CELEX: 51987PC0199
Language: en
Date: 1987-05-12
Title: Proposal for a COUNCIL REGULATION (EEC) opening, allocating and providing for the administration of a Community tariff quota for processing work in respect of certain textile products under Community outward-processing traffic (presented by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (87) 199
Vol. 1987/0114
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Verschlusssachen als herabgestuft angesehen.
 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                     COM(87 ) 199 final
                                                     Brussels , 12 May 1987
                                 Proposai for a
                            COUNCIL REGULATION ( EEC )
 opening , allocating and providing for the administration of a Community
      tariff quota for processing work in respect of certain textile
             products under Community outward-processing traffic i c
                        ( presented by the Commission )
                                                               /
COMC87 ) 199 final
 ---pagebreak---                                                      •L
                                  F" XP ! ANATOKY MFMOKANDUM
 1.        In an Arrangement H ) ooncluded with the Swiss Confédération on
           1st August 1969 , the European economic Community undertook to open
           an annual duty-free Community tariff quota of 1 870 ODD units of
           account of added value for various kinds of processing work in
           respect of certain textile products under the outward-processing
           traffic arrangements between the Community and Switzerland .
          Under the terms of the memorandum agreed at the time the
          Arrangement was made , this annual tariff quota is divided into
          three categories of processing , based on the quantities recorded
          under the former hi Lateral Agreements ( concluded with Switzerland
          by France , Germany and Italy ), but taking into account the
          possibilities of extending it to Benelux countries .
          fin the bnsis of that division the total quota amount of 1 870 000
          units of account is aliocated , in accordance wit.n certain
          amendments , as follcws :
          ( i ) 1 520 000 unit s of account for processing work on woven
                 faorics fal'ing within Chapter 50 to 57 of the Common Customs
                 Tariff ;
          ( ii )   123 000 units of account for twistinq nr throwing ,
                   re- twisting , cab 1 in , texturizing ( whether or not combined
                   with other processing work ) nf yarn falling within Chapters
                   50 to 57 of the Common Customs Tariff ;
          ( iii ) 227 000 units of account for processing work on articles
                   falling within heading Nor. 58.04 , 58.05 , 58.07 , 58.08 , 58.09
                   and 60.01 nf the Common Customs Tariff , subject to the
                   setting up of a Community reserve of 230 000 u.o . to he
                   drawn f rom the above quotas , l.e . 160 000 u.a ., 15 000 u.a .
                   and 57 000 u.a . respectively .
(1 ) 0 . 7. No L 240 , 24.9.1979
 ---pagebreak---                                      3
 The question whether this Arrangement should continue heyond 31
August 1977 has been examined on several occasions , notably at the
meeting of the FFC-Switzerland Joint Committee held on 3 November
1976 , in regard to the quota amounts which should be adopted
 thenceforth , account being taken of the fact that the transitional
period in the Tree Trade Arranqement concluded with Switzerland ,
under which textile products qualifying for Swiss origin status by
reasons of the processing work they have undergone can enter duty
free , expired on 1 July 1977 .
The question was reconsidered at the meeting of Joint Committee
held on 8 May 1979 in order to examine , in the light of the
experience gained and of the economic information available , the
adaptation to be mode to the Arrangement especially as reqards the
following points :
     réduction to be mode to the total quota amount ;
     division of tliis amount into three categories of processing ;
     allocation of quotas among Member States .
With regard to the three points raised , the Swiss delegation laid
stress on the retention of the Arrangements to its memorandum in
their present, form , but agree provisionally to the abolition of
the division of the total quota amount of 1 870 000 FUA into the
three categories of processing initially adopted and hence to the
aggregation of the shares allotted to certain Member States .
The attached proposal for a Regulation therefore serves no other
purpose than to open , in L'CU the tariff quota provided for in the
Arrangement in question for the period 1 September 1987 to 31
August 19P& and to allocate it among the Member States along the
lines set out in the Memorandum covering the Arrangement , account
being taken of the adaptations that have taken place meanwhile and
of the need to1 ensure that all Member States share in the
allocation of this tariff quota .
 ---pagebreak---                                                   Proposai for a
                                         COUNCIL REGULATION ( EEC)
                    opening, allocating and providing for thè administration of a Community tariff
                    quota for processing work in respect of certain textile products under
                                           Community outward-processing traffic
  THE COUNCIL. OF THE EUROPF.AN COMMUNITIES,                   quota and consistent application of the rate of duty, pres­
                                                               cribed for the said quota until the quota is exhausted, to
                                                               all goods re-imported into any of the Member States and
   Having regard to the Treaty establishing the European       which have received one or other of the treatments listed
  Economic Community, and in particular Article 113            above ; whereas, in the light of these principles, arrange­
  thereof,                                                     ments for the utilization of the quota based on an alloca­
                                                               tion among the Member States would seem to be consis­
                                                               tent with the Community character of the said quota ;
  Having regard to the proposal from the Commission,           whereas it therefore seems advisable to make the alloca­
                                                               tion on the basis of the amount of the traffic under the
                                                               previous bilateral Agreements, but without precluding
  Whereas, on 1 August 1969, the Community concluded           participation by Member States not previously involved in
  an arrangement with Switzerland on processing traffic in     such traffic ;
  textiles ; whereas under that arrangement the Community
  undertook to open , on 1 September of every year, an
  annual duty-free Community tariff quota for processed
 goods of 1 870 000 units of account of added value,           Whereas, to safeguard the Community character of the
 apportioned as follows :                                      quota , provision should be made to meet requirements
                                                               which may arise in those Member States permitting them
 (a) 1 650 000 units of account for processing work on         to draw adequate amounts from the Community reserve ;
      woven fabrics falling within Chapters 50 to 57 of the
      Common Customs Tariff ;
 (b) 143 000 units of account for the twisting or throwing,
                                                               Whereas, to take account of possible developments in the
      cabling and texturizing (whether or not combined
                                                               traffic in question in the various Member States, the total
      with other processing work ) of yarns falling within
                                                               quota volume of 1 870 000 ECU should be divided into
      Chapters 50 to 57 of the Common Customs Tariff ;
                                                               two instalments, the first being allocated among certain
(c) 77 000 units of account for processing work on             Member States and the second held as a reserve to cover
      products falling within heading Nos 58.04, 58.05,        the subsequent requirements of Member States when one
      58.07, 58.08 , .58.09    and   60.01 of the   Common     of their initial shares has been exhausted, and also requi­
      Customs Tariff ;                                         rements which may arise in certain Member States in
                                                               respect of processing work for which no initial share of
                                                               the quota was allocated ; whereas , in order to give the
Whereas, in order to facilitate administration of this tariff  parties concerned in each Member State some degree of
quota, it was decided no longer to allocate a quota, provi­    certainty, it would seem appropriate to fix the first instal­
sionally, to each of the above three categories of proces­     ment of the Community quota at a relatively high level,
sing ; whereas the quota in question should therefore be       namely 1 640 000 ECU ;
opened for the period 1 September 198 7 to 31 August
 198 $ according to the procedure provided for under the
above arrangement, as amended and in compliance with
the provisions of Council Regulation ( EEC) No 2779/78         Whereas the Member States may exhaust their initial
of 23 November 1 978 on the procedure for applying the         shares at different rates ; whereas, to avoid disruption of
European unit of account (EUA) to legal acts adopted in        supplies on this account, it should be provided that any
one customs sphere ( ' ), and in particular Article 2 thereof, Member State which has almost used up one of its initial
and the provisions of Council Regulation ( EEC, Euratom)       shares should draw an additional share from the reserve ;
No 3308/80 of 1 6 December 1 980 on the replacement of         whereas, each time its additional share is almost
the European unit of account hy the ECU in Community           exhausted , a Member State should draw a further share,
legal instruments (2) ;                                        and so on , as many times as the reserve allows : whereas
                                                               the initial and additional shares should be valid until the
                                                               end of the quota period ; whereas this form of administra­
Whereas provision should be made in particular to ensure       tion requires close collaboration between the Member
equal and continuous access for those concerned with this      States and the Commission , and the Commission must be
                                                               in a position to keep account of the extent to which the
(' ) OJ No L 33.3, 30 . 11 . 1978, p. 5.                       quota has been used up and to inform the Member States
(l) OJ No I. 345, 20 . 12. 19X0, p. 1 .                        accordingly ;
 ---pagebreak---     Whereas, if at a given date during the quota period a
    considerable quantity of a Member State’s initial share
    remains unused, it is essential, to prevent a part of the
    Community tariff quota from remaining unused in one
    Member State while it could be used in others, that such
    State should return a significant percentage thereof to the
    corresponding reserve ;
    Whereas, since the Kingdom of Belgium , the Kingdom of
    the Netherlands and the Grand Duchy of Luxembourg
    are united within and jointly represented by the Benelux
    Economic Union, all transactions concerning the admi­
    nistration of the shares allocated to that economic union
    may be carried out by any one of its members,
    HAS ADOPTED TH1S REGULATION :
                             Article 1
1 . From 1 September 1987 to 31 August 1988 the Common Customs Tariff duties
    shall be totally suspended within the limit of the tariff quota
    shown herewith :
                     ‘T
 Order No                                        Description                                   Amount of
                                                                                               tariff quota
 09.2001                                                   Goods      resulting from proces­
                              sing work as provided for in the arrangement with Swit­
                              zerland on processing traffic in textiles as follows :
                              (a) processing work on woven fabrics falling within Chap-
                                   ters 50 to 57 of the Common Customs Tariff ;
                              (b) twisting or throwing, cabling and texturizing (whether
                                   or not combined with other processing work) of yarns
                                   falling within Chapters 50 to 57 of the Common
                                   Customs Tariff ;                                          i
                                                                                             i
                               (c) processing work on products falling within the
                                    following headings of the Common Customs Tariff :            1 870 000
                                                                                             >   ECU of value
                                    SR.04 Woven pile fabrics and chenille fabrics (other           added
                                            than terry towelling or similar terry fabrics of
                                            cotton falling within heading No 55.08 and
                                            fabrics falling within heading No 58.05),
                                     58.05 Narrow woven fabrics, and narrow fabrics
                                            (bolduc) consisting of warp without weft
                                            assembled by means of an adhesive, other than
                                            goods falling within heading No 58.06,
                                     58.07 Chenille yarn (including flock chenille yarn),
                                             gimped yarn (other then metallized yarn of
                                             heading No 52.01 and gimped horsehair yam) ;
                                             braids and ornamental trimmings in the piece ;
                                             tassels, pompons and the like,
                                     58.08 Tulle and other net fabrics (but not including
                                             woven, knitted or crocheted fabrics), plain,
                                      58.09 Tulle and other net fabrics (but not including
                                             woven, knitted or crocheted fabrics), figured ;
                                              hand or mechanically made lace, in the piece,
                                              in strips or in motifs,
                                      60.01 Knitted or crocheted fabric, not elastic or
                                              rubberized .
 ---pagebreak---  2 . Within the same limits, Spain and Portugal shall apply
     customs duties calculated in accordance with the provi­
     sions of the Act of Accession and of the Protocols
     concluded by reason of that accession .
   3.      For the purposes of this Régulation :
    (a) ‘processing work' means :
         – for the purposes of paragraph 1 (a) and (c) :
              bleaching, dyeing, printing, flocking, impreg­
              nating, dressing and other work which changes the
              appearance or quality of the goods, without
              however changing their nature,
         – for the purposes of paragraph 1 (b) : twisting or
              throwing, cabling and texturizing, whether or not
              combined with reeling, dyeing or other work
              which changes the appearance, quality or finish of
              the goods, without however changing their nature ;
     (b) ‘value added’ means the difference between the value
         for customs purposes as defined in Community Regu­
         lations on this subject at the time of re-importation
         and the value for customs purposes as it would be if
         the products were re-imported in the state in which
         they were exported.
4.      Re-imports of products, resulting from this proces­
sing work may not be charged to the tariff quota if they
are already free of customs duties under other preferential
tariff arrangements .
                             Article 2
1.      The tariff quota referred to in Article 1 ( 1 ) shall be
divided into two instalments.
The first instalment, I 640 000 F.CU, shall he allocated as
set out below among the Member States listed in the
above arrangement ; the shares, subject to Article 6, shall
be valid from 1 September 1987 to 31 August 19fg :
                                                 (ECU)
          Benelux                               20 000
          Germany                            1 080 000
          France                               520 000
          Italy                                 20 000
2.      The second instalment, which amounts to 230 000
ECU, shall constitute a Community reserve .
                             Article 3
If an importer notifies an imminent re-importation of the
products in question into another Member State and
requests the benefit of the quota, the Member State
concerned shall inform the Commission and draw an
amount corresponding to its requirements to the extent
that the available balance of the reserve permits this.
 ---pagebreak---                                                                Ύ
                           Artide 4                                                        Artide 7
 1.    If a Member State has used 90 % or more of its            The Commission shall keep an account of the shares
initial share as fixed in Article 2 ( 1 ), or that share minus   opened by the Member States pursuant to Articles 2, 3
any portion returned to the reserve pursuant to Article 6,       and 4 and shall, as soon as the information reaches it,
it shall forthwith, by notifying the Commission, draw a          inform each Member State of the extent to which the
second share, to the extent that the relevant reserve so         reserve has been used up.
permits, equal to 10 % of its initial share, rounded up as       It shall, not later than 5 July 198 8 inform the Member
necessary to the next whole number.
                                                                 States of the amounts still in reserve following any return
2. If a Member State, after exhausting its initial share,        of shares pursuant to Article 6.
has used 90 % or more of the second share drawn by it,
that Member State shall, in accordance with the condi­           It shall ensure that when an amount exhausting this
                                                                 reserve is drawn the amount so drawn does not exceed the
tions laid down in paragraph 1 , draw a third share equal
to 5 % of its initial share.                                     balance available, and to this end shall notify the amount
                                                                 of that balance to the Member State making the last
3.     If a Member State, after exhausting its second share,     drawing.
has used 90 % or more of the third share drawn by it,
that Member State shall , in accordance with the same                                      Article 8
conditions laid down in paragraph 1 , draw a fourth share
equal to the third.                                              1 . Member States shall take all appropriate measures to
                                                                 ensure that additional shares drawn pursuant to Article 4
This process shall continue to apply until the reserve is        are opened in such a way that re-importation may be
exhausted .                                                      charged without interruption against their accumulated
                                                                 shares of the Community tariff quota.
4.    By way of derogation from paragraphs 1 , 2 and 3, a             *•
Member State may draw shares lower than those specified          2. Every Member State shall ensure that all persons
in those paragraphs if there are grounds for believing that      involved in the processing traffic have free access to the
those specified may not be used in full. Any Member              shares allocated to it.
State applying this paragraph shall inform the Commis­
sion of its grounds for so doing.                                3.      The extent to which a Member State has used up its
                                                                 shares shall be determined on the basis of the value
                                                                 added, as established when upon re-importation the
                           Article 5
                                                                 products concerned are entered with the customs auth­
                                                                 orities for free circulation .
Additional shares drawn pursuant to Article 4 shall be
valid until 31 August 1 98 S
                                                                                           Article 9
                           Article 6
                                                                 At the request of the Commission, the Member States
                                                                 shall inform it of any re-importations of the products in
The Member States referred to in Article 2 ( 1 ) shall, not      question actually charged against their share.
later than 1 July 198 3 return to the reserve the unused
portion of their initial share which-, on 15 June 198 § is in
excess of 20 % of the initial amount. They may return a                                    Article 10
greater portion if there are grounds for believing that it
may not be used in full .                                        Member States and the Commission shall cooperate
                                                                 closely to ensure that this Regulation is complied with .
Member States shall, not later tlian I July 1988, notify the
Commission of the total quantities of the product in                                       Article 11
question re-imported up to and including 15 June 198 8
and charged against the Community quota and of any               This Régulation shall enter into force on 1 September
portion of their initial quota returned to the reserve.          198 7 .
                 This Régulation shall be binding in its entirety and directly applicable in ail Member
                 States.
                 Done at Luxembourg, 26 May 1986.
                                                                              For the Council
                                                                               The President
 ---pagebreak---                 FICHE D' IMPACT SUR LA COMPETITIVITE ET L' EMPLOI
  I. Quelle est la justification principale de la mesure?
        Engagement de La Communauté
 II . Caractéristiques des entreprises concernées :    néant
      En particulier :
      - Y a-t- il un grand nombre de PME ?
      - note t' on des concentrations dans des régions :
         - éligibles aux aides régionales des E.M. ?
         - éligibles au Feder ?
III . Quelles sont les obligations imposées directement aux entreprises ?
       néant
 IV . Quelles sont les obligations susceptibles d' être imposées
      indirectement aux entreprises via les autorités locales ?
       néant
  V. Y a-t-il des mesures spéciales pour les PME ?       NON
      - Lesquelles ?
 VI . ûael est 1 ' effet prévisible ?
      - sur la compétitivité des entreprises ? Non recherché
      - sur l' emploi ? Maintien ou amélioration de L' emploi
VII . Les partenaires sociaux ont-ils été consultés ? NON
      - avis des partenaires sociaux .