CELEX: 51978PC0036
Language: en
Date: 1978-01-26
Title: PROPOSAL FOR A COUNCIL REGULATION making the importation into the Community of textile products originating in certain third countries subject to authorization and quantitative limitation (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (78) 36
Vol. 1978/0014
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 ---pagebreak---        COMMISSION OP THE! EUROPEAN COMMUNITIES
                                                              COM(78)36 final.
                                                              Brussels , 26 January 1978 .
                                      PROPOSAL FOR A
                                    COUNCIL REGULATION
           making the importation into the Community of textile products originating
           in certain third, countries subject to authorization and quantitative limitation
                           ( submitted to the Council "by the Commission )
CC"(78 ) 36 final
 ---pagebreak---                            EXPLANATORY JE-IORAITDUH
1.         Before 1 January 1978 imports ox certain textile products into
the Community originating in certain third countries were controlled by
Community import arrangements .      In particular textile trade with many
third countries was regulated by the previous Arrangement regarding
International Trade in Textiles ( 'The Arrangement ' ) accepted by Council
Decision (EEC ) No 214/74(l ). Both within the terms of this Arrangement
and under a number of bilateral agreements negotiated with certain of its
adherents the Community took measures enabling quantitative restrictions
to be applied to textile exports from those countries .      Measures having
similar effect were also applied in relation to other third countries .
2.         The Community regulations did not establish specific quantitative
limits beyond the end of 1977 » when the previous Arrangement expired .
3.         The Community view was that the Arrangement had failed in at
least one of its aims , nanaly to prevent market disruption in importing
countries in that during its four years of application substantial injury
has been caused to Community procedures .
           As a result the Community was not prepared to renew the Arrangement
for a further period unless adequate safeguards were provided that exports
from certain third countries would be stabilised at a level based on that
realised in 1976 *
           With this aim the Community undertook bilateral negotiations with
certain countries (including some not parties to the Arrangement ) to
conclude agreements or arremgements whereby this stabilisation would be
achieved and at the same time at least a p-rt of the Community market would
be set aside for developing countries .
                                                                        /. . .2
   (1 ) OJ ïïo L 118 , 30.4.1974 . P.1
 ---pagebreak--- 4-        The Arrangement has been renewed on "behalf of the Community
for a period of four years commencing on 1 January 1978 on the basis
that the terms of the Arrangement were subordinated to the provisions
of the bilateral agreements negotiated with other countries parties
to the renewed Arrangement .   Such bilateral agreements would be concluded
both within the terms of the Arrangement and of a GATT working document
COH/TEX/w/47 enabling departures to be made by the Community from the
Arrangement itself .
5.        Such negotiations are substantially completed and with certain
exceptions agreement has been reached both on the quantitative restrictions
talcing effect on 1 January 1978 and. on the text of a legal instrument
regulating textile trade for the next five years .
6.        The proposed legal instruments contain terms whereby the third
countries will restrict their exports of the products in question to the
agreed quantitative limits .   Such limits are administered by a system of
double-checking ( as in previous bilateral textile agreements) and origin
control whereby import authorisations are granted automatically against
export licences up to the agreed limits .   Under all but three of the bilateral
agreements both the double-checking system and the origin control will be
suspended until 31 March 1978 to permit the necessary administrative
arrangements to be completed .   During such period imports from the countries
in question is limited to 40$ of "the agreed quantities .
7.        Under the terms of the new bilateral agreements or arrangements
textile products shipped before 1 January 1978 may be imported into the
Community as follows :
- products under quota in 1977 "to the extent such quota remains unused ,
   at any time ;
- products not under quota in 1977 1 tip to 31 March 1978 .
 ---pagebreak---                                  -3-
8.          Though in no cases have the necessary formalities been
completed by the parties for putting into force de jure of such
agreements it is the intention to apply them de facto from 1 January
1973      "the basis that renewal of the Arrangement is subject to the
agreements being in force .     Pending formal adoption of the agreements ,
and in view of the lack of Community legislation effective on
1 January 1978 , the Commission felt it urgent that measures be taken
to permit the operation of the bilateral agreements and prevent likely
disruption of the market . By Regulation (ZEC) ITo 3019 /l977 the
Commission therefore took measures to control imports of the products
in question from the countries with whom negotiations had been held ,
and, by a Decision of 19 January 1978 allocated the quantitative
limits established for the Community between the Member States .
9.          The measures adopted by the Commission can therefore be regarded
as :
 ( a)  Permanent for 1973 and in implementation of a bilateral agreement ,
       in the case of countries vrith whom negotiations have been completed
       and where the double-checking system' and origin control will be in
       operation on 1 January 1978 .
 (b )  Transitional and in implementation of a bilateral agreement , in the
       case of countries vri-th whom negotiations have been completed, but the
       double–checking system and origin control are not in operation until
       31 March 1978. Here imports are limited to 4-0$          quota until
       that date .
 ( c ) Transitional and in implementation of a bilateral agreement ,., in the
       case of products exported before 1 January 1978 .
 (d)   Provisional in the case of countries with whom negotiations are still
       continuing and which ultimately reach a successful outcome in 1973.
       Here there will be no double-checking system before 31 March 1978 snd
       inroorts are also limited to 40/° of the proposed quota until thau date .
                                                                        /• • • 4
 ---pagebreak---                                  -4-
 (e)  Permanent for 1978 in the case of countries with whom negotiations
      are still continuing but which fail to reach a successful out cone
      in 1978 . Here there will be no double-checking system at all , and
      again imports are limited to 40$ of the proposed quota until
     '31 March 1978 . After this do,te such other measures may be taken as
      are felt desirable .
10 .   .  On the basis of the emergency procedure provided for in
 Article 12 of Council Regulation (EEC ) Ho 1439/74 and in Article 7 of
 Council Regulation (EEC ) H O IO9/7O , the Commission adopted Regulation
 No 3019 /ll and. the Decision referred to above .
          These Commission regulations expire six weeks following their
 entry into force on January 1978 unless they are confirmed by the Council .
          Consequently the Commission proposes that the Council adopt
 the Regulation proposed hereunder confirming the measures adopted by the
 Commission .
 ---pagebreak---                    Proposal for a Council Regulation
making the importation into the Community of textile products originating in
certain third countries subject to authorization and quantitative limitation
 THE COUNCIL OP THE EUROPEM COIILIUNITIES ,
 Having regard to the Treaty establishing the European Economic Community
  and in particular Article 113 thereof ,
 Having regard to Council Regulation (EEC) No 1439/4 of 4 June 1974 on-
 common rules for imports ( l ), and in particular Article 13 thereof ,
 Having regard to Council Regulation (EEC) Ho 109/70 of 19 December 1969
  establishing common rules for imports from State trading countries ( 2 )
  and in particular Article 8 thereof ,
 Having regard to the proposal from the Commission ;
  Whereas by Regulation (.EEC ) No  3019 /77 °f   30 December 1977 (4 ) "the
  Commission made the importation into the Community of textile products
  originating in certain third countries subject to authorisation ;
  Whereas by Decision of 19 January 1978 the Commission allocated among
 the Member States the quantitative quotas established by Regulation
 (EEC) No 3019/77 of 3D - December 1977 ?
  Whereas the grounds justifying the introduction of these measures have
  persisted and whereas it is accordingly necessary for the measures to
  remain in force until December 1978 ;
                                                                     /... 2
  (1 ) 0J No L 159 , 15.6.1974
  (2)  0J No L 19 , 26.6.1970
  (3)   0J No L 357 , 31.12.1977
 ---pagebreak--- Whereas , subject to the provisions of this Regulation and other Community
measures either in force now or which may be adopted in the future , the
suppression and suspension of quantitative limits on imports , made in
compliance with the Arrangement Regarding International Trade in Textiles ,
is maintained ;
HAS ADOPTED THIS REGULATION
 ---pagebreak---                             Article 1
       The arrangements for the authorisation of imports into the Community
of textile products originating in certair. third countries adopted by
Regulation ( EEC ) N° 3019/77 shall remain applicable until 31 December 1978 *
                            Article 2
       The quantitative limits on imports established in Article 2 of
Commission Regulation ( EEC ) N° 3019/77 of 30 December 1977 are allocated
among the Member States as set out in the Annex hereto .
                            Article 3
       The authorities of the Member States shall authorise up to the
amount of the limits laid down in the Annex the import of the products
referred to in the Commission Regulation ( EEC ) N° 3019/77 of 30 December 1977
in conformity with the provisions of that Regulation .
                            Article 4
       Except for the provisions of this Regulation and of other Community
measures either in force or which may be adopted , imports of the textile
products listed in Annex A of Regulation (EEC ) N° 3019/77 are not subject
to quantitative restriction .
                            Article 5
        The regime laid down by this Regulation shall have effect from
1 January to 31 December 1978 *
        This Regulation shall be binding in its entirety and directly
 applicable in all Member States .
                                                  For the Council ,
 Done at Brussels ,
                                                   The President