Proposal for a Council Regulation on the conclusion of Agreements in the form of exchanges of letters between the European Community and the Republic of Bulgaria, the Republic of Hungary and Romania on reciprocal preferential trade concessions for certain wines and spirits, and amending Regulation (EC) No 933/95 opening and providing for the administration of Community tariff quotas for certain wines
Date: 2000-12-01
Institutions: European Commission
Subjects: Central and Eastern Europe, agreement (EU), tariff preference, tariff quota, wine

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 01.12.2000
COM(2000) 794 final

2000/0319 (ACC)

Proposal for a

COUNCIL REGULATION

on the conclusion of Agreements in the form of Exchanges of Letters between the
European Community and the Republic of Bulgaria, the Republic of Hungary and
Romania on reciprocal preferential trade concessions for certain wines and spirits,
and amending Regulation (EC) No 933/95 opening and providing for
the administration of Community tariff quotas for certain wines

(presented by the Commission)

1.

2.

3

4

5.

EXPLANATORY MEMORANDUM

In 1993, the European Community concluded agreements with Bulgaria, Hungary
and Romania on the reciprocal establishment of tariff quotas for certain wines. These
agreements were to run initially until 31 December 1997 (Bulgaria and Romania)
and 31 December 1998 (Hungary). They have all since been extended until
31 December 2000. In 1993 the European Community also concluded agreements
with these same three associated countries on the reciprocal protection and control of
wine names, this time of unlimited duration.

The Council has authorised the Commission to start negotiations with the three
countries with a view to concluding new agreements to replace the existing ones, in
the form of additional Protocols to the Europe Agreements, with a scope extended to
include spirits.

In accordance with the directives adopted by the Council the Commission and the
three associated countries concerned reached agreements regarding the new
preferential trade regimes and the reciprocal protection and control of wine names
and spirit designations.

As not to interrupt the reciprocal preferential trade regime and to implement from
1 January 2001 the results of the negotiations on new bilateral trade concessions
pending the procedure for the adoption and the entering into force of the additional
the Commission and the three associated
Protocols to the Europe Agreements,
countries concerned have also agreed on agreements taking the form of three
Exchanges of Letters. The bilateral tariff concessions provided for by these three
agreements are identical to those of the envisaged additional Protocols to the Europe
Agreements.The three draft Exchanges of Letters are attached to this proposal
(Annex 2, Annex 3 and Annex 4).

The purpose of this proposal is to ask the Council to adopt the three Agreements in
the form of Exchange of Letters with the Republic of Bulgaria, the Republic of
Hungary and Romania and the measures needed to implement them, including the
amendment of Council Regulation (EC) No 933/95.

2

2000/0319 (ACC)

Proposal for a

COUNCIL REGULATION

on the conclusion of Agreements in the form of Exchanges of Letters between the
European Community and the Republic of Bulgaria, the Republic of Hungary and
Romania on reciprocal preferential trade concessions for certain wines and spirits,
and amending Regulation (EC) No 933/95 opening and providing for
the administration of Community tariff quotas for certain wines

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular
Article 133 in conjunction with the first sentence of Article 300(2) thereof,

Having regard to the proposal from the Commission,

Whereas:

(1)

(2)

(3)

(4)

(5)

1

2

3

4

5

6

An Agreement
in the form of an Exchange of Letters between the European
Community and the Republic of Bulgaria on the reciprocal establishment of tariff
quotas for certain wines1 was signed on 29 November 1993 and extended by an
Agreement in the form of an Exchange of Letters2 signed on 8 February 2000.

An Agreement
in the form of an Exchange of Letters between the European
Community and the Republic of Hungary on the reciprocal establishment of tariff
quotas for certain wines3 was signed on 29 November 1993 and extended by an
Agreement in the form of an Exchange of Letters4 signed on 3 February 2000.

in the form of an Exchange of Letters between the European
An Agreement
Community and Romania on the reciprocal establishment of tariff quotas for certain
wines5 was signed on 26 November 1993 and extended by an Agreement in the form
of an Exchange of Letters6 signed on 11 February 2000.

These three Agreements are due to expire on 31 December 2000.

In accordance with the directives adopted by the Council, the Commission and the
three associated countries concerned concluded negotiations on new reciprocal trade
concessions for certain wines and for certain spirits and on the reciprocal protection
and control of wine names and spirit designations. These results of the negotiatons will

OJ L 337, 31.12.1993, p. 3.
OJ L 49, 22.2.2000, p. 7.
OJ L 337, 31.12.1993, p. 83.
OJ L 49, 22.2.2000, p. 11.
OJ L 337, 31.12.1993, p. 173.
OJ L 49, 22.2.2000, p. 15.

3

(6)

(7)

(8)

have to be integrated in the framework of the three Europe Agreements in the form of
additionnal Protocols.

Pending the procedure for the adoption and the entering into force of the said
additional Protocols to the Europe Agreements and in order to implement from 1
January 2001 the results of the negotiations on new bilateral trade concessions for
certain wines and spirits, Agreements in the form of Exchanges of Letters between the
European Community and the three associated countries concerned on reciprocal
preferential trade concessions for certain wines and spirits should be adopted. The
bilateral tariff concessions provided for by these three Agreements in the form of
Exchanges of Letters should be identical to those of the envisaged additional Protocols
to the Europe Agreements. These Agreements in the form of Exchanges of Letters
shoud expire on the entry into force of the said additional Protocols to the Europe
Agreement.

Council Regulation (EC) No 933/95 of 10 April 1995 opening and providing for the
administration of Community tariff quotas for certain wines originating in Bulgaria,
Hungary and Romania7 should be amended in accordance with the said transitional
Agreements in the form of Exchanges of Letters.

In order to facilitate the implementation of certain provisions of the Agreements, the
Commission should be authorised to adopt
their
implementation in accordance with the procedure laid down in Article 75 of Council
Regulation (EC) No 1493/1999 of 17 May 1999 on the common organisation of the
market in wine8,

the necessary legislation for

HAS ADOPTED THIS REGULATION:

Article 1

The Agreement in the form of an Exchange of Letters between the European Community and
the Republic of Bulgaria on reciprocal preferential trade concessions for certain wines and
spirits is hereby approved on behalf of the Community.

The text of the Agreement is attached to this Regulation (Annex 2).

Article 2

The Agreement in the form of an Exchange of between the European Community and the
Republic of Hungary on reciprocal preferential trade concessions for certain wines and spirits
is hereby approved on behalf of the Community.

The text of the Agreement is attached to this Regulation (Annex 3).

7

8

OJ L 96, 28.4.1995, p. 1. Regulation last amended by Regulation (EC) No 388/2000 (OJ L 49,
22.2.2000, p. 4).
OJ L 179, 14.7.1999, p. 1.

4

Article 3

The Agreement in the form of an Exchange of Letters between the European Community and
Romania on reciprocal preferential trade concessions for certain wines and spirits is hereby
approved on behalf of the Community.

The text of the Agreement is attached to this Regulation (Annex 4).

The President of the Council is hereby authorised to designate the person empowered to sign
the Agreement in order to bind the Community.

Article 4

Article 5

The Commission is hereby authorised to adopt the necessary acts for implementation of the
Agreements, in accordance with the procedure laid down in Article 75 of Regulation (EC)
No 1493/1999.

Article 1 of Regulation (EC) No 933/95 is replaced by the following:

Article 6

'Article 1

1.

From 1 January 2001, and without prejudice to paragraph 2, the customs duties
applicable on importation of the following products originating in Bulgaria, Hungary
and Romania shall be suspended at levels and within the limits of tariff quotas as
indicated with respect to each product:

(a) Wines originating in Bulgaria:

Order No

CN code
(1)

Description
(2)

Annual volume
(hl)

Tariff quota
duty

09.7001

ex 2204 10

Quality sparkling wine, in containers holding
not more than 2 litres

09.7003

ex 2204 21 Wine of fresh grapes,

09.7005

ex 2204 29 Wine of fresh grapes

1 800

485 000

195 000

free

free

free

(1)
(2)

See attached Taric codes.
Notwithstanding the rules for interpreting the combined nomenclature, the wording for the description
of the products is to be considered as indicative only, the preferential scheme being determined, within
the context of Article 1(1), by the coverage of the CN codes. Where ex CN codes are indicated, the
preferential scheme is to be determined by application to the CN code and corresponding description
taken together.

5

(b) Wines originating in Hungary:

Order No

CN code
(1)

Description
(2)

09.7010

ex 2204 10

ex 2204 21

Quality sparkling wine, in containers
holding not more than 2 litres
Wine of fresh grapes

Annual quantity
from 1.1.2001
hectolitres

Yearly increase
from 1.1.2002
hectolitres

Applicable
duty

300 000

15 000

free

09.7007

ex 2204 29 Wine of fresh grapes

115 000

0

free

(1)
(2)

(1)
(2)

2.

See attached Taric codes.
Notwithstanding the rules for interpreting the combined nomenclature, the wording for the description
of the products is to be considered as indicative only, the preferential scheme being determined, within
the context of Article 1(1), by the coverage of the CN codes. Where ex CN codes are indicated, the
preferential scheme is to be determined by application to the CN code and corresponding description
taken together.

(c) Wines originating in Romania:

Order No

09.7013

CN code
(1)

ex 2204 10
ex 2204 21
ex 2204 29

Description
(2)

Annual volume
(hl)

Tariff quota
duty

Wine of fresh grapes

300 000

free

See attached Taric codes.
Notwithstanding the rules for interpreting the combined nomenclature, the wording for the description
of the products is to be considered as indicative only, the preferential scheme being determined, within
the context of Article 1(1), by the coverage of the CN codes. Where ex CN codes are indicated, the
preferential scheme is to be determined by application to the CN code and corresponding description
taken together.

Admission under the tariff quotas referred to in paragraph 1 shall be confined to
wines accompanied by a document VI 1 or an extract VI 2, completed in accordance
with the provisions of Commission Regulation (EEC) No 3590/859.'

The Annex to Regulation (EC) No 933/95 is replaced by Annex 1 to this Regulation.

Article 7

9

OJ L 343, 20.12.1985, p. 1. Regulation last amended by Regulation (EC) No 960/98 (OJ L 135,
8.5.1998, p. 4).

6

Article 8

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 January 2001.

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

Done at Brussels,

For the Council
The President

7

Annex 1

Taric codes

CN code

ex 2204 10

ex 2204 21

Order Number

09.7001

09.7003

09.7005

ex 2204 29

09.7007

ex 2204 29

8

Taric code

2204 10 19 91
2204 10 99 91

2204 21 79 79
2204 21 79 80
2204 21 80 79
2204 21 80 80
2204 21 83 10
2204 21 83 79
2204 21 83 80
2204 21 84 10
2204 21 84 79
2204 21 84 80
2204 21 94 10
2204 21 94 30
2204 21 98 10
2204 21 98 30
2204 21 99 10

2204 29 65 00
2204 29 75 10
2204 29 83 10
2204 29 83 80
2204 29 84 10
2204 29 84 30
2204 29 94 10
2204 29 94 30
2204 29 98 10
2204 29 98 30
2204 29 99 10

2204 29 65 00
2204 29 75 10
2204 29 83 10
2204 29 83 80
2204 29 84 10
2204 29 84 30
2204 29 94 10
2204 29 94 30
2204 29 98 10
2204 29 98 30
2204 29 99 10

Taric code

2204 10 19 91
2204 10 99 91
2204 21 79 79
2204 21 79 80
2204 21 80 79
2204 21 80 80
2204 21 83 10
2204 21 83 79
2204 21 83 80
2204 21 84 10
2204 21 84 79
2204 21 84 80
2204 21 94 10
2204 21 94 30
2204 21 98 10
2204 21 98 30
2204 21 99 10

2204 10 19 91
2204 10 19 99
2204 10 99 91
2204 10 99 99
2204 21 79 79
2204 21 79 80
2204 21 80 79
2204 21 80 80
2204 21 83 10
2204 21 83 79
2204 21 83 80
2204 21 84 10
2204 21 84 79
2204 21 84 80
2204 21 94 10
2204 21 94 30
2204 21 98 10
2204 21 98 30
2204 21 99 10
2204 29 65 00
2204 29 75 10
2204 29 83 10
2204 29 83 80
2204 29 84 10
2204 29 84 30
2204 29 94 10
2204 29 94 30
2204 29 98 10
2204 29 98 30
2204 29 99 10

Order Number

09.7010

CN code

ex 2204 10

ex 2204 21

09.7013

ex 2204 10

ex 2204 21

ex 2204 29

9

Annex 2

AGREEMENT IN THE FORM OF AN EXCHANGE OF LETTERS

between the European Community and the Republic of Bulgaria
on reciprocal preferential trade concessions for certain wines and spirits

A. Letter from the Community

Brussels, ..........

Sir,

I have the honour to refer to the Agreement of 29 November 1993 in the form of an Exchange
of Letters between the European Community and the Republic of Bulgaria on the reciprocal
establishment of tariff quotas for certain wines and to the negotiations which have taken place
between the European Community and the Republic of Bulgaria with a view to concluding an
additional Protocol to the Europe Agreement covering both wines and spirits.

I hereby confirm that, following the negotiations and pending the procedure for the adoption
and the entering into force of the additional Protocol to the Europe Agreement and in order to
implement from 1 January 2001 the results of the negotiations on new bilateral trade
concessions for certain wines and spirits, the European Community and the Republic of
Bulgaria have agreed on the following:

1.

Imports into Bulgaria of the following products originating in the Community shall
be subject to the concessions set out below.

Bulgarian
customs
tariff code

Description

Annual
quantity
(hl)

Applicable duty

ex 2204 10

Sparkling wine, in containers holding not more than 2 litres

73 100

free

ex 2204 21
ex 2204 29

ex 2208 20

Wine of fresh grapes

Spirits obtained by distilling grape wine or grape marc, in
containers holding 2 litres or less

Unlimited

ex 2208 30 Whiskies, in containers holding 2 litres or less

Unlimited

ex 2208 40

Rum and tafia, in containers holding 2 litres or less

Unlimited

ex 2208 50

Gin, in containers holding 2 litres or less

Unlimited

Geneva, in containers holding 2 litres or less

ex 2208 60

Vodka, in containers holding 2 litres or less

ex 2208 60

Vodka, in containers holding 2 litres or less

1 620

Unlimited

20 % ad valorem
(min. 0,17 EUR/% vol/hl)
+ 1,05 EUR/hl

15 % ad valorem
(min. 1,26 EUR/% vol/hl)
+ 3,45 EUR/hl

20 % ad valorem
(min. 0,45 EUR/% vol/hl)
+ 1,6 EUR/hl

20 % ad valorem
(min. 0,4 EUR/% vol/hl)
+ 1,6 EUR/hl
20 % ad valorem
(min. 0,5 EUR/% vol/hl)
+ 3,2 EUR/hl

free

15 % ad valorem
(min. 0,6 EUR/% vol/hl)
+ 2,4 EUR/hl

10

2.

Imports into the Community of the following products originating in Bulgaria shall
be subject to the concessions set out below.

CN code

Description

Annual quantity
(hl)

Applicable duty

ex 2204 10

Sparkling wine, in containers holding not more than 2 litres

1 800

ex 2204 21

Wine of fresh grapes

ex 2204 29

Wine of fresh grapes

485 000

195 000

free

free

free

3.

For the purposes of this Agreement, wine will be deemed to originate in the
Community or in Bulgaria :

(a)

(b)

if it has been produced from fresh grapes wholly produced and harvested in the
territory of the Contracting party in question, and

if it has been produced in accordance with the rules governing the oenological
referred to in Title V of Regulation (EC)
practices and processes
N° 1493/1999.

Imports of wine under the concessions provided for in this Agreement will be subject
to the presentation of a certificate issued by a mutually recognised official body
appearing on a list to be drawn up jointly, to the effect that the wine in question
complies with point 3 (b).

The Contracting Parties shall ensure that the trade concessions granted reciprocally
are not called into question by other measures.

Consultations are to take place at the request of either Party on any problem relating
to the way this Agreement operates.

This Agreement shall apply, on the one hand, to the territories in which the Treaty
establishing the European Community is applied and under the conditions laid down
in that Treaty and, on the other hand, in the territory of the Republic of Bulgaria.

This Agreement will be approved by the Contracting Parties in accordance with their
respective procedures.

This Agreement shall enter into force on 1 January 2001. It shall expire on the entry
into force of the additional Protocol to the Europe Agreement on wines and spirits.

4.

5.

6.

7.

8.

I should be obliged if you would confirm that your Government is in agreement with the
content of this letter.

Please accept, Sir, the assurance of my highest consideration.

On behalf of the Council of the European Union

11

B. Letter from Bulgaria

Brussels, ………..

Sir,

I have the honour to acknowledge receipt of your letter of today’s date, which reads as
follows:

'I have the honour to refer to the Agreement of 29 November 1993 in the form of an Exchange
of Letters between the European Community and the Republic of Bulgaria on the reciprocal
establishment of tariff quotas for certain wines and to the negotiations which have taken place
between the European Community and the Republic of Bulgaria with a view to concluding an
additional Protocol to the Europe Agreement covering both wines and spirits.

I hereby confirm that, following the negotiations and pending the procedure for the adoption
and the entering into force of the additional Protocol to the Europe Agreement and in order to
implement from 1 January 2001 the results of the negotiations on new bilateral trade
concessions for certain wines and spirits, the European Community and the Republic of
Bulgaria have agreed on the following:

1.

Imports into Bulgaria of the following products originating in the Community shall
be subject to the concessions set out below.

Bulgarian
customs tariff
code

Description

Annual
quantity
(hl)

Applicable duty

ex 2204 10

Sparkling wine, in containers holding not more than 2 litres

73 100

free

ex 2204 21
ex 2204 29

ex 2208 20

Wine of fresh grapes

Spirits obtained by distilling grape wine or grape marc, in
containers holding 2 litres or less

Unlimited

ex 2208 30

Whiskies, in containers holding 2 litres or less

Unlimited

ex 2208 40

Rum and tafia, in containers holding 2 litres or less

Unlimited

ex 2208 50

Gin, in containers holding 2 litres or less

Unlimited

Geneva, in containers holding 2 litres or less

20 % ad valorem
(min. 0,17 EUR/% vol/hl)
+ 1,05 EUR/hl

15 % ad valorem
(min. 1,26 EUR/% vol/hl)
+ 3,45 EUR/hl

20 % ad valorem
(min. 0,45 EUR/% vol/hl)
+ 1,6 EUR/hl

20 % ad valorem
(min. 0,4 EUR/% vol/hl)
+ 1,6 EUR/hl
20 % ad valorem
(min. 0,5 EUR/% vol/hl)
+ 3,2 EUR/hl

ex 2208 60

Vodka, in containers holding 2 litres or less

1 620

free

ex 2208 60

Vodka, in containers holding 2 litres or less

Unlimited

15 % ad valorem
(min. 0,6 EUR/% vol/hl)
+ 2,4 EUR/hl

12

Imports into the Community of the following products originating in Bulgaria shall be

2.
subject to the concessions set out below.

CN code

Description

Annual quantity
(hl)

Applicable duty

ex 2204 10

Sparkling wine, in containers holding not more than 2 litres

1 800

ex 2204 21

Wine of fresh grapes

ex 2204 29

Wine of fresh grapes

485 000

195 000

free

free

free

3.

For the purposes of this Agreement, wine will be deemed to originate in the
Community or in Bulgaria :

(a)

(b)

if it has been produced from fresh grapes wholly produced and harvested in the
territory of the Contracting party in question, and

if it has been produced in accordance with the rules governing the oenological
referred to in Title V of Regulation (EC)
practices and processes
N° 1493/1999.

Imports of wine under the concessions provided for in this Agreement will be subject
to the presentation of a certificate issued by a mutually recognised official body
appearing on a list to be drawn up jointly, to the effect that the wine in question
complies with point 3 (b).

The Contracting Parties shall ensure that the trade concessions granted reciprocally
are not called into question by other measures.

Consultations are to take place at the request of either Party on any problem relating
to the way this Agreement operates.

This Agreement shall apply, on the one hand, to the territories in which the Treaty
establishing the European Community is applied and under the conditions laid down
in that Treaty and, on the other hand, in the territory of the Republic of Bulgaria.

This Agreement will be approved by the Contracting Parties in accordance with their
respective procedures.

This Agreement shall enter into force on 1 January 2001. It shall expire on the entry
into force of the additional Protocol to the Europe Agreement on wines and spirits.

4.

5.

6.

7.

8.

I should be obliged if you would confirm that your Government is in agreement with the
content of this letter.'

I have the honour to confirm that my Government is in agreement with the content of your
letter.

Please accept, Sir, the assurance of my highest consideration.

For the Government of the Republic of Bulgaria

13

Annex 3

AGREEMENT IN THE FORM OF AN EXCHANGE OF LETTERS

between the European Community and the Republic of Hungary
on reciprocal preferential trade concessions for certain wines and spirits

A. Letter from the Community

Brussels, ..........

Sir,

I have the honour to refer to the Agreement of 29 November 1993 in the form of an Exchange
of Letters between the European Community and the Republic of Hungary on the reciprocal
establishment of tariff quotas for certain wines and to the negotiations which have taken place
between the European Community and the Republic of Hungary with a view to concluding an
additional Protocol to the Europe Agreement covering both wines and spirits.

I hereby confirm that, following the negotiations and pending the procedure for the adoption
and the entering into force of the additional Protocol to the Europe Agreement and in order to
implement from 1 January 2001 the results of the negotiations on new bilateral trade
concessions for certain wines and spirits, the European Community and the Republic of
Hungary have agreed on the following:

1.

Imports into Hungary of the following products originating in the Community shall
be subject to the concessions set out below.

Hungarian
customs tariff
code

Description

ex 2204 10

ex 2204 21

Quality sparkling wine, in containers holding not more
than 2 litres
Wine of fresh grapes

Annual
quantity
(hl)

Yearly increase
from 1.1.2002
(hl)

Applicable
duty

75 000

15 000

free

ex 2204 29

Wine of fresh grapes

65 000

2208 20

Spirits obtained by distilling grape wine or grape marc

6 000

0

600

free

32 % (1)

(1)

2.

This concession replaces, for the products concerned, the concessions from Hungary provided for by
the Protocol 3 to the Europe Agreement. From 1 January 2002 and each successive years, applicable
duty will be reduced by 4% ad valorem.

Imports into the Community of the following products originating in Hungary shall
be subject to the concessions set out below.

CN code

Description

ex 2204 10

ex 2204 21

Quality sparkling wine, in containers holding not more
than 2 litres
Wine of fresh grapes

Annual
quantity
(hl)

Yearly increase
from 1.1.2002
(hl)

Applicable
duty

300 000

15 000

free

ex 2204 29

Wine of fresh grapes

115 000

0

free

14

3.

For the purposes of this Agreement, wine will be deemed to originate in the
Community or in Hungary:

(a)

(b)

if it has been produced from fresh grapes wholly produced and harvested in the
territory of the Contracting party in question, and

f it has been produced in accordance with the rules governing the oenological
practices and processes
referred to in Title V of Regulation (EC)
N° 1493/1999.

Imports of wine under the concessions provided for in this Agreement will be subject
to the presentation of a certificate issued by a mutually recognised official body
appearing on the list drawn up jointly, to the effect that the wine in question complies
with point 3 (b).

The Contracting Parties shall ensure that the trade concessions granted reciprocally
are not called into question by other measures.

Consultations are to take place at the request of either Party on any problem relating
to the way this Agreement operates.

This Agreement shall apply, on the one hand, to the territories in which the Treaty
establishing the European Community is applied and under the conditions laid down
in that Treaty and, on the other hand, in the territory of the Republic of Hungary.

This Agreement will be approved by the Contracting Parties in accordance with their
respective procedures.

This Agreement shall enter into force on 1 January 2001. It shall expire on the entry
into force of the additional Protocol to the Europe Agreement on wines and spirits.

4.

5.

6.

7.

8.

I should be obliged if you would confirm that your Government is in agreement with the
content of this letter.

Please accept, Sir, the assurance of my highest consideration.

On behalf of the Council of the European Union

15

B. Letter from the Republic of Hungary

Brussels,

Sir,

I have the honour to acknowledge receipt of your letter of today’s date, which reads as
follows:

'I have the honour to refer to the Agreement of 29 November 1993 in the form of an Exchange
of Letters between the European Community and the Republic of Hungary on the reciprocal
establishment of tariff quotas for certain wines and to the negotiations which have taken place
between the European Community and the Republic of Hungary with a view to concluding an
additional Protocol to the Europe Agreement covering both wines and spirits.

I hereby confirm that, following the negotiations and pending the procedure for the adoption
and the entering into force of the additional Protocol to the Europe Agreement and in order to
implement from 1 January 2001 the results of the negotiations on new bilateral trade
concessions for certain wines and spirits, the European Community and the Republic of
Hungary have agreed on the following:

1.

Imports into Hungary of the following products originating in the Community shall
be subject to the concessions set out below.

Hungarian
customs tariff
code

Description

ex 2204 10

ex 2204 21

Quality sparkling wine, in containers holding not more
than 2 litres
Wine of fresh grapes

Annual
quantity
(hl)

Yearly increase
from 1.1.2002
(hl)

Applicable
duty

75 000

15 000

free

ex 2204 29

Wine of fresh grapes

65 000

2208 20

Spirits obtained by distilling grape wine or grape marc

6 000

0

600

free

32 % (1)

(1)

2.

This concession replaces, for the products concerned, the concessions from Hungary provided for by
the Protocol 3 to the Europe Agreement. From 1 January 2002 and each successive years, applicable
duty will be reduced by 4% ad valorem.

Imports into the Community of the following products originating in Hungary shall
be subject to the concessions set out below.

CN code

Description

ex 2204 10

ex 2204 21

Quality sparkling wine, in containers holding not more
than 2 litres
Wine of fresh grapes

Annual
quantity
(hl)

Yearly increase
from 1.1.2002
(hl)

Applicable
duty

300 000

15 000

free

ex 2204 29

Wine of fresh grapes

115 000

0

free

16

3.

For the purposes of this Agreement, wine will be deemed to originate in the
Community or in Hungary :

(a)

(b)

if it has been produced from fresh grapes wholly produced and harvested in the
territory of the Contracting party in question, and

if it has been produced in accordance with the rules governing the oenological
practices and processes
referred to in Title V of Regulation (EC)
N° 1493/1999.

Imports of wine under the concessions provided for in this Agreement will be subject
to the presentation of a certificate issued by a mutually recognised official body
appearing on the list drawn up jointly, to the effect that the wine in question complies
with point 3 (b).

The Contracting Parties shall ensure that the trade concessions granted reciprocally
are not called into question by other measures.

Consultations are to take place at the request of either Party on any problem relating
to the way this Agreement operates.

This Agreement shall apply, on the one hand, to the territories in which the Treaty
establishing the European Community is applied and under the conditions laid down
in that Treaty and, on the other hand, in the territory of the Republic of Hungary.

This Agreement will be approved by the Contracting Parties in accordance with their
respective procedures.

This Agreement shall enter into force on 1 January 2001. It shall expire on the entry
into force of the additional Protocol to the Europe Agreement on wines and spirits.

4.

5.

6.

7.

8.

I should be obliged if you would confirm that your Government is in agreement with the
content of this letter.'

I have the honour to confirm that my Government is in agreement with the content of your
letter.

Please accept, Sir, the assurance of my highest consideration.

For the Government of the Republic of Hungary

17

Annex 4

AGREEMENT IN THE FORM OF AN EXCHANGE OF LETTERS

between the European Community and Romania on reciprocal
preferential trade concessions for certain wines and spirits

A. Letter from the Community

Brussels, ..........

Sir,

I have the honour to refer to the Agreement of 26 November 1993 in the form of an Exchange
of Letters between the European Community and Romania on the reciprocal establishment of
tariff quotas for certain wines and to the negotiations which have taken place between the
European Community and Romania with a view to concluding an additional Protocol to the
Europe Agreement covering both wines and spirits.

I hereby confirm that, following the negotiations and pending the procedure for the adoption
and the entering into force of the additional Protocol to the Europe Agreement and in order to
implement from 1 January 2001 the results of the negotiations on new bilateral trade
concessions for certain wines and spirits, the European Community and Romania have agreed
on the following:

1.

Imports into Romania of the following products originating in the Community shall
be subject to the concessions set out below.

Romanian
customs tariff
code

ex 2204 10
ex 2204 21
ex 2204 29

Description

Annual quantity
(hl)

Applicable duty
(% of MFN duty)

Wine of fresh grapes

60 000

free

2208 20

Spirits obtained by distilling grape wine or grape marc

1 500

50
(max 45% ad valorem)

2208 30

Whiskies

1 400

50
(max 45% ad valorem)

2.

Imports into the Community of the following products originating in Romania shall
be subject to the concessions set out below.

Description

Annual quantity (hl) Applicable duty

Wine of fresh grapes

300 000

free

CN code

ex 2204 10
ex 2204 21
ex 2204 29

18

3.

For the purposes of this Agreement, wine will be deemed to originate in the
Community or in Romania:

(a)

(b)

if it has been produced from fresh grapes wholly produced and harvested in the
territory of the Contracting party in question, and

if it has been produced in accordance with the rules governing the oenological
practices and processes
referred to in Title V of Regulation (EC)
N° 1493/1999.

Imports of wine under the concessions provided for in this Agreement will be subject
to the presentation of a certificate issued by a mutually recognised official body
appearing on a list to be drawn up jointly, to the effect that the wine in question
complies with point 3 (b).

The Contracting Parties shall ensure that the trade concessions granted reciprocally
are not called into question by other measures.

Consultations are to take place at the request of either Party on any problem relating
to the way this Agreement operates.

This Agreement shall apply, on the one hand, to the territories in which the Treaty
establishing the European Community is applied and under the conditions laid down
in that Treaty and, on the other hand, in the territory of Romania.

This Agreement will be approved by the Contracting Parties in accordance with their
respective procedures.

This Agreement shall enter into force on 1 January 2001. It shall expire on the entry
into force of the additional Protocol to the Europe Agreement on wines and spirits.

4.

5.

6.

7.

8.

I should be obliged if you would confirm that your Government is in agreement with the
content of this letter.

Please accept, Sir, the assurance of my highest consideration.

On behalf of the Council of the European Union

19

B. Letter from Romania

Brussels, ..........

Sir,

I have the honour to acknowledge receipt of your letter of today’s date, which reads as
follows:

'I have the honour to refer to the Agreement of 26 November 1993 in the form of an Exchange
of Letters between the European Community and Romania on the reciprocal establishment of
tariff quotas for certain wines and to the negotiations which have taken place between the
European Community and Romania with a view to concluding an additional Protocol to the
Europe Agreement covering both wines and spirits.

I hereby confirm that, following the negotiations and pending the procedure for the adoption
and the entering into force of the additional Protocol to the Europe Agreement and in order to
implement from 1 January 2001 the results of the negotiations on new bilateral trade
concessions for certain wines and spirits, the European Community and Romania have agreed
on the following:

1.

Imports into Romania of the following products originating in the Community shall
be subject to the concessions set out below.

Romanian
customs tariff
code

ex 2204 10
ex 2204 21
ex 2204 29

Description

Annual quantity
(hl)

Applicable duty
(% of MFN duty)

Wine of fresh grapes

60 000

free

2208 20

Spirits obtained by distilling grape wine or grape marc

1 500

50
(max. 45% ad valorem)

2208 30

Whiskies

1 400

50
(max. 45% ad valorem)

2.

Imports into the Community of the following products originating in Romania shall
be subject to the concessions set out below.

Description

Annual quantity (hl) Applicable duty

Wine of fresh grapes

300 000

free

CN code

ex 2204 10
ex 2204 21
ex 2204 29

3.

For the purposes of this Agreement, wine will be deemed to originate in the
Community or in Romania:

(a)

if it has been produced from fresh grapes wholly produced and harvested in the
territory of the Contracting party in question, and

20

4.

5.

6.

7.

8.

(b)

if it has been produced in accordance with the rules governing the oenological
referred to in Title V of Regulation (EC)
practices and processes
N° 1493/1999.

Imports of wine under the concessions provided for in this Agreement will be subject
to the presentation of a certificate issued by a mutually recognised official body
appearing on a list to be drawn up jointly, to the effect that the wine in question
complies with point 3 (b).

The Contracting Parties shall ensure that the trade concessions granted reciprocally
are not called into question by other measures.

Consultations are to take place at the request of either Party on any problem relating
to the way this Agreement operates.

This Agreement shall apply, on the one hand, to the territories in which the Treaty
establishing the European Community is applied and under the conditions laid down
in that Treaty and, on the other hand, in the territory of Romania.

This Agreement will be approved by the Contracting Parties in accordance with their
respective procedures.

This Agreement shall enter into force on 1 January 2001. It shall expire on the entry
into force of the additional Protocol to the Europe Agreement on wines and spirits.

I should be obliged if you would confirm that your Government is in agreement with the
content of this letter.'

I have the honour to confirm that my Government is in agreement with the contents of your
letter.

Please accept, Sir, the assurance of my highest consideration.

For the Government of Romania

21

FINANCIAL STATEMENT

1.

2.

3.

4.

BUDGET HEADING:
Chapter 10

APPROPRIATIONS:
EUR 1 102,2 million

TITLE: Proposal for a Council Regulation on the conclusion of Agreements in the form of Exchanges
of Letters between the European Community and the Republic of Bulgaria, the Republic of Hungary
and Romania on reciprocal preferential trade concessions for certain wines and spirits, and amending
Regulation (EC) No 933/95 opening and providing for the administration of Community tariff quotas
for certain wines.

LEGAL BASIS: Article 133 of the Treaty

AIMS:
To adopt transitional agreements pending the entering into force of additional protocols to the Europe
agreements.

5.

FINANCIAL IMPLICATIONS

5.0

5.1

CHARGED TO THE EC BUDGET

NATIONAL AUTHORITIES
OTHER

EXPENDITURE
-
(REFUNDS/INTERVENTIONS)
-
-
REVENUE
-
(LEVIES/CUSTOMS DUTIES)
NATIONAL
-

OWN RESOURCES OF THE EC

12 MONTH
PERIOD

(EUR million)
-

CURRENT
FINANCIAL
YEAR [2000]
(EUR million)
-

FOLLOWING
FINANCIAL
YEAR [2001]
(EUR million)
-

- 11,2

-

- 11,2

5.0.1 ESTIMATED EXPENDITURE
5.1.1 ESTIMATED REVENUE
5.2 METHOD OF CALCULATION:

2002
-
-

2003
-
-

2004
-
-

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?

6.2 WILL A SUPPLEMENTARY BUDGET BE NECESSARY?

6.3 WILL APPROPRIATIONS NEED TO BE ENTERED IN FUTURE BUDGETS?

2005
-
-

YES

YES

NO

NO

OBSERVATIONS:

The calculations of the loss of own resources have been based on the actually applied reduced duties on the
concerned products.

Measures to prevent the risk of frauds: those foreseen in the Europe Agreement, in particular those concerning
customs co-operation and rules of origin.

22