Commission Regulation (EC) No 1513/2005 of 16 September 2005 amending Regulation (EC) No 174/1999 laying down special detailed rules for the application of Council Regulation (EEC) No 804/68 as regards export licences and export refunds in the case of milk and milk products
Date: 2005-09-16
Institutions: European Commission
Subjects: United States, cheese, export licence, export refund, milk, milk product, quantitative restriction

17.9.2005

EN

Official Journal of the European Union

L 241/45

COMMISSION REGULATION (EC) No 1513/2005

of 16 September 2005

amending Regulation (EC) No 174/1999 laying down special detailed rules for the application of
Council Regulation (EEC) No 804/68 as regards export licences and export refunds in the case of
milk and milk products

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty
Community,

establishing the European

Having regard to Council Regulation (EC) No 1255/1999 of
17 May 1999 on the common organisation of the market in
milk and milk products (1), and in particular Article 26(3),
Article 30(1) and Article 31(14) thereof,

Whereas:

(1)

(2)

(3)

Commission Regulation (EC) No 750/2005 of 18 May
2005 on the nomenclature of countries and territories
for the external trade statistics of the Community and
statistics of trade between Member States (2) has amended
country codes which also appear in the destination zones
referred to in Article 15 of Commission Regulation (EC)
No 174/1999 (3). That provision should be updated
accordingly.

Article 20 of Regulation (EC) No 174/1999 provides that
export licences for certain cheeses exported to the United
States of America (US) as part of the quotas under the
trade nego-
agreements concluded during multilateral
tiations may be
special
procedure by which preferred importers in the US may
be designated.

allocated according to a

It is therefore appropriate to fix certain eligibility criteria
for the allocation of the export licences, ensuring that the
quotas operate smoothly and are fully utilised. To that
end the licences should be allocated to those exporters
who can prove that they have been previously engaged in
exports of cheese to the United States. Furthermore,
it
appears necessary, in order to prevent a loss of market
share for the Community and to maximise the value of
certain quotas,
to restrict access to those quotas to
operators whose designated importer is a subsidiary.

(1) OJ L 160, 26.6.1999, p. 48. Regulation last

amended by
Commission Regulation (EC) No 186/2004 (OJ L 29, 3.2.2004,
p. 6).

(2) OJ L 126, 19.5.2005, p. 12.
(3) OJ L 20, 27.1.1999, p. 8. Regulation last amended by Regulation

(EC) No 558/2005 (OJ L 94, 13.4.2005, p. 22).

(4)

(5)

(6)

(7)

(8)

Finally, where the applications for export licences exceed
the quantities available, provision should be made for the
distribution of the quota by applying an allocation coef-
ficient.

To ensure a smooth transition from the method currently
applied for allocating licences, more flexible provisions
are desirable for the coming period. For 2006, applicants
whose designated importer is not a subsidiary should
nevertheless be eligible, provided they have exported
the products in question to the US during each of the
three preceding years.

light of

the difficulties

In the
some traders have
encountered in setting up a subsidiary in the United
should apply for
States, a transitional arrangement
2006 as regards the requirement
the designated
for
importer to be a subsidiary of the applicant.

Experience acquired in the past years should be taken
into account for the allocation of licences for 2006 by
that gives a certain
applying an allocation coefficient
preference
designated
preferred importers are subsidiaries or are deemed to
be subsidiaries.

applicants whose

those

to

In accordance with Article 20(4), where a reduction coef-
ficient would mean allocating provisional
licences for
quantities of less than 5 tonnes, the Commission may
allocate licences by drawing lots.
It is appropriate to
adapt that provision by providing for a redistribution
of minor quantities by the national competent authorities
with a view to maximising the use of the quota.

to the Dominican Republic under

Article 20a(8) of Regulation (EC) No 174/1999 lays
down the percentages to be applied to the full refund
rates in order to fix the refunds for products intended for
export
the quota
referred to in paragraph 1 of that Article. With a view
to transparency,
that
provision should be deleted and included in a footnote
providing
to be
introduced in the future in Commission Regulations
fixing the export refunds on milk and milk products in
accordance with Article 31(3) of Regulation (EC)
No 1255/1999.

simplification and consistency,

a differentiated refund rate,

for

(9)

Regulation (EC) No 174/1999 should therefore be
amended accordingly.

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EN

Official Journal of the European Union

17.9.2005

(10)

The measures provided for in this Regulation are in
accordance with the opinion of
the Management
Committee for Milk and Milk Products,

HAS ADOPTED THIS REGULATION:

Article 1

However, for the 2006 quota year, applicants for provi-
sional export licences for the product groups and quotas
referred to in the fourth subparagraph shall not be
subject to the requirement for the designated importer
to be their subsidiaries if they provide evidence that they
have exported such products to the United States of
America in each of the preceding three years.

Regulation (EC) No 174/1999 is amended as follows:

1. In Article 15, paragraph 3 is replaced by the following:

Furthermore, for the 2006 quota year, the designated
preferred importer of an applicant may be deemed to
be a subsidiary for 2006, provided that

The following definitions shall apply for the purposes

‘3.
of paragraph 1:

(i)

the application was lodged in:

(a) zone I: destination codes AL, BA, XK, MK, XM and XS;

(b) zone II: destination code US;

(c) zone III: all other destination codes.’

2. Article 20 is amended as follows:

(a) Paragraph 2 is replaced by the following:

‘2.
Exports of cheese to the United States of America
under the quotas referred to in paragraph 1 shall be
subject to presentation of an export licence. By way of
derogation from the first sentence of Article 5(1), Section
16 of licence applications and licences shall show the
eight-digit product code of the Combined Nomenclature.

the export of
referred to in paragraph 1 during

Traders may apply, within a period to be determined, for
the
licence for
a provisional export
products
the
following calendar year, subject
to the lodging of a
security equal to 50 % of the rate fixed in accordance
with Article 9, with a minimum of EUR 6 per 100 kg.

Applicants for provisional export licences in respect of
the product group and quotas identified by 22-Tokyo
and 22-Uruguay
the
in the
licences
procedure for the allocation of such export
must provide evidence that they have exported cheese
to the United States of America in at least one of the
preceding three years.

regulation opening

Applicants for provisional export licences in respect of
the product groups and quotas identified by 16-Tokyo,
16-, 17-, 18-, 20- and 21-Uruguay, 25-Tokyo and
25-Uruguay in the regulation opening the procedure
for the allocation of such export licences must provide
evidence that
in
question to the United States of America in at least
one of
their
designated importer is a subsidiary of the applicant.

they have exported the products

the preceding three years

and that

— the Czech Republic for a provisional licence for
the purpose of exporting cheese to the United
States of America under the quotas described in
additional notes 16, 17, 18, 20 and 25 to
Chapter 4 of the HTS, or

— in Hungary for a provisional

licence for the
purpose of exporting cheese to the United
States of America under the quota described in
additional note 25 to Chapter 4 of the HTS,

— in Poland for a provisional

licence for

the
purpose of exporting cheese to the United
States of America under the quotas described
in additional notes 16 and 21 to Chapter 4 of
the HTS,

— in Slovakia for a provisional

licence for the
purpose of exporting cheese to the United
States of America under the quotas described
in additional note 16 to Chapter 4 of the HTS,

(ii)

the applicant submits documentary evidence to the
competent authority of the Member State in which
the application is lodged that he has been established
for at least three years in the new Member States
and has exported the cheese in question to the USA
in each of the three calendar years prior to lodging
the application;

(iii) the applicant submits documentary evidence to the
competent authority of the Member State in which
the procedure for
the application is lodged that
establishing a subsidiary in the USA has been
initiated;

(iv) the applicant submits evidence to the competent
authority of the Member State in which the appli-
cation is lodged that he has carried out exports to
preferred importers in the 12 months prior
to
lodging the application.

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Official Journal of the European Union

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Traders shall also indicate in the applications for provi-
sional export licences:

(a)

the designation of the product group covered by the
United States quota in accordance with Additional
Notes 16 to 23 and 25 in Chapter 4 of
the
Harmonized Tariff Schedule of the United States of
America (most recent version);

(b) the

names

product

the
in
Harmonised Tariff Schedule of the United States of
America (most recent version);

accordance with

(c)

the name and address of the importer in the United
States designated by the applicant.

In addition, applications shall be accompanied by a certi-
ficate from the designated importer stating that he is
eligible under the rules in force in the United States on
the issue of import licences for the products referred to
in paragraph 1.

licences shall

For the 2006 quota year, applications for provisional
export
indicate whether the designated
importer is a subsidiary of the applicant, or, is deemed
to be a subsidiary in accordance with the sixth subpar-
agraph.’

Notwithstanding the first subparagraph, where an allo-
cation coefficient is applied in respect of applications for
provisional licences for 2006, the allocation coefficient
for applicants whose designated preferred importers are
in
are deemed to be
subsidiaries or
accordance with the sixth subparagraph of paragraph 2
shall be three times higher than for other applicants.

subsidiaries

4. Where the result of applying the allocation coef-
ficient would be to allocate provisional licences for less
than 10 tonnes per application, the corresponding quan-
tities available shall be awarded by the Member State
concerned drawing lots by quota. The Member State
shall draw lots for provisional
licences of 10 tonnes
the applicants who would have been
each amongst
allocated less than 10 tonnes as a result of applying
the allocation coefficient.

Quantities of less than 10 tonnes remaining when estab-
lishing the lots shall be equally distributed over the 10-
tonne lots before the lots are drawn.

Where the result of applying the allocation coefficient
would be to leave a quantity of less than 10 tonnes,
that quantity shall be considered a single lot.

The security for applications which are not successful in
the allocation by drawing lots shall be released imme-
diately.’

(b) Paragraphs 3 and 4 are replaced by the following:

‘3. Where applications for provisional
licences for a
product group or a quota as referred to in paragraph 1
exceed the available quantity for the year in question, the
Commission shall apply a uniform allocation coefficient
to the quantities for which application is made.

3. In Article 20a, paragraph 8 is deleted.

Article 2

This Regulation shall enter into force on the day following that
of 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, 16 September 2005.

For the Commission

Mariann FISCHER BOEL
Member of the Commission