CELEX: 51976PC0490
Language: en
Date: 1976-09-24
Title: Proposal for a COUNCIL REGULATION (EEC) opening, allocating and providing for the administration of a Community tariff quota for cotton yarn falling within heading No 55.05 of the Common Customs Tariff, originating in Malta (1977)#Proposal for a COUNCIL REGULATION (EEC) opening, allocating and providing for the administration i of a Community tariff quota for man-made fibres (discontinous or waste), carded, combed or otherwise prepared for spinning falling within heading No 56.04 of the Common Customs Tariff originating in Malta, (1977)#Proposal for a COUNCIL REGULATION (EEC) opening, allocating and providing for the administration of a Community tariff quota for outer garments and other articles, knitted or crocheted, not elastic or rubberized, falling within heading No 60.05 of the Common Customs Tariff, originating in Malta (1977)#Proposal for a COUNCIL REGULATION (EEC) opening, allocating and providing for the administration of a Community tariff quota for men's and boys' outer garments falling within heading No 61.01 of the Commons Customs i Tariff, originating in Malta (1977) (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (76) 490
Vol. 1976/0146
 ---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(76)490 final
                  v                                      Brussels , 24 September 1976
                                       Proposal for a
                             COUNCIL REGULATION ( EEC )
                                                            /                 * •
          opening , allocating and providing for the administration
          of a Community tariff quota for cotton yarn falling within
          heading No 55.05 of the Common Customs Tariff , originating
                                     "      in Malta
                                              ( 1977 )
                                       Proposal for a
                             COUNCIL REGULATION ( EEC )
          opening , allocating and providing for the administration i
          of a Community tariff quota for man-made fibres ( discontinous
          or waste ), carded , combed or otherwise prepared for spinning
          falling within heading No 56.04 of the Common Customs Tariff
                                 originating in Malta             ,
                                            ( 1977 )                  v
                                       Proposal for a
                       ;     COUNCIL REGULATION ( EEC )
          opening , allocating and providing for the administration
          of a Community tariff quota for outer garments and other
          articles , knitted or crocheted , not elastic or rubberized ,
          falling within heading No 60.05 of the Common Customs
                             Tariff , originating in Malta
                                            ( 1977 )
                         ί
                                                     - •
                                   i Proposal for a
                             COUNCIL REGULATION ( EEC )
          opening , allocating and providing for the administration .
          of a Community tariff quota for men 's and boys' outer garments
          falling within heading No 61.01 of the Commons Customs
               i             Tariff , originating in Malta
                                              ( 1977 )    .
                               ■                    . /
                    ( submitted to the Council by the Commission )
                           . ■   .
                     l
C0M(76 ) 490 final
 ---pagebreak---                           EXPLANATORY .MEMORANDUM
           •;                        of 1970
                    The  Agreement / between the European Economic
     Community and Malta , and the Protocol of 1976 thereto
                 provides for the opening of Community tariff quotas for
     the importation into the Community at duty rates reduced by 7U% of
     'the following products , originating in Malta :
     CCT Heading               Product              Annual             From which for th
              No                                    volume             new Member States
                                                                     I
         i                                                           I
                                                  l                  I
                                                        «
     55.05            Cotton yarn , not put
                      up for retail sale :             750 tons           160 tons .
                                                     s
     56 . 0**         Kan-made fibres ( dis­
                      continuous or waste ),
                      carded , combed or other­                  «
                      wise prepared for
                      spinning :                       6oo tons           200 'tons
       ι I                                                                          »■
                                          I    <
       h                                  I •                      I       ♦
    6Q.05             Outer garments and
                      other articles ,
                      knitted or croched , not
                      elastic nor rubbe'Jri&ed :       100 tons -          90 tons
   61.01              Men's and boy's outer
                                                                          430 tons
   •i »•
                      garments
                                          M   • »      J00 tons |
, At its session of V5 June 1975 however,' the Council agreed that
  Mklta should be treated , as from 1 January 197**, no less favourably
   than' countries eligible for the Generalised System of Preferences .
  This- undertaking implies that the treatment hitherto granted to
  Malta will be improved comparably . For the years from 1974 to 1976 this,
     i                                  yearly
  improvement           consists in a / autonomous 5% increase of the quota
  amounts fixed in the EEC/Malta Agreement , and totaT'suspension
  of duties in the CCT and the national Customs tariff of each of the
 • 1                                                           •
  Member States * An other increase' of 5 n          agreed for 197^.
 ---pagebreak---                                     - 2 -
3 * The Regulations provide , in the usual way , for the splitting
      up of the tariff volumes into two parts , of which the first
      will be allocated among the Member States as quota shares and
       the second will be kept as a reserve .
    I
       Ahe allocation of the first part of the quotas for the products
       falling within the tariff headings 55*05 and " 60.05 has been
      undertaken according to the rules generally applied hitherto .
      The total imports of each Member £tate for 1973 » 197^ a*1*! 197^
      have been expressed as a proportion of total Community imports
      over the same period .     The resulting percentages ' have been
      applied State by State to the volume of the first part , the
      last digit of the number of metric tons being rounded off .
                                             I '
5 * However , it does not seem appropriate to apply this rule to the
      tariff qupta for man-made fibres ( 56*0**)
      since    t
      ( a ) import figures for certain Member States varied considerably
                                                         r         .          '
            from year to year ;                              .     '
      ( b ) other Member States imported none at all ;
      ( c ) total Community imports are . lower than the agreed tariff quota
            volumes :*                  "r. .                  i
   • ( d ) it is difficult to forecast future imports *
        In this situation and in view nevertheless to allocate the quota
        volume fairly among the Member States according to their respective
        sizes , it seems indicated that each Member State takes a significative
        part in the quota volume . Of course , this formula has to be adapted ^
        to the futur development of imports . •
                                                         I;
 ---pagebreak--- • The proposed Regulations provide for a single method of
   administration to be applied by all Member States , namely the
   " as and when " method *         i  •
 The Member States' experts who participated in the consultative meeting
  of the "Economic Tariff Problems" Group (26/ 27 April 1976 ) expressed
 agreement in principle to the scheme for allocation of shares proposed
 by the Commission in the framework of the regulations annexed .
 Annexes î
 - 4 proposals of Regulations of the Council
 ---pagebreak---                                                                                                        ANNEX' A
                                                       Proposal for a
                                 REGULATION (EEC) No ... .             OF THE COUNCIL
                  opening, allocating and providing for the administration of a Community tariff quota
                  for cotton yarn, falling within heading No 55.05 of the Common Customs Tariff,
                                                 originating in Malta (1977)
    THE COUNCIL OF THE EUROPEAN COMMUNITIES,
   Having regard to the Treaty establishing the "Euro­
   pean Economic Community,            and in particular
   Article 113 thereof;
   Having regard to the proposal from the Commission ;
   Whereas the Agreement between the European
   Economic Community and Malta, signed
   on 5 December 1970, ( 1 ) and the Protocol ( 2 ) laying down certains provisions
   concerning that Agreement as a result of the accession of new Member
   States to the European Economic Community provide for the opening of
   an annual Community tariff quota of 910                             metric tons of cotton yarn ,
  not put up for retail sale-
   falling within heading No 55.05 of the Common Customs Tariff , originating
   in Malta ; whereas , pursuant to the Joint Declaration annexed to this
   Protocol , the tariff quota should-be allocated among the Member States as
   follows : 750           metric tons for the Community as originally constituted
   and     160      metric tons for the new Member States ;
  whereas the first stage of the Agreement ends oil
30 June 1977 and, pursuant to the Annex I of the Agreement
  the pro rata temporis clause would apply to the
  volume of the quota ; whereas the Community intends
  to maintain its trading relations with Malta ; whereas
  the provisions governing the second stage should not
  be less favourable than those laid down for the
  first ; whereas in order not to disrupt trading patterns
  for the products in question, the Community tariff
' quota should be opened for the whole of 197 7;
  whereas, pursuant to Annex I of the said Agreement
  quota duty is equal to 30% of the Common Customs
  Tariff duty in respect of the product concerned;
   ( 1 ) 0J No L 61 of 14.3.1971
   ( 2 ) 0J No L 111 of 28.4.1976 .
 ---pagebreak---                                               - 2 -                              ANNEX A
 whereas to comply with the special provisions of the said
 Protocol , separate arrangements should be made for Member
 States of the Community as originally constituted on the .
 one hand , and for the new Member States on the other ;
 Whereas , since the 1 January 1974 , it is granted to Malta
 a treatment not less favourable than that enjoyed by countries
 eligible for the generalized tariff preferences ; whereas to
 this end therefore the duty rates should be totally suspended
 and the quota volume increased to 1,079                        metric tons for the
year 1977; whereas , however , the Community yet has opened a
 duty free tariff quota of 1,240                       metric tons for the products
 in question for 1976; whereas therefore the quota volume should
be held at this level and the difference between these volumes
 should be allocated to the two groups of Member States ;
 Whereas it is in particular necessary to ensure to
 all Community importers equal and uninterrupted
access to the abovementioncd quota and uninter­
rupted application of the rate laid down for that
quota to all imports of the product concerned into
all Member States until the quota has been used up ;
whereas, having regard to the principles mentioned
above, the Community nature of the quota can be
respected by allocating the Community tariff quota
among the Member States; whereas, in order to
reflect more accurately the actual development of the
market in the product concerned, such allocation
should be in proportion to the needs of the Member
States, assessed by reference to both the statistics of
each State's imports of the said goods from Malta
over a representative period and the economic out­
look for the quota period concerned ;
Whereas, during the last three years for which
statistics are available, the corresponding imports by
each of the Member States represent the following
percentages of the imports into the Community, from
Malta, of the products concerned:
                                                                       - % -
                                        1973         1     1974      |  1975
 Germany                                45.5 -       I ■ 30.1           13.7
Bénélux                                 34.8               39.7         54.7
France                                    8.0              23.7         14.0
Italy                                   11.7                6.5         17.6
Denmark                                                     0-3      I
Ireland                                   1.0               2.7         12.5
United Kingdom                          99.0               97.0         87.5
 ---pagebreak---      Whereas in view of these factors of the foreseeable
    development during 1977 of the market for the
    products in question and in particular of the estimates
    submitted by certain Member States, initial quota
    shares may consequently be fixed approximately as
    follows : ( in % ) :
    Germany                 56.5
    Bénélux                 25.5
     France                   7.0
     Italy                  11.0
    Denmark                   1.0
    Ireland                 11.0
   United Kingdom           88.0
     Whereas, in order to take into account import trends
     tor the products concerned in the different Member
    States, the quota amounpshould be divided into two
    instalments, each first instalment being allocated
    among the Member States, and eacfeecond forming
    a reserve intended ultimately to cover the require­
    ments of the Member States which have used up
   their initial quota shares; whereas, in order to
   ensure a certain degree of security to importers in
   each Member State, the first instalment of
 each quota should be determined at a level which,
   7no/ frc,sent circumstances, may be approximately
   /U /o or /a^ota amount;
  Whereas the initial quota shares of the Member
  States may be used up at different times; whereas,
  in order to take this fact into account and avoid
  any reak in continuity, it is important that any
  Member State having used up almost the whole of
  its initial quota share should draw an additional
  quota share from the reserve; whereas, this must be
 done by each Member State as and when each of
 its additional quota shares is almost entirely used
 up, and repeated as many times as the reserve allows;
 whereas the initial and additional quota shares must
 be available for use until the end of the quotaperiod; •
 whereas this method of administration calls for close
 cooperation between Member States, and the Com­
 mission, which must, in particular, be able to
 observe the extent to which the quota amount is used
 and inform Member States thereof-
    hereas if at a specified date in the quota period,
a considerable balance remains in one or other
Member State it is essential that that Member State
pays a large amount of it back into the reserve, in
or er to avoid a part of the Community quota
remaining unused in one Member State when it
could be used in others;
 ---pagebreak---                                                                 ANNEX A
                                              - 4 -
  Whereas, since the Kingdom of Belgium, the Kingdom
  of the Netherlands and the Grand Duchy of Luxem­
  bourg are united in and represented by the Benelux
' Economic Union, any measure concerning the
  administration of the quota shares allocated to that
  economic union may be carried out by any of its
  members,
  HAS ADOPTED THIS REGULATION :
                          Article 1
  1 . From 1 January to 31 December 197 / a tariff
  quota of 1 , 240netric tons shall be opened in the
  Community for cotton yarn not put up for retail sale,
  falling within heading No 55.05 of the Common
  Customs Tariff, originating in Malta.
  2. Within the limits of this tariff quota, the Common
  Customs Tariff duties shall be totally suspended.
  This suspension shall be fully applied in the new
  Member States .
  3.      An amount of 1,046 tons is assigned to the
  Member States of the Community in its original
  composition .
  4.      An amount of 194              tons is assigned to the
  new Member States .
                           Article 2
   1 . A first instalment, amounting to / metric tons
   of the amount specified in Article 1(3 ), shall be
   allocated among the Member States of the Com­
   munity as originally constituted; the shares, which
   subject to Article 5 are valid until 31 December 1977,
   shall be as follows :
           Germany             412      metric tons,
           Benelux
           Bénélux             186      metric tons,
           France               51      metric tons,
           Italy                80      metric tons.
                                    316
  The second instalment of /            metric tons shall
   constitute the relevant reserve.
                                             140
  2. A first instalment, amounting to '         metric tons
  of the amount mentioned in Articlel ( 4 ) shall be
  distributed between the new Member States; the
  shares, which subject to Article 5 are valid until
   31 December 1977, shall be as follows :
          Denmark                 2     metric tons,
          Ireland                15     metric tons,
          United Kingdom 123            metric tons.
  The second instalment of 54           metric tons shall
  constitute the relevant reserve.
 ---pagebreak---                                                                 - 5 -                                        ANNEX A
                              Article 3
    1 . If 90% or more of the initial share of a Member
    State, as laid down in Article 2        or 90% of that
    share less the amount returned into the reserve, where
    the provisions of Article 5 have been applied, has
    been exhausted, that Member State shall proceed
    without delay, by notifying the Commission, to draw
    a second share equal to 15% of its initial share,
    rounded up to the next unit where appropriate, to
    the extent that the amount in the      respective reserve allows .
    2. If, after its initial share has been exhausted, 90%
    or more of the second share drawn by a Member
   State has been used, that Member St.itc shall , in             The Commission shall , not later than 5 October
   accordance      with   the   conditions  laid down    in       1977, notify Member States of the amount in the
   paragraph 1 , proceed without delay to draw a third            reserveSafter the return of shares pursuant to
   share equal to 7-5% of its initial share, rounded up           Article 5 .
   to the next unit where appropriate, to the extent                                            are
   that the amount in the reserve allows .                        The Commission shall ensure that any drawing which
                                                                  uses up the reserves ! limited to the balance
   3 . If, after its second share has been exhausted, 90%         available and for this purpose shall specify the
   or more of the third share drawn by a Member State             amount sthereof to the Member State which makes
  has been used, that Member State shall proceed, in              the last drawing.
  the same way, to draw a fourth share equal to the
  third .
                                                                                          Article 7
  This process shall be applied until the respective
   reserve is exhausted .
                                                                  1 . The Member States shall take all appropriate
  4. Notwithstanding the provisions of paragraphs 1 ,            measures to ensure that, when additional shares are
  2 and 3, a Member States may proceed to draw                   drawn pursuant to Article 3 , it is possible for
  shares smaller than those fixed in those paragraphs,           charges to be made without interruption against their
  if there is reason to believe that they might not be •          accumulated shares of the Community quota.
 used up. They shall inform the Commission of the
  reasons which led them to apply this paragraph.                2. The Member States shall ensure that importers
                                                                 of the product concerned established in their
                            Article 4
                                                                 territory have free access to the shares allocated to
                                                                 them.
 Each of the additional shares drawn pursuant to                 3 . The Member States shall charge imports of the
 Article 3 shall be valid until 31 December 1977
                                                                 said goods against their share as and when the goods ,
                                                                 are entered for home use.
                            Article 5
                                                                 4. The extent to which a Member State has used
The Member States shall return to the reserve, not               up its share shall be determined on the basis of the
later than 1 October 1977, the unused portion of                 imports charged in accordance with paragraph 3.
 their initial share which, on 15 September 1977, is in
excess of 20% of their initial amount. They may
return a greater portion if there are grounds for                                        Article 8
believing that such quantity may not be used in full.
The Member States shall , not later than 1 October               On receipt of a request from the Commission,
                                                                 Member States shall inform it of imports actually
 197 7, notify the Commission of the total imports of            charged against their shares.
the product concerned effected up to and including
15 September 1977, and charged against the
Community quota and, where appropriate, the                                              Article 9
proportion of their initial share that is being returned
to the reserve.                                                 The Member        States   and   the Commission   shall
                                                                 cooperate closely in order to ensure that this
                            Article 6                            Regulation is observed.
The Commission shall keep account of the shares
opened by Member States in accordance with                                               Article 10
Articles 2 and 3 and shall inform each of them of
the extent to which the reserve s / been used as                This Regulation shall enter into force on 1 January
soon as it receives the notifications.      have                 1977.
                 This Regulation shall be binding in its entirety and directly applicable in all Member
                 States-
                 Done at Brussels,
                                                                                          For the Council
                                                                                           The President
 ---pagebreak---                                                                                                       ANNEX B
                                                    Proposal for a
                               REGULATION (EEC) No ....           OF THE COUNCIL
                opening, allocating and providing for the administration of a Community tariff quota
              , for i man-made fibres ( discontinuous or waste ), carded, combed
                or otherwise prepared for spinning , falling within heading No 53.04
                of the Common Customs Tariff , originating in Malta ( 19^7 )
   THE COUNCIL OF THE EUROPEAN COMMUNITIES,
  Having regard to the Treaty establishing the 'Euro-                .
  pean Economic Community, and in particular
  Article 113 thereof;
  Having regard to the proposal from the Commission;
  Whereas the Agreement between the European
  Economic Community and Malta, signed
  on 5 December 1970, ( 1 ) and the Protocol ( 2 ) laying down certains provisions
  concerning that Agreement as a result of the accession of new Member
  States to the European Economic Community provide for the opening of
  an annual Community tariff quota of                      800 ' metric tons of man-made fibres
   ( discontinuous or waste ), carded , combed or otherwise prepared for spinning ,
  falling within heading No 56.04 Qf the Common Customs Tariff , originating
  in Malta ;       whereas , pursuant to the Joint Declaration annexed to this
  Protocol , the tariff quota should-be allocated among the Member States as
  follows : 600 metric tons for the Community as- original ly constituted .
  and.. 200 metric tons for the new Member States ;                                                               «
 whereas the first stage of the Agreement ends en
30 June 1977 and, pursuant to the Annex I of the Agreement
 the pro rata temporis clause would apply to the
 volume of the quota ; whereas the Community intends
 to maintain its trading relations with Malta ; whereas
 the provisions governing the second stage should not
 be less favourable than those laid down for the
 first; whereas in order not to disrupt trading patterns
 for the products in question, the Community tariff
'quota should be opened for the whole of 1977;                                                            –^
 whereas, pursuant to Annex I of the said Agreement                                         «,
 quota duty is equal to 30% of the Common Customs
 Tariff duty in respect of the product concerned;
                                                                                                     • # •/ • • •
  ( 1 ) 0J No L 61 of 14.3.1971
  ( 2 ) 0J No L 111 of 28.4.1976 .
 ---pagebreak---                                                - 2 -                            ANNEX
whereas to comply with the special provisions of the said
Protocol ^ separate arrangements should be made for Member
States of the Community as originally constituted on the
one hand , and for the new Member States on the other ;
Whereas , since the 1 January 1974 , it is granted to Malta
a treatment not Less favourable than that enjoyed by countries
eligible for the generalized tariff preferences ; whereas to
this end therefore the duty rates should be totally suspended
and the quota volume increased to 940                        metric tons for the
year 1977 ; whereas , however , the Community yet has opened a
duty free tariff quota of                  992       metric tons for the products
in question for 1976 ;                 whereas therefore the quota volume should
be held at this Level and the difference between these volumes
should be allocated to the two groups of Member States ;
Whereas it is in particular necessary to ensure to
all Community importers equal and uninterrupted
access to the abovcmentioned quota and uninter­
rupted application of the rate laid down for that
quota to all imports of the product concerned into
all Member States until the quota has been used up;
whereas, having regard to the principles mentioned
above, the Community nature of the quota can be
respected by allocating the Community tariff quota
among the Member States; whereas, in order to
reflect more accurately the actual development of the
market in the product concerned, such allocation
should be in proportion to the needs of the Member
States, assessed by reference to both the statistics of
each State's imports of the said goods from Malta
over a representative period and the economic out­
look for the quota period concerned;
Whereas, during the last three years for which
statistics are available, the corresponding imports by
each of the Member States represent the following
percentages of the imports into the Community, from
Malta, of the products concerned:
                                                                     - % -
                                          1973           1974         1975
 Germany
 Bénélux                           I
 France
 Italy                                                                 00 (= 1t
 Denmark                                                  100(=16t )
 Ireland
 United Kingdom
                                     i
                                     j
 ---pagebreak---                                                               - 3 -      ANNEX B
 Whereas in view of these factors of the foreseeable
 development during 197 7 of the market for the
 products in question and in particular of the estimates
 submitted by certain Member States, initial quota
 shares may consequently be fixed approximately as
 follows : ( in % > :
  Germany                  13
  Bénélux                  13
  France                   18
  Italy                   56
  Denmark                  16
  Ireland                  24
  United Kingdom           60
   Whereas, in order to take into account import trends
   for the products concerned in the different Member
  States, the quota amoune should be divided into two
   instalments, each first instalment being allocated
  among the Member States, andeaclKcond forming
  a reserve intended ultimately to cover the require­
  ments of the Member States which have used up
  their initial quota shares ; whereas, in order to
  ensure a certain degree of security to importers in
  each Member State, the first instalment of
each quota should be determined at a level which, ,
  under present circumstances, may be approximately
60 % of /^ijou amount;
  Whereas the initial quota shares of the Member
  States may be used up at different times ; whereas,
  in order to take this fact into account and avoid
  any break in continuity, it is important that any
  Member State having used up almost the whole of
  its initial quota share should draw an additional
■ quota share from the reserve; whereas, this must be
  done by each Member State as and when each of
  its additional quota shares is almost entirely used
  up, and repeated as many times as the reserve allows;
  whereas the initial and additional quota shares must
  be available for use until the end of the quota period; '
  whereas this method of administration calls for close
  cooperation between Member States, and the Com­
  mission, which must, in particular, be able to
  observe the extent to wliich the quota amount is used
  and inform Member States thereof:
  Whereas if, at a specified date in the quota period,
  a considerable balance remains in one or other
  Member State it is essential that that Member State
  pays a large amount of it back into the reserve, in
  order to avoid a part of the Community quota
  remaining unused in one Member State when it
  could be used in others;
                       .  •      . ....   ■ "               J
                                                                    ■ • •/ 4
 ---pagebreak--- Whereas, since the Kingdom of Belgium , the Kingdom
of the Netherlands and the Grand Duchy of Luxem­
bourg are united in and represented by the Benelux
 Economic     Union, any measure concerning the
 administration of the quota shares allocated to that
economic union may be carried out by any of its
 members,
 HAS ADOPTED THIS REGULATION:
                        Article 1
 L Fr°m< ooJonuary t0 31 Df^er 1977 a tariff
quota of V yd metric tons shall be opened in the
                                                           otherwise prepared for spinn
Community man-made fibres ( discontinuous or waste ) , carded , combed or /
falling within heading No5"6.04 of the Common
Customs Tariff, originating in Malta.
2. Within the limits of this tariff quota, the Common
Customs Tariff duties shall be totally suspended.
This suspension shall be fully applied in the new
Member States.
3.      An amount of 771                tons is assigned to the
Member States of the Community in its original
composition .
A.      An amount of          221    tons is assigned to the
new Member States .
                        Article 2
                                          480
 1 . A first instalment, amounting to / metric tons
 of the amount specified in Article 1(3 ), shall be                                 •
 allocated among the Member States of the Com­
munity as originally constituted; the shares, which
subject to Article5 are valid until 31 December 1977,
shall be as follows :
        Germany               63     metric tons,
        Bénélux               63    metric tons,
        France                86    metric tons.
        Italy               268     metric tons .
                                 291
The second instalment of         /  metric tons shall
constitute the relevant reserve.
                                          133
2. A first instalment, amounting to '        metric tons
of the amount mentioned in Article1 ( 4 } shall be
distributed between the new Member States; the
shares, which subject to Article 5 are valid until
31 December 1977, shall be as follows:
        Denmark               21    metric tons,
        Ireland               32    metric tons,
        United Kingdom        80    metric tons.
The second instalment of 88 metric tons shall                               »
constitute the relevant reserve.
 ---pagebreak---                                                            - 5 -                                         ANNEX B
                           Article 3
 1 . If 90% or more of the initial share of a Member
 State, as laid down in Article 2         or 90% of that
 share less the amount returned into the reserve, where
 the provisions of Article 5 have been applied, has
 been exhausted, that Member State shall proceed
 without delay, by notifying the Commission, to draw
 a - second share equal to 15% of its initial share,
 rounded up to the next unit where appropriate, to
  the extent that the amount in the respective reserve allows .
  2. If, after its initial share has been exhausted, 90%
  or more of the second share drawn by a Member
State has been used, that Member State shall, in             The Commission shall, not later than 5 October
accordance      with    the   conditions  laid down    in     1977, notify Member - States of the amount in the
paragraph 1 , proceed without delay to draw a third           reserveSafter the return of shares pursuant to
share equal to 7-5% of its initial share, rounded up          Article 5 .
to the next unit where appropriate, to the extent                                          are
that the amount in the reserve allows.                       The Commission shall ensure that any drawing which
                                                              uses up the reserves ^ limited to the balance
3. If, after its second share has been exhausted, 90%         available and for this purpose shall specify 'the
or more of the third share drawn by a Member State            amountsthereof to the Member State which makes
has been used, that Member State shall proceed, in            the last drawing.
the same way, to draw a fourth share equal to the
third.
                                                                                     Article 7
This process shall be applied until the          respect ive
  reserve is exhausted .                                      1 . The Member States shall take all appropriate
4. Notwithstanding the provisions of paragraphs 1,            measures to ensure that, when additional shares are
2 and 3, a Member States may proceed to draw                  drawn pursuant to Article 3, it is possible for
shares smaller than those fixed in those paragraphs,          charges to be made without interruption against their
if there is reason to believe that they might not be          accumulated shares of the Community quota.
used up. They shall inform the Commission of the
reasons which led them to apply this paragraph.               2. The Member States shall ensure that importers
                                                              of the product concerned established in their
                                                              teiritory have free access to the shares allocated to
                           Article 4                          them.
Each of the additional shares drawn pursuant to               3. The Member States shall charge imports of the
Article 3 shall be valid until 31 December 1977.
                                                              said goods against their share as and when the goods .
                                                              are entered for home use.
                           Article S
                                                              4. The extent to which a Member State has used
The Member States shall return to the reserve, not            up its share shall be determined on the basis of the
later than 1 October 1977, the unused portion of              imports charged in accordance with paragraph 3.
their initial share which, on 15 September 1977, is in
excess of 20% of their initial amount. They may
return a greater portion if there are grounds for                                    Article 8
believing that such quantity may not be used in full.
                                                              On receipt of a request from the Commission,
The Member States shall, not later than 1 October             Member States shall inform it of imports actually
197'? notify the Commission of the total imports of           charged against their shares.
the product concerned effected up to and including
15 September 1977, and charged against the
Community quota and, where appropriate, . the                                        Article 9
proportion of their initial share that is being returned
to the reserve.                                               The Member States and the Commission shall
                                                               cooperate closely in order to ensure that this
                           Artide 6                            Regulation is observed.
The Commission shall keep account of the shares
 opened by Member States in accordance with                                          Article 10
Articles 2 and 3 and shall inform each of them of
 the extent to which the reserves / been used as               This Regulation shall enter into force on 1 January
 soon as it receives the notifications.     have               1977.
               This Regulation shall be binding in its entirety and directly applicable in all Member
               States.
               Done ax Brussels,
                                                                                       For the Council
                                                                                        The President
 ---pagebreak---                                                                                                       ANNEX
                                                    Proposal for a
                               REGULATION (EEC) No ... .           OF THE COUNCIL
                opening, allocating and providing for tlic administration of a Community tariff quota
                for - outer garments arid other articles , knitted . or crocheted ,
               not elastic or rubberized , falling within heading No 60.05 of
               the Common Customs Tariff , originating in Malta ( 1977 )
   THE COUNCIL OF THE EUROPEAN COMMUNITIES,
  Having regard to the Treaty establishing the 'Euro­
  pean Economic Community, and in particular
  Article 113 thereof;
  Having regard to the proposal from the Commission;
  Whereas the Agreement between the European
  Economic Community and Malta, signed
  on 5 December 1970, ( 1 ) and the Protocol ( 2 ) laying down certains provisions
  concerning that Agreement as a result of the accession of new Member
  States to the European Economic Community provide for the opening of
  an annual Community tariff quota of                      190      metric tons of outer garments
   and other articles , knitted or crocheted , not elastic or rubberized ,
  falling within heading No                60.05     of the Common Customs Tariff , originating
  in Malta ; whereas , pursuant to the Joint Declaration annexed to this
  Protocol , the tariff quota should - be allocated among the Member States as
  follows : 100 metric tons for the Community as originally constituted
  and 90 metric tons for the new Member States ;
 whereas the first stage of the Agreement ends en
30 June 1977 and, pursuant to the Annex I of the Agreement
 the pro rata temporis clause would apply to the
 volume of the quota ; whereas the Community intends
 to maintain its trading relations with Malta ; whereas
 the provisions governing the second stage should not
 be less favourable than those laid down for the
 first; whereas in order not to disrupt trading patterns
 for the products in question, the Community tariff
'quota should be opened for the whole of 1977;                                                           –'
 whereas, pursuant to Annex I of the said Agreement                                          ,.
 quota duty is equal to 30% of the Common Customs
 Tariff duty in respect of the product concerned;
                                                                                                      •••/•••
  ( 1 ) 0J No L 61 of 14.3 . 1971
  ( 2 ) 0J No L 111 of 28.4.1976 .
 ---pagebreak---                                                  - 2 -                             ANNEX B
    whereas to comply with the special provisions of the said
    Protocol , separate arrangements should be made for Member
    States of the Community as originally constituted on the
    one hand , and for the new Member States on the other ;
    Whereas , since the 1 January 1974, it is granted to Malta
    a treatment not less favourable than that enjoyed by countries
    eligible for the generalized tariff preferences ; whereas to
    this end therefore the duty rates should be totally suspended
   and the quota volume increased to                     216      metric tons for the
   year 1977 , from which 122 metric tons belongs to the Member
   States of the Community as originally constituted and 94 metric
   tons to the new Member States ;
    Whereas it is in particular necessary to ensure to
    all Community importers equal and uninterrupted
    access to the abovemcntioncd quota and uninter­
    rupted application of the rate laid down for that
    quota to all imports of the product concerned into
    all Member States until the quota has been used up;
   whereas, having regard to the principles mentioned
   above, the Community nature of the quota can be
   respected by allocating the Community tariff quota
   among the Member States ; whereas, in order to
   reflect more accurately the actual development of the
   market in the product concerned, such allocation
   should be in proportion to the needs of the Member
   States, assessed by reference to both the statistics of
   each State's imports of the said goods from Malta
    over a representative period and the economic out­
   look for the quota period concerned;
.. Whereas, during the last three years for which
   statistics are available, the corresponding imports by
   each of the Member States represent the following
 ■ percentages of the imports into the Community, from
    Malta, of the products concerned:
                                                                         - % -
                                           1973              1974         1975
    Germany                                                     7          4.2
    Bénélux                                                     4         34.4
    France                                 94.6                50         54.2
    Italy                                    5.4               39          7.2
    Denmark                                  1.3              3.4          0.6
    Ireland                                  7.8                           0.6
    United Kingdom                         90.9              96.6 '       98.8
 ---pagebreak---                                                                   ANNEX C
    Whereas in view of these factors of the foreseeable
    development during 1977 of the market for the
   products in question and in particular of the estimates
   submitted by certain Member States, initial quota
   shares may consequently be fixed approximately as
   follows : ( in V. ) :
    Germany                    17
   Bénélux                     11
    France                     55
    Italy                      17
   Denmark                     17
   Ireland                     17
   United Kingdom              66
    Whereas, in order to take into account import trends
    for the products concerned in the different Member
    States, the quota amounsshould be divided into two
    instalments, each first instalment being allocated
   among the Member States, and eac frecond forming
   a reserve intended ultimately to cover the require­
   ments of the Member States which have used up
   their initial quota shares; whereas, in order to
   ensure a certain degree of security to importers in
   each Member State, the first instalment of
63 '"-I' ^U0ta should be determined at a level which,
      o/" frcsent circumstances, may be approximately
75 ' <° of /^cj_i£ota amount;
  Whereas the initial quota shares of the Member
  States may be used up at different times; whereas,
  m order to take this fact into account and avoid
  any break in continuity, it is important that any
  Member State having used up almost the whole of
 its initial quota share should draw an additional
 quota share from the reserve; whereas, this must be
 done by each Member State as and when each of
 its additional quota shares is almost entirely used
 up, and repeated as many times as the reserve allows;
 whereas the initial and additional quota shares must
 be available for use until the end of the quota period; •
 whereas this method of administration calls for close
 cooperation between Member States, and the Com­
mission, which must, in particular, be able to
observe the extent to which the quota amount is used
 and inform Member States thereof;
whereas if, at a specified date in the quota period,
a considerable balance remains in one or other
Member State it is essential that that Member State
pays a large amount of it back into the reserve, in
or er to avoid a part of the Community quota
remaining unused in one Member State when it
«ould be used in others;
                                                           • •/ • •
 ---pagebreak---                                                                               ANNEX r
                                              - 4 -
  Whereas, since the Kingdom of Belgium , the Kingdom
  of the Netherlands and the Grand Duchy of Luxem­
  bourg are united in and represented by the Benelux
" Economic Union, any measure concerning the
  administration of the quota shares allocated to that
  economic union may be carried out by any of its
  members,
  HAS ADOPTED THIS REGULATION:
                          Article 1
  1. From 1 January to 31 December 19?7 a tariff               elastic or rubberized
  quota of           metric tons snail be opened in the
  Community for outer garments and other articles , knitted or crocheted , not /
  falling within heading No 60-05 of the Common
  Customs Tariff, originating in Malta.
  2. Within the limits of this tariff quota, the Common
  Customs Tariff duties shall be totally suspended.
  This suspension shall be fully applied in the new
   Member States.
  3.       An amount of 122                tons is assigned to the
  Member States of the Community in its original
  composition .
  A.       An amount of          94     tons is assigned to the
  new Member States .
                           Article 2
   1 . A first instalment, amounting to "^ metric tons
   of the amount specified in Article 1(3 ), shall be                                 *
   allocated among the Member States of the Com­
   munity as originally constituted; the shares, which
   subject to Article 5 are valid until 31 December 1977,
   shall be as follows :
           Germany             15       metric tons,
           Bénélux             10       metric tons,
           France              50       metric tons,
           Italy               15       metric tons.
   The second instalment of 32 . metric tons shall
   constitute the relevant reserve.
   2. A first instalment, amounting to 70 metric tons
   of the amount mentioned in Articlel ( 4 } shall be
   distributed between the new Member States; the                          .r
   shares, which subject to Article 5 are valid until
   31 December 1977, shall be as follows :
           Denmark              12 .    metric tons,
           Ireland             12 ,     metric tons,
           United Kingdom 46            metric tons.
  The second instalment of          24 metric tons shall
   constitute the relevant reserve.
 ---pagebreak---                                                              - 5 -                                         ANNEX C
                             Article 3
   1 . If 90% or more of the initial share of a Member
  State, as laid down in Article 2          or 30% of that
  share less the arreount returned into the reserve, where
   the provisions oS Article 5 have been applied, has
   been exhausted, that Member State shall proceed
   without delay, by notifying the Commission, to draw
   a second share equal to 15% of its initial share,
   rounded up to the next unit where appropriate, to
   the extent that the amount in the       respective reserve allows .
    2. If, after its icdtial share has been exhausted, 90%
    or more of the second share drawn by a Member
  State has been rased, that Member State shall, in             The Commission shall , not later than 5 October
  accordance      with    the   conditions  laid down    in     1977, notify Member States of the amount in the
  paragraph 1, proiceed without delay to draw a third           reserveSafter the return of shares pursuant to
  share equal to 7-5% of its initial share, rounded up          Article 5 .
. to the next unit where appropriate, to the extent                                          are
  that the amount isa the reserve allows.                       The Commission shall ensure that any drawing which
                                                                uses up the reserves ^ limited to the balance
  3. If, after its second share has been exhausted, 90%         available and for this purpose shall specify the
  or more of the third share drawn by a Member State            amount sthereof to the Member State which makes
  has been used, tfciat Member State shall proceed, in          the last drawing.
  the same way, to draw a fourth share equal to the
  third.
                                                                                       Article 7
  This process shall be applied until the          respective
   reserve is exhausted .                                       1. The Member States shall take all appropriate
  4. Notwithstanding the provisions of paragraphs 1,            measures to ensure that, when additional shares arc
  2 and 3, a Member States may proceed to draw                  drawn pursuant to Article 3, it is possible for
  shares smaller tLan those fixed in those paragraphs,          charges to be made without interruption against their
  if there is reasora to believe that they might not be         accumulated shares of the Community quota.
  used up. They siaall inform the Commission of the
  reasons which led them to apply this paragraph.               2. The Member States shall ensure that importers
                                                                of the product concerned established in their
                                                                territory have free access to the shares allocated to
                             Article 4                          them.
  Each of the additional shares drawn pursuant to               3. The Member States shall charge imports of the
  Article 3 shall be valid until 31 December 1977
                                                                said goods against their share as and when the goods ,
                                                                are entered for home use.
                             Article S
                                                                4. The extent to which a Member State has used
  The Member Stxres shall return to the reserve, not            up its share shall be determined on the basis of the
  later than 1 October 1977, the unused portion of              imports charged in accordance with paragraph 3.
  their initial share which, on 15 September 1977, is in
  excess of 20% csf their initial amount. They may
  return a greater portion if there are grounds for                                  ■ Article 8
  believing that sucb quantity may not be used in full.
                                                                On receipt of a request from the Commission,
  The Member Stares shall, not later than 1 October             Member States shall inform it of imports actually
  197 7, notify the Commission of the total imports of          charged against their shares.
  the product concerned effected up to and including
  15 September 1977, and charged against the
  Community quota and, where appropriate, . the                                        Article 9
  proportion of their initial share that is being returned
  to the reserve.                                               The Member States and the Commission shall
                                                               ^cooperate closely in order to ensure that this
                             Article 6                           Regulation is observed.
  The Commissiota shall keep account of the shares
   opened by Member States in accordance with                                          Article 10
   Articles 2 and 3 and shall inform each of them of                                                    L.      ;
   the extent to v. hich the reserves ./ been used as            This Regulation shall enter into force on 1 January
   soon as it receives the notifications .    have               1977-
                 This Regulation shall be binding in its entirety and directly applicable in all Member
                 States.
                 Done at Brussels,
                                                                                         For the Council
                                                                                          The President
 ---pagebreak---                                                                                                     ANNEX
                                                    Proposal for a
                              REGULATION (EEC) No ... .           OF THE COUNCIL
               opening, allocating and providing for the administration of a Community tariff quota
               for men 's and boys' outer garments , falling within heading
               No 61.01 of the Common Customs Tariff , originating in Malta
                                                         ( 1977 )
  THE COUNCIL OF THE EUROPEAN COMMUNITIES,
  Having regard to the Treaty establishing the -Euro­
  pean Economic Community, and in particular
  Article 113 thereof;
  Having regard to the proposal from the Commission;
  Whereas the Agreement between the European
  Economic Community and Malta, signed
  on 5 December 1970, ( 1 ) and the Protocol ( 2 ) laying down certains provisions
  concerning that Agreement as a result of the accession of new Member
  States to the European Economic Community provide for the opening of
  an annual Community tariff quota of                       730   metric tons of men 's and
 boys' outer garments-
  falling within heading No 61.01 of the Common Customs Tariff , originating
  in Malta ; whereas , pursuant to the Joint Declaration annexed to this
  Protocol , the tariff quota should-be allocated among the Member States as
  follows : 300 metric tons for the Community as originally constituted
  and 430 metric tons for the new Member States ;
 whereas the first stage of the Agreement ends on
30 June 1977 and, pursuant to the Annex I of the Agreement
 the pro rata temporis clause would apply to the
 volume of the quota ; whereas the Community intends
 to maintain its trading relations with Malta ; whereas
 the provisions governing the second stage should not
 be less favourable than those laid down for the                               .
 first; whereas in order not to disrupt trading patterns
 for the products in question, the Community tariff
 quota should be opened for the whole of 1977;                                                          –-y
 whereas, pursuant to Annex I of the said Agreement
 quota duty is equal to 30% of the Common Customs
 Tariff duty in respea of the product concerned;
                                                                                                    •• •/• • •
  ( 1 ) 0J No L 61 of 14.3.1971
  ( 2 ) OJ No L 111 of 28.4.1976 .
 ---pagebreak---                                                 2 T                          ANNEX o
whereas to comply with the special provisions of the said
Protocol , separate arrangements should be made for Member
States of the Community as originally constituted on the
one hand , and for the new Member States . on the other ;
Whereas , since the 1 January 1974 , it is granted to- Malta
a treatment not less favourable than that enjoyed by countries
eligible for the generalized tariff preferences;'-''' whereas to
this end therefore the duty rates should be totally suspended
and the quota volume increased to                       815 metric tons for the
year 1977, from which 364 metric tons belongs to the Member
States of the Community as originally constituted and 451 metric
tons to the new Member States ;
Whereas it is in particular necessary to ensure to
all Community importers equal and uninterrupted
access to the abovementioned quota and uninter­
rupted application of the rate laid down for that
quota to all imports of the product concerned into
all Member States until the quota has been used up;
whereas, having regard to the principles mentioned
above, the Community nature of the quota can be
respected by allocating the Community tariff quota
among the Member States ; whereas, in order to
reflect more accurately the actual development of the
market in the product concerned, such allocation
should be in proportion to the needs of the Member
States, assessed by reference to both the statistics of
each State's imports of the said goods from Malta
over a representative period and the economic out­
look for the quota period concerned;
Whereas, during the last three years for which
statistics are available, the corresponding imports by
each of the Member States represent the following
percentages of the imports into the Community, from
Malta, of the products concerned:
                                                                      %
                                        1973              1974       1975
 Germany                                 31.0             16.2       42.9
 Bénélux     '                           35.1             45.5       12.1
 France                                  11.9             22.9       38.8
                                   I
 Italy                             L     22.0             15.4        6.2
 Denmark                                 77.4             60.9       45.4
 Ireland                                  0.5           •  0.7        2.3
 United Kingdom
                                   L     22.1             38.4       52.3
 ---pagebreak---      Whereas in view of these factors of the foreseeable
     development during 1977 of the market for the
     products in question and in particular of the estimates
     submitted by certain Member States, initial quota
    shares may consequently be fixed approximately as
    follows: ( in % ) :
     Germany                   65
     Bénélux                   18
      France                _ 13
      Italy                      4
     Dentnark             •    35
     Ireland                     1
     United Kingdom            64 ;
      Whereas, in order to take into account import trends
      for the products concerned in the different Member
      States, the quota amouns should be divided into two
      instalments, each first instalment being allocated
      among the Member States, and eac faecond forming
      a reserve intended ultimately to cover the require­
     ments of the Member States which have used up
     their initial quota shares; whereas, in order to
     ensure a certain degree of security to importers in
     each Member State, the first instalment of
   each quota should be determined at a level which,
     under present circumstances, may be approximately
  67 <% of /^<ji|ota amount;
    Whereas the initi'al quota shares of the Member
    States may be used up at different times; whereas,
 ^ in order to take this fact into account and avoid
    any break in continuity, it is important that any
    Member State having used up almost the whole of
    its initial quota share should draw an additional
    quota share from the reserve; whereas, this must be
    done by each Member State as and when each of
• its additional quota shares is almost entirely used
    up, and repeated as many times as the reserve allows;
    whereas the initial and additional quota shares must
    be available for use until the end of the quota period; •
   whereas this method of administration calls for close
    cooperation between Member States, and the Com­
   mission, which must, in particular, be able to .
   observe the extent to which the quota amount is used
    and inform Member States thereofi
   Whereas if, at a specified date in the quota period,
   a considerable balance remains in one or other
   Member State it is essential that diat Member State
   pays a large amount of it back into the reserve, in
   order to avoid a part of the Community quota
   remaining unused in one Member State when it
   could be used in others:
 ---pagebreak---                                                                  ANNEX    D
                                              - 4 -
   Whereas, since the Kingdom of Belgium, the Kingdom
   of the Netherlands and the Grand Duchy of Luxem­
   bourg are united in and represented by the Benelux
 " Economic      Union , any measure concerning the
   administration of the quota shares allocated to that
■ economic union may be carried out by any of its
   members,
   HAS ADOPTED THIS REGULATION :
                          Article 1
   1 . From 1 January to 31 December 197 / a tariff
   quota of 815 metric tons shall be opened in the
   Community for men 's and boys' outer garments
   falling within heading No61.01 of the Common
   Customs Tariff, originating in Malta.
   2. Within the limits of this tariff quota, the Common
   Customs Tariff duties shall be totally suspended.
   This suspension shall be fully applied in the new
   Member States.
   3.      An amount of              364 tons is assigned to the
   Member States of the Community in its original
   composition .
   4.      An amount of          451    tons is assigned to the
   new Member States .
                            Article 2
    1 . A first instalment, amounting to ' metric tons         r
    of the amount specified in Article 1(3 ), shall be
    allocated among the Member States of the Com­
    munity as originally constituted ; the shares, which
    subject to ArticleS are valid until 31 December 1977,
    shall be as follows :
            Germany          158        metric tons,      . -
            Benelux           44        metric tons,
            France            31        metric tons, .
            Italy             10        metric tons.
    The second instalment of 121 metric tons shall
    constitute the relevant reserve.
    2. A first instalment, amounting to ? metric tons
    of the amount mentioned in Articlel ( 41 shall be
    distributed between the new Member States; the
    shares, which subject to Article 5 are valid until
    31 December 1977, shall be as follows :
            Denmark             105     metric tons,
            Ireland                3    metric tons,
            United Kingdom 192          metric tons.
    The second instalment of 1 5 1 metric tons shall              a •/> •
    constitute the relevant reserve.
 ---pagebreak---                                                                  5                                        ANNEX     D
                           Article 3
 1 . If 90% or more of the initial share of a Member
 State, as laid down in Article 2         or 90% of that
 share less the amount returned into the reserve, where
 the provisions of Article 5 have been applied, has
 been exhausted, that Member State shall proceed
 without delay, by notifying the Commission, to draw
 a ■ second share equal to 15% of its initial share,
 roy.rtdccL up to the next unit where appropriate, to
 the extent that the amount in the respective reserve allows .
  2. If, after its initial share has been exhausted, 90%
  or more of the second share drawn by a Member
State has been used, that Member State shall , in              The Commission shall, not later than 5 October
accordance      with    the   conditions  laid down    in      1977, notify Member States of the amount in the
paragraph 1 , proceed without delay to draw a third            reserves after the return of shares pursuant to
share equal to 7 5% of its initial share, rounded up           Article 5 .
to the next unit where appropriate, to the extent                                           are
that the amount in the reserve allows.                         The Commission shall ensure that any drawing which
                                                               uses up the reserves ! limited to the balance
3. If, after its second share has been exhausted, 90%          available and for this purpose shall specify the
or more of the third share drawn by a Member State             amount sthereof to the Member State which makes
has been used, that Member State shall proceed, in             the last drawing.
the same way, to draw a fourth share equal to the
third.
                                                                                      Article 7
This process shall be applied until the respect ive
 reserve is exhausted .                                        1 . The Member States shall take all appropriate
4. Notwithstanding the provisions of paragraphs 1 ,            measures to ensure that, when additional shares are
2 and 3 , a Member States may proceed to draw                  drawn pursuant to Article 3, it is possible for
shares smaller than those fixed in those paragraphs,           charges to be made without interruption against their
if there is reason to believe that they might not be           accumulated shares of the Community quota.
used up. They shall inform the Commission of the
reasons which led them to apply this paragraph.                2. The Member States shall ensure that importers
                                                               of the product concerned established in their
                                                               teiritory have free access to the shares allocated to
                           Article 4                           them.
Each of the additional shares drawn pursuant to                3. The Member States shall charge imports of the
Article 3 shall be valid until 31 December 1977
                                                               said goods against their share as and when the goods ,
                                                               are entered for home use.
                           Article 5
                                                               4. The extent to which a Member State has used
The Member States shall return to the reserve, not             up its share shall be determined on the basis of the
later than 1 October 1977, the unused portion of               imports charged in accordance with paragraph 3.
their initial share which, on 15 September 1977, is in
excess of 20% of their initial amount. They may
return a greater portion if there are grounds for                                     Article 8
believing that such quantity may not be used in full.
                                                               On receipt of a request from the Commission,
The Member States shall, not later than 1 October              Member States shall inform it of imports actually
197 notify the Commission of the total imports of              charged against their shares.
the product concerned effected up to and including
15 September 197 7, and charged against the
Community quota and, where appropriate, . the                                         Article 9
proportion of their initial share that is being returned
to the reserve.                                                The Member States and the Commission shall
                                                              .cooperate closely in order to ensure that this
                           Article 6                           Regulation is observed.
The Commission shall keep account of the shares
opened by Member States in accordance with                                            Article 10
Articles 2 and 3 and shall inform each of them of
the extent to which the reserves / been used as                This Regulation shall enter into force on 1 January
soon as it receives the notifications.     have                 1977.
               This Regulation shall be binding in its entirety and directly applicable in all Member
               States.
               Done at Brussels,
                                                                                       For the Council
                                                                                      • The President