CELEX: 51987PC0295
Language: en
Date: 1987-07-28 00:00:00
Title: Recommendation for a COUNCIL DECISION on the conclusion of the agreement in the form of an exchange of letters between the European Economic Community and the Government of the German Democratic Republic on trade in sheepmeat and goatmeat (presented by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (87) 295
Vol. 1987/0174
 ---pagebreak--- Disclaimer
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In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983 concerning
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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), zuletzt geändert durch die
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Verschlusssachen als herabgestuft angesehen.
 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                   COM(87) 295 final
                                                   Brussels , 28j u L y 1987
                             Recommendation for a
                               COUNCIL DECISION
   on the conclusion of the agreement in the form of an exchange of
         letters between the European Economie Community and the
          Government of the German Democratie Republic on trade
                          in sheepmeat and goatmeat
                       ( presented by the Commission )
C0MC87 ) 295 final
 ---pagebreak---                                     ъ
                              EXPLANATORY MEMORANDUM
1. Under the negotiating mandate given by the Council to the Commission on
   20 December 1979 , and pursuant to Regulation ( EEC ) No 1837 /80 on the
   common organization of the market in sheepmeat and goatmeat , agreements on
   voluntary restraint of their exports in this sector have been concluded
   with the following countries : Argentina , Australia , Austria , Bulgaria ,
   Czechoslovakia , Hungary , Iceland , New Zealand , Poland , Romania , Uruguay
   and Yugoslavia .
2. Although the German Democratic Republic was one of the first countries to
   have agreed to the principle of the voluntary restraint of its export of
   sheepmeat and goatmeat to the Community , the negotiations for the
   conclusion of a formal , definitive agreement between the German Democratic
   Republic and the Community were not concluded until 10 February of this
   year . The negotiations were interrupted in 1981 because the negotiator for
   the German Democratic Republic did not have the Government 's official
   authorization , but this was rectified on 11 September 1986 .
3. Since the provisions contained in the draft agreement finally accepted by
   the competent authorities of the German Democratic Republic are the same
   as those contained in the voluntary restraint agreements already concluded
   between the Community and the countries listed above , it is proposed that
   the draft decision concerning the conclusion with the German Democratic
   Republic of an agreement on the voluntary restraint of its exports to the
   Community in the sheepmeat and goatmeat sector should be adopted .
   Under this agreement , the Community undertakes to set a ceiling of 10% ad
   valorem for the levy applicable and the German Democratic Republic
   undertakes to limit its exports to 2 400 tonnes of live animals a year .
   This quantity is lower than the 3 273 tonnes imported into the Community
   in 1981 and the quantity accepted at Community level with a view to the
   conclusion of the agreement .
   It was agreed that the figures adopted in 1981 could no longer serve as a
   basis for discussion , since sheepmeat production in the Community had
   resulted in a more favourable supply rate .
 ---pagebreak---                                            3
4.    It should be noted , for the record , that , owing to the fact when a
      decision had to be taken on the arrangements to be applied to it for 1986
      and the subsequent years , the German Democratic Republic had still not
      agreed to conclude the agreement , the Council decided , in Regulation ( EEC )
      No 3643 /86 ( 1 ), to limit the quantities subject to a levy of not more than
      10% ad valorem to 100 tonnes a year until the application of a voluntary
      restraint agreement .
      The Commission therefore also proposes to the Council that this Regulation
      should be amended by the withdrawal of the German Democratic Republic from
      its field of application , and that the voluntary restraint agreement and
      the amendment to Regulation ( EEC ) No 3643 /86 should enter into force
      simultaneously .
5.    The initialled draft agreement concludes an exchange of letters whereby
      the German Democratic Republic undertakes not to export the products
      referred to in the agreement to France or Ireland .
6.    For 1987 , pursuant to clause 9 of the draft agreement , the quantity which
      could be imported into the Community will be calculated pro rata temporis
      on the basis of the date of entry into force of the agreement . The
      Commission proposes that this date , which is obviously linked with the
      date of the signing of the agreement , should be 1 July 1987 .
( 1 ) OJ No L
 ---pagebreak---                                         ч
                                  COUNCIL DECISION
    on the conclusion of the agreement in the form of an exchange of letters
        between the European Economie Community and the Government of the
           German Democratie Republic on trade in sheepmeat and goatmeat
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community , and
in particular Article 113 thereof ,
Having regard to the recommendation from the Commission ,
Whereas the Commission has opened negotiations with non-member countries which
supply sheepmeat and goatmeat or live sheep and goats , with a view to reaching
agreements for voluntary restraint of their exports to the Community ;
Whereas the Commission has reached agreement with the German Democratic
Republic ;
Whereas the said agreements allow trade to be carried on in a manner
compatible with the common organization of the markets in the sector in
question ,
HAS DECIDED AS FOLLOWS :
                                     Article 1
1.  The agreements drawn up in the form of an exchange of letters on trade in
    the sheepmeat and goatmeat sector with the German Democratic Republic is
    hereby approved on behalf of the Community .
2.  The text of the agreement is attached to this Decision .
 ---pagebreak---                                      Article 2
The President of the Council is hereby authorized to designate the person
empowered to sign the agreement , in order to bind the Community .
Done at Brussels ,
                                                  For the Council
                                                   The President
 ---pagebreak---                                   EXCHANGE OF LETTERS
      between the European Economie Community and the Government of the German
   Démocratie Republie on trade in sheep and goats and sheepmeat and goatmeat
                                       Letter n J 1
  Sir ,
  I have t ho honour to refer to the negotiations recently undertaken between Ovr
  respective delegations for the purpose of drawing up provisions concerning im¬
  port into the European Economic Community of sheepmeat and goatmeat and li.e
  sheep and goats other than pure-bred breeding animals from the German Democra ¬
  tic Republic ,
 During these negotiations both parties agreed as follows :
 1 . This arrangement shall relate to :
      - live sheep and goats other than pure-bred breeding animais ( subheading
         01.04B of the Common Customs Tariff ),
      - fresh or chilled mutton , lamb and goatmeat ( subheading 02.01 A IV a ) c :
         the Common Customs Tariff ),
      - frozen mutton , lamb and goatmeat ( subheading 02.01 A IV b ) of the Comren
         Customs Tariff ).
 2 . Within this arrangement , the scope for imports of the prcducts referres ' :
      in point 1 shall be the following annual quantities :
     -    2 400 tonnes of live animals ( sheep , goats and lambs ), expressed as
        carcase weight bone-in ( 1 )
     -    0  tonnes of fresh or chilled meat , expressed as carcase weight
        bone-in ( 2 ).
     -    0  tonnes of frozen mutton , lamb and goatmeat expressed as carcase weiçrt .
For this purpose the competent authorities of the German Democratic Republic
shall implement the appropriate procedures to ensure that the quantities ex ¬
ported do not exceed the above mentioned figures .
( 1 ) 100 kg live weight shall correspond to 47 kg carcase weight ( bone-in
       équivalent weight ).
( 2 ) Carcase weight ( bone-in equivalent weight ). By this term is understood
      the weight of bone-in meat presented as such as well as boned meat convert
      ed by a coefficient into bone-in weight . For this purpose 55 kg of boned
      mutton corresponds to 100 kg of bone-in mutton and 60 kg of boned lamb
      corresponds to 100 kg of bone-in Lamb .
 ---pagebreak---                                                >
  3 . Should the Community have recourse to the safeguard clause , it undertakes that
       such measures shall not affect the provisions of this arrangement .
  4 . If imports from the German Democratic Republic in any one year exceed the
       quantities agreed , the Community reserves the right to suspend imports from the
      German Democratic Republic for the remainder of that year .    The quantity overshippec
       shall be offset against the German Democratic Republic 's export entitlement
       for the following year .
 5 . The Community undertakes to limit the levy applicable to imports of products Coverec
      by the présent arrangement to a maximum amount of 10 % , ad valorem .
 6 . At the time of the accession of a new Member State , the Community , in consultatic'
      with the government of the German Democratic Republic will alter the quantities
      set out in clause 2 , in accordance with the German Democratic Republic 's trade
      with each new Member State . The charges applicable to imports for the said
      new Member State shall be fixed in accordance with the rules in the Treaty of
      Accession ; the maximum level of the levy specified in clause 5 of this arrangement
      being taken into account .
 7 . The Government of the German Democratie Republic shall ensure that this arrangement
      is observed , in particular by issuing export certificates covering the products
      referred to in clause 2 within the limits of the quantities covered by this
      arrangement .
      For its part , the Community shall undertake to adopt all necessary provisions to
     make the issue of the import certificates for the products referred to above ,
     originating in the German Democratic Republic, subject to the presentation of an
     export certificate , issued by the competent authority designated by the Government
     of the German Democratic Republic .
     Detailed rules for applying this system shall be laid down in such a way as ts ~e~ze -
     unnecessary the lodging of a security for the issue of the impe-t certificate
     in respect of the products in question .
     Also , such detailed rules of application shall provide that the competent authc'ity
     of the German Democratic Republic shall communicate periodically to the compe’ent
     authority of the Community the quantities in respect of which export certificates
     are issued , broken down , where appropriate , according to destination .
     It is hereby agreed that export licences will be valid for a period of three mentrs
     from their date of issue . The corresponding import licences shall be valid until
     the date of expiry of the export licences .
     Quantities delivered under an export licence shall be deducted from the quantity
     agreed for the year during which' the export licence was issued .
8 . A Consultative Committee shall, be set up composed of representatives from the
     Community and from the Government of the German Democratic Republic . The Committee
     shall ensure that the arrangement is being properly applied and is functioning
     smoothly .
 ---pagebreak---        It will ensure that the     proper application of the arrangement    is not
       affected by the export of mutton and lamb and goatmeat-based products to
       the Community under customs headings not referred to by the arrangement .
       The Commlttee will meet at thè reouest of elther party and discuss all
       questiona which could arise in applylng thè arrangement and recommend
      appropriate Solutions to thè competent authorities .
 9.   The annual quantity fixed in clause 2 refers to the period running from 1
      January to 31 December . The Quantity applicable as of the implementation
      of the present arrangement and until 1 January of the following year will
      be fixed on a pro rata basis in relation to the total annual quantity .
 10 . This arrangement shall apply , on the one hand , to the territories in which
      the Treaty establishing the European Economic Community is applied and
      under the conditions laid down in that Treaty and , on the other hand , to
      the territory of the German Democratic Republic .
11 . The arrangement shall enter into force on 1 July 1987 and shall continue in
      force thereafter subject to each party having the right to denounce it by
      giving one year 's notice in writing .
I    3hould  be  obliged   if you would    kindly confirm    the agreement of you
Government to the foregoing .
Please accept , Sir , the assurance of ray highest considération .
                                                    For the Council
                                             of the European Communities ,
 ---pagebreak---                                           Letter n° 2
          Sir ,
          I have the honour to acknowledge receipt of your letter of today 's date
          which reads as follows :
1 I have the honour to refer to the negotiations recently undertaken between our
   respective delegations for the purpose of drawing up provisions concerning im¬
   port into the European Economic Community of sheepmeat and goatmeat and li-.e
   sheep and goats other than pure-bred breeding animals from the German Democ-s -
   tic Republic ,
  During these negotiations both parties agreed as follows :
  1 . This arrangement shall relate to :
       - live sheep and goats other than pure-bred breeding animais ( subheadinç
         01.04B of the Common Customs Tariff ),
       - fresh or chilled mutton , lamb and goatmeat ( subheading 02.01 A IV a ) ci -
         the Common Customs Tariff ),
       - frozen mutton , lamb and goatmeat ( subheading 02.01 A IV b ) of the Comrcr.
         Customs Tariff ).
  2 . Within this arrangement , the scope for imports of the prcducts referred ::
       in point 1 shall be the following annual quantities :
      - 2 400 tonnes of live animals ( sheep , goats and lambs ), expressed as
         carcase weight bone-in ( 1 )
      - 0 tonnes of fresh or chilled meat , expressed as carcase weight
         bone-in ( 2 ).
      - 0 tonnes of frozen mutton, lamb and goatmeat expressed as carcase weiç.-t .
 For this purpose the competent authorities of the German Democratic Republic
 shall implement the appropriate procedures to ensure that the quantities ex ¬
 ported do not exceed the above mentioned figures .
 ( 1 ) 100 kg live weight shall correspond to 47 kg carcase ueight ( bone-in
       équivalent weight ).
 ( 2) Carcase weight ( bone-in equivalent weight ). By this term is understood
       the weight of bone-in meat presented as such as well as boned meat convert ¬
       ed by a coefficient into bone-in weight . For this purpose 55 kg of bored
       mutton corresponds to 100 kg of bone-in mutton and 60 kg of boned lamb
       corresponds to 100 kg of bone-in lamb .
 ---pagebreak---                                                ю
   3 . Should the Community have recourse to the safeguard clause , it undertakes that
        such measures shall not affect the provisions of this arrangement .
   4 . If imports from the German     Democratic Republic in any one year exceed the
        quantities agreed , the Community reserves the right to suspend imports from the
        German Democratic Republic for the remainder of that year . The quantity overshippec
        shall be offset against the German Democratic Republic 's export entitlement
        for the following year .
  5 . The Community undertakes to limit the levy applicable to imports of products ioverec
       by the présent arrangement to a maximum amount of 10 X, ad valorem .
  6 . At the time of the accession of a new Member State , the Community , in consultatic'
       with the government of the German Democratic Republic will alter the quantities
       set out in clause 2 , in accordance with the German Democratic Republic 's trade
       with each new Member State . The charges applicable to imports for the said
       new Member State shall be fixed in accordance with the rules in the Treaty of
       Accession ; the maximum level of the levy specified in clause 5 of this arrangement
       being taken into account .
 7 . The Government of the German Democratie Republic shall ensure that this arrangement
       is observed , in particular by issuing export certificates covering the products
       referred to in clause 2 within the limits of the quantities covered by this
       arrangement .
       For its part , the Community shall undertake to adopt all necessary provisions to
      make the issue of the import certificates for the products referred to above ,
      originating in the German Democratic Republic, subject to the presentation of ar.
      export certificate , issued by the competent authority designated by the Government
      of the German Democratic Republic .
      Detailed rules for applying this system shall be laid down in such a way as to * e't =-
      unnt?cessary the lodging of a security for the issue of the impest certificate
      in respect of the products in question .
      Also, such detailed rules of application shall provide that the competent authc'it /
      of the German Democratic Republic shall communicate periodically to the compere'.:
      authority of the Community the quantities in respect of which export certificates
      are issued , broken down , where appropriate , according to destination .
      It is hereby agreed that export licences will be valid for a period of three mentrs
      from their date of issue . The corresponding import licences shall be valid until
      the date of expiry of the export licences .
      Quantities delivered under an export licence shall be deducted from the quantity
      agreed for the year during which' the export licence was issued .
8 . A Consultative Committee shall. be set up composed of représentatives from the
      Community and from the Government of the German Democratic Republic . The Committee
      shall ensure that the arrangement is being properly applied and is functioning
      smoothly .
                                                                                      /
 ---pagebreak---                                            ц
      It will ensure that the proper application of the arrangement is not
     affected by the export of mutton and lamb and goatmeat-based products to
      the Community under customs headings not referred to by the arrangement .
     The Comraittee will meet at the reouest of either party and discuss ail
     questions whlch could arlse in applying the arrangement and recomraend
     appropriate solutions to the competent authorities .
 9 . The annual quantity fixed in clause 2 refers to the period running from 1
     January to 31 December . The Quantity applicable as of the implementation
     of the present arrangement and until 1 January of the following year will
     be fixed on a pro rata basis in relation to the total annual Quantity .
1Q . This arrangement shall apply , on the one hand , to the territories in which
     the Treaty establishing the European Economic Community is applied and
     under the conditions laid down in that Treaty and , on the other hand , to
     the territory of the German Democratic Republic .
11 . The arrangement shall enter into force on 1 July 1987 and shall continue in
     force thereafter subject to each party having the right to denounce it by
     giving one year 's notice in writing .
 I hâve the honour to confirm the agreement of my Government to the foregoing .
 Please accept . Sir , the assurance of my highest considération .
                                                    For the Government
                                            of the German Démocratie Republic
 ---pagebreak---                             EXCHANGE OF LETTERS
 comprising an understanding relevant to clause 2 of the exchange of
 letters between the European Economic Community and the Government
of the German Democratic Republic on trade in sheep and goats and
                           sheepmeat and goatmeat .
                                  Letter n?1
I hâve the honour to refer to the exchange of letters between the
European Economie Community and the Government of the German Démocratie
Republic on trade in sheep and goats and shee.nmeat and goatmeat .
Further to that exchange of letters and to your request , I would advise
you that the Authorities of the German Democratic Republic will ensure
that for the (Juration of the agreement , there will be no change in the
traditional trade flows of sheep and goats and sheepmeat and goatmeat
to the market areas in the European Economic Community determined as
sensitive . Consequently it is agreed that there shall be no exports of
these products to Ireland and France .
The authorities of the German Democratic Republic will adopt the necessary
measures for this purpose .
 I should be obliged if you would kindly acknowledge receipt of this letter .
 Please accept , Sir , the assurance of my highest considération .
                                                For the Government
                                       of the German Démocratie Republic
 ---pagebreak---                                          13
                                      Letter n° 2
    Sir
    I have the honour to acknowledge receipt of your letter of today 's date
    which reads as follows :
" I hâve the honour to refer to the exchange of letters between the
  European Economie Community and the Government of the German Démocratie
  Republic on trade in sheep and goats and sheepmeat and goatmeat .
  Further to that exchange of letters and to your request , I would advise
  you that the Authorities of the German Democratic Republic will ensure
  that for the duration of the agreement , there will be no change in the
  traditional trade flows of sheep and goats and sheepmeat and goatmeat
  to the market areas in the European Economic Community determined as
  sensitive . Consequently it is agreed that there shall be no exports of
  these products to Ireland and France .
  The authorities of the German Democratic Republic will adopt the necessary
  measures for this purpose .
  I should be obliged if you would kindly acknowledge receipt of this letter . '
   Please accept , Sir , the assurance of my highest considération .
                                                  For the Council
                                         of the European Communi t i es ,
 ---pagebreak---      FINANCIAL                STATEMENT
_; Date : 19.2.1987_
1 . BUDGET HEADING : 100                            APPROPRIATIONS : 551 million ECU
_2210_( draft budget )_
2 . TITLE : Adoption of the draft proposal for a Council decision on the conclusion of
an agreement , in the form of an exchange of letters , with the German Democratic
Republic for the voluntary restraint of its exports of sheepmeat and goatmeat_
3 . LEGAL BASIS : Régulation ( EEC ) No 1837 / 80
4 . AIMS : Under this agreement , the Community undertakes to set at 10% ad valorem
the maximum levy applicable and the German Democratic Republic undertakes to limit
its exports to 2 400 tonnes of live animals a year ._
5 . FINANCIAL IMPLICATIONS                PERIOD OF        CURRENT FINAN¬    FOLLOWING FINAN¬
                                          12 MONTHS        CIAL YEAR ( '87 )  CIAL YEAR ( '88 )
5.0 EXPENDITURE                         token entry ( 1 )  token entry ( 1 )  token entry ( 1 )
     - CHARGED TO THE EC BUDGET
       ( REFUNDS / INTERVENTIONS )
     XXXXXXXXXXXXXXXXXX
     xxxxxxxxxxxxxxxxxx
5.1 . REVENUE
      - OWN RESOURCES OF THE EC
         ( LEV I ES /CUSTOMS DUTIES )    + 0.8 million      + 0.3 million      + 0.8 million
      XXXXXXXXXXXXXXXXXXX                       ECU              ECU                ECU
                                           1987     :     1988     :   1989     :    1990
5.0.1 ESTIMATED EXPENDITURE
5.1.1 ESTIMATED REVENUE
5.2 METHOD OF CALCULATION
Levy before voluntary restraint agreement
     340 ECU / t x 100 t = 0.034 million ECU
Levy after voluntary restraint agreement
     340 ECU / t x 2 400 t = 0.816 million ECU
Impact : 0.816 - 0.034 = 0.782 million ECU x 5 / 12 = 0.326 million ECU
6.0 CAN THE PROJECT BE FINANCED FR0M APPROPRIATIONS ENTERED IN THE
     RELEVANT CHAPTER OF THE 1987 DRAFT BUDGET ?                                    YESXXXX
6.1 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
6.2 WILL A SUPPLEMENTARY BUDGET BE NECESSARY ?                                      XXXXXNO
6.3 WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY ?                                YESXXXX
COMMENTS : ( 1 ) Imports of animals on to the European market could lower the Community
price and so increase the premiums for ewes and female goats . This effect is difficult
to quantify .
 ---pagebreak---                      FICHE D' IMPACT SUR LA COMPETITIVITE ET L' EMPLOI
   I. Quelle est la justification principale de la mesure ?
        Il est proposé à la Commission d' approuver le projet de proposition de décision
       du Conseil concernant la conclusion d' un accord d' autolimitation de ses exportatio
       de viandes ovine et caprine avec la Rép . Dém . Allemande . . Le texte de l' accocd _
 II . Caractéristiques des entreprises concernées , est annexé à la présente proposition
       En particulier :
       - Y a - t - il un grand nombre de PME ?      NON
       - note t' on des concentrations dans des régions :
          - éligibles aux aides régionales des E.M. ,          NON
          - éligibles au Feder ?            NON
III . Quelles sont les obligations imposées directement aux entreprises ?
                                          NEANT
  IV . Quelles sont les obligations susceptibles d' être imposées indirectement
        aux entreprises via les autorités locales ?
                                          NEANT
    V. Y a - t - il des mesures spéciales pour les PME ?
        - Lesquelles ?                    NEANT
  VI . Quel est l' effet prévisible ?           NEANT
        - sur la compétitivité des entreprises ?
        - sur l' emploi ?                NEANT
VII . Les partenaires sociaux ont -ils été consultés ?
        - avis des partenaires sociaux                 NEANT