Proposal for a Council Decision relating to the conclusion of an Agreement between the European Community and Romania concerning fishery products, in the form of an additional Protocol completing the Europe Agreement establishing an association between the European Communities and their Member States, of the one part, and the Republic of Romania of the other part
Date: 2003-03-27
Institutions: European Commission
Subjects: Romania, common tariff policy, fishery product, ratification of an agreement, trade agreement (EU)

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 27.03.2003
COM(2003)146 final

2003/0055 (ACC)

Proposal for a

COUNCIL DECISION

relating to the conclusion of an Agreement between the European Community
and Romania concerning fishery products, in the form of an additional Protocol
completing the Europe Agreement establishing an association between
the European Communities and their Member States, of the one part,
and the Republic of Romania of the other part

(presented by the Commission)

EXPLANATORY MEMORANDUM

On 29 May 2000, the Council authorised the Commission to undertake negotiations with the
associated  CEECs,  including  Romania,  to  conclude  reciprocal  tariff  concessions  in  the
fisheries  sector.  As  a  result,  negotiations  were  held  with  Romania  on  26  and  27 April  and
29 May 2001 and 12 September 2001 to finalise these bilateral concessions. The details of the
bilateral  concessions  are  contained  in  Agreed  Minutes  that  were  initialled  on  behalf  of  the
Commission  and 
the  Romanian  authorities  on  12 September  and  23 October 2001
respectively.  The  two  parties  agreed  on  a  model  for  gradual  and  reciprocal  liberalisation  of
trade on all fish and fishery products.

The agreement states that both the Community and Romania, from the date of entry into force
of the agreement, will apply to non-sensitive fish and fishery products a 25% reduction of the
tariff  duties  applied  to  fish  and  fishery  products.  One  year  after  the  entry  into  force  of  the
agreement, a further reduction of 25% will be applied and two years after the entry into force
of  the  agreement,  a  further  25%  reduction  will  be  applied.  Three  years  after  the  entry  into
force  of  the  agreement,  full  free  trade  of  all  non-sensitive  fish  and  fishery  products  will  be
applied.

At  the  entry  into  force  of  the  agreement  both  the  Community  and  Romania  will  apply  to
sensitive fish and fishery products (see Annex to the attached proposal for  a Protocol to the
Europe Agreement) a 25% reduction of the tariff duties applied by the parties. One year after
the entry into force of the agreement, a further reduction of 25% will be applied and two years
after the entry into force of the agreement, a further 25% reduction will be applied. Six years
after the entry into force of the agreement, full free trade of all fish and fishery products will
be  applied.  In  the  case  of  Romania's  accession  before  the  end  of  the  six  year  period,  full
liberalisation will of course be implemented immediately.

The  Commission  services  are  of  the  opinion  that  the  results  of  the  technical  negotiations
represent a balanced and acceptable result which, in a simple administrative manner, and on a
gradual basis, will lead to full free trade, without any exceptions, between Romania and the
European Community.

The present proposal follows the same lines as proposals relating to other candidate countries
on which the Commission has already taken a decision. It adheres to the same principles of
gradual liberalisation of trade in fish and fishery products as the earlier proposals.

The Commission is requested to adopt the attached decision to propose to the Council that a
Protocol  be  added  to  the  Europe  Agreement  with  Romania  to  implement  the  agreed
concessions on fish and fishery products.

In light of the above, the Council is requested to adopt the present decision to add a Protocol
concerning trade concessions in the fisheries sector to the Europe Agreement with Romania.

2

2003/0055 (ACC)

Proposal for a

COUNCIL DECISION

relating to the conclusion of an Agreement between the European Community and
Romania concerning fishery products, in the form of an additional Protocol completing
the Europe Agreement establishing an association between the European Communities
and their Member States, of the one part, and the Republic of Romania of the other part

THE COUNCIL OF THE EUROPEAN UNION,

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

Having regard to the proposal from the Commission,

Whereas:

(1)

It is desirable to complete by means of an additional Protocol the Europe Agreement
establishing  an  association  between  the  European  Communities  and  their  Member
States, of the one part, and Romania, of the other part1, so as to provide for preferential
conditions for the importation into the Community of certain fish and fishery products
originating  in  Romania,  and  into  Romania  of  certain  fish  and  fishery  products
originating in the Community;

(2)

To  that  end  a  new  Protocol  laying  down  the  trade  arrangements  for  certain  fish  and
fishery products should be added to the said Europe Agreement;

(3)

The Agreement in the form of a Protocol should be approved,

HAS DECIDED AS FOLLOWS:

Article 1

The Agreement between the European Community and Romania in the form of an additional
Protocol  concerning  fishery  products,  completing  the  Europe  Agreement  establishing  an
association between the European Communities and their Member States, of the one part, and
Romania, of the other part, is hereby approved on behalf of the Community.

The text of the Agreement in the form of a Protocol is attached to this Decision.

1

OJ L 357 of 31.12.1994, p.1.

3

                                                
Article 2

The  President  of  the  Council  shall  notify  the  Community's  approval  of  the  Protocol  to  the
Government of Romania according to its Article 4.

Done at Brussels,

For the Council
The President

4

ANNEX

AGREEMENT

BETWEEN THE EUROPEAN COMMUNITY

AND ROMANIA

CONCERNING FISHERY PRODUCTS

IN THE FORM OF AN ADDITIONAL PROTOCOL

TO THE EUROPE AGREEMENT

ESTABLISHING AN ASSOCIATION BETWEEN

THE EUROPEAN COMMUNITIES AND THEIR MEMBER STATES

OF THE ONE PART, AND ROMANIA

OF THE OTHER PARTPROTOCOL

LAYING DOWN THE TRADE ARRANGEMENTS FOR

CERTAIN FISH AND FISHERY PRODUCTS BETWEEN

THE EUROPEAN COMMUNITY AND ROMANIA

THE EUROPEAN COMMUNITY, hereinafter referred to as ‘the Community’ of the one
part, and

THE GOVERNMENT OF ROMANIA, of the other part,

WHEREAS the Europe Agreement establishing an association between the European
Communities and their Member States, of the one part, and Romania, of the other part,
hereinafter referred to as ‘the Europe Agreement’, was signed in Brussels on 1 February 1993
and entered into force on 1 February 1995;

WHEREAS Chapter III of the Europe Agreement provides for negotiations to conclude
reciprocal tariff concessions in the fisheries sector;

WHEREAS to this effect technical negotiations based on Article 24 of the Europe Agreement
were carried out and successfully concluded between the Community and Romania to agree
on reciprocal tariff concessions in the fisheries sector;

WHEREAS the negotiated concessions in the fisheries sector affect the bilateral concessions
granted under the Agreement, which should, therefore, be amended by means of a Protocol
adjusting the trade aspects of the Agreement;

WHEREAS the Community and Romania also agreed on an administratively simple manner
of implementing the negotiated tariff concessions as soon as possible on a gradual basis;

HAVE DECIDED to apply the agreed tariff concessions in view of establishing full free trade
of all fish and fishery products:

5

ARTICLE 1

From the date of entry into force of this Protocol for fish and fishery products as defined in
Article 1 of Council Regulation (EC) No 104/2000 both Parties shall apply a 25% reduction
of  the  tariff  duties  applied  by  the  Community  and  Romania  respectively  for  all  fish  and
fishery  products  originating  in  the  Community  or  Romania  with  the  exception  of  products
mentioned in Article 2.

One year after the date of entry into force of this trade arrangement, both Parties shall apply a
further 25% reduction of the tariff duties as they were at the time of the entry into force of this
arrangement.

Two years after the date of entry into force of this trade arrangement, both Parties shall apply
a further 25% reduction of the tariff duties as they were at the time of the entry into force of
this arrangement.

Three years after the date of entry into force of this trade arrangement, or if commonly agreed
earlier, full free trade of all fish and fishery products with the exception of those mentioned in
Article 2 shall be applied. Any such agreement on earlier application of full free trade of all
fish and fishery products shall be implemented in accordance with Article 5 of this Protocol.

ARTICLE 2

Three years after the entry into force of this Protocol both Parties shall apply a 25% reduction
of  the  tariff  duties  applied  by  the  Community  and  Romania  respectively  to  the  products
originating in the Community or Romania falling under the following CN codes2: 03019300,
030211,  03022300,  03026180,  03026911,  03026955,  030321,  03033300,  03037180,
03037911,  03037965,  03041015,  03041017,  03041019,  03042015,  03042017,  03042019,
03054945,  03055950,  03056300,  03056990,  160412,  160413,  16041511,  16041519,
16041600.

Four  years  after  the  entry  into  force  of  this  Protocol  both  Parties  shall  apply  a  further  25%
reduction  of  the  tariff  duties  as  they  were  at  the  time  of  the  entry  into  force  of  this
arrangement.

Five  years  after  the  entry  into  force  of  this  Protocol  both  Parties  shall  apply  a  further  25%
reduction  of  the  tariff  duties  as  they  were  at  the  time  of  the  entry  into  force  of  this
arrangement.

Six  years  after  the  entry  into  force  of  this  Protocol  both  Parties  shall  apply  a  further  25%
reduction  of  the  tariff  duties  as  they  were  at  the  time  of  the  entry  into  force  of  this
arrangement.

2

As  defined  in  Commission  Regulation  (EC)  No  1832/2002  of  1  August  2002  amending  Annex  1  to
Council Regulation (EEC) No 2658/87 on the tariff and statistical nomenclature and  on  the  Common
Customs Tariff (OJ L 290, 28.10.2002, p.1).

6

                                                
ARTICLE 3

The calculation of the reductions mentioned in Articles 1  and 2 will be  carried out by using
common mathematics principles taking into account that:

all  the  figures  which  have  less  than  50  (included)  after  the  decimal  point  should  be

(a)
rounded down to the nearest whole number;

(b)

(c)

all the figures which have more than 50 after the decimal point shall be rounded up;

all the tariffs below 2% shall automatically be fixed at 0%.

ARTICLE 4

This Protocol will enter into force on the first day of the month following the date on which
the  Parties  have  notified  each  other  of  the  accomplishment  of  their  internal  procedures  for
acceptance.

This Protocol may be amended by decision of the Association Council.

ARTICLE 5

7

FINANCIAL STATEMENT

1.

TITLE OF OPERATION

Proposal  to  add  a  Protocol  to  the  Europe  Agreement  with  Romania
implementing  an  agreement  on  concessions  on  fish  and  fishery  products.
These concessions have been agreed and will be implemented over a period
of six years, leading to full trade liberalisation of the products concerned.

2.

BUDGET HEADING(S) INVOLVED

Chapter 12, Article 120.

3.

LEGAL BASIS

Article 133 in conjunction with Article 300(2) of the Treaty establishing the
European Community.

4.

DESCRIPTION OF OPERATION

Full  trade  liberalisation  of  trade  in  fish  and  fishery  products  in  preparation
for accession of Romania to the European Union.

5.

CLASSIFICATION OF EXPENDITURE OR REVENUE

Import duties.

6.

TYPE OF EXPENDITURE OR REVENUE

The proposed operation will cause a reduction in import duties levied on fish
and fishery products originating in Romania.

7.

7.1

FINANCIAL IMPACT

Method  of  calculating  total  cost  of  operation  (relation  between
individual and total costs)

The cost of the operation has been  based  on  trade  in  1999,  2000  and  2001.
Due to the unpredictable levels of trade and the varying rates of duty applied
to the products concerned, an estimated average duty level of 12% has been
used  to  calculate  the  duty  levied  in  1999,  2000  and  2001.  Import  duties
levied in 2000 showed a decrease  of about  45%  since 1999;  duties  in 2001
showed a decrease  of  about  63% since  2000.  No  increase  in  duty  level  has
thus  been  used  to  calculate  the  estimated  import  duties  foreseen.  The
estimated  duty  has  been  reduced  by  25%  for  year  one,  25%  for  year  two,
25% for year three.

8

As the entry into  force  of the  arrangements is expected to take place in the
course of the  year 2002, the estimated cost will be made as though 2002 is
year one, 2003 is year two, 2004 is year three.

7.2

Itemised breakdown of cost

Commitment appropriations EUR million (at current prices)

Breakdown

2002

2002+1

2002+2

 0.21

 Estimated import duties =
(yr 2002)-25%=
(0.28)-25%

 Estimated import duties =
(yr 2003)-25% =
(0.21)-25%

Estimated import duties =
(yr 2004)-25% =
(0.16)-25%

 0.16

0.04

Total

 0.21

0.16

 0.04

9