Proposal for a Council Regulation amending Regulation (EC) No 1766/92 with regard to the calculation of import duties on certain cereals
Date: 2002-12-11
Institutions: European Commission
Subjects: GATT, World Trade Organisation, agricultural trade, cereals, import (EU), import levy

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 11.12.2002
COM(2002) 732 final

2002/0292 (CNS)

Proposal for a

COUNCIL REGULATION

amending Regulation (EC) No 1766/92 with regard to
the calculation of import duties on certain cereals

(presented by the Commission)

EXPLANATORY MEMORANDUM

1. 

2. 

3. 

4. 

On 26 July 2002, the Council authorised the Commission to notify the WTO that the
European  Community  intended  to  amend  the  concessions  for  cereals  falling  within
CN codes 1001 10 50 (durum  wheat), 1001 90 95  (common  wheat,  other  than  spelt
for  sowing  and  durum  wheat),  1002 00 00  (rye),  1003 00 50  (barley),  1005  (maize,
other  than  maize  from  hybrid  seed)  and  1007 00 90  (sorghum,  other  than  hybrid
sorghum for sowing) set out in Schedule CXL annexed to the GATT and that it was
willing  to  enter  into  negotiations  and  consultations  with  WTO  members  under
Article XXVIII of the 1994 GATT agreement.

The Commission has conducted negotiations in consultation with the 133 Committee
in accordance with the negotiating directives laid down by the Council.

Negotiations  with  the  authorities  of  the  United  States  and  Canada,  who  have
negotiating rights for products falling within CN codes 1001 90 95 (common wheat,
other  than  spelt  for  sowing  and  durum  wheat)  and  1003 00 50  (barley),  have  been
concluded in the form of an exchange of letters.

The application of these agreements makes it necessary to amend certain provisions
of Regulation (EEC) No 1766/92.

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2002/0292 (CNS)

Proposal for a

COUNCIL REGULATION

amending Regulation (EC) No 1766/92 with regard to
the calculation of import duties on certain cereals

THE COUNCIL OF THE EUROPEAN UNION,

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular
Article 37 thereof,

Having regard to the proposal from the Commission1,

Having regard to the opinion of the European Parliament2,

Whereas:

(1) 

(2) 

For  the  purposes  of  calculating  import  duty,  Article  10(2)  of  Council  Regulation
(EEC)  No 1766/92  of  30  June  1992  on  the  common  organisation  of  the  market  in
cereals3  provides  for  a  complementary,  derogating  mechanism  for  certain  basic
cereals.

This derogation has been abolished for average and poor quality wheat and for barley
following the conclusion of the negotiations with the United States and Canada under
Article XXVIII of the GATT, approved by Council Decisions …/…4 and …/…5.

(3) 

Regulation (EEC) No 1766/92 should therefore be amended accordingly.

HAS ADOPTED THIS REGULATION:

In Article 10 of Regulation (EEC) No 1766/92, paragraphs 2, 3 and 4 shall be replaced by the
following:

Article 1

“2.

1

2

3

4

5

Notwithstanding  paragraph  1,  the  import  duty  on  products  covered  by  CN  codes
1001 90 91, ex 1001 90 99, 1002, ex 1005 other than hybrid seed, and ex 1007 other
than  hybrid  for  sowing,  shall  be  equal  to  the  intervention  price  valid  for  such
products on importation and increased by 55%, minus the cif import price applicable

OJ C …, …, p. …
Opinion delivered on ...
OJ  L181,  1.7.1992,  p.  21.  Regulation  last  amended  by  Regulation  (EC)  No  1666/2000  (OJ L 193,
29.7.2000, p. 1).
OJ L …, …, p. …
OJ L …, …, p. …

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to the consignment in question. However, that duty may not exceed the rate of duty
in the Common Customs Tariff.

3.

4.

For  the  purposes  of  calculating  the  import  charge  referred  to  in  paragraph 2
representative  cif  import  prices  shall  be  established  for  the  products  referred  to  in
that paragraph. Such representative cif import prices shall be established on a regular
basis.

Detailed rules for the application of this Article shall be adopted in accordance with
the procedure laid down in Article 23.

The detailed rules shall in particular specify:

(a)

the minimum requirements for high quality common wheat,

(b)

the price quotations to be taken into consideration,

(c)

the  possibility,  where  appropriate  in  specific  cases,  of  giving  operators  the
opportunity  of  knowing  the  charge  applicable  before  the  arrival  of  the
consignments concerned.”

Article 2

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

It shall apply from 1 January 2003.

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

Done at Brussels,

For the Council
The President

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1.

2.

3.

4.

5.

5.0

5.1

FINANCIAL STATEMENT

BUDGET HEADING:
Article 100

APPROPRIATIONS:
EUR 1 121,7 Mio

TITLE:
Proposal  for  a  Council  Regulation  amending  Regulation  (EEC)  No  1766/92  with  regard  to  the
calculation of import duties on certain cereals.

LEGAL BASIS:
Article 37 of the Treaty

AIMS:
To amend concessions with respect to certain cereals set out in Schedule CXL annexed to the GATT.

FINANCIAL IMPLICATIONS

CHARGED TO THE EC BUDGET

NATIONAL AUTHORITIES
OTHER

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

NATIONAL

OWN RESOURCES OF THE EC

5.0.1 ESTIMATED EXPENDITURE
5.1.1 ESTIMATED REVENUE

5.2 METHOD OF CALCULATION:

12 MONTH
PERIOD

(EUR million)

CURRENT
FINANCIAL
YEAR 2002
(EUR million)

FOLLOWING
FINANCIAL
YEAR 2003
(EUR million)

-

(1)

2004
-
(1)

-

-

-

(1)

2005
-
(1)

2006
-
(1)

2007
-
(1)

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?

YES / NO

YES / NO

YES / NO

YES / NO

OBSERVATIONS:
(1)

Since the tariff quotas are established for wheat, except for high quality wheat, and barley on the basis
of real import quantities and the in-quota tariff rates fixed at the present level (i.e. before the entry into
force of the Agreement), the effect on own resources should be neutral.

5