Council Regulation (EC) No 2/2003 of 19 December 2002 amending Regulation (EC) No 2248/2001 on certain procedures for applying the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Croatia, of the other part, and for applying the Interim Agreement between the European Community and the Republic of Croatia
Date: 2002-12-19
Institutions: Council of the European Union
Subjects: Croatia, association agreement (EU), beef, fishery product, import, interim agreement (EU), protective clause, tariff reduction

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COUNCIL REGULATION (EC) No 2/2003

of 19 December 2002

amending Regulation (EC) No 2248/2001 on certain procedures for applying the Stabilisation and
Association Agreement between the European Communities and their Member States, of the one
part, and the Republic of Croatia, of the other part, and for applying the Interim Agreement
between the European Community and the Republic of Croatia

THE COUNCIL OF THE EUROPEAN UNION,

‘Article 7a

Having regard to the Treaty establishing the European Commu-
nity, and in particular Article 133 thereof,

Having regard to the proposal from the Commission,

Whereas:

(1)

(2)

(3)

(4)

The Council is in the process of concluding a Stabilisa-
tion and Association Agreement between the European
Communities and their Member States, of the one part,
and the Republic of Croatia, of the other part, which
was signed at Luxembourg on 29 October 2001 (herein-
after referred to as ‘the Stabilisation and Association
Agreement’).

Meanwhile on 29 October 2001 the Council concluded
an Interim Agreement on trade and trade-related matters
between the European Community, of the one part, and
the Republic of Croatia, of the other part (1) (hereinafter
referred to as ‘Interim Agreement’). The Interim Agree-
ment entered into force on 1 March 2002 but applied
provisionally from 1 January 2002.

Regulation (EC) No 2248/2001 (2)
lays down certain
procedures for applying some provisions of these Agree-
ments. It is, however, necessary to lay down procedures
for applying certain additional provisions of these Agree-
ments.

The measures necessary for the implementation of this
Regulation should be adopted in accordance with
Council Decision 1999/468/EC of 28 December 1999
laying down the procedures for the exercise of imple-
menting powers conferred on the Commission (3).

(5) With regard to trade defence measures, it is appropriate
to lay down specific provisions concerning the general
rules provided for in Council Regulation (EC) No 384/96
of 22 December 1995 on protection against dumped
imports from countries not members of the European
Community (4).

(6)

This Regulation should continue to apply after entry into
force of the Stabilisation and Association Agreement,

HAS ADOPTED THIS REGULATION:

Article 1

General safeguard clause and shortage clause

1. Where a Member State requests the Commission to
take measures as provided for in Articles 25 and 26 of the
Interim Agreement, and thereafter Articles 38 and 39 of
shall
the Stabilisation and Association Agreement,
provide the Commission, in support of its request, with the
information needed to justify it.

it

The Commission shall be assisted by the Advisory
2.
Committee established by Article 4 of Council Regulation
(EC) No 3285/94 (*)
“the
(hereinafter
Committee”).

referred to as

3. Where reference is made to this paragraph, Articles 3
and 7 of Decision 1999/468/EC shall apply.

4.

The Committee shall adopt its rules of procedure.

5. Where the Commission, at the request of a Member
State or on its own initiative, finds that the conditions laid
down in Articles 25 and 26 of the Interim Agreement, and
thereafter Articles 38 and 39 of the Stabilisation and Asso-
ciation Agreement are fulfilled, it shall:

— inform the Member States forthwith if acting on its
own initiative or, if it is responding to a Member State's
request, within five working days of the date of receipt
of that request,

— consult the Committee on the proposed measures,

— at the same time inform Croatia and shall notify it of
the opening of the consultations within the Interim
Committee, and thereafter the Stabilisation and Associa-
tion Council as provided for in Article 25(4) and Article
26(3) of the Interim Agreement, and thereafter Article
38(4) and Article 39(3) of the Stabilisation and Associa-
tion Agreement,

In Regulation (EC) No 2248/2001 the following Articles shall
be inserted:

(1) OJ L 330, 14.12.2001, p. 3.
(2) OJ L 304, 21.11.2001, p. 1.
(3) OJ L 184, 17.7.1999, p. 23.
(4) OJ L 56, 6.3.1996, p. 1. Regulation as last amended by Regulation

(EC) No 1972/2002 (OJ L 305, 7.11.2002, p. 1).

— at the same time provide the Interim Committee, and
thereafter the Stabilisation and Association Council,
with all the information necessary for these consulta-
tions as provided for in Article 25(3) and Article 26(3)
of the Interim Agreement, and thereafter Article 38(3)
and Article 39(3) of the Stabilisation and Association
Agreement.

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On the completion of the consultations, and if no
6.
other arrangement proves possible, the Commission, after
consulting the Committee, may decide on appropriate
measures provided for in Articles 25 and 26 of the Interim
Agreement, and thereafter Articles 38 and 39 of the Stabili-
sation and Association Agreement.

Any Member State may refer the Commission's Deci-
3.
sion to the Council within 10 working days of receiving
notification of that Decision.

The Council, acting by a qualified majority, may take a
different Decision within two months.

That Decision shall be notified forthwith to the Council; it
shall also be notified to the Interim Committee, and there-
after the Stabilisation and Association Council.

Article 7c

That Decision shall be applicable immediately.

7.
Any Member State may refer the Commission's Deci-
sion referred to in paragraph 6 to the Council within 10
working days of its notification.

The Council, acting by a qualified majority, may take a
different decision within two months.

If the Commission decides not to take measures as
8.
provided for in Articles 25 and 26 of the Interim Agree-
ment, and thereafter Articles 38 and 39 of the Stabilisation
inform the Council
and Association Agreement,
accordingly within five working days of receipt of
the
request from the Member State.

it shall

Any Member State may refer that Decision of the Commis-
sion to the Council within 10 working days of its notifica-
tion.

If the Council, acting by qualified majority,
indicates its
intention to adopt a different decision, the Commission
shall inform Croatia thereof forthwith and shall notify it of
the opening of
the consultations within the Interim
Committee, and thereafter the Stabilisation and Association
Council, as provided for in Article 25(3) and (4) and Article
26(3) of
the Interim Agreement, and thereafter Article
38(3) and (4) and Article 39(3) of the Stabilisation and
Association Agreement.

9.
The Council, acting by qualified majority, may take a
different Decision within two months of the conclusion of
the
Interim
Committee, and thereafter the Stabilisation and Association
Council.

consultations with Croatia within the

10.
The consultations within the Interim Committee,
and thereafter the Stabilisation and Association Council,
shall be deemed to be completed 30 days after the notifica-
tion referred to in paragraphs 5 and 8.

Safeguard clause for agricultural and fisheries products

Notwithstanding the procedures set out in Articles 7a and
7b, necessary measures concerning agricultural and fish-
eries products on the basis of Articles 18 or 25 of the
Interim Agreement, and thereafter Articles 31 or 38 of the
Stabilisation and Association Agreement or on the basis of
provisions in the Annexes covering these products as well
as of Protocol 3, can be taken according to procedures
provided for by the relevant rules establishing the common
organisation of
the agricultural markets or markets in
fishery and aquaculture products, or in specific provisions
adopted pursuant to Article 308 of the Treaty and applic-
able to products resulting from the processing of agricul-
tural and fisheries products, provided that the conditions
established pursuant to Article 18 of the Interim Agree-
ment, and thereafter Article 31 of the Stabilisation and
Association Agreement or Article 25(3), (4) and (5) of the
Interim Agreement, and thereafter Article 38(3), (4) and (5)
of the Stabilisation and Association Agreement are met.

Article 7d

Dumping

In the case of a practice which is liable to warrant applica-
tion by the Community of the measures provided for in
the Interim Agreement, and thereafter
Article 24(1) of
Article 37(1) of the Stabilisation and Association Agree-
ment, the introduction of anti-dumping measures shall be
decided upon in accordance with the provisions laid down
in Council Regulation (EC) No 384/96 of 22 December
1995 on protection against dumped imports from coun-
tries not members of the European Community (**) and the
procedure provided for in Article 24(2) of the Interim
Agreement, and thereafter Article 37(2) of the Stabilisation
and Association Agreement.

Article 7b

Exceptional and critical circumstances

Article 7e

Competition

1. Where exceptional and critical circumstances arise
within the meaning of Article 25(4)(b) and Article 26(4) of
the Interim Agreement, and thereafter Article 38(4)(b) and
Article 39(4) of the Stabilisation and Association Agree-
ment, the Commission may take immediate measures as
provided for in Articles 25 and 26 of the Interim Agree-
ment, and thereafter Articles 38 and 39 of the Stabilisation
and Association Agreement.

If the Commission receives a request from a Member State,
it shall take a Decision thereon within five working days of
receipt of the request.

The Commission shall notify the Council of its Deci-

2.
sion.

1.
In the case of a practice that may justify application
by the Community of the measures provided for in Article
35 of the Interim Agreement, and thereafter Article 70 of
the Stabilisation and Association Agreement, the Commis-
sion after examining the case, on its own initiative or at
the request of a Member State, shall decide whether such
practice is compatible with the Agreement. Where neces-
sary it shall propose the adoption of safeguard measures to
the Council, which shall act in accordance with the proce-
dures laid down in Article 133 of the Treaty, except in the
cases of aid to which Council Regulation (EC) No 2026/97
of 6 October 1997 on protection against
subsidised
the European
imports from countries not members of
Community (***) applies, when measures shall be taken

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according to the procedures laid down in that Regulation.
Measures shall be taken only under the conditions set out
in Article 35(9) of the Interim Agreement, and thereafter
Article 70(9) of the Stabilisation and Association Agree-
ment.

2. Where the Commission, on the basis of information
provided by a Member State or on its own initiative, finds
that the conditions laid down in Article 30 of the Interim
Agreement, and thereafter Article 43 of the Stabilisation
and Association Agreement, are fulfilled it shall:

2.
In the case of a practice that may cause measures to
be applied to the Community by Croatia on the basis of
Article 35 of the Interim Agreement, and thereafter Article
the
70 of the Stabilisation and Association Agreement,
Commission, after examining the case, shall decide whether
the practice is compatible with the principle set out in the
Interim Agreement, and thereafter the Stabilisation and
Association Agreement. Where necessary,
take
appropriate decisions on the basis of criteria which result
from the application of Articles 81, 82 and 87 of the
Treaty.

it shall

Article 7f

Fraud or failure to provide administrative cooperation

For the purpose of

1.
interpreting Article 30 of the
Interim Agreement, and thereafter Article 43 of the Stabili-
failure to provide
sation and Association Agreement,
administrative cooperation as required for the verification
of evidence of origin shall mean, inter alia:

— the absence of administrative cooperation, such as the
failure to provide names and addresses of customs or
government authorities
issuing and
checking certificates of origin, or specimens of stamps
used to authenticate the certificates, or the failure to
update that information where appropriate,

responsible for

— a repeated lack or inadequacy of action in verifying the
originating status of products and the fulfilment of the
other requirements of Protocol 4 of the Agreements
and identifying or preventing contravention of the rules
of origin,

— inform the Council,

— enter immediately into consultations with Croatia, to
find an appropriate solution as provided for in those
provisions.

In addition, it may:

— call on the Member States to take such precautionary
measures as are necessary in order to safeguard the
Community's financial interests,

— publish a notice in the Official Journal of the European
Communities stating that there are grounds for reason-
able doubts about the application of the provisions rele-
vant to the application of Article 30 of the Interim
Agreement, and thereafter of Article 43 of the Stabilisa-
tion and Association Agreement.

3.
Pending a mutually satisfactory solution having been
reached in the consultations referred to in paragraph 2, the
Commission may decide on other appropriate measures it
deems necessary in accordance with Article 30 of
the
Interim Agreement, and thereafter Article 43 of the Stabili-
sation and Association Agreement, as well as with the
procedure referred to in paragraph 5.

4.
The Commission shall be assisted by the Customs
Code Committee set up by Article 248a of Regulation
(EEC) No 2913/92 (****).

5. Where reference is made to this paragraph, Articles 3
and 7 of Decision 1999/468/EC shall apply.

6.

The Committee shall draw up its rules of procedure.

— a repeated refusal or undue delay to carry out, at the
request of the Commission, subsequent verification of
the proof of origin and to communicate its results in
time,

Article 7g

Notification

— a repeated refusal or undue delay to obtain the authori-
sation to conduct administrative and investigative coop-
eration missions in Croatia,
in order to verify the
authenticity of documents or the accuracy of informa-
treatment
tion relevant
granted under the Agreements, or to carry out or
arrange for appropriate inquiries to identify or prevent
contravention of the rules of origin,

for granting the preferential

— a repeated failure to comply with the provisions of
Protocol 5 on mutual administrative assistance in
customs matters insofar as it is relevant to the applica-
tion of the trade provisions of the Interim Agreement,
and thereafter the Stabilisation and Association Agree-
ment.

Notification to the Interim Committee and thereafter the
Stabilisation and Association Council, as required by the
Interim Agreement, and thereafter the Stabilisation and
Association Agreement shall be the responsibility of the
Commission, acting on behalf of the Community.

(*) OJ L 349, 31.12.1994, p. 53. Regulation as

last
amended by Regulation (EC) No 2474/2000 (OJ L 286,
11.11.2000, p. 1).

(**) OJ L 56, 6.3.1996, p. 1. Regulation as last amended by
Regulation (EC) No 1972/2002 (OJ L 305, 7.11.2002,
p. 1).

(***) OJ L 288, 21.10.1997, p. 1. Regulation as amended
by Regulation (EC) No 1973/2002 (OJ L 305,
7.11.2002, p. 4).

(****) OJ L 302, 19.10.1992, p. 1. Regulation as last
amended by Regulation (EC) No 2700/2000 (OJ L
311, 12.12.2000, p. 17).’

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

Article 2

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

Done at Brussels, 19 December 2002.

For the Council

The President

L. ESPERSEN