WRITTEN QUESTION E-0715/04 by José García-Margallo y Marfil (PPE-DE) to the Commission. Polish VAT increase for citrus fruit.
Date: 2004-03-10
Institutions: European Parliament, Provisional data
Subjects: Poland, VAT, accession to the European Union, application of EU law, citrus fruit, protectionism, tax harmonisation, trade restriction

C 88 E/520

Official Journal of the European Union

EN

8.4.2004

(cid:1) is the Commission not of the opinion that in irremediable situations, such as the absence of an
original copy of a health certificate on arrival in a port, the Spanish authorities should, in accordance
with Directive 97/78/EC, refuse to allow the entry of these goods;

(cid:1) does the Commission not consider that, by issuing these instructions, the Spanish authorities are
forcing official veterinarians at Spanish border inspection posts to disregard Community rules on the
protection of human and animal health?

(1)

Instructions from the Subdirectorate-General for External and Veterinary Health dated 11 April 2002 concerning
remediable deficiencies in goods inspections.

(2) OJ L 9, 15.1.1993, p. 33.
(3) OJ L 21, 28.1.2004, p. 11.
(4) OJ L 24, 30.1.1998, p. 9.

Supplementary joint answer
to Written Questions E-0627/04 and E-0628/04
given by Byrne on behalf of the Commission

(17 June 2004)

The Commission has been in contact with the Spanish authorities and obtained a copy of the internal
Spanish instructions to which these questions refer.

The instructions are detailed and contain guidance for a number of practical situations that may arise at
border inspection posts in Member States receiving products of animal origin, and also instructions for the
landing of fish and fishery products.

The Commission considers that many of the issues covered as regards veterinary checks are implemented
under the responsibility of the official veterinarian in the border inspection post.

As regards fishery imports and veterinary checks, there are certain areas in the instructions where the
interpretation given by Spanish authorities concerning EU certification requirements requires further
clarification. The Commission has already discussed these instructions with a representative of the Spanish
authorities in the light of recent developments in legislation in this area. The Spanish authorities have
agreed to clarify the instructions in order to avoid any misunderstandings by inspectors at border
inspection posts.

The Commission agrees that where there is no original health certificate presented with a consignment of
products for import, EU legislation requires the consignment to be refused entry.

There is nothing in the instructions that would authorise the import of products other than from approved
countries and from approved establishments in those countries. From a hygiene viewpoint there is no
evidence in the instructions of more lenient treatment of products from third countries in comparison to
that of products produced in Member States.

The Commission believes, therefore, that the instructions comply with Community legislation and do not
represent either unfair treatment of Community products or a requirement for Spanish veterinarians to
disregard Community rules.

(2004/C 88 E/0533)

WRITTEN QUESTION E-0715/04

by José García-Margallo y Marfil (PPE-DE) to the Commission

Subject: Polish VAT increase for citrus fruit

(10 March 2004)

The Polish Parliament recently adopted a bill on taxing goods and services. The bill includes a significant
increase in taxes on consumer goods, particularly citrus fruits and other imported products. The bill
provides for a VAT rate of 22 % on citrus fruit, whereas all other Polish-produced fruit and vegetables will
be taxed at 7 %.

8.4.2004

EN

Official Journal of the European Union

C 88 E/521

Community legislation lays down that all food products qualify for the lowest rate of VAT, but that it is up
to each Member State to decide the rate it wishes to apply to these products.

However, the Polish bill severely distorts competition, by favouring certain products, most of them locally
produced, to the detriment of others mostly produced in other EU countries, such as citrus and other
imported fruit. The current situation, which directly affects Community citrus fruit growing already
discriminates against citrus fruit by applying a 7 % rate, as against the 3 % applied to other substitute
products; this is completely arbitrary, given the similarity of the cost of citrus fruit with these other, similar
products, which are not affected by the measure.

What measures is the Commission going to take in view of this possible tax discrimination by Poland
against imported citrus fruit coming from other Member States in favour of Polish domestic products of a
similar nature, with a view to safeguarding the principles of freedom of competition within the internal
market?

(2004/C 88 E/0534)

WRITTEN QUESTION P-0822/04

by María Sornosa Martínez (PSE) to the Commission

(8 March 2004)

Subject: Distortion of competition by Poland in respect of other EU products

I have obtained information indicating that the Polish Government plans to modify VAT so as to vary the
rate applicable to citrus fruits, raising it from the current 7 % to 22 %. This draft Polish legislation (draft
1874 of the bill in question), and specifically Article 36 thereof, will significantly increase consumer taxes
on citrus fruit and other imported products. This bill, which is awaiting ratification by the Polish Senate,
severely distorts competition by favouring local products to the detriment of products from the rest of the
Union, and specifically citrus fruit, which is already discriminated against, since citrus fruit coming from
other EU countries is currently taxed at 7 %, while other, similar local products are taxed at only 3 %.

Given Poland’s imminent accession to the EU how does the Commission intend to approach Poland with a
view to avoiding possible violation of Community competition law?

Joint answer
to Written Questions E-0715/04 and P-0822/04
given by Mr Bolkestein on behalf of the Commission

(5 April 2004)

According to Article 12 of the Sixth VAT Directive (1), Member States have to apply a standard rate not
lower than 15 % and may apply one or two reduced rates not lower than 5 %. In principle, those reduced
rates shall apply only to supplies of the categories of goods and services specified in Annex H of the
Directive. The first category in that Annex includes foodstuffs for human and animal consumption.

Poland has been authorized, under the Accession Treaty, to apply a super reduced rate of 3 % until
30 April 2008. Of course, Poland may apply this rate but always in conformity with Community law. In
particular, the principles underlying the VAT system and the provisions of the EC Treaty must be
respected.

The Commission has already received information according to which the draft Polish VAT Law provides
for a super reduced rate of 3 % (which will be raised up to 7 % by 30 April 2008) to be applied to fruit in
general, except for kiwis, papayas and other ‘Southern fruit’. These latter products, which include some
types of fruit which are not grown in Poland and which are imported into that country from some
Member States (in particular, citrus fruits), are to be subject to the standard rate of the tax (22 % in Poland,
according to the draft Law).