CELEX: 51978PC0441
Language: en
Date: 1978-09-12
Title: Proposal for a COUNCIL REGULATION (EEC) opening, allocating and providing for the administration of a Community tariff quota for wines of fresh grapes falling within subheading ex 22.05 C of the Common Customs Tariff, originating in Cyprus (1979)#Proposal for a COUNCIL REGULATION (EEC) opening, allocating and providing for the administration of a Community tariff quota for liqueur wines falling within subheading ex 22.05 C of the Common Customs Tariff, originating in Cyprus (1979) (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (78) 441
Vol. 1978/0167
 ---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
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit
règlement.
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,
27.9.2003, p. 1), this file is open to the public. Where necessary, classified documents in this
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(78)441 final.
                                                Brussels , 12 September 1978
                  \
                               Proposal for a
                          COUNCIL REGULATION (EEC ^
         opening , allocating and providing for the administration
          of a Community tariff quota for wines of fresh grapes
               falling within subheading ex 22.05 C of the
           Common Customs Tariff , originating in Cyprus ( 1979)
                               Proposal for a
                          COUNCIL REGULATION (EEC )
        opening , allocating and providing for the administration
          of a Community tariff quota for liqueur wines falling
              within subheading ex 22.05 C of the Common
             Customs Tariff, originating in Cyprus ( 1979)
               ( submitted to the Council "by the Commission)
C0M(78) 441 final
 ---pagebreak---                             EXPLANATORY MEMORANDUM
 .      rticles 5 and 6 of the supplementary Protocol laying down certain
       provisions relating to . trade in agricultural products between the
       EEC and Cyprus , to be annexed to the Agreement EEC/ Cyprus of 1973,
      provide for; the opening of annual Community tariff quotas for the'
      wines listed below originating in Cyprus •
                                                *              1
      a) Wine of fresh grapes, other than liqueur wines, subheading
 / ' ex 22.05 C of the CCT, 10,000 hi at duty rates of 3 UA/ hl         '
          and 3,5 UA / hl , .   .                         •      i .
      b) Liqueur wines , subheading ex 22.05 C of the CCT, 250 000 hi
   ; at duty rates of 3,3 UA/ hl , 4,2 UA/ hl , 5,1 UA/ hl and 5,7 UA/ hl .
 ' These wines remain subject to the provisions governing the common
     organization of the market in wine products, especially as regards
     observance of the reference price .
     Consequently, the Community tariff quotas shown above should be
     opened for the period from 1 January to 31 December 1979 .
. These Regulations provide for the splitting up of the tariff
    volumes into two parts , of which the first will 'be allocated
    among the Member States as quota share and the second will be
    kept as a reserve .                               .
    In the absence of Community statistics , for a period sufficiently
    representative , the initial quota shares have been calculated on
    the basis of the possible demand on the markets of the various
   Member States and on the basis of forecasts made by some of them .
   Because bf the inherent particularities in the trade in wines which ,
   additionally, are di fferent from one Member State to another , the
   provisions of the Regulation for wines , except ionnaUy , do not lay ,
   down a common method of administration to be applied by all Member
   States . -                        '.
   This is the subject of the two annexed proposals .
 ---pagebreak---                                                                                                                ANNEX A
                                                           PROPOSAL FOR A
                                                 COUNCIL REGULATION (EEC)
                                                                               *
                          opening, allocating and providing for the administration of a Community tariff quota for
                          wines of fresh grapes falling within subheading ex 22.05 C of the Common Customs Tariff,
                                                              originating in Cyprus ( 1979 )
            THE COUNCIL OF THE EUROPEAN COMMUNITIES,                                .     ,
            Having regard to the Treaty establishing the European
            Economic Community, and in particular Articles 43 and
            113 thereof,                       • .
           Having regard to the proposal from the Commission,
           Having regard to the opinion of the European Parlia­
           ment ( ' ),
           Whereas article 5 of the supplementary Protocol to the Agreement establishing
           an Association between the European Economic Community and the Republic of
                       ( 2)          . .    ,      . .          .       ,   «
           Cyprus            provides for the openjng of an annual Community tariff quota of
           10.000 hectolitres of certain wines of fresh grapes ,, in containers holding
           two litres or less , falling within subheading ex 22.05 C of the Common
           Customs Tariff , originating in Cyprus , at rates of customs duty equal to
           25% of the customs duty in Common Customs Tariff ; whereas it is necessary
           to open th'ij Community tariff quota for the year 1979 ;
    /  '   Whereas these wines remain subject to the provisions governing the Common
           organization of the market in wine products , especially as . regards obser­
           vance of the reference price ;
           Whereas Council Regulation ( EEC ) N° 2506/ 75 of 29 September 1975 laying
           down special rules for the importation of products in the wine-growing
           sector originating in certain third countries                                    introduced the notion
           of a f ree-at - f rontier reference price , being the reference price less
           customs duties actually levied ;
( 1 ) 0J . N° L
( 2 ) 0J N° L 172 of 28.6.1978, p. 2
( 3 ) OJ N° L 256 , 2.10.1975 , p. 2
 ---pagebreak---  Whereas it ,is in particular necessary to ensure for all Community : ' -
 importers equal and uninterrupted access to the abovementione.d
 quota and uninterrupted application of the rates laid down for              -
 that quota to al l^- imports , of the p'roducts concerned- into, all '-■■■
 Member'. State
          :
                ? until
                      •
                         the quota has been used up. • ; . whereas^'
                                                            •
                                                                     having• y '
 regard to the above principles , the Community nature of the quotci
 can be respected - by al locating' the Community tariff quota a'mong
 the Member States ; whereas, in order to reflect as accurately                '*
 as possible the true trend of the market in the- products in ques- ■
 tion , such a I locat ion should be in, proportion to the- requirements ■.
 of -the Member States > calculated by reference to the , statistics
 fpr imports of the products in question from Cyprus over a repre-
 sentatiye reference period and also to the economic outlook for
 the quota period concerned                    v
 Whereas , however , neither Community nor national^ statistics                   .
 showing the breakdown for each of the types of wine in question
 are available and no reliable estimates of future, imports can be
 made ; whereas ^ in these circumstances , the- quota . should be allo­
 cated in initial shares -on the basis of the likety demand , for these
 wines on the markets of the various Member States ,;
 Whereas , in order to takeinto account import trends for the products
 concerned in the various Member States , the, quota volume should be
 divided into two instalments ^ the first being shared among the Member
 States and the second constituting 'a reserve "to cover at .a later date
                                                              Ν ,/
 the requirements o.f Member . States which - have used' up their initial
 quota shares ; whereas , in>order to give importers in each Member-
 State a certain degree of security , #he first instalment of the
 Community quota should , under the present circumstances , be fixed
 at 86% of the quota volume ;
"Whereas thfe Member States 'initial shares may be used up at different
 times ; whereas,. in order, to tak6 this fact into account and avoid
 any break in continuity, any - Member State ,which has almost used up •
 its initial shared should dr^w an additional share from the reserve ;
 ---pagebreak---                                             "" 3 "                      ANNEX A
  whereas thi:s must be done by each Member State as and when each o f its
                                        *
  additional shares is almost used up , and repeated as many times'as the
                                    ' '       -    '                       „  '
  reserve allows      whereas the initialand additional shares must be
• valid until the end of the quota period ; whereas this method of
  administration - requires - close cooperation between Member States and
  the Commission , and the latter must be. in a position to monitor the
  extent to which the quota volume has been used up and, to inform the
 Member States thereof ;                                   •.
               -                                     "   *        4
 Whereas if , at a given date in the quota - period , a substantial quantity
 of an initial share remains unused in any Member State , it is essential
 that that Member State should return a significant proportion to' the
 reserve , to prevent a part of any Community quota from remaining unused ,
 in one Member State when it could be used in others ;
                                                                                  m
                  ■ -   - -     ' '       .      -              H         ' '   '
Whereas , since the Kingdom of Belgium , the Kingdom of the Netherlands ,
and the Grand Duchy of Luxembourg are united in and represented by the
Benelux Economic Union , any operation relating to the administration ,
of the quota shares allocated to that economic union may be carried
out by any of its members ,                            -
HAS ADOPTED THIS REGULATION :
 ---pagebreak---                                                                                                                          ANNEX    A
                                                                                                          Article î
                                                                               !   F - >w 1 January to 31 Oscs^er 1979 , the Coreon
                                                                              ' .usioijis Tariff duties for the following provlui"
                                                                              o.'igii-U'inj; in Cyprus shall be partially suspended at th -:
                                                                              levels show .", be !.- -n within the limits of a Community
                                                                              tariff quota of ^0 000 heciolhrss :
                        ccr
                                                                                                                       Rate
                       heading                                      Description                                      of duty
                         No
                        22.05         Wine of fresh grapes ; grape must with fermentation arret red by the
                                      addition of akoliol :
                                      C. Other :
                                          , I. Of an actual alcoholic strength not exceeding 13°, in. con­
                                               tainers holding :
                                            . ex a ) Two litres or less :                                            s
                                                       – Wine of fresh grapes                                        3   u.a / hl
                                           II. Of an actual alcoholic strength exceeding 13° but not
                                               exceeding 15° , in containers holding:
                                               ex a ) Two litres or less :                    j
                                                       – Wine of fresh grapes other than liqueur wines
                                                           of an actual alcoholic strength of 15 °                  3-5 u.a. /hl
                                i
     2. The admission of these wines under this Community
     tariff quota shall be conditional upon observance of the
     reference price applicable to them.
      3 . The wines in question shall benefit from these tariff
      quotas on condition that the prices on import into the
     Community are not at any time less than the free-at-
      frontier reference prices applicable thereof , as
      specified in (EEC ) N° 2506/75 and in subsequent
    . instruments .
                               Article 2
       1 . The Communing tariff quota referred to in
      Article 1 shall be divided into two instalments*
        2 . The first instalment , amounting to 8 600 hectolitres,
        shall be allocated among the Member States ; the shares,
        which subject to Article 5, shall be valid until 31
        December 1S79, shall be as follows :
           Bénélux                                280 hl
         ' Denmark                                280 M
           Germany                                280
           France                  /               og ™
           Ireland                               600
           Italy                                   60 hl
           United Kingdom                     7 . 000 ^1
3 . The second instalment, amounting to 1 . Mj O hectolitres^
 shall constitute the reserve.
 ---pagebreak---                                  ~ 3 " •                    ANNEX A
                   ,            Arti ele 3              (
            .          '                        " 4
 If 90% or more of a Member State 's initial share as specified in
Article 2 ( 2 ), or 90% of that share minus the portion returned
to the reserve where Article 5 is applied , has been used up , then
to the extent permitted by the amount of the reserve , that Member
State shall forthwith , by notifying the Commission , draw' a second
share equal to 15% of its initial share , rounded up where necessary
to the next untt .
If , after one of its initial share has been used up , 90% or rtiore
of the second share drawn by a Member State has been used up , then
to the extent permitted by the amount of the reserve , that Member
                                                    i '             >
State shall , in . accordance with the conditions laid down in para­
graph 1 , draw a third share equal to 7.5% of its initial share ,
rounded , up where necessary to the next unit .       -      1
If , after its second share has been used up , 90% or more of the
third share drawn by a Member State has been used up , that Member
State shall , in accordance wilh the conditions laid down in
paragraph 1 , draw a fourth share equaxl to the third .
This process shall continue until the reserve is , used wp .
                                    *    ■ ."*v                     "
By way of derogation from paragraph 1 to 3 , a Member State may
draw shares smaller than those fixed in those paragraphs if
there is reason to believe that those might not be used up .
It shall inform the. Commission of its reasons for applying
this paragraph .              -                   *
 ---pagebreak---                                                                                                                  ANNEX A
                                                   . •                             I
                                                  '                                     .         *                      .   '
                                                Article A
                                                       ->                                     %                  •*
                                                                                               *
•Additional shares drawn pursuant to Article 3 shall be - valid' unti I the                                                '
 end of the period specified in Article . 1 .                                      .■         '     -
              . • ■         ''                                                                             4
  *         '   "   ' " h
                                                Article 5                                                           0
 The Member States shall return to the reserve , not latv / than 1 October
 1979 , sucti unused portion of their initial share gs , on 15 September 1979 ,
 is in excess of 20% of the initial volume . They may return a larger quan­
 tity if there are grounds for believing that it may not be used . ■
                                                              ν     \
 The Member States shall , not later than 1 October - 1979 , notify "the Commis­
 sion of the total quantities of the products in question up to 15 Septembe
 1979 and charged against the Community quota , and of , any quantities , of the
 initial shares returned to the reserve                         ■              ■
                                   ,            Arti ele 6
                                        _                         *   . *>
 The Commission shall keep an account of the shares opened by the Member
 States pursuant to Articles 2 and 3 and shall , as* soon as it' is notified ,
 inform each Member State of the extent to which the reserve has been used
          ,            •         *                                               ,        -             :*•' •
 up .                                                                                 ^                           '
    - ' '                              V /;- '            • ,              ' .                   . '•                 ' ; .
 It shall .inform the Member States , not later than 5 October 1979, of the
 amount in the reserve after quantities have been returned pursuant to
 Article 5 .                   /            -                                               .         .      . x
                          \          '    .   »                              A
 The Commission shall ensure that any drawing which uses up the reserve,
  is limited to the balance available , and to this end shall indicate
 the amount thereof to the Member State which makes such last drawing . -
 ---pagebreak---                                              Article 7                  ■     .
                                                          -M-
  1.      The Member States shall take all measures necessary to ensure
          that additional shares drawn pursuant to Article 3. are opened
'     .    in such a way that imports may be charged without interruption
          against their accumulated shares of the Community quota .
  2.      The Member States . sha 1 1 : ensure that importers of the products
          in question established in their territory have free access to
          the shares allocated to them .
        -   '  -              *                                  '                •   •
 3.       The Member States shall charge imports of the products in question
          on | heir shares as and when the products . are entered with the
          customs authorities for home use .
4.        The extent to which - a Member , State has used up its share shall
                                        •»
          be determined on the basis of the impofts charged in accordance
          with paragraph 3 .
                                             Article 8  * •
At the request of the Commission , the Member States shall inform it
of imports of the products concerned actually charged against their
 shares .             >
                                             Ar'ticle 9
 The Member States and the Commission shall cooperate closely in order
 to ensure compliance with this Regulation.' !
                    .    1v -     ,          Artide 10
                 '    .*          ~   "       *- '                                       *
  This Regulation shall enter into force on 1 January 1979 .
                                    '      "                                <       ~
    7        -     This Regulation shall be binding in its entirety -
                   and directly applicable in all Member States .
  Done at Brussels .                                          For the Council, ■»       .
  m                 •     ,     •
                                                -   '         The President
 ---pagebreak---                                                                                                           ANNEX B
                                                               PROPOSAL       rOR  ■'
                                                  COUNCIL REGULATION ,'F-r.O
  (                                                               " •
                            opening, allocating and providing for the administration of a Conwinvy tariff quota for
                            liqueur wines falling within subheading ex 22.05 C of thr Or, won Customs Tariff,.
                                                              originating in Cyprus ( 1979 )
             THE COUNCIL OF THE EUROPEAN COMMUNITIES .
        t
,            Having regard to the Treaty establishing the European
             Economic Community, and in particular Articles 43 and
             1 13 thereof,          '     .       -
             Having regard to the proposal from the Commission
             Having regard to the opinion of the European Parlia­
             ment ( ' ),
            Whereas article 6 pf the Supplementary Protocol to the Agreement establishing
            an Association between the European Economic Community and the Republic of
                         ( 2)
            Cyprus            provides for the opening of an annual Community tariff quota of
            250 000 hectolitres of liqueur wines fal ling within subheading ex 22.05 C
            of the Common Customs Tariff , originating in Cyprus , at rates of customs
            duty equal to 30% of the customs duty in the Common Customs Tariff ; whereas
                                                    it is necessary to open this Community tariff quota
            for the year 1979 ;
                                                                                          4k
            Whereas these wines remain subject to the provisions governing the common
            organization of the market in wine products , espcially as regards observance
            of the reference price ; whereas entry under the above Community tariff quota
            must be conditional on the wines being described as " liqueur wines " in the
            V.I.1 document provided for in Regulation ( EEC ) N° 2115 / 76                                 ;
    >,      Whereas Council Regulation ( EEC ) N° 2506/ 75 of 29 September 1975 laying down
            special rules for the importation of. products in the wine-growing sector
            originating in certain third countries                               introduced the notion of a free-
            at-frontier reference price ,, being the reference price less customs duties"
            actually levied ;
  ( 1)' 0J N 0
  ( 2 ) 0J N° L 172 of 28.6.1978, p. 2
    3 ) OJ no L 237 of 28.8.1976, p. 1
        - 0J N° L 256 of 2.10.1975 , p. 2
 ---pagebreak---  Whereas it is in particular necessary to ensure for all Community importers
 equal and uninterrupted access to the abovementioned quota and uninterrupted
 appli cation of the rates laid down for that quota to all imports of,th£
products ,concerned into all Member States until the^quota has been . used •
 up ; whereas , having regard to the above principles , the Community nature
of " the quota can be respected by allocating the Community tariff quota
 among the Member States ; whereas , in order to reflect as accurately as
possible the true trend of the market in the products in question , such
allocation should be in proportion to the requirements of the Member
States , calculated by reference to the statistics for imports of the
products in question from Cyprus over a representative reference period
and also to the economic outlook for the quota period concerned ;
                            -                  *
                     .- • '                 ■            *
Whereas , however , neither Community nor, national statistics showing the
breakdown for the products in question are available and 'no reliable
estimates of future imports can be made ; whereas , in these circumstances,'
the quota should be allocated in initial shares on the basis of the likely
demand for these products on the markets of the various Member States ;
Whereas , in order to take into account import trends for the products
concerned in the various Member States ,, the quota volume should be
divided into two instalments , the . first being shared among the Member
States and the second constituting a reserve to cover at a later date
the requirements of Member States which have used up their initial
quota shares ; whereas , in order to give importers^ in each Member
State a - certain degree of security , the first instalment of the
Community quota should , under the present circumstances , tie fixed
at 85% of the quota volume ;
                                                             >   i
                                     -     »         '
Whereas the Member States' initial shares may ^>e used up at different
times ; whereas , in order to ,take thii fact into account and avoid
                                                           *
 any break.in continuity , any Member State which has almost used up
 its initial share , should draw an additional share from the reserve
 whereas this must be done by each Member State as and when each of      -
 its additional shares is almost used up , and repeated as many times
 as the reserve allows ; whereas the initial and additional shares
 ---pagebreak---                                                                    • •   ANNEX B
                                             *
must-.be valid until the . end of the quota period ; whereas this method
                                     •              ' .         - N
of admi ni st rat l on requires close cooperation between the. Member States
and the Commi ssion , and the latter must be tn a position to monitor
the extent .to which the quota volume has been used up and to inform
the Member . States thereof ;                                              ■         .   '
                        •                                                '       *
Whereas if /" at a given date in the quota period , a substantial quantity
of an initial share remains unused in "any Member State .... it is essential
that that Member State should return a significant proportion to the.
reserve , to prevent a part of any Community quota from remaining unused
                                                          - y-                 #   .
in one Member
          . .  >
                  State. when it could
                                   .
                                         be\ used in others ;•
 :                            \                         * \.                 ;         ;
Whereas , since the- Kingdom of Belgium , the Kingdom of the Netherlands
and the Grarid Duchy of . Luxembourg are united in .ar.d represented by the
Benelux- Economic Union , any operation relating to the administration
of the quota shares^ al located to that ecbnomic union may be carried out
by any of its members ,                ,                       • '     *
                      L          '             -             ^
HAS ADOPTED THIS REGULATION :
 ---pagebreak---                                                               - 4                                        ANNEX B
                                                                                      %
                                                                                 Article 1
                                                         1 From 1 January to 31 December 1S79, the Co*_.n
                                                         Customs Tariff duties in respect of the following
                                                         products originating- in Cyprus shall be partially sus­
                                                         pended at the levels shown below within the limits of a
                                                         Community tariff quota of 250 Kffl .hectol itres ;
 CCT   •       ,     -                    '                                                  Ritt
hendmg
  No
                                            . Description                                   of dut*7 '
         /Wine of fresh grapes ; grape must with fermentation arrested by the
          addition of alcohol :
          C. Other:
                 II. Of an actual alcoholic strength exceeding 13° but *iot ex­
                     ceeding 15°, in containers holding:
         * '         ex a)   Two litres or less:
                           - – Liqueur wines of an actual alcoholic strength
                                  of 15"                                                 4-2 u.a./hr
                     ex b) More than two litres:            .
                             – Liqueur wines of an actual alcoholic strength
                    -             of 15°                          ■ ' .                  3*3 u.a./hl
             Ill Of an actual alcoholic strength exceeding 15° but not ex­
                     ceeding 18°, in containers holding:
                     a) Two litres or less:
                         ex 2. Other:
                                . – Liqueur wines                                        5*1 u.a./hl
              , . b) More than two litres :
                         ex 3 . Other:                     ,
                                  – Liqueur wines             '                          4-2 u.a./hl
                                  *                                 -     ' '  '
             IV. Of an actual alcoholic strength exceeding 18s but not ex­
                 ■   ceeding 22°, in containers holding:
                     a) Two litres or less:                         - .      .
                       ' ex 2.    Other :                               •
                                  – Liqueur wines                                        5-7 u.a./hl
                     b) More than two litres:
                         ex 3 .   Other:
                                  – Liqueur wines                                        5-7 u.a./hr
 ---pagebreak---  2. Tuc entry of these wines UIK )._ r rbc U ., iff quota shall
 be conditional on their being dcr, cnhxl in the V.i . 1
 document provided for in R^v^not. ; F.EC) No
 21 15 / 76^s 'liqueur wines' .
 3 . The admission of these wir.es undsr thl ;. Cj-isurii t-.
 tariff quota shail be conditional upor- observance         the
 reference price appl icable to thonu
4 . The wines in question shall benefit from . his tariff
quota on condition that the prices on import               ,- he
Community are not any time less th^.n the he ,- r: .o
tier reference o/ ics applicable thsreof , as sps-'tflp;.
 in Regulation ( EEC ) N° 2506/75 and in suoseque;v;
 instruments .      »                                   -
                         Article 2
1 . Tne Community tariff quota referred to in Article 1
shall be divided into two instalments.
2. The first instalment, Amounting to 213 040 hectolit-es
shall be allocated among the Member States ; the shares
which , subject to Article 5, shall be valid until 31
December 187 9, shall be as follows :
        Bénélux                           3.000      hl
        Denmark                           3 000      M
        Germany                         r 3 . 000    hi
        France                                 20    hl
        Ireland                           4 . 000 hi
        Italy                                  20 hi
        United Kingdom                  ^00 000 ^1
3.     The second instalment, amounting to 36 G63 hecto®
litres, shall constitute tha rssarva.
 ---pagebreak---                          -    - 6 -                . *    ANNEX B
             -             Article 3
If 90% or more of a Member State' s , initi al share as specified
in Article 2 ( 2 ), - or 90% of that share minus the portion
returned to the reserve where ArticLe 5 is applied , has been
used up , then to the extent permitted by the amount of the .
reserve , that Member State shall forthwith , by notifying
the Commission , draw a second share equal to 15% of its initial
share , rounded up where necessary to the next unit .
                 %
If , after one of its initial share has been used up , 90% or
more of the ^ econd share drawn by a Member State has been
used up , then , to the extent permitted by the amount of the
                                        »                         »
reserve , that Member State shall , in accordance with the
conditions laid down in paragraph 1 , draw a third share equal
to '7-5% of its initial share ,, rounded up where necessary to
the next unit .                           ~ r
     y ' ^ •   •                   '
If , after its second share has been used up , 90% or more or
the third share drawn by a Member State has been used up , that
Member State shal i ,- in' accordance - with the conditions laid
down in paragraph 1 , draw a fourth share equdl to the third .
This process shall continue until the reserve is used up .
By way of derogation from paragraphs 1 to 3 , a Member State -
may draw , shares smaller than those fixed in those paragraphs'
if there is reason to believe that those might not be used up .
it-shall inform the Commission of its reasons for applying
                                     i    .    . '
this paragraph .
 ---pagebreak---                                     m 7 -         ■' '               • • ANNIX
                                Artide 4
  Additional shares drawn pursuant to Article 3 shall be 'valid until­
_ the end of the period specified in Article 1 .
              , -               Article 5       .                              -- '
                                  ' ■*  .  >           " ' '                 "
                                        .v              »      v         -
  The Member States shall return to the reserve , not later than
  1 October 1979, such unused portion of their initial share as ,
  on 15 September 1979 , is in excess of 20% of . the initial volume .
  They may return a larger quantity* if thene are grounds for belie­
  ving that it may not be used .              ,■
  The Member States shall , not later than T October 1979, notify
  the Commission of . the total quantities of the products in question
  up to, 15 September 1979 and charged against the Community quota ,
  and of any quantities of the initial shares returned to the reserve
                                Article 6
  The Commission shall keep an account of the shares opened by the
  Member States pursuant to Articles 2 and 3 and shall , as soon as
  it is notified, inform each Member State, of the* extent to which
  the reserve has been used up .                     -•                    / ,
  It shall inform the Member States , not later than 5 October 1979,
  of the amount in the reserve after quantities h^ve been returned
  pursuant to Art.icle 5 .
                                      -     f                \
  The Commission shall ensure that any drawing which uses up the
  reserve is limited to the balance available , and to this end shall
  indicate the amount thereof to the Member State which makes such
  last drawing .                               '                 . '
 ---pagebreak---                                        - 8 -                          ANNEX B
                                    Article 7
1=       The Member States shall take all measures necessary to ensure
         that additional shares drawn pursuant to Article 3 are opened ,
          in such a way that imports may be charged without- interruption
       - against - their accumulated shares .of the Community quota . .
2.       The Membe/* States shall ensure that importers of the products
         in question established in their territory have , free access to
         the shares allocated to them .                                           '
3.       The Member States shall charge imports of the products in question
         on their shares as and when the products are entered with the
         customs authorities for home us6 .                     *      '
4 . . ' The extent to which a Member State has used up its share shall •
  ■      be determined on the basis of the imports charged in accordance
         with paragraph 3 .                       >   • ,         '      r      >
                                     Art i c le C
At the request of the Commission , the Member States shall inform it
of imports of the products concerned actually charged against their
shares .
               ^                   . Article 9 ■
     ■ • *            - •        • ' •       .• .                   %                 *
The Member States and the Commission shall cooperate closely in order
to ensure compliance with thi,s Regulation ."               •  J ;.
                                     A rticle 10    -     -                - *.     s
This Regulation shall enter into force on 1 January 1979 .
           This Regulation shal I - be binding in its entirety
           and directly . applicable in all Member States !
 Dorte at Brussels ,                                    For the Council'
                                                        The President