CELEX: 51979PC0604
Language: en
Date: 1979-10-25
Title: PROPOSAL FOR A COUNCIL REGULATION (EEC) ON THE VALUATION OF GOODS FOR CUSTOMS PURPOSES (presented by the Commission to the Council)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (79) 604
Vol. 1979/0206
 ---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
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                      COM < 79 ) 604 final
                                      Brussels - 25th October 1979
                PROPOSAL FOR A COUNCIL REGULATION ( EEC )
             ON THE VALUATION OF GOODS FOR CUSTOMS PURPOSES
              (presented by the Commission to the Council )
         F
         fr -        •-
C0M(79) 604 final
 ---pagebreak---                    Explanatory memorandum
The attached draft Regulation , when adopted by the Council , will
provide for the replacement of the present Community customs
valuation system by the new system developed in the multilateral
trade negotiations of 1973 / 1979 .
 ---pagebreak---                  REGULATION (EEC )           OF THE COUNCIL
              on the valuation of goods for customs purposes
THE COUNCIL CF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community
and in part icul air Artiole 113 thereof ;
                                           «
Having regard to the proposal from the Commission ;
Whereas the Community is based upon a customs union ;
Whereas , for the purpose of uniform application of the Common Customs Tariff ,
it is necessary that the customs value be determined in a uniform manner in
Member States ;
Whereas it is necessary to prevent any deflection of trade and activities
and any distortion of competition which might arise from differences in
national practices ;
Whereas by its decision No 79 • ••• of •••••••••••, relating to the
concluding of agreements arising from the multilateral trade negotiations of
1973/1979 » the Council has in particular approved , in the name of the European
Economic Community the "Agreement on Implementation of Article VII of the
General Agreement on Tariffs and Trade ";
Whereas the said agreement enters into force as far as the Community is
concerned on 1 January 198l »                   •
                                                «
Whereas the Community , in accepting the Agreement , placed itself under an
obligation to ensure , not later than the date of entry into force of this
Agreement for it , the conformity of its laws , regulations and administrative
procedures with the provisions of the Agreement ;
Whereas the Community has decided to 'implement the Agreement as from
1 July 1980 ;
Whereas the uniform application of the provisions of this Regulation to
imports of all goods must be ensured , and to this end a Community procedure
must be introduced which will permit the adoption of implementing provisions
within appropriate time limits ; whereas it is necessary to set up a
Committee to organise close and effective co-operation between the Member
States and the Commission in this field ;
 ---pagebreak--- HAS ADOPTED THIS REGULATION :
                                        TITLE  I
                                        Article 1
1.       In this Regulation –
         ( i ) " customs value " means value for the purpose of applying the
               Common Customs Tariff ;            «
       ( ii ) "produced" includes grown , manufactured and mined ;-
     ( iii ) " identical goods" means goods produced in the same country which
                are the same in all respects , including physical characteristics ,
                quality and reputation , but minor differences in appearance shall
               not preclude goods otherwise conforming to the definition from
               "being regarded as identical ;
       ( iv) " similar goods" means goods produced in the same country which ,
                although not alike in all respects , have like characteristics and
                like component materials which enable them to perform the same
                functions and to "be commercially interchangeable ; and the quality
                of the goods , their reputation and the existence of a trademark
                are among the factors to be considered in determining whether
                goods are similar ;
          (v) " identical goods" and " similar goods ", as the case may be , do not
                include goods which incorporate or reflect engineering ,
                development , artwork , design work , and plans and sketches for
                which no adjustment has been made under Article 8.l(b)(iv)
                because such elements were undertaken in the Community ;
       (vi ) "goods of the same class or kind" means goods which fall within
                a group or range of goods produced by a particular industry or
                industry sector , and includes identioal or similar goods ;
     (vii ) "the material time for valuation for customs purposes" means –
                ( a) for goods declared for direct home use , the date of
                     acceptance by the customs authorities of the declarant 's
                     statement of his intention that the goods should enter into
                     home use :
 ---pagebreak---             (b ) for goods which , after another customs procedure has been
                  applied , enter into home use , the time fixed by acts of the
                  Council or the Commission pertaining to that customs
                  procedure or by Member States in accordance with such acts ;
    (viii ) "the Agreement " means the Agreement on Implementation of
            Article VII of the General Agreement on Tariffs and Trade con­
            cluded in the framework of the multilateral trade negotiations
            of 1973/1979.                      '
2.          For the purposes of this Regulation , persons shall be deemed to
            be related only if –
            ( a) they are officers or directors of one another 's businesses ;
            (b ) they are legally recognised partners in business ;
            ( c ) they aire employer and employee ;
            ( d) any person directly or indirectly owns , controls or holds
                  5 per cent or more of the outstanding voting stock or shares
                  of both of them ;
            ( e ) one of them directly or indirectly controls the other ;
            ( f ) both of them are directly or indirectly controlled by a third
                  person ;
            ( g) together they directly or indirectly control a third person ;
                  or
            ( h) they are members of the same family.
3»          For the purposes of this Regulation the term "persons" includes
            legal persons , where appropriate .
                                     Article 2
1.      The customs value of imported goods is to.be determined under the
provisions of Article 3 whenever the conditions prescribed therein are
fulfilled.
2.     Where such value cannot be determined under the provisions of
Article 3 » it is to be determined by proceeding sequentially through
Articles 4 « 5 » 6 and 7 to the first such Article undei which it can be
 ---pagebreak---                                    - 4 -
determined., subject to the proviso that the order of application of
Articles 6 and 7 shall be reversed if the importer so requests ; and it is
only when such value cannot be determined under the provisions of a
particular Article that the provisions of the next Article in a sequence
established by virtue of this paragraph can be applied.
3.      Where the customs value of imported goods cannot be determined
under the provisions of Articles 3 » 4 » 5 » 6 or 7 | i"t shall then be
determined using reasonable means consistent with the principles and
general provisions of the Agreement and of Article VII of the General
Agreement on Tariffs and Trade and on the basis of data available in the
Community .
4.      No customs value shall be determined under the provisions of
paragraph 3 of this Article on the basis of –
        ( a) the selling price in the Community of goods produced in the
              Community ;
        (b) a system which provides for the acceptance for customs purposes
              of the higher of two alternative values ;
        ( c ) the price of goods on the domestic market of the country of
              exportation ;
                          I
        ( d) the cost of production other than computed values which have
              been determined for identical or similar goods in accordance
              with the provisions of Article 7 »
        ( e ) the price of the goods for export to a country not being a
              Member State ;
        ( f ) minimum customs values ; or
        ( g) arbitrary or fictitious values .
                                   Article 3
1.      The customs value of imported goods determined tuider the provisions
of this Article shall be the transaction value , that is the price actually
paid or payable for the goods when sold for export to the Community
adjusted in accordance with the provisions of Artiole 8 , provided –
 ---pagebreak--- ( a) that there are no restrictions as to the disposition or use of
        the goods "by the buyer other than restrictions which –
        ( i ) are imposed or required "by law or by the public authorities
              in the Community ;
      ( ii) limit. the goegraphical area in which the goods may be resold ;
              or
    ( iii ) do not substantially affect the value of the goods ;
( b ) that the sale or price is not subject to some condition or
        consideration for which a value cannot be determined with respect
        to the goods being valued ;
( c ) that no part of the proceeds of any subsequent resale , disposal
        or use of the goods by the buyer will accrue directly or
        indirectly to the seller , unless an appropriate adjustment can
       be made in accordance with the provisions of Article 8 ; and
( d) that the buyer and seller are not related , or where the buyer
       and seller are related , that the transaction value is acceptable
       for customs purposes under the provisions of paragraph 2 of this
       Article *                                           .
( a) In determining whether the transaction value is acceptable for
       the purposes of paragraph 1 , the fact that the buyer and the
        seller are related within the meaning of Article 1 shall not in
        itself be grounds for regarding the transaction value as
       unacceptable .      In such case the circumstances surrounding the
        sale shall be examined and the transaction value shall be
       accepted provided that the relationship did not influence the
,      price .     If , in the light of information provided by the importer
       or otherwise , the customs . authorities have grounds for considering
       that the relationship influenced the price , they shall communicate
        such grounds to the importer and lie shall be given a reasonable
       opportunity to respond.      If the importer so requests , the
       communication of the grounds shall be in writing.
(b ) In a sale between related persons , the transaction value shall be
       accepted and the goods valued in accordance ^ith the provisions
       of paragraph 1 of this Artiole whenever the importer demonstrates
 ---pagebreak---  that such value closely approximates to one of the following
  occurring at or about the same time –
  ( i ) the transaction value in sales , between buyers and. sellers
        who are not related in any particular case , of identical or
        similar goods for export to the Community ;
( ii ) the customs value of identical or similar goods as
        determined under the provisions of Article 6 ;
iii ) the customs value of identical or similar goods as
        determined under the provisions of Article 7 5
( iv) the transaction value in sales , between buyers and sellers
        who are not related in any particular case , for export to
        the Community of goods which would be identical to the
         imported goods except for having a different country of
        production provided that the sellers in any two transao-
         tions being compared are not related.
  In. applying the foregoing tests , due account shall be taken of
  demonstrated differences in commercial levels , quantity levels ,
   the elements enumerated in Article 8 and costs incurred by the
   seller in sales in which he and the buyer are not related that
   are not incurred by the seller in sales in which he and the
  buyer are related.
  The tests set forth in paragraph 2(b ) of this Artiole are to be
  used at the initiative of the importer and only for comparison
  purposes .     Substitute values may not be established under the
  provisions of the said paragraph 2(b ).
  The price actually paid or payable is the total payment made
  or to be made by the buyer to or for the benefit of the seller
  for the imported goods .     The payment' need not necessarily take
  the form of a transfer of money.     Payment may be made by way of
  letters of oredit or negotiable instruments and may be made
  directly or indirectly.
  Activities , including marketing activities , undertaken by the
  buyer on his own account , other than those for which an
  adjustment is provided in Article 8 , are not to be taken as an
 ---pagebreak---             indirect payment to the seller , even though they might "be
            regarded as of benefit to the seller or have been undertaken
            with his agreement , and their cost shall not be added to the
            price actually paid or payable in determining the customs value
            of imported goods.
4.     The customs value of imported goods shall not include the following
charges or costs , provided that they are distinguished from the price
actually paid or payable for the imported goods –
       ( a) charges for construction , erection , assembly, maintenance or
            technical assistance , undertaken after importation on imported
            goods such as industrial plant , machinery or equipment ;
       (b) the cost of transport after importation ;
       ( c) customs duties and other taxes payable in the Community by
            reason of the importation or sale of the goods*
                          » "
                                   Article 4
1.     ( a) The customs value of imported goods determined under the
            provisions of this Article shall be the transaction value of
            identical goods sold for export to the Community and exported at
            or about the same time as the goods being valued.
       (b) In applying this Article , the transaction value of identical
            goods in a sale at the same commercial level and in substantially
            the same quantity as the goods being valued shall be used to
               y
            determine the customs value .    Where no such . sale is found , the
            transaction value of identical goods sold at a different
            commercial level and/or in different quantities , adjusted to
            take aocount of differences attributable to commercial level and/
            or to quantity, shall be 'used, provided that such adjustments
            can be made on the basis of demonstrated evidence which olearly
            establishes the reasonableness and accuracy of the adjustment ,
            whether the adjustment leads to an increase or a decrease in
            the value .                                          ^
20     Where the costs and charges referred to in Article 8.1(e ) are
included in the transaction value , an adjustment shall be made to take
account of significant differences in such costs and charges between the
imported goods and the identical goods in question arising from differences
in distances and modes of transport .
 ---pagebreak---                                      - 8 -
3.      If , in applying this Article , more than one transaction value of
identical goods is found , the lowest such value shall "be used to determine
the customs value of the imported goods .
4.      In applying this Article , a transaction value for goods produced by
a different person shall he taken into account only when no transaction
value can he found under the provisions of paragraph 1 of this Article for
identical goods produced by the same person as the goods "being valued.
                                               4
5.      For the purposes of this Article , the transaction value of identical
imported goods means a customs value previously determined under Article 3 ,
adjusted as provided for in paragraphs l(b ) and 2 of this Article .
                                    Article 5
1.      ( a) The customs value of imported goods determined under the
             provisions of this Article shall be the transaction value of
              similar goods sold for export to the Community and exported at
              or about the same time as the goods being valued .
         (b) In applying this Article , the transaction value of similar goods
              in a sale at the same commercial level and in substantially the
              same quantity as the goods being valued shall 'be used to
              determine the customs value .   Where no such sale is found , the
              transaction value of similar goods sold at a different commercial
              level and/or in different quantities , adjusted to take account of
              differences attributable to commercial level and/or to quantity,
              shall be used , provided that such adjustments can be made on the
              basis of demonstrated evidence which clearly establishes the
             reasonableness and accuracy of the adjustment , whether the
              adjustment leads to an increase or a decrease in the value .
 2.     Where the costs and charges referred to in Article 8.1(e ) are included
 in the transaction value,' an adjustment shall be made to take account of
 significant differences in such costs and charges between the imported goods
and the similar goods in question arising from differences in distances and
modes of transport .
3.      If , in applying this Article , more than one transaction value of
 similar goods is found , the lowest such value shall be used to determine the
customs value of the imported goods .
 ---pagebreak---                                          /
                                        - 9 -
4.     In applying this Article , a transaction value for goods produced by
a different person shall be taken into account only when no transaction
value can be found under the provisions of paragraph 1 of this Article for
similar goods produced by the same person as the goods being valued.
5.     For the purposes of this Article , the transaction value of similar
imported goods means a customs value previously determined under Article 3 ,
adjusted as provided for in paragraphs l(b ) and 2 of this Article .
                                                 «
                                      Article 6
1.     ( a) If the imported goods or identical or similar imported goods
              are sold in the Community in the condition as imported , the
              customs value of imported goods determined under the provisions
              of this Article shall be based on the unit price at which the
              imported goods or identical or similar imported goods are so
              sold in the greatest aggregate quantity , at or about the time
              of the importation of the goods being valued , to persons who
              are not related to the persons from whom they buy such goods ,
              subject to deductions for the following -
              ( i ) either the commissions usually paid or agreed to be paid or
                    the additions usually made for profit and general expenses
                    ( including the direct and indirect costs of marketing the
                    goods in question) in connection with sales in the Community
                    of imported goods of the same class or kind ;
            ( ii ) the usual costs of transport and insurance and associated
                    costs incurred within the Community ; and
          ( iii ) the customs duties and other taxes payable in the Community
                    by reason of the importation or sale of the goods .
       (b) If neither the imported gooiis nor identical nor similar imported
              goods are sold at or about the time of importation of the goods
              being valued , the customs value of imported goods determined
              under the provisions of this Article shall , subject otherwise to-
              the provisions of paragraph l(a) of this Article , be based on
              the unit price at which the imported goods or identical or
              similar imported goods are sold in the Community in the condition
              as imported at the earliest date after the importation of the
              goods being valued but before the expiration of ninety days
              after such importation®
 ---pagebreak---                                           - 10 -
   2.      If neither the imported goods nor identical nor similar imported
   goods sire sold in the Community in -the oondition as imported , then , if the
   importer so requests , the customs value shall be based on the unit price at
   which the imported goods , after further processing , are sold in the greatest
   aggregate quantity to persons in the Community who are not related to the
, persons from whom they buy such goods , due allowance being made for the
   value added by such processing and the deductions provided for in
   paragraph l(a) of this Article .                '
   3.       In this Article , the unit price at which the imported goods are sold
   in the greatest aggregate quantity is the price at which the greatest number
   of units is sold in sales to persons who are not related to the persons from
   whom they buy such goods at the first commercial level after importation at
   which such sales take place .
   4.       Any sale in the Community to a person who supplies directly or
   indirectly free of charge or at reduced cost for use in connection with the
 • production and sale for export of the imported goods any of the elements
    specified in Article 8.1(b ), should not be taken into account in establishing
    the unit price for the purposes of this Article .
    5.      For the purposes of paragraph l(b ) of this Article-, the "earliest
    date " shall be the date by which sales of the imported goods or of identical
    or similar imported goods are made in sufficient quantity to establish the
   unit price .
             i                          Article 7
   1.       The customs value of imported goods determined under the provisions
   of this Article shall be based on a computed value .      Computed value shall
   consist      of the sum of –
            ( a) the cost or value of materials and fabrication or other processing
                  employed in producing the imported goods ;
            ( b ) an amount for profit and general expenses equal to that usually
                  reflected in sales of goods of the same class or kind as the
                  goods being valued which are made by producers in the country of
                  exportation for export to the Community }
            ( c) the cost or value of the items referred to in Article 8.1(e ).
 ---pagebreak---                                      - 11
2.      A customs administration may not require or compel any person not
resident in the Community to produce for examination , or to allow access to ,
any account or other record for the purposes of determining a computed
value .    However , information supplied by the producer of the goods for
the purposes of determining the customs value under the provisions of this
Article may he verified in a non-Community country by the Customs
authorities of a Member State with the agreement of the producer and
provided that such authorities give sufficient advance notice to the
government of the country in question and the latter does not object to
the investigation.
3.      The cost or value of materials and fabrication referred to in
paragraph l(a) above , shall include the cost of elements specified in
Article 8.1(a) ( ii) and ( iii).   It shall also include the value , duly
apportioned , of any element specified in Article 8.1(b ) which has been
supplied directly or indirectly by the buyer for use in connection with the
production of the imported goods.      The value of the elements specified in
Article 8.1(b) ( iv) which are undertaken in the Community shall be included
only to the extent that such elements are charged to the producer.
4.      Where information other than that supplied by or on behalf of the
producer is used for the purposes of determining a computed value , the
customs authorities shall inform the importer , if the latter so requests , ,
of the source of such information , the data used and the oaloulations
based upon such data, subject to the provisions of Article 10.
5.      The Vgeneral expenses" referred to in paragraph l(b) , above , covers
                                                 «
the direct and indirect costs of producing and selling the goods for
export which are not included under paragraph l(a).
                                   Article 8
1.      In determining the customs value under the provisions of Article 3 ,
there shall be added to the price actually paid or payable for the imported
goods –
        ( a) the following , to the extent that they are incurred by the buyer
             but are not included in the price aotually paid or payable for
             the goods –
 ---pagebreak---                                           12
               ( i ) commissions and brokerage , except "buying commissions ;
             ( ii) the cost of containers which are treated as "being one for
                     customs purposes with the goods in question ;
           ( iii ) the cost of packing whether for labour or materials ;
       ("b) the value , apportioned as appropriate , of the following goods
               and services where supplied directly or indirectly "by the "buyer
               free of charge or at reduced cost for use in connection with
               the production and sale for export of the imported goods , to
               the extent that such value has not been included in the price
               actually paid or payable –
                ( i) materials , components , parts and similar items incorporated
                     in the imported goods ;
             ( ii ) tools , dies , moulds and similar items used in the production
                     of the imported goods ;
           ( iii ) materials consumed in the production of the imported goods ;
              ( iv) engineering, development , artwork , design work , and plans
                     and sketches undertaken elsewhere than in the Community and
                     necessary for the production of theimported goods ;
                        »
        ( c) royalties and licence fees related to the goods being valued
                that the buyer must pay , either directly or indirectly , as a
                condition of sale of the goods being valued , to the extent that
                such royalties and fees are not included in the price actually
               paid or payable ;
        ( d) the value of any part of the proceeds of any subsequent resale ,
               disposal or use of the imported goods that accrues directly or
                indirectly to the seller ;
       ( e ) ( i ) the cost of transport and insurance of the imported goods ;
                     and                                                *
             ( ii ) loading, unloading and handling charges associated with the
                     transport of the imported goods
               to the place of introduction of the goods into the customs
               territory of the Community,
2.     Additions to the price actually paid or payable shall be made under
this Article only on the basis of objective and quantifiable data.
 ---pagebreak---                                         - 13 -
 3.      No additions shall "be made to the price actually paid or payable in
 determining the customs value except as provided in this Article .
4.       In this Article , the term "buying commissions" means fees paid "by
an importer to his agent for the service of representing him abroad in the
purchase of the goods being valued.                          -
5.       Notwithstanding paragraph l(c) of this Article -
         ( i ) charges for the right to reproduce the imported goods in the '
               Community shall not be added to the price actually paid or
               payable for the imported goods in determining the oustoms value ;
               and
       ( ii ) payments made by the buyer for the right to distribute or resell
               the imported goods shall not be added to the price actually paid
               or payable for the imported goods if such payments are not a
               condition of the sale for export to the Community of the imported
               goods.
                                                         ι
                                     Article 9
1.      Where factors used to determine the value for customs purposes of
goods are expressed in a currency other than that of the Member State where'
the valuation is made , the rate of exchange to be used shall be the latest
selling rate recorded on the most representative exchange market or markets
of that Member State at the material time for valuation for customs purposes .
2.      Where such a rate does not exist , the rate of exchange to be used
shall be determined by the procedure laid down in Article 19 .
                                     Article 10
1.       With a view to determining value for customs purposes and without
prejudice to national provisions which confer wider powers on the customs
authorities of Member States , any person or undertaking directly or
indirectly concerned with the import transactions in question shall supply
all neoessary information and documents to those authorities within the time
limits prescribed by the latter .
2.      All information which is by nature confidential or which is provided
on a confidential basis for the purposes of customs valuation shall be
treated as strictly confidential by the authorities concerned who shall not
 ---pagebreak--- disclose it without the specific permission of the person or government
providing such information , except to the Commission or to the extent that
it may "be required to "be disclosed in the context of judicial proceedings ,
3.       Information and documents supplied to the Commission "by a Member
State pursuant to paragraph 2 may "be used "by the Commission only for the
purpose for which they were supplied.        They shall be subject to professional
secrecy and in particular may not be communicated to persons other than those
who , within the institutions of the Communities or the Member States , are
required to have access to them by virtue of the functions they exercise .
                                      Article 11
         If , in the course of determining the customs value of imported goods ,
it becomes necessary to delay the final determination of such customs value ,
the importer shall nevertheless be able to withdraw his goods from customs
if , where so required , he provides sufficient guarantee in the form of a
 surety , a deposit or some other appropriate instrument , covering the
ultimate payment of customs duties for which the goods may be liable .
                                     Article 12
         Upon written request , the importer shall have the right to an
explanation in writing from the customs administration of the country of
importation as to how the customs value of his imported goods was determined.
                                     Article 13
1.       For the purposes of Article 8.1(e ), the place of introduction into
the customs territory of the Community shall be *
          ( a) for goods carried by sea, the port of unloading, or the port of
               transhipment ,  subject to transhipment being certified by the
               customs authorities of that port ;
         (b ) for goods carried by sea and then, without transhipment , by inland
               waterway , the first port where unloading can take place either at
               the mouth of the river or canal or further inland , subject to
               proof being furnished to the customs authorities that the freight
               to the port of unloading is higher than that to the first port ;
 ---pagebreak---                                        - 15 -
          ( c) for goods carried "by rail , inland waterway, or road, "the place
               where "the first customs office is situated ;
          ( d) for goods carried "by other means , the place where the frontier
               of the customs territory of the Community is crossed.
   2.     For goods introduced into the customs territory of the Community
   and then carried to a destination in another part of that territory through
 , the territory of a third country, or "by sea after passing through a part of
   the customs territory of the Community , the place of introduction into the
   Community to he taken into consideration shall , subject to paragraph 3 , "be
   determined in accordance with the procedure laid down in Article 19.
   3.     For goods introduced into the customs territory of the Community and
   carried directly from one of the French overseas departments or Greenland
   to another part of the customs territory of the Community or vice versa,
   the place of introduction to "be taken into consideration shall be the place
   referred to in paragraphs 1 and 2 situated in that part of the customs
   territory of the Community from which the goods came , if they were unloaded
   or transhipped there and this was certified by the Customs authorities*
          When those conditions are not fulfilled , the place of introduction
   to be taken into consideration shall be the place specified in paragraphs 1
   and 2 situated in that part of the customs territory of the Community to
   which the goods are consigned.
                                  ,   Article 14
                                                      »
   1.     Where goods are carried by the same means of transport to a point
   beyond the place of introduction into the customs territory of the Community ,
v transport costs shall be assessed in proportion to the distance covered
   outside and inside the customs territory of the Community, unless evidence
   is produced to the customs authorities to show the costs that would have
   been incurred under a general compulsory schedule of freight fates for the
   carriage of the goods to the place of introduction into the customs
   territory of the Community.
          The provisions of the preceding paragraph shall not apply to goods
   sent by post . Special provisions may be adopted for snch goods in
   accordance with the procedure laid down in Article 19 » ^ view of the
   special nature of charges in international postal services.
 ---pagebreak--- 2.      Where goods axe invoiced at a uniform free domicile price whioh
corresponds to the price at the place of introduction , transport costs
within the Community shall not be deducted from that price .    However , such
deduction shall he allowed if evidence is produced to the customs
authorities that the free–frontier price would be lower than the uniform
free domicile price .
3.      Where transport is free or provided by the buyer , transport costs
to the place of introduction , calculated in' accordance with the . schedule of
freight rates normally applied for the same modes of transport , shall be
included in the value for customs purposes.
                                  Article 15
1.      Standard average values may be established for the determination of
the value for customs purposes of certain goods.
2.      Such standard average values may be established either for the
Community as a whole or for each Member State .
 3.     For the purposes of paragraph 2 hereof , Belgium and Luxembourg may
be regarded as constituting a single Member State .
4*      Such goods shall be specified , and the rules and criteria for the
establishment of such standard average values shall be determined in
accordance with the procedure laid down in Article 19 »
5.      The said rules and criteria shall be consistent with the provisions
of Article 6 . 1(a).
                                  Article 16
        The particulars and documents to be furnished to the customs
authorities for purposes of application of this Regulation shall where
necessary be determined in accordance with the procedure laid down in
Article 19 .
 ---pagebreak---                                      TITLE  II
                                     Article 17
 1.      A Customs Valuation Committee (hereinafter called the "Committee11 )
 shall be set up and shall consist of representatives of the Member States
with a representative of the Commission as Chairman.
2.       The Committee shall draw up its own rules of procedure *
                                                          Ν
                                     Article 18
         The Committee may examine –
         ( i ) all questions relating to the application of this Regulation, and
       ( ii ) all questions relating to the work of the Technical Committee on
               Customs Valuation established tinder the auspices of the Customs
               Co–operation Council under the Agreement
referred to it by its Chairman , either on his own initiative or at the
request of a representative of a Member State .
                                     Article 19
1.       Provisions necessary for –
         ( a) the introduction into Community law of those provisions of Part I
               and Annex I of the Agreement which are not reflected in this
               Regulation , and
         (b ) the implementation of Title I of this Regulation ,
shall be adopted in accordance with the procedure laid down in paragraphs 2
and 3 of this Article .
2.       The representative of the Commission shall submit to the Committee a
draft of the provisions to be adopted.       The Committee shall deliver an
Opinion on the draft within a time limit set by the Chairman having regard to
the urgency of the matter.       Decisions shall be taken by a majority of
forty–one votes , the votes of Member States being weighted as provided in
Article 148 ( 2 ) of the Treaty.     The Chairman shall not vote .
                                                        r
 ---pagebreak---                                  - 18 -
3« ( a) The Commission shall adopt the provisions envisaged if they are
        in accordance with the Opinion of the Committee .
   (b) If the provisions envisaged are not in accordance with the
        Opinion of the Committee , or if no Opinion is delivered , the
        Commission shall without delay submit to the Council a proposal
        with regard to the provisions to "be adopted,   The Council shall
        act by a qualified majority.
   ( o) If , within three months of the proposal being submitted to it ,
        the Council has not aoted , the proposed provisions shall be
        adopted by the Commission.
                                           Λ
 ---pagebreak---                                    - 19 -   *
                               TITLE  III
                               Article 20
        The provisions of this Regulation shall not affect the provisions
contained, in acts of the Council or of the Commission ) or laid down by
Member States in accordance with such instruments , regarding the
determination of the value for customs purposes of goods which enter into
home use after a customs procedure other than that relating to direct home
use has been applied.*
                               Article 21
       Each Member State shall inform the Commission of the provisions it
adopts for the application of this Regulation.    The Commission shall
communicate this -information to the other Member States*
                               Article 22
1.     Title II of this Regulation shall enter into force on 1 January 1980.
2*     Article 15 shall enter into force on a day to be prescribed by the
Commission by Regulation*                                   ,
3*     All other provisions of this Regulation shall enter into force on .
1 July 1980 and shall apply to all goods in respect of which the material
time for valuation for customs purposes occurs after 30 June 1980*
4.     Regulation (EEC) Ho 803/68 of the Council of 27 June 1968 , as
amended } shall not apply to any goods in respect of whioh the material time
for valuation for customs purposes occurs after 30 June 1980*
5.     Regulations made by the Commission in implementation of the said
Regulation (EEC) No 803/68 shall not apply to any goods in respect of
which the material time for valuation for customs purposes occurs after
30 June I98O unless the Commission by Regulation and as a transitional
matter extends their application for a period not exceeding three months
in the case of any such Regulation. .
6.     Provisions necessary for the implementation of paragraphs 2 and 5
of this Article shall be adopted in accordance with the procedure laid
down in Article 19 *
 ---pagebreak---                                      - 20 -
      ■ This Regulation shall "be binding in its entirety and directly
applicable in all Member States .
        Done at                 1?79 »
                                                For the Council
                                                The President