REPORT FROM THE COMMISSION TO THE COUNCIL Thirteenth report on the implementation of Council Regulation (EC) No 866/2004 of 29 April 2004 and the situation resulting from its application covering the period 1 January until 31 December 2016
Date: 2017-07-07
Institutions: European Commission, Secretariat-General
Subjects: Cyprus, Türkiye, United Kingdom, accession to the European Union, border control, economic consequence, foreign national, illegal migration

EN 

   EN 

   EUROPEAN COMMISSION  Brussels, 7.7.2017  COM(2017) 371 final   REPORT FROM THE COMMISSION TO THE COUNCIL Thirteenth report on the implementation of Council Regulation (EC) No 866/2004 of 29 April 2004 and the situation resulting from its application covering the period 1 January until 31 December 2016 {SWD(2017) 261 final}  
 
 
REPORT FROM THE COMMISSION TO THE COUNCIL 

Thirteenth report on the implementation of Council Regulation (EC) No 866/2004 of 29 
April 2004 and the situation resulting from its application covering the period 1 January 
until 31 December 2016 

Council Regulation (EC) No 866/2004 on a regime under Article 2 of Protocol No 10 to the 
Act of Accession1 (hereafter Green Line Regulation, GLR) entered into force on 1 May 2004. 
It  defines  the  terms  under  which  provisions  of  EU  law  apply  to  the  movement  of  persons, 
goods and services across the Line between the areas of the Republic of Cyprus in which the 
government  does  not  exercise  effective  control  and  the  areas  in  which  it  does.  In  order  to 
ensure  the  effectiveness  of  these  rules,  their  application  was  extended  to  the  boundary 
between these areas and the UK Eastern Sovereign Base Area (ESBA).2 

This report covers the period 1 January – 31 December 2016. 

The Commission has maintained a constructive dialogue with the relevant authorities of the 
Republic of Cyprus, the Sovereign Base Area (SBA) Administration on the implementation of 
the Regulation, as well as with the Turkish Cypriot Chamber of Commerce (TCCoC).  

1. 

CROSSING OF PERSONS 

1.1. 

Crossing at authorised crossing points 

The  Regulation  provides  a  stable  legal  framework  for  the  crossings  of  Cypriots,  other  EU 
citizens  and  third  country  nationals  who  cross  the  Green  Line  (hereafter  "the  Line")  at 
authorised crossing points. There was an increase in the number of Turkish Cypriots and of 
Greek Cypriots crossing in 2016 compared to previous years.  

According to data from the Republic of Cyprus, 613,111 (previously: 534,879) crossings by 
Greek Cypriots and 244,929 crossings by Greek Cypriot vehicles (previously: 189,027) were 
noted  from  the  government  controlled  areas  to  the  northern  part  of  Cyprus  and  1,138,670 
(previously:  1,055,130)  crossings  by  Turkish  Cypriots  and  413,208  crossings  by  Turkish 
Cypriot  vehicles  (previously:  382,621)  from  the  northern  part  of  Cyprus  to  the  government 
controlled areas during the reporting period3. 

The number of EU citizens, other than Cypriots and third country nationals, crossing the Line 
decreased. According to data from the Republic of Cyprus Police (hereafter CYPOL), during 
the reporting period 385,426 crossings took place by EU citizens other than Cypriots and third 
country nationals (previously: 491,860).  

1 

2 
3 

OJ L 161, 30.04.2004, p.128. Regulation as last amended by Council Regulation (EU) No 685/2013 of 
15 July 2013, OJ L 196, 19.7.2013, p. 1 - known as the "Green Line" Regulation. 
See 3rd recital of the Green Line Regulation. 
The authorities of the Republic of Cyprus do not keep records for the return of Greek Cypriots to the 
government controlled areas or the return of Turkish Cypriots to the northern part of Cyprus. 

2 

 
 
                                                            
The CYPOL figures mentioned above, however, do not include data on persons and vehicles 
crossing from the northern part of Cyprus at the Pergamos and Strovilia crossings points.4 For 
these,  the  ESBA  reports  that  125,457  (previously:  115,335)  Greek  Cypriots  crossed  to  the 
northern part of Cyprus and 429,807 (previously: 389,412) Turkish Cypriots crossed the Line 
in  the  other  direction,  while  295,042  EU  citizens  other  than  Cypriots  and  third  country 
nationals crossed in both directions, through the crossing points situated within the ESBA.  

In  2016,  the  number  of  CYPOL  personnel  working  directly at  the crossing  points remained 
69, as in 2015. 

The figures gathered by the Turkish Cypriot community indicate an increase in the number of  
crossings  by  Greek  Cypriots  (i.e.  980,724)  and  an  increase  in  the  number  of  crossings  by 
Greek  Cypriot  vehicles  (i.e.  346,609)  from  the  government  controlled  areas  to  the  northern 
part of Cyprus. They also indicate an increase in the number of crossings by Turkish Cypriots 
(i.e. 1,762,498) and an increase in the number of crossings by Turkish Cypriot vehicles in the 
other  direction  (i.e.  728,049).  There  were  1,253,446  foreign  nationals  crossing  from  the 
government controlled areas to the northern part of Cyprus.  

No incidents concerning crossings were reported in 2016. However, to date, Turkish Cypriot 
busses carrying EU citizens are still not permited by the authorities of the Republic of Cyprus 
to cross into the government controlled areas. 

Although not falling under the scope of the Green Line Regulation, the abolition in 2015 of 
certain  requirements  for  crossing  into  the  northern  part  of  Cyprus  via  the  Green  Line,  as  a 
result  of  an  unilateral  Confidence  Building  Measure  (CBM)  by  the  Turkish  Cypriot 
community, continued to have a positive impact on the number of crossings in 2016. 

With  UNFICYP  support,  the  practice  of  religious  worship  continued  to  be  facilitated  as 
mentioned  in  the  January  2017  UNSG  report5.  However,  increased  difficulties  in  obtaining 
permits for religious services in the non govermment controlled areas were reported.   

1.2. 

Irregular migration across the Green Line and asylum 

CYPOL  figures  for  2016  indicated  an  increase  in  the  number  of  migrants  that  irregularly 
crossed the Line from the northern part of Cyprus into the government controlled areas. Their 
number  amounted  in  2016  to  1499,  while  in  2015,  2014,  2013  and  2012,  it  had  been 
respectively 1,290, 970, 1,043 and 1,265. The countries of origin with the highest number of 
irregular  migrants  apprehended  after  having  crossed  the  Line  were  Syria  (704),  Somalia 
(217),  Pakistan  (141),  Cameroon  (60)  and  Iran  (46).  Out  of  these  1499  irregular  migrants, 
87%  applied  for  international  protection  in  the  Republic  of  Cyprus  (1310).  The  majority  of 
these were Syrians (702). 

Irregular  migrants  are  normally  apprehended  during  controls  along  the  Line  and  at  airports 
when seeking to leave Cyprus or at police stations when requesting international protection.  

4 
5  

The GLR does not contain reporting obligations for this traffic. 
Report of the Secretary-General on UNFICYP [S/2017/20] of 9 January 2017. 

3 

 
 
                                                            
CYPOL's  assessment  of  the  fact  that  they  arrived  into  the  government  controlled  areas  by 
irregularly  crossing  the  Line  is  based  on  the  same  criteria  as  in  previous  years,  primarily 
through pieces of information included in their documents, statements by migrants and other 
forms of evidence.  

Based on this assessment, almost all the migrants apprehended in the government controlled 
areas, after having irregularly crossed the Line, had previously arrived in the northern part of 
Cyprus from the territory of Turkey. 

The  Turkish  Cypriot  community  confirmed  once  more  to  the  Commission  that  efforts  are 
being  made  in  the  northern  part  of  Cyprus  to  prevent  irregular  migration.  According  to  the 
information  received,  in  2016,  2,482  persons6  were  refused  entry  into  the  northern  part  of 
Cyprus and 616 persons7 apprehended within the northern part of Cyprus were returned to the 
territory of Turkey, which was the last place they had visited before arriving to the island. 

Representatives  from  the  two  communities  meet  regularly  within  a  bi-communal  Technical 
Committee on Crime and Criminal Matters (TCCCM) under UN auspices. As an extension to 
this committee, the two communities continue to actively use the previously established ‘Joint 
Communications Room’, which provides a forum for the exchange of information on criminal 
matters. 

CYPOL described co-operation with other relevant governmental departments and the ESBA 
administration as very good.  

Eastern Sovereign Base Area (ESBA) 

Overall,  irregular  migration  from  the  northern  part  of  Cyprus  via  the  ESBA  has  decreased 
slightly.  In  2016,  4  irregular  migrants  were  apprehended  after  having  crossed  the  Line 
irregularly.8 1,296 persons were not allowed to cross the Line, the vast majority being Turkish 
citizens (566). Other foreign nationals from the USA, Russia, Iran and Syria, who arrived via 
the  northern  part  of  Cyprus.9  These  persons  were  directed to  the  Agios  Dhometios  crossing 
point for processing as per the Republic of Cyprus' entry requirements. 

Sovereign Base Area (SBA) officers continue to describe their cooperation with the Republic 
of Cyprus as excellent.  

Away from the crossing points, the SBA Police conducts risk-based, intelligence-led patrols 
to counter irregular migration. These patrols are supplemented by patrols from SBA Customs 
and military assets.  

6 
7 

8   

9 

Nationals of Syria: 611, of Turkey: 496, of Turkmenistan: 111, of Iran: 109, of Iraq: 55. 
Nationals  of  Turkey:  251,  of  Nigeria:  40,  of  Syria:  37,  of  Turkmenistan:  27,  of  the  Republic  of 
Moldova: 26. 
These  4  irregular  migrants  intercepted  within  the  ESBA  were  handed  over  to  the  authorities  of  the 
Republic  of  Cyprus  and  added  to  the  overall  number  of  persons  that  irregularly  crossed  the  Line  and 
whose breakdown by nationality is provided in SWD(2017)261, Table VII.  
Nationals of Turkey: 566, of USA: 66, of Russia: 60, of Iran: 35, of Syria: 31. 

4 

 
 
                                                            
Several "unauthorised crossing points" in or near the village of Pergamos, which are used by 
local  residents  and  farmers,  are  particularly  difficult  to  control.  As  mentioned  in  previous 
reports, these "unauthorised crossing points" remain an area of concern and a suitable solution 
in line with Article 5 (2) of Protocol No 3 to the 2003 Act of Accession should be found.10 
The  SBA  has  stated  that  staff  can  rapidly  be  deployed  to  the  areas  of  the  unauthorised 
crossing points in case of need.  

2. 

CROSSING OF GOODS 

Value of trade 

2.1. 
Pursuant to Art 8 of the Commission Regulation (EC) No 1480/200411, the Turkish Cypriot 
Chamber of Commerce (TCCoC) and the authorities of the Republic of Cyprus reported on a 
monthly  basis  on  the  type,  volume  and  value  of  goods  for  which  accompanying  documents 
were issued. Both report on goods having crossed to the government controlled areas through 
the crossing points of Pergamos and Strovilia under the authority of the SBA Administration. 

According to the TCCoC, the total value of goods for which accompanying documents were 
issued  amounted  to  EUR  5,017,714 (previously:  EUR 3,933,918).  Those  figures  indicate  a 
significant  increase  of  27.55%  in  the  overall  value  of  goods  for  which  accompanying 
documents were issued compared to 2015. Potato trade represents the major part of the overall 
increase. 

According to reports provided by the Republic of Cyprus, the total trade value of goods with 
accompanying documents which crossed the Line increased significantly by 21.06% to EUR 
4,374,968.06 (previously:  EUR  3,619,736).  This  increase  partially  reflects  the  economic 
recovery, but is largely due to potato trade.  

Although not covered by the scope of the GLR, trade from the government controlled areas to 
the northern part of Cyprus increased slightly by around 3.09%, from EUR 1,314,271 in 2015 
to EUR 1,354,947 in 2016 according to figures from the Cyprus Chamber of Commerce and 
Industry (CCCI). Trade from the government controlled areas to the northern part of Cyprus 
represents 30.97 % of the trade in the opposite direction (36.3% in 2015).  

The Turkish Cypriot community continues to apply a trade regime that in principle "mirrors" 
the restrictions of the GLR. Protection of local businesses is openly stated by Turkish Cypriot 
stakeholders as the main reason for this. This regime is not always consistently applied. 

2.2. 

Type of goods 

In 2016, plastic products was the most traded item, followed by fresh fish, building materials 
and potatoes.12  

New products, such as waste vegetable oil, were introduced. All the trade across the Line was 
intra-island. 

10 
11 
12 

OJ L 236, 23.09.2003, p. 940. 
Commission Regulation (EC) No 1480/2004 of 10 August 2004, OJ L 272, 20.8.2004, p. 3. 
SWD(2017)261, Table IV.  

5 

 
 
                                                            
2.3. 

Irregularities 

During the reporting period, no cases of irregularities were reported. 

2.4. 

Obstacles and difficulties concerning the movement of goods 

Obstacles  to  trade  across  the  Line  continue  to  persist  and  this  is,  in  the  views  of  the 
Commission and Turkish Cypriot operators, a reason for the limited level of trade.  

As mentioned in previous reports13, the issue of Turkish Cypriot commercial vehicles crossing 
to  the  government  controlled  areas  is  still  not  resolved  and,  to  date,  no  Turkish  Cypriot 
commercial  vehicles  above  7.5  tonnes  can  cross  the  Line  unless  they  have  fully  acquis-
compliant  documents  issued  by  the  Republic  of  Cyprus.  The  authorities  of  the  Republic  of 
Cyprus  have  informed  the  Commission  that  they  put  in  place  dispositions  to  facilitate  the 
process  for  Turkish  Cypriots  to  obtain  roadworthiness  certificates  and  professional  driving 
licences.  The  Commission  is  convinced  that  a  solution  to  the  issue  would  significantly 
contribute  to  increasing  the  level  of  trade  as  it  would  ease  the  transport  of  goods.  It  would 
furthermore strengthen the contact between Cypriot economic operators thus contributing in 
an  important  manner  to  enhancing  trust  between  both  communities.  No  developments  took 
place during the reporting period on this issue. 

As reported in previous years, the authorities of the Republic of Cyprus still do not allow the 
crossing of processed food products due to concerns raised by health services regarding the 
production  process  in  the  northern  part  of  Cyprus.  The  Commission  continues,  as  reported 
previously, to believe that there are no grounds under the Green Line Regulation to carry out 
checks of premises in the northern part of Cyprus in order to assess if production takes place 
in line with Union rules.14 Whilst the authorities of the Republic of Cyprus may take samples 
of the products for further analysis, in line with the application of the Green Line Regulation, 
they  should  not  prevent  all  processed  food  from  crossing.  As  with  commercial  vehicles,  no 
developments took place during the reporting period on this issue.  

During the reporting period, the authorities of the Republic of Cyprus continued to apply the 
same  requiremens  that  they  apply  to  processed  foods  to  trade  of  materials  for  contact  with 
food. The Commission is looking into this matter.  

As in previous years, Turkish Cypriot traders have continued to report difficulties in having 
their products stocked in shops and advertising their products and services in the government 
controlled  areas,  which  hinders  trade.  Traders  continue  to  report  a  reluctance  among  Greek 
Cypriots to purchase Turkish Cypriot products. In addition, it was mentioned that traders from 
both  communities  are  faced  with  many  administrative  problems  when  wishing  to  enter  into 
business  with  the  other  community.  Economic  operators  from  both  sides  need  to  be  free  to 
engage in trade relations, based on their business requirements.  

13  

14  

See  for  instance  the  ninth,  tenth,  eleventh  and  twelfth  annual  reports  on  the  implementation  of  the 
Council Regulation EC No 866/2004 and the situation resulting from its application.  
Tenth annual report on the implementation of the Council Regulation EC No 866/2004 and the situation 
resulting from its application.  

6 

 
 
                                                            
Problems concerning the pressure put by Greek Cypriot producers on Greek Cypriot traders of 
potatoes  coming  from  the  northern  part  of  Cyprus  were  resolved  with  the  help  of  the 
authorities of the Republic of Cyprus.  

2.5. 

Smuggling of goods 

The  smuggling  of  goods  remains  widespread  and  it  reflects  the  geographical  pattern  of  the 
Line.  Control  operations  are  taking  place  in  areas  near  the  Line  in  order  to  tackle  seasonal 
issues  in  particular,  such  as  the  transport  of  game/wild  birds  or  fire  crackers  (also  via  the 
ESBA) to the government controlled areas.  

In 2016, the Republic of Cyprus conducted 1852 seizures (previously: 2,689). In 2016, there 
has been an increase in the quantities of cigarettes and a decrease in the quantities of hand-
rolling  tobacco  seized  by  the  Republic  of  Cyprus:  257,785  cigarettes  and    374,133  gr.  of 
hand-rolling  tobacco  (previously:  244,457  cigarettes  and  399,283  gr.,  respectively).  It  was 
reported that, in most cases, this smuggling consists of small quantities. The smuggling is due 
to  the  price  differentials  and  the  higher  tax  on  tobacco  products  in  the  Republic  of  Cyprus. 
Other  items  seized  mainly  include  goods  violating  intellectual  property  rights,  as  well  as 
agricultural and animal and dairy products. There was one criminal case filed in the district 
court  for  smuggling.  For  the  majority  of  the  reported  cases,  an  administrative  penalty  is 
imposed. 

In  2016,  the  number  of  seizures  of  smuggled  goods  within  the  ESBA  (277)  decreased  
(previously: 351). As in 2015, cigarettes and hand-rolling tobacco were the most-seized items.   

Concerning  the  traditional  supply  of  the  Turkish  Cypriot  population  of  the  village  of  Pyla, 
located  in  the  Buffer  Zone  (Art  4  (10)  GLR),  the  quantities  of  construction  materials,  fish, 
cigarettes etc. are monitored and recorded by the ESBA administration.   

Facilitation of trade 

2.6. 
The Commission continues to seek ways of enhancing trade across the Line.15  

In July 2015, the Commission adopted a proposal for amending the Green Line Regulation. 
The objective of the proposal is to establish the manner in which the control mechanism for 
goods covered by a name registered under Regulation (EU) No 1151/2012 would be applied 
in the areas of the Republic of Cyprus in which the Government of the Republic of Cyprus 
does  not  exercise  effective  control.16  This  proposal  for  amendment  was  still  pending  at  the 
end  of  the  reporting  period.  The  proposal  is  based  on  the  Common  Understanding  on  a 
temporary  solution  for  Halloumi/Hellim,  to  be  implemented  pending  the  reunification  of 
Cyprus, reached under the guidance of President Juncker during his visit to Cyprus on 16 July 
201517.  

15  

16  
17  

In 2011 the Commission lifted the obligation that potatoes traded across the Line must be grown 
directly from certified seed potatoes.   
COM/2015/0380 final - 2015/0165 (NLE). 
http://europa.eu/rapid/press-release_MEX-15-5402_en.htm 

7 

 
 
                                                            
The TCCoC continued to express a general interest in the lifting of the prohibition of trade in 
all live animals and animal products, to the extent that these products comply with EU rules 
and  regulations,  including  dairy  products.  Currently,  the  Commission  is  scrutinising  the 
request to authorise trade of farm fish. The Republic of Cyprus has repeatedly expressed its 
willingness  to  examine  the  possibility  of  expanding  the  list  of  goods  that  can  cross  to  the 
government controlled areas.  

The Commission encourages economic operators to take advantage of business opportunities 
and welcomes the intense efforts undertaken by the Chambers of Commerce.  

In the framework of an EU-funded project, the Turkish Cypriot Chamber of Commerce and 
the  Cyprus  Chamber  of  Commerce  and  Industry  continue  to  successfully  implement  the 
project "Leading by Example". This programme provides young Greek Cypriots and Turkish 
Cypriots  with  the  possibility  of  an  internship  in  a  company  on  the  other  side  of  the  Green 
Line.  The  project  aims  at  contributing  to  dialogue,  trust,  cooperation,  and  reconciliation 
between civil societies, including the business communities, throughout Cyprus.   

2.7. 

Union  goods  taken  back  to  the  areas  under  the  effective  control  of  the 
Government  of  the  Republic  of  Cyprus  after  passing  through  the  areas  which 
are not under its effective control 

The  Republic  of  Cyprus  authorities  reported  that  4,352  items  were  taken  back  to  the 
government  controlled  areas  after  having  passed  through  the  non  government  controlled 
areas.  It  was  mentioned  that  these  crossings  run  smoothly  and  that  most  of  the  movement 
takes place to/from the Kato Pyrgos-Karavostasi and Astromeritis-Zhodia crossing points. 

3. 

CONCLUSIONS 

As stated in previous reports, the control of the Line at the authorised crossing points by the 
authorities of the Republic of Cyprus and the SBA and efforts deployed are satisfactory. The 
number  of  persons  irregularly  crossing  the  Line  increased  and  the  situation  needs  to  be 
monitored  carefully.  The  Commission  urges  the  SBA  Administration  to  find  a  suitable 
solution and to deploy the necessary human resources to address the issue. The Commission 
continues to consider that stability, predictability and legal certainty of the requirements at the 
crossing points, and the free movement of EU citizens are of paramount importance. 

In 2016, the value of trade across the Line increased by 21.06% to EUR 4,374,968.06 from 
EUR  3,619,736,  while  the  value  of  goods  for  which  accompanying  documents  were  issued 
increased by 27.55% from EUR 3,933,918 to EUR 5,017,714. Plastic products were the most-
traded  item,  followed  by  fresh  fish,  building  materials  and  potatoes.  The  trade  in  the  latter 
represents the major part of the total increase.  

The  Cyprus  Chamber  of  Commerce  and  Industry  and  the  Turkish  Cypriot  Chamber  of 
Commerce continued their close cooperation and advocacy towards a solution to the Cyprus 
issue, which, in their views, will bring economic benefits to both communities. 

8 

 
 
During the reporting period, certain obstacles to trade remained. Turkish Cypriot commercial 
vehicles above 7.5 tonnes and processed foods are still not authorised to cross the Line by the 
authorities of the Republic of Cyprus. No developments on this issue took place in 2016.  

Overall,  and  while  the  Green  Line  Regulation  continues  to  provide  a  workable  basis  for 
allowing the passage of persons and goods to and from the government controlled areas of the 
Republic  of  Cyprus,  the  Commission  continues  to  be  concerned  that,  with  the  exception  of 
potatoes,  trade  in  all  other  products  is  at  a  low  level.  The  Commission  considers  that 
removing  the  above-mentioned  obstacles  to  trade  would  help  to  significantly  increase  trade 
across  the  Green  Line  and  hopes  that  the  work  of  the  two  Chambers  to  enhance  contacts 
between the two business communities will lead to increased economic ties. 

Against this background, the Commission relies on the effective cooperation of the Republic 
of  Cyprus  and  the  SBA  to  ensure  effective  implementation  of  Council  Regulation  (EC)  No 
866/2004. The Commission will continue to monitor the implementation of the Regulation.  

9