WRITTEN QUESTION E-3185/03 by Geoffrey Van Orden (PPE-DE) to the Commission. Duty free allowances in the Canary Islands.
Date: 2003-10-27
Institutions: European Parliament, Provisional data
Subjects: Canary Islands, derogation from EU law, duty-free sale, export restriction, import restriction, tax harmonisation

8.4.2004

EN

Official Journal of the European Union

C 88 E/135

Overall, PHARE has greatly contributed to the preparation of Hungary for accession, both in general and
specifically in relation to the implementation of Structural Funds. Institutions have been strengthened, staff
trained, pilot actions launched and,
through the 2002-2003 Economic and Social Cohesion sub-
programme, the whole country was involved for the first time in a joint programming and implementation
exercise.

For more information on the 1998-2003 PHARE Programmes, details on specific allocation for sub-
programmes are available on the following web-site:
(http://europa.eu.int/comm/enlargement/finan-
cial_assistance.htm).

As regards ISPA (Instrument for structural policies for pre-accession), Hungary also received from ISPA
EUR 88,3 million in 2000, EUR 90,8 million in 2001, EUR 94,2 million in 2002 and will receive
EUR 94,5 million in 2003. The support was roughly divided equally for environment and transport
projects. During the first three years of its operation, 100 % of the ISPA allocation has been committed.
The Hungarian Government has also elaborated Strategy Papers for Transport and Environment.

Details on specific ISPA projects are available on the following web-site (http://europa.eu.int/comm/
regional_policy/funds/ispa/ispa_fr.htm).

Concerning the Hungarian Sapard programme (Special Accession Programme for Agricultural and Rural
Development), it was adopted by the Commission in October 2000. It foresees the improvement of the
competitiveness of the agricultural sector and processing industry focusing on environmental protection
and seeks to enhance the adaptation capabilities of rural areas. The average annual public expenditure will
amount to EUR 50,5 million during the period 2000-2003, of which EUR 38,7 million will be the
Community contribution. At the end of September 2003, 541 Sapard projects will have been approved for
a total commitment of about EUR 40 million.

(2004/C 88 E/0142)

WRITTEN QUESTION E-3185/03

by Geoffrey Van Orden (PPE-DE) to the Commission

Subject: Duty free allowances in the Canary Islands

(27 October 2003)

Why can the Canary Islands impose tighter limits on EU citizens importing and exporting duty free items
than other parts of the EU?

If this activity is based on a derogation to normal EU rules, when is the derogation scheduled to end?

Answer given by Mr Bolkestein on behalf of the Commission

(17 December 2003)

Certain territories, including the Canary Islands, are excluded from the fiscal territory of the Community (1),
mainly for historical or geographical reasons. Being outside the fiscal territory, the Canary Islands may
impose restrictions on the import and export of goods by travellers coming from the Union which are at
variance with those otherwise applied within the Community.

The special status granted to the Canary Islands is not limited in time. It may however be brought to an
end, either at the initiative of the Commission (2), presenting the necessary proposals, or, as far as excise
duty is concerned, by notice submitted by Spain (3).

(1) See Article 3(3) of the Sixth Council Directive 77/388/EEC of 17 May 1977 on the harmonisation of the laws of
the member States relating to turnover taxes (cid:1) Common system of value added tax: uniform basis of assessment,
OJ L 145, 13.6.1977 and Article 2 of Council Directive 92/12/EEC of 25 February 1992 on the general
arrangements for products subject to excise duty and on the holding, movement and monitoring of such products,
OJ L 76, 23.3.1992.

(2) See Article 3(5) of the Sixth VAT Directive.
(3) See Article 2(2) of Directive 92/12/EEC.