CELEX: 51993PC0540
Language: en
Date: 1993-11-05
Title: Proposal for a COUNCIL REGULATION (EEC) on special arrangements for imports of maize and sorghum into Spain for the year 1993

COMMISSION OF THE EUROPEAN COMMUNITIES
                                                     C0M(93) 540 final
                                                     Brussels, 5 November 1993
    J,gU2
..•"'Jill
                                      Proposal for a
                                 COUNCIL REGULATION (EEC)
                 on special arrangements for imports of maize and sorghum
                               into Spain for the year 1993
    "^•giw
                              (presented by the Commission)
       -41
 ---pagebreak---                                 - A -
                           EXPLANATORY MEMORANDUM
According to the Agreement between the European Economic Community and the
                                                                    i
United States of America for the conclusion of the negotiations under GATT
Article XXIV.6, as approved by Council Decision of 30 January 1987, the
Community was committed to open an annual quota of 2 million tonnes of maize
and 0.3 million tonnes of sorghum for import into Spain for each of the
years 1987 to 1992. These annual quotas were to be reduced by the quantities
of certain cereal substitutes imported into Spain within the same year.
An extension of the initial Agreement between the Community and the United
States of America for 1993 was approved by Council Regulation (EEC)
No 991/93 of 23 April 1993. Special arrangements for imports of maize and
sorghum into Spain should be laid down for 1993, with the aim of ensuring
fulfilment of the above-mentioned commitment. As the Agreement was concluded
under Article 113 of the Treaty, the Community has exclusive competence for
these arrangements.
Accordingly, the present draft regulation provides for special arrangements
for imports with retroactive effect from 1 January 1993.
 ---pagebreak---                                    Proposal for
                        COUNCIL REGULATION (EEC) No
                                 of          1993
           on special arrangements for imports of maize and sorghum
                          into Spain for the year 1993
THE COUNCIL OF THE EUROPEAN COJOIUNITIES,
Having regard to the Treaty establishing the European Economic community,
and in particular Article 113 thereof,
Having regard to the proposal from the Commission*,
Whereas, under Council Regulation (EEC) No 991/93 of 23 April 1993 2
extending the measures taken under the Agreement between the European
Economic Community and the United States of America for the conclusion of
the negotiations under GATT Article XXIV.6, the Community undertook, in
respect of the year 1993, to open a quota for imports into Spain of two
million tonnes of maize and 300 000 tonnes of sorghum, minus the quantities
of certain grain substitutes imported into that country during the same
year; whereas the quantities of maize and sorghum imported must be used or
processed in Spain; whereas the Community has sole competence for the said
Agreement;
Whereas, to ensure that the Agreement between the European Economic
Community and the United states of America is implemented, the extended
arrangements provide for direct purchase on the world market or application
of a levy reduction system; whereas, however, imports of maize and sorghum
into Spain effected on preferential terms may create difficulties for the
Community market; whereas, to overcome that difficulty, provision should be
made for the possibility of applying a countervailing duty to processed
products exported either to third countries or to the rest of the Community;
1 OJ No C
2 OJ No L 104, 29.4.1993, p. 1.
 ---pagebreak--- whereas the combination of the advantages provided for under the
arrangements established by council Regulation (EEC) No 715/9 0 of 5 March
1990 3 , as last amended by Commission Regulation (EEC) No 444/92 4
applicable to imports into the Community of sorghum and maize originating in
the African, Caribbean and Pacific (ACP) States or in the overseas countries
and territories and under this Regulation is liable to create disturbances
on the Spanish market in cereals; whereas that difficulty can be overcome by
setting a special reduction of the levy on maize and sorghum imported under
this Regulation;
Whereas provisions are required to cover the operations arising from this
Regulation according to the mechanisms laid down by Council Regulation (EEC)
No 729/70 of 21 April 1970 on the financing of the common agricultural
policy^, as last amended by Regulation (EEC) No 2048/88 6 , and by Council
Regulation (EEC) No 1883/78 of 2 August 1978 laying down general rules for
the financing of interventions by the European Agricultural Guidance
Guarantee Fund, Guarantee Section', as last amended by Regulation (EEC)
No 787/898,
HAS ADOPTED THIS REGULATION:
                                 Article 1
For 1993 imports from third countries, for free circulation in Spain, of a
maximum quantity of two million tonnes of maize and 300 000 tonnes of
sorghum shall be effected as provided in the following Articles.
J OJ No L H4, JU.J.jrJO, p. o%.
4 OJ No L 52, 27.2.1992, p. 7.
5 OJ No L 94, 28.4.1970, p. 3.
6 OJ No L 185, 15.7.1988, p. 1.
7 OJ No L 216, 5.8.1978, p. 1.
8 OJ No L 85, 30.3.1989, p. 1.
 ---pagebreak---                                  •Article 2
   The quantities referred to in Article 1 shall be reduced in proportion to
   any quantities of maize gluten, brewers' grains and citrus pulp imported
   into Spain from third countries during the year 199 3. where it is
   ascertained that the quantities of such products imported into Spain
   under the cover of documents establishing their Community status develop
                                                                      i
                                                                      i
   abnormally, the necessary action shall be taken in accordance with the
   procedure laid down in Article 23 of Council Regulation (EEC) No 1766/92
   of 30 June 1992 9 .
2. The quantities of maize and sorghum referred to in Article 1 shall be
   allocated to processing or use in Spain.
                                  Article 3
1. Without prejudice to Article 4, in respect of imports of maize and
   sorghum into Spain, but within the quantitative limits set in Article 2,
   a reduction shall be applied to the levy fixed in accordance with
   Article 10 of Regulation (EEC) No 1766/92.
2. The amount of the reduction shall be fixed, in accordance with the
   procedure laid down in Article 23 of Regulation (EEC) No 1766/92, at a
   level enabling disturbance of the Spanish market to be avoided. The
   reduction may also be fixed by a tendering procedure.
   The reduction may be differentiated for imports of maize and sorghum into
   Spain under Regulation (EEC) No 715/90.
3. The reduction shall be applied to imports of maize and sorghum into Spain
   effected on the basis of a licence valid only in that Member State.
9 OJ Ho L 181, 1.7.1992, p. 21
 ---pagebreak---                                  -M-
                                   Article 4
1. With a view to effecting the imports referred to in Article 1, it may be
    decided, under the procedure laid down in Article 23 of Regulation (EEC)
    No 1766/92, that the Spanish intervention agency shall purchase directly
    on the world market quantities of maize and sorghum to be determined, and
    shall place them under customs warehousing procedure as provided for in
    Council Regulation (EEC) No 2503/88 on customs warehouses 10 and
    Regulation (EEC) No 2561/90 11 laying down provisions for the
    implementation thereof.
2. Quantities purchased pursuant to paragraph 1 shall be put up for sale on
    the Spanish domestic market, in accordance with the procedure laid down
    in Article 23 of Regulation (EEC) No 1766/92, on terms enabling market
    disturbance to be avoided.
3. When the goods are placed in free circulation, an agricultural levy shall
    be charged, equal to the average of the levies applicable in Spain and
     fixed for the cereals concerned during the first 25 days of the month
    preceding the date of acceptance of the declaration of entry into free
    circulation, minus the difference between the threshold price and the
     intervention price for the same month.
    Entry into free circulation shall be effected by the Spanish intervention
    agency.
    when the purchasers of the goods make payment to the intervention agency,
    the selling price minus the levy shall correspond to revenue from sales
    within the meaning of Annex I to Regulation (EEC) No 3492/90 12 .
 4. The purchasing operation provided for in paragraph 1 shall rank as
     intervention for the purpose of stabilizing the agricultural markets
    within the meaning of Article 1(2)(b) of Regulation (EEC) No 729/70.
 10 OJ No L 225, 15.8.1988, p. 1.
 11 OJ No L 246, 10.9.1990, p. 1.
 12 OJ No L 337, 4.12.1990, p. 3.
 ---pagebreak---    Payments by the intervention agency for buying as provided for in
   paragraph 1 shall be borne by the Community as they arise and shall be
   treated in the same way as the expenditure referred to in Article 2 of
   Regulation (EEC) No 1883/78. The Spanish intervention agency shall record
   the value of the merchandise purchased at a price of 'zero' in the
   account referred to in Article 4 of Regulation (EEC) No 1883/78.
                                  Article 5
At a frequency to be determined, the commission shall record in accounts:
   the quantities of maize and sorghum imported into Spain from third
   countries,
   the quantities of maize gluten, brewers' grains and citrus pulp imported
   into Spain.
For this purpose, the Spanish authorities shall supply the Commission
regularly with all necessary information.
                               Article 6
The imports referred to in Article 2 shall be effected not later than the
end of February of the following year. In the event of technical
difficulties duly noted by the Commission a period of importation exceeding
that time limit may be laid down in accordance with the procedure laid down
in Article 23 of Regulation (EEC) No 1766/92.
 ---pagebreak---                                    -é-
                               Article 7
Where the markets for products derived from maize or sorghum are disturbed,
a countervailing duty may be introduced in accordance with the procedure
laid down in Article 23 of Regulation (EEC) No 1766/92 for exports of the
relevant products from Spain or for their consignment to other Member
States.                                                             /
                               Article 8
The following shall be adopted in accordance with the procedure laid down in
Article 23 of Regulation (EEC) No 1766/92:
   any measures needed to ensure that the cereals, the levy for which has
   been reduced, are actually processed or used in Spain; such measures may
   in particular provide for the deposit of a security,
   the other detailed rules for the application of this Regulation, and in
   particular those relating to the issue of import licences; such rules may
   stipulate that the licences may be issued only in Spain, after Commission
   endorsement.
                            Article 9
This Regulation shall enter into force on the day following its publication
in the Official Journal of the European Communities.
This Regulation shall be binding in its entirety and directly applicable in
all Member States.
Done at Brussels,                                       For the Council,
 ---pagebreak---                                                              -?'
T. BUDGET HEADING : Expenditure 1003                                   APPROPRIATIONS : 214 (94 l.a.)
                     Revenu       1000                                                  1023.4
2. TITLE :
    Proposal for a Council Regulation (EEC) on special arrangements for imports of maize and sorghum
    into Spain for the year 1993                                                                     f
3. LEGAL BASIS : EEC Treaty, and in particular Article 43 thereof
4. AIMS:
    To fix the quantities and lay down the implementing rules for the special arrangements for imports of
   maize and sorghum into Spain following the extension of the Agreement on the matter by Council
   Regulation (EEC) No 991/93.
5. FINANCIAL IMPLICATIONS            PERIOD OF 12 MONTHS  CURRENT FINANCIAL YEAR   FOLLOWING FINANCIAL YEAR
                                       (ECU mi 11 ion)    Ç1993) (ECU million)     (1994 (ECU million)
5.0 EXPENDITURE
       - CHARGED TO THE EC BUDGET
         (REFUNDS/INTERVENT IONS)        119.5                       p.m.                  119.5
       - NATIONAL AUTHORITIES
       - OTHER
5.1 REVENUE
       - OWN RESOURCES OF THE EC
         (LEVIES/CUSTOMS DUTIES)         119.5                       p.m.                  119.5
       - NATIONAL
                                          1995              1996            1997               1998
5.0.1 ESTIMATED EXPENDITURE
5.1.1 ESTIMATED REVENUE
5.2 METHOD OF CALCULATION
     Revenue:     1.5 million t x ECU 66/t x 1.207 (double rate) = ECU 119.5 million
     Expenditure: 1.5 million t x ECU 66/t x 1.207 (double rate) = ECU 119.5 million
6.0 CAN THE PROJECT BE FINANCED FROM APPROPRIATIONS ENTERED IN THE RELEVANT CHAPTER OF THE CURRENT BUDGET ?
                                                                                                     YES/XX
6.1 CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF THE CURRENT BUDGET ?
                                                                                                     YES/XX
6.2 WILL A SUPPLEMENTARY BUDGET BE NECESSARY ?
                                                                                                     XXX/NO
6.3 WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY ?
                                                                                                     YES/XX
COMMENTS :
The quantity provided for in Article 1(1) of 2.3 million t of maize and sorghum is reduced by 800 000 t,
corresponding to the estimated quantities of maize gluten, brewers' grains and citrus pulp imported
into Spain in 1993 in accordance with Article 2 of the same Regulation.
The PDB takes account of these imports.
 ---pagebreak---                                               -6-
                                                                     ISSN 0254-1475
                                                               COM(93) 540 final
                                                      DOCUMENTS
EN                                                                     03 11 02
                                 Catalogue number : CB-CO-93-577-EN-C
                                                             ISBN 92-77-60638-X
Office for Official Publications of the European Communities
L-2985 Luxembourg