offered?

Joint answer
to Written Questions E-0408/99, E-0409/99 and E-0410/99
given by Mr Pinheiro on behalf of the Commission

(30 April 1999)

On 24 March 1999 the European Council in Berlin approved the trade, development and co-operation
agreement between the Community and South Africa.

As regards the issue of port and sherry the finally accepted compromise formula reads as follows:

1.

2.

3.

4.

South Africa reconfirms that the names ‘port’ and ‘sherry’ are not and will not be used for its exports to the
EU.

South Africa will phase out the use of the ‘port’ and ‘sherry’ names on all export markets within 5 years,
except in the case of non-SACU SADC countries, where an 8 years phase out period would apply.

For the purpose of the Wines and Spirits Agreement, the South African domestic market is defined to
cover SACU (South Africa, Botswana, Lesotho, Namibia and Swaziland).

South African products may be marketed as ‘port’ and ‘sherry’ on the South African domestic market
during a 12 year transitional period. Beyond that period the new denominations of these products which
shall be used on the South African domestic market will be jointly agreed between South Africa and the
EU.