Commission Regulation (EC) No 977/2003 of 6 June 2003 opening and providing for the administration of an import tariff quota for young male bovine animals for fattening (1 July 2003 to 30 June 2004)
Date: 2003-06-06
Institutions: European Commission
Subjects: cattle, import, tariff quota

7.6.2003

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COMMISSION REGULATION (EC) No 977/2003

of 6 June 2003

opening and providing for the administration of an import tariff quota for young male bovine
animals for fattening (1 July 2003 to 30 June 2004)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

(6)

Having regard to the Treaty establishing the European
Community,

Checks of criteria for participation in the quota alloca-
tion call for applications to be submitted in the Member
State where the trader is entered in the value added tax
(VAT) register. Italy and Greece are an exception to this
rule:
traders entered in the VAT register of another
Member State may submit their applications in these
two countries.

Having regard to Council Regulation (EC) No 1254/1999 of 17
May 1999 on the common organisation of the market in beef
and veal (1), as last amended by Regulation (EC) No 806/
2003 (2), and in particular Article 32(1) thereof,

(7)

In order to prevent speculation:

Whereas:

(1)

(2)

(3)

(4)

(5)

The WTO schedule CXL requires the Community to
open an annual import tariff quota for 169 000 head of
young male bovine animals for fattening. Implementing
rules should be laid down for the period 1 July 2003 to
30 June 2004.

There should be a guarantee in particular of equal and
continuing access to the said quota for all
interested
traders within the Community. However, pursuant to
Article 32(3) of Regulation (EC) No 1254/1999, the
method of administration may give due weight to the
supply requirements on the Community market.

The requirements of certain Member States which have a
shortfall of bovine animals for fattening may therefore
be taken into account. As those requirements are parti-
cularly evident in Italy and Greece, priority should be
given to satisfying demand in those two Member States.

For the allocation of the tariff quota methods which
have been applied in the past to this quota should be
in Italy and Greece the
applied again. Consequently,
method referred to in the third indent of Article 32(2)
should be applied while the method referred to in the
second indent of that paragraph shall be used for appli-
cations in other Member States.

Importers who can show that they have been involved
in trade with live animals with third countries should be
able to apply for import rights. Proof of that involve-
ment calls for evidence to be presented of recent import
or export of some significance.

— importers no longer involved in trade in live bovine
animals at 1 January 2003 should be denied access
to the quota,

— a security should be fixed for import rights,

— licences should not be transferable,

— import licences should be issued to traders solely for
the quantities for which they have been allocated
import rights.

In order to provide for more equal access to the quota
while ensuring a commercially viable number of animal
per application, each application should respect a
maximum and a minimum number of heads.

To oblige traders to apply for import licences for all
import rights allocated, it should be established that this
obligation is a primary requirement within the meaning
of Commission Regulation (EEC) No 2220/85 of 22 July
1985 laying down common detailed rules for the appli-
cation of
for agricultural
products (3), as last amended by Regulation (EC) No
1932/1999 (4).

the system of

securities

(8)

(9)

(10) With a view to using up quota quantities completely, a
closing date should be set for the submission of import
licence applications and provision should be made for a
further allocation of quantities not covered by licence
applications submitted by that date.
In the light of
experience it should also be laid down that this final
allocation is open only to importers who have applied
for import licences for the total quantity to which they
are entitled.

(1) OJ L 160, 26.6.1999, p. 21.
(2) OJ L 122, 16.5.2003, p. 1.

(3) OJ L 205, 3.8.1985, p. 5.
(4) OJ L 240, 10.9.1999, p. 11.

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(11) A proper management of the quota requires the use of
import licences. To that end, rules should be laid down
in particular on the way applications are to be submitted
and the information to be shown in applications and
licences, where applicable by waiving or supplementing
certain provisions of Commission Regulation (EC) No
1291/2000 of 9 June 2000 laying down common
detailed rules for the application of the system of import
and export licences and advance fixing certificates for
certain agricultural products (1), as last amended by
Regulation (EC) No 325/2003 (2), and of Commission
Regulation (EC) No 1445/95 of 26 June 1995 on rules
of application for import and export licences in the beef
and veal sector and repealing Regulation (EEC) No 2377/
80 (3), as last amended by Regulation (EC) No 852/
2003 (4).

(12) A proper management of the quota also requires that
the titular holder of the licence is a genuine importer.
Therefore, such importer should actively participate in
the animals
the purchase,
transport and import of
concerned. Presentation of proof of
those activities
should thus also be a primary requirement with regard
to the licence security.

(13) With a view of ensuring a strict statistical control of the
animals imported under the quota, the tolerance referred
to in Article 8(4) of Regulation (EC) No 1291/2000 shall
not apply.

(14)

The application of this tariff quota requires effective
checks on the specific destination of
the imported
animals. The animals should therefore be fattened in the
Member State which has issued the import licence.

(15) A security must be lodged to ensure that the animals are
fattened for at least 120 days in designated production
the security should cover the
units. The amount of
difference between the common customs tariff
(CCT)
duty and the reduced duty applicable on the date of
release for free circulation of the animals in question.

(16)

The Management Committee for Beef and Veal has not
delivered an opinion within the time limit set by its
chairman,

HAS ADOPTED THIS REGULATION:

The customs import duty applicable under the tariff quota
2.
referred to in paragraph 1 shall be 16 % ad valorem plus
EUR 582 per tonne net.

That rate of duty shall apply on condition that the imported
animals are fattened for at least 120 days in the Member State
which has issued the import licence.

Article 2

Import rights for the quantity referred to in Article 1(1)

1.
shall be allocated to the Member States as follows:

(a) Italy

107 650 head;

(b) Greece:

16 470 head;

(c) other Member States: 44 880 head.

2. Within each of the quantities referred to in paragraph
1(a) and (b), import rights relating to:

— 50 % of the quantity shall be allocated upon application
directly by the Member State concerned to importers who
furnish proof of having imported animals under the Regula-
tions referred to in Annex I. All quantities presented as
reference quantity shall constitute the import rights applied
for,

— 50 % of the quantity shall be allocated upon application
directly by the Member State concerned to operators who
furnish proof that,
in the period 1 January 2002 to 31
December 2002, they have exported to or imported from
third countries at least 75 live animals covered by CN code
0102 90, excluding imports under Regulations referred to
in Annex I.

Applicants must be entered in a national value added tax

3.
(VAT) register.

Applications for import rights shall be presented:

— in Italy for the quantities referred to in paragraph 1(a),

— in Greece for the quantities referred to in paragraph 1(b),

Article 1

referred to in paragraph 1(c).

— in the Member States of registration for the quantities

A tariff quota for 169 000 young male bovine animals
1.
covered by CN codes 0102 90 05, 0102 90 29 or 0102 90 49
and intended for fattening in the Community is hereby opened
for the period 1 July 2003 to 30 June 2004.

The serial number of the quota shall be 09.4005.

(1) OJ L 152, 24.6.2000, p. 1.
(2) OJ L 47, 21.2.2003, p. 21.
(3) OJ L 143, 27.6.1995, p. 35.
(4) OJ L 123, 17.5.2003, p. 9.

4.
The quantities referred to in paragraph 1(c) shall be allo-
cated upon application to operators who furnish proof that in
the period from 1 January 2002 to 31 December 2002 they
have exported to or imported from third countries at least 75
live animals covered by CN code 0102 90.

5.
The quantities referred to in the first and second indent
of paragraph 2 and in paragraph 4 shall be allocated to eligible
operators in proportion to the quantities respectively applied
for.

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Proof of import and/or export shall be provided solely by

6.
means of customs documents of release for free circulation.

Member States may accept copies of those documents duly
certified by the competent authorities.

6. Where in application of the coefficient referred to in
paragraphs 4 and 5 the allocation under the second indent of
Article 2(2) and under Article 2(4) would result in less than 50
head being allocated per application, the allocation shall be
made by the Member States concerned by drawing lots for
batches of 50 head for those applications. Where the remainder
is fewer than 50 head, that number shall constitute a single
batch.

Article 3

1.
Operators who are no longer engaged in trade in live
bovine animals on 1 January 2003 shall not qualify under the
arrangements provided for in this Regulation.

2.
For the purpose of access to the quantity referred to in
the first indent of Article 2(2) a company formed by the merger
of companies each having rights to apply pursuant to that
indent shall enjoy the same rights as the companies from which
they were formed.

Article 4

Article 5

1.
A security for import rights is fixed at EUR 3 per head. It
must be lodged with the competent authority together with the
application for import rights.

2.
Import licence applications must be submitted for the
import rights allocated. This obligation is a primary require-
ment within the meaning of Article 20(2) of Regulation (EEC)
No 2220/85.

1. Where, under any one category referred to respectively in
the first indent of Article 2(2), the second indent of Article 2(2)
and Article 2(4) an applicant submits more than one applica-
tion, all such applications shall be rejected.

3. Where the allocations for Italy and Greece referred to in
Article 2(2) and that made by the Commission under Article
4(5) result in import right applications exceeding the rights
allocated, the security lodged shall be released immediately for
that overrun.

2.
For the purposes of Article 2(2) and (4), applications
accompanied by the necessary proofs must reach the compe-
tent authorities not later than 13.00, Brussels time, on 13 June
2003.

Article 6

Each application under the second indent of Article 2(2)
3.
and under Article 2(4) shall relate to a minimum of 50 head
and a maximum of 10 % of the available number of head.

Any import of animals for which import rights have been

1.
allocated shall be subject to presentation of an import licence.

As regards applications under Article 2(2), after verifica-
4.
tion of the documents presented, Italy and Greece shall forward
to the Commission by 2 July 2003 at the latest a list of appli-
cants and quantities applied for using the forms set out in
Annex II for applications under the first indent of Article 2(2)
and in Annex III for applications under the second indent of
Article 2(2).

Where the quantities applied for under any of the two indents
of Article 2(2) exceed the quantities available the Member State
concerned shall apply a reduction coefficient to the quantities
applied for.

As regards applications under Article 2(4), after verifica-
5.
tion of the documents presented, Member States shall forward
to the Commission by 2 July 2003 at the latest a list of appli-
cants and quantities applied for using the form set out in
Annex III.

The Commission shall decide as soon as possible to what extent
applications under Article 2(4) may be accepted. Where the
quantities applied for exceed the quantities available,
the
Commission shall fix a reduction coefficient to be applied to
the quantities applied for.

Regulations (EC) No 1291/2000 and (EC) No 1445/95

2.
shall apply, save as otherwise provided in this Regulation.

3.

Licence applications may be lodged solely:

— in the Member State in which the application for import

rights has been lodged, and

— by operators to whom import rights have been allocated in
accordance with Articles 2 and 4. Each issuing of an import
licence shall result in a corresponding reduction of the
import rights.

Licences shall be issued up to 28 November 2003 for a
4.
maximum of 50 % of
Import
licences for the remaining quantities shall be issued from 1
December 2003.

the allocated import rights.

5.
An import license shall be issued on application by and
in the name of the operator who have obtained the import
rights.

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6.

Licence applications and licences shall show:

— the proof of the payment of the customs duties by, or on

behalf of, the titular holder.

(a) the country of origin in box 8;

(b) one of the eligible CN codes in box 16;

(c) the figure ‘0’ (zero) in box 19;

(d) the following endorsement in box 20:

‘Live male bovine animals of a live weight not exceeding
300 kg per head, for fattening (Regulation (EC) No 977/
2003).’

Article 7

1.
Notwithstanding Article 9(1) of Regulation (EC) No 1291/
2000, import licences issued pursuant to this Regulation shall
not be transferable and shall confer rights under the tariff
quotas only if made out in the same name and address as the
one entered as consignee in the customs declaration of release
for free circulation accompanying them.

Import licences shall be valid for 120 days from their date
2.
of issue within the meaning of Article 23(1) of Regulation (EC)
No 1291/2000. However, no licences shall be valid after 30
June 2004.

The security relating to the import

3.
licence shall be
EUR 20 per head and shall be lodged by the applicant together
with the licence application.

4.

Licences shall be valid throughout the Community.

Article 8

At the time of import, the importer shall provide proof

1.
that he has:

— given a written undertaking to inform within one month
the competent authority of the Member State that issued
the licence, of the farm or farms where the young bovine
animals are to be fattened,

— lodged a security of an amount as laid down for each
eligible CN code in Annex IV with the competent authority
of the Member State that issued the licence. The fattening
of the imported animals in that Member State for at least
120 days from the date of acceptance of
the customs
declaration of release for free circulation is a primary
requirement within the meaning of Article 20(2) of Regula-
tion (EEC) No 2220/85.

2.
Except in cases of force majeure, the security referred to in
the second indent of paragraph 1 shall be released only if proof
is furnished to the competent authority of the Member State
that issued the licence that the young bovine animals:

(a) have been fattened on the farm or farms indicated pursuant

to paragraph 1;

(b) have not been slaughtered before a period of 120 days

from the date of import has elapsed; or

(c) have been slaughtered for health reasons or have died as a
result of sickness or accident before that period has elapsed.

Article 8(4) of Regulation (EC) No 1291/2000 shall not

5.
apply.

The security shall be released immediately after such proof has
been furnished.

Notwithstanding the provisions of Section 4 of Title III of
6.
the security shall not be
Regulation (EC) No 1291/2000,
released until proof has been produced that the titular holder
of the licence has been commercially and logistically respon-
sible for the purchase, transport and clearance for free circula-
tion of the animals concerned. Such proof shall at least consist
of:

— the original commercial invoice made out in the name of
the titular holder by the seller or his representative, both
established in the third country of export, and proof of
payment by the titular holder or the opening by the titular
holder of an irrevocable documentary credit in favour of
the seller,

— the bill of lading or, where applicable, the road or air trans-
port document, drawn up in the name of the titular holder,
for the animals concerned,

— the copy No 8 of form IM 4 with the name and address of

the titular holder being the only indication in box 8,

However, where the time limit referred to in the first indent of
paragraph 1 has not been observed, the security to be released
shall be reduced by:

— 15 %, and by

— 2 % of the remaining amount for each day by which it has

been exceeded.

The amounts not released shall be forfeited and retained as
customs duties.

3.
If the proof referred to in paragraph 2 is not furnished
within 180 days from the date of import, the security shall be
forfeited and retained as customs duty.

However, if such proof is not furnished within 180 days but is
produced within six months following the said period of 180
days, the amount forfeited, less 15 % of the security, shall be
repaid.

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Article 9

1.
Animals not covered by import licence applications at 6
February 2004 shall be the subject of a further allocation of
import rights,
irrespective of the allocation of import rights
between Member States referred to in Article 2(1) and of the
two different schemes provided for in the first and second
indents of Article 2(2).

To that end, by 12 February 2004 at

2.
the
Member States shall notify the Commission of the number of
animals referred to in paragraph 1.

the latest

3.
The Commission shall establish and publish as quickly as
possible the total remaining number of animals to be reallo-
cated.

New applications for import rights shall be presented in the
Member State where the applicant is entered in the national
value added tax register.

5.
Each application shall relate to a minimum of 50 head
and to a maximum of the available number of head referred to
in paragraph 3. However, where the remaining number of
animals is lower than 50 head, an application shall relate to
that lower number of head.

For the purposes of this Article, Articles 4 to 8 shall
6.
apply. However, the date of application mentioned in Article
4(2) shall be 27 February 2004 and the date of communication
mentioned in Article 4(4) shall be 5 March 2004.

Article 10

4.
The allocation of those animals shall be open to interested
operators who have applied for import licences for all their
import rights initially granted.

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

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

Done at Brussels, 6 June 2003.

For the Commission

Franz FISCHLER

Member of the Commission

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ANNEX I

Regulations referred to in Article 2(2)

Commission Regulations:

Regulation (EC) No 1431/1999 (OJ L 166, 1.7.1999, p. 49),

Regulation (EC) No 885/2000 (OJ L 104, 29.4.2000, p. 39),

Regulation (EC) No 1095/2001 (OJ L 150, 6.6.2001, p. 25).

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ANNEX II

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ANNEX III

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ANNEX IV

SECURITY AMOUNTS

Male bovine animals for fattening
(CN code)

Amount (EUR) per head

0102 90 05

0102 90 29

0102 90 49

28

56

105