CELEX: 51981PC0619
Language: en
Date: 1981-10-22 00:00:00
Title: Recommendation for a COUNCIL DECISION concerning the conclusion of an Agreement resulting from the negotiations and consultations between Finland and the European Economic Community concerning trade in various agricultural products (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (81) 619
Vol. 1981/0188
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983
concernant l'ouverture au public des archives historiques de la Communauté économique
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983,
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003
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In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983
concerning the opening to the public of the historical archives of the European Economic
Community and the European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243,
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file have been declassified in conformity with Article 5 of the aforementioned regulation.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1.
Februar 1983 über die Freigabe der historischen Archive der Europäischen
Wirtschaftsgemeinschaft und der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983,
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. September 2003
(ABI. L 243 vom 27.9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5
der genannten Verordnung freigegeben.
 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                 COM(81)619 final
                                                 Brussels . 22 October 1981
                             Recommendation for a
                                COUNCIL_ DECISION
                                          .«-Ά
                                       •-    ?
                              • , -•
        concerning the conclusion of an Agreement resulting from
          the negotiations and consultations between Finland and
            the European Economic' Community concerning trade in
                      ; various agricultural products
               ( submitted to the Council by the Commission )
  C0MC81 ) 619 final
 ---pagebreak---                   EXPLANATORY    MEMORANDUM
In accordance with the mandate it   received from the Council
on 16 December 1980 , the Commission conducted negotiations with
Finland concerning their reciprocal trade in cheese .   At the
same time , following Greece 's accession to the Communities , the
Commission held negotiations with Finland under Article XXIV ( 6 )
of the GATT .
The negotiations have resulted in a satisfactory overall agree­
ment .
 ---pagebreak---      CONCLUSION Of AN AGREEMENT RESULTING FROM THE NEGOTIATIONS AND
       CONSULTATIONS BETWEEN FINLAND AND " THE "COMMUNITY ON TRADE IN
                        VARIOUS AGRICULTURAL PRODUCTS
                                          \
                 ( Commission Communication to the Council )
The Commission hereby transmits to the Council :
 i.   a report on the outcome of the negotiations and consultations
      between Finland and the Community on trade in various agricul­
      tural products ( Annex A ) ;
ii .  a draft agreement including an agreed minute and . a temporary
      arrangement ( Annex B ) .
The Commission recommends that the Council approve this Agreement .
To that' end it presents a draft decision on the conclusion of the
Agreement ( Annex C ) .
 ---pagebreak---                                                     Annex A page 1
                       Report on the outcome of the     ■
         NEGOTIATIONS AND CONSULTATIONS BETWEEN FINLAND AND THE
           COMMUNITY ON TRADE IN VARIOUS AGRICULTURAL PRODUCTS
1 . In accordance with the mandate it received from the Council on 16 De­
    cember 1980 and following Finland 's request , the Commission held con­
    sultations with Finland on the situation regarding the reciprocal trade
    in cheese .                 '                     '               '  -
    At these consultations , both parties noted, each for its part , that-the
 .  situation was unsatisfactory .   The conclusion reached by both delegations
    was that some features of the import systems in force in Finland and the
    Community did not correspond to the present market circumstances and that
    they should be brought into line with the real situation .    It proved pre­
    ferable to adopt a provisional practical solution rather than to seek a
                              4
    definitive adjustment , which would have been difficult to achieve in the
    present economic circumstances .
    The negotiations resulted in a three-year temporary arrangement ( see
    Annex I ) the main features of which are the stabilization of imports into
    the Community from Finland at a certain quantitative level ( average of
    1978 , 1979 and 1980 imports ), the progressive opening of the Finnish mar --.
    ket to Community exports and the establishment , with reciprocal guarantees
    of a satisfactory competitive situation based on the setting up of a con­
      *
    certed discipline mechanism .       '
    Following Greece 's accession to the European Communities , the Community
    is obliged to hold negotiations under Article XXIV ( 6 ) of the GATT in
    order to compensate its GATT partners for the injury caused them by the
    substitution of CCT duties for Greek customs duties bound under GATT .
    In a letter of 11 June 1981 , Finland requested the opening of those nego­
    tiations with the Community .
 ---pagebreak---                                                                                              2.
   • The negotiations ,- which took place at the same time as the negotiations
     on cheese , resulted in an agreement under which the Community will grant
     Finland tariff concessions ih the cheese sector as compensation for the             -
     withdrawal of the tariff concessions bound by Greece ( in particular for
     certain cheeses ).          -       .                          . "                    -
     Finland stated that it was prepared , without binding under GATT , to in­
     clude these concessions in the temporary arrangement for cheese ( see
     exchange of letters in Annex II ).                ■                         > ■ :        .
3 . Both delegations feel that they have reached a balanced overall agreement
     which is satisfactory to both parties .          An agreed minute ( see Annex B )
     was initialled in Helsinki on 31 August 1981 and is being submitted for
     the - approval of their respective authorities .         The agreed mirute compri - -
     ses an overall agreement ori the following points :
       ( i ) Temporary     arrangement for a concerted discipline between Finland
              and the European Economic Community concerning reciprocal, trade in ,
            , cheese ;                                      '
     ( ii ) Exchange of letters concerning the outcome of the negotiations
              between Finland and the European Economic Community under Article
              XXIV ( 6 ) of the GATT fol lowing the . accession of Greece to the European
              Communities .
                            !              •   , ■        .          .  -     . v      ;
                                   • • ,     -                 W •
 ---pagebreak---                                 AGREED MI NLiTE
    Negotiations and consultations between the Finnish Delegation
  and the Delegation of. the Commission of the European Communities
              concerning trade in various agricultural products
The Finnish Delegation and the Delegation of the Commission of the European
Communities have reached an overall agreement covering the following points :
 (i)     Temporary arrangement for a concerted discipline between Finland and
         the European Economic Community concerning reciprocal trade in cheese
         ( Annex I ) ;
Cii )    Exchange of letters concerning the outcome of the negotiations between
         Finland and the European Economic Community under Article XXIV ( 6 ) of
         the GATT following   the accession of Greece to the European Communities
        .( Annex II ).
      delegations have agreed to submit this overall agreement to their res­
pective authorities for approval .
Done at Helsinki , 31 August 1981
                                                For the Delegation of
For the Finnish Delegation                      the Commission of the
                                                European Communities ,
 ---pagebreak---                                                      Annex I , page 1
                                                                         »     Ρ
                                                                         f
                     l'
            TEMPORARY ARRANGEMENT FOR A CONCERTED DISCIPLINE BETWEEN
              FINLAND AND THE EUROPEAN ECONOMIC COMMUNITY CONCERNING
                             RECIPROCAL TRADE IN CHEESE .
 I. The European Economic Community and Finland have held consultations
      concerning their reciprocal trade in cheese .       '              .
      During these consultations , both parties noted , each for its part ,
  ■ . that the development ,of reciprocal imports and exports of cheese was
      not satisfactory , and that certain import arrangements , agreed between
      them , no longer corresponded to the situation on the market in cheese .
      They concluded , by common accord , that the trade arrangements for cheese
   . should be adapted to the requirements of their respective markets , account
      also being taken of the accession of Greece to the Community .
      They considered that , under the present circumstances , it would be prefe­
      rable to seek a practical solution for a limited period rather than to
      adapt these arrangements on a definitive basis .                       -
    i                      ^                      •             •  ' v     :     . '
II . Finland and the Community have agreed to -- conclude a temporary arrangement ,
      the provisions of which are as follows :                         ,
      1 . Finland and the Community shall temporarily suspend , for an initial
          period of three years from 1 January 1982 to 31 December 1984 , the
          following provisions of the arrangements for the importation of cheeses
          into the Community :        -                 '
 ---pagebreak---                                                                  Annex I , page 2
   the value Limits included in the binding under 6ATT ( Schedule LXXII - EEC
   of the following CCT tariff, lines :
                                                                                         \
   04.04 A I a ) ex 1
   04.04 A I b ) 1 ex aa ) ;
   the value limits included in the Community 's autonomous concession for
   Tilsit and Butterkase falling within CCT subheading 04.04 E I b ) 2 ;
   the value limits included in the Community 's autonomous concession . for
   processed cheese falling within CCT subheading 04.04 D I.
Finland and the Community will establish for the same period as the suspen­
sions mentioned in paragraph 1 above the following trade arrangements .
For the period from 1 January 1982 to 31 December 1984 , for the cheeses lis­
ted below , the quantities traded each year and the duties to be levied on
importation may not exceed the following levels :
a ) ON IMPORTATION INTO THE COMMUNITY :            .          '
      Cheese falling within CCT headihg No 04.04 originating in and coming from
      Finland / accompanied by an approved certificate :
                                             -           Quantity                    Import duty
      - Finlandia , of a minimum fat content         (
        of 45 % by weight , in the dry matter ,!
        matured for at least'100 days , in           t
        rectangular blocks , of a net weight , i
        of not less than 30 kg , falling             I
        within CCT subheading 04.04 E I b ) 5 £ 5 850 t , inclu-
      - Emmentaler
                 ...
                     ,. Gruyere , Sbrinz
                                    .    .
                                           and Berg-).-i          onna ^ 1rJUm
                                                          of 2 900 t       for ,
                                                                                   ' 18,13 ECU /100 kg
    ,   kase , not - grated or powdered , of a       J _. ,         ..
          . .     , f      ^ ^ , , c o, t                 Finlandia
        minimum fat content of 45 A by weightJ
        in the dry matter, matured for at            |         _
        least three months , falling within          1
        CCT subheading 04.04 A I or II :             I
        . whole cheeses          -                   t
        .. pieces packed in. vacuum or in inert                                  .         .
           gas with rind on at least one side ,
           of a net weight of not less than
           1 kg but less than 5 kg                        1 350 t                    18,13 ECU / 100 kg
 ---pagebreak---                                                         ANNEX I , page 3
                                                 Quantity              Import duty
                                V
     - Processed cheese , not grated or
     • powdered , in the, blending of which .,
         only Emmentaler , Gruyere and Appen­
         zell have been used and which may
         contain , as an addition , Glarus
      , herb cheese ( known as Schabziger ),
         put up for retail sale , of a fat
         content , by weight , in the dry
       i matter , not exceeding 56 %, falling
         within CCT subheading 04.04 DI or
         DII a )    1         "                     500 t          36.27 ECU / 100 kg
     - Other                        t"              ' 0 t
b ) ON IMPORTATION INTO FINLAND
     Cheese falling within heading n° 04.04 of the Finnish Cu-stom ^ Tariff ,
    originating in and coming from the        Community , and accompanied by an
     approved certificate of quality and origin
                                                Quantity              Import duty
    04.04.150 fresh cheese , curd                                 2 /3 of the levy
                                       J overall quanti ty
                                       î of   .
              200 processed cheese                                1 /3 of the levy
            .   *           ■
                                         400 t for 1982
            3.00 whey cheese                                      2 / 3 of the levy
                                         500 t for 1983
                                                                         '            ^
              4U0 mould-cured cheese                              1 /3 of the levy
                                         600 t for 1984
              901 Emmentaler– type                                full levy
                  ■ cheeses
                                         with no restrictions
                                         as to type or quality
              902 Edam-type cheeses                               full levy       '
              909 other cheeses                                   1 /3 of the levy
 ---pagebreak---                                                            ANNEX I , page 4
 3 . Finland undertakes to take the necessary measures to ensure that :
       i.   the quantities it has agreed to export to the Community ( see 2 . ( a ))
            will not be exceeded ;
      ii .  import Licences will be granted regularly and in such a way that the
            quantities it has agreed to import from the Community ( see 2 . ( b ) )
          ' can be reached .            1                     - .
     The Community and Finland will take stemps to ensure that the benefits
     which they grant each other will not be jeopardized by other import measures .
4 . Finland and the Community undertake , each on its own behalf , to ensure that
     the prices charged by their exporters are not such as to create difficul­
     ties on the importing country 's market .
     They agree , in this connection , to set up the system for cooperation and
     the exchange of information described in the Annex to this Arrangement .
                         ■ •/                                                     '
     If difficulties arise concerning the prices charged , consultations will be
     held at the request of either party , as promptly as possible , with a view
     to the adoption of appropriate corrective measures .
5 . The two parties may consult each other at any stage concerning the opera­
     tion of this Arrangement and may , by common accord , alter it if necessary
     by reference in particular" to the trend of market prices , production , mar­
     keting or consumption of home-produced and imported cheeses .
6 . In order to ensure constant cooperation in the day -to -day running of export
     and import operations , the Finnish Government and the Community shall each
     appoint a Delegate .     These Delegates will exchange information on the de­
     velopment of trade as regards prices and quantities marketed .
 ---pagebreak---                                                     Annex I , page 5
            f
7 . During the first half of 1984 , consultations will be held in order to
    decide whether this Arrangement should be extended , and if so , on what ,
    terms . .
8 . All the provisions contained in this Arrangement will enter into force
    on the same date .
Done at
For the Government , of the                        On benalf of the Council
    Republic of Finland                          of the European Communities
 ---pagebreak---                                                     Annex 1 , page 6
                                       A  rX
With a view to preventing the prices charged by exporters from being
suc.h as to create difficulties on the importing country 's market , the
following information and cooperation system has been set up :
1)   Finland will provide the Commission of the European Communities with
    the following information on each category of cheese covered by the
    Arrangement :
    - two weeks before the beginning of each quarter , prospective Finnish
       exports to the Community for the next quarter ( anticipated quantities ,
       free -at - Finnish - frontier prices , probable markets ) ;
                                     »
    - three weeks following the end of each quarter , actual Finnish exports
       to the Community during the past quarter ( quantities and free-at-
       Finnish-frontier prices , importing member countries ).
2 ) The Commission of the European Communities will at regular intervals
    provide price quotations and any other useful information concerning
    the market in home-produced and imported cheeses .
 ---pagebreak--- DELEGATION OF THE COMMISSION                                             Annex II , page 1
               OF THE
    EUROPEAN COMMUNITIES
             Sir ,
                      I have the honour to refer, to the note which the " Finnish Perma­
             nent Mission in Geneva addressed to the Permanent Representative of the
             Commission of the European Communities in Geneva on : 1 1 ; June 1981 concer­
            ning Finland 's request for the initiation of negotiations . with the
             Community under Article XXIV < 6 ) of the GATT , following - the accession bf
           Greece to the European Communities .
                      I noted Finland 's claim that , for the 'following tariff headings ,
             listed in Schedule XXV - Greece , .which has : been ^withdrawn , it was
            Greece 's main supplier outside the Community :                              * .
             - 04.04 B 5 " Dutch cheeses "
             - 04.04 B 9 Other prepared cheeses .
                      As a result of the negotiations held on this subject between our
          . delegations during the consultations concerning cheese , concessions were
            •included in the " Temporary arrangement .for .■ a . . concerted discipline on re­
             ciprocal , trade in cheese " as compensation ifor the rights, which Finland .
            has under Article XXIV <6 ) .                                    ''
                      The Community gives an undertaking to enter into .consultations
            with Finland , should this temporary Arrangement expire , in order to give
             it compensation equivalent . to its rights under Article XXIV ( 6 ).            *
                                                                                    i
                      I should be grateful if you would confirm whether you are in
            agreement with the above .              .
                      Please accept , Sir ,- the assurance of my ; hig.hest consideration .
 ---pagebreak--- FINNISH DELEGATION
                                                            Annex II - page 2
           Sir ,
                    I have the honour to confirm my agreement to the content of your
            Letter of                    , which reads as follows :
                   "I have the honour to refer to the note which the Finnish Perma­
           nent Mission in Geneva addressed to the Permanent Representative of the
           Commission of the European Communities in Geneva on 11 June 1981 concer­
           ning Finland 's request for the initiation of negotiations - with the
           Community under Article XXIV ( 6 ) of the GATT , following the accession of
          Greece to the European Communities .
                                                                                       /
                   I noted Finland 's claim that , for the following tariff headings ,
           listed in Schedule XXV - Greece , which has been withdrawn , it was
           Greece 's main supplier outside the Community :
                          ' I . •                        *          • • ,
           - 04.04 B 5     Dutch cheeses
           - 04.04 B 9 Other prepared cheeses .
                   As a result of the negotiations held on this subject between our
           delegations during the consultations concerning cheese , concessions were
           included in the "Temporary arrangement for a concerted discipline on re­
           ciprocal trade in cheese " as compensation for the rights which Finland
          has under Article XXIV ( 6 ).
                   The Community gives an undertaking to enter into consultations
           with Finland, shoufd this temporary Arrangement expire , in order to give
           it compensation equivalent to its rights under Article XXIV ( 6 ).
                   I should be grateful if you would confirm whether you are in
           agreement with the above ".
                   Please accept , Sir , the assurance of my highest consideration .
 ---pagebreak---                                                                  ANNEX C page 1
                            RECOMMENDATION FOR A COUNCIL DECISION
concerning    the conclusion of an Agreement resulting from the negotiations and
           consultations between Finland and the European Economic Community
                     concerning trade in various agricultural products
         THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
         Having regard to the Treaty establishing the European Economic Community ,
         arid in particular Article 113 thereof ,                                   '
         Having regard to the recommendation from the Commission ,
         Whereas , in accordance with the mandate which it received from the    Council
         on 16 December 1980 , the Commission has held consultations with Finland on
         reciprocal trade in cheese and has reached a satisfactory agree­
         ment with that country in a spirit of reciprocity ;
                                                        ' . wh i c h
         Whereas , in accordance with the authorization' i t received from the Council on
         28 April 1981 , the    Commission initiated negotiations with Finland under Ar­
         ticle XXIV ( 6 ) of the GATT following the accession of Greece to the European
         Communities and has reached an acceptable agreement ,
         HAS   DECIDED AS FOLLOWS
                                              Article 1
         The Agreement between 'Finland and the    European Economic Community compri­
         sing :
         - a temporary arrangement for a concerted discipline between Finland and
            the European Economic Community concerning reciprocal trade in cheese ;
 ---pagebreak---                                                        ANNEX C , page 2
- an exchange of Letters concerning the outcome of the negotiations between
  Finland and the European Economic ~ immunity under Article XXIV ( 6 ) of the
  GATT following the accession of Greece to the european Communities ;
is hereby approved on behalf of the Community .
   V                ,                  • V
The text of the Agreement is attached to this Decision .
                                 Article 2
The President of the Council is hereby authorized to designate the person
empowered to sign the Agreement in order to bind the Community . .
                                    Done at Brussels ,
                                           For the Counci I
                                            The President