CELEX: 51977PC0607
Language: en
Date: 1977-11-18
Title: Proposal for a COUNCIL REGULATION (EEC) on the arrangements applied to imports of certain textile products (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (77) 607
Vol. 1977/0197
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 ---pagebreak---  COMMISSION OF THE EUROPEAN COMMUNITIES
                                                     COM(77)607 final.
                                                     Brussels . 18 November 1977
                                             •/ /
                                  Proposal for a
              : .            COUNCIL REGULATION (EEC )
        on the arrangements , applied to imports of certain
                                 textile products
                  ( submitted to the Council "by the Commission)
C (77 ) 607 final .
 ---pagebreak---                           EXPLANATORY STATEMENT
      The Community as such j.s 3, party to the Arrangement regarding
International Trade in Textiles , concluded within the framework
of the GATT . The Arrangement applies to certain textiles products
described in its Article 12 . ( 1 )
      On accepting the Arrangement ( 2 ), the Community 's primary obli­
gation was to adapt all "unilateral quantitative restrictions , bi­
lateral agreements and any other quantitative measures in force which
have a restrictive effecU' on 31.12.1973 » whether these were maintained
on a Community or national level , so that they were brought into con­
formity with the Arrangements provisions . To do this , the Commission
assembled a list of the restrictions referred to above, in force within
the Community and notified the details of this list to the Textiles
Surveillance Body in Geneva , in accordance with Article 2 ( 1 ) of the
Arrangement . It is to be noted that , the Community having in its own
right' accepted the Arrangement , the obligations with regard to the
restrictions notified , particularly as regards their treatment under
the Arrangement and their eventual treatment should the Arrangement
                                                                       ./•
 (1 )                           Article 12
1 . For the purposes of this Arrangement , the expression "textiles " is
limited to tops , yarns , piece-goods , made-up articles , garments and other
textile manufactured products (being products which derive their chief
characteristics from their textile components ) of cotton , wool , man-made
fibres , or blend thereof , in which any or all of those fibres in combination
represent either the chief value of the fibres or 50 Per cent or more by weight
 ( or 17 per cent or more by weight of wool ) of the product .
2 . Artificial and synthetic staple fibre , tow , waste , simple mono- and multi­
filaments , are not covered by paragraph 1 above . However , should conditions
of market disruption (as defined in Annex A) be found to exist for such pro­
ducts , the provisions of Article 3 of this Arrangement (and other provisions
of this Arrangement directly relevant thereto ) and paragraph 1 of Article 2
shall apply .
 3 . This Arrangement shall not apply to developing country exports of handloom
fabrics of the cottage industry , or hand-made cottage industry products made
 of such handloom fabrics , or to traditional folklore handicraft textiles pro­
 ducts , provided that such products are properly certified under arrangements
 established between the importing and exporting participating countries con­
 cerned .
 (2 ) OJ No L 118 of 30 April 1974 , p. 1
 ---pagebreak--- expire , accrued to the Community itself . In other words , by the
Community 's acceptance of the Arrangement , a Community regime was ,
ipso facto , established for all textiles products to which the
Arrangement applies . The Community 's acceptance of the Arrangement
thus represented a considerable step towards basing the common com­
mercial policy in respect of textiles on uniform principles ; likewise ,
the Community's fulfillment of its' obligations under Article 2 as re­
gards restrictions existing in the Community on 31 * 12.1973 , instilled
a measure of '\miformit;y" into the Community 's commercial policy , in the
sense in which that term is used in Article 113 of "the Treaty . Retreat
from the position thus achieved , naturally , is quite inconceivable from
the Commission 's point of view .
        At least five options were open to the Community as regards the
treatment to be accorded - to the restrictions thus notified to the
Textiles Surveillance Body. These are set out in Article 2 , paragraph
2 of the Arrangement :
        – termination of the restrictions "within one year of the entry
into force" of the Arrangement ;
        – justification under the provisions of the GATT (including its
Annexes and Protocols ) ;
        – inclusion in a programme for their progressive elimination by ,
at the latest , 31 - 3*1 977 »
        – inclusion in bilateral agreements negotiated under Article 4 of
the Arrangement ;
        – inclusion in agreements negotiated or measures adopted pursuant
to the Arrangement »s Article 3 .
        With the exception of the restrictions against the state–trading
countries party to the Arrangement (1 ) justified on the
basis of their respective Protocols of Accession to the GATT , the Communi­
ty 's policy was a seek to conclude bilateral agreements with its principal
suppliers , covering selectively those products which caused real risks of
disruption on Community markets . Residual restrictions were to be elimi­
nated progressively according to a programme communicated to the T.S.B.
by the Community on 27.3.1975 (2 ).
( 1 ) Hungary, Poland and Roumania. N.B. A bilateral agreement under Article 4
      of the Arrangement was eventually concluded with Roumania .
(2 ) GATT documents TEX. SB/24 of 7.4.1975 and COM.TEX/SB/97 of 22 August 1975 .
 ---pagebreak---         It should "be noted that on several occasions , the Community has
also taken , at Community level and on behalf of individual member
States , safeguard action to control imports of certain textile products
from specific sources , under Article 3 of the Arrangement .
        So far as the bilateral agreements under Article 4 and restrictions
under Article 3 are concerned , the terms of these measures have been im­
plemented in every case by appropriate Community legislation . This task
must now be accomplished so far as the above–mentioned programme is con­
cerned .
        In particular , so far as the restrictions referred to in the programme
are concerned , the present proposed Regulation makes it clear that , any
reintroduction of measures previously applied at the level of member States ,
may only take place by application of the relevant Community legislation
in force . This is not only legally but also economically indispensable , if
the degree of cohesion currently achieved in the Community 's commercial
policy for textiles is not to disintegrate upon expiry of the relevant
international Arrangement .
        The purpose of the annexed proposal for a Council Regulation is
thus twofold ;
        ( 1 ) to consolidate , on a Community basis , the " elimination" or
" suspension" (1 ) of those restrictions notified to the T.S.B. in the
Community * s programme ;
        (2 ) to ensure that , upon the expiry of the Arrangement on 31.12.1977 ,
the integrity of the Community regime , which has been established in the
manner described above , remains intact .
        The Commission is therefore invited to adopt the present proposal
and to transmit it to the Council , together with a recommendation that
the matter be treated with urgency which is manifestly required in order
to make this important contribution towards establishing a Community
commercial policy for textiles well before the end of the present year .
( 1 ) Article 2 (2)(i ) of the Arrangement speaks of the programme being
"designed to eliminate existing restrictions in stages             ". From the
Community * s point of view , however , the restrictions can only be con­
sidered to be " suspended" for so long as an international regime for
textiles trade exists under the GATT .
 ---pagebreak---                            COUNCIL REGULATION (EEC ) No      /77" "
            on the " arrangements applied to imports of oertain textile
                                        produots
     THE COUNCIL OP THE EUROPEAN COMMUNITIES :
     Having regard to the Treaty establishing the European Eoonomio Community* »
     and in particular Artiole 113 thereof ,
     Having regard to Council Regulation (EEC) NO 1439/74 of 4 June 1974
     on common rules for imports (l ),
    Having regard to Council Regulation (EEC) No 1023/70 of 25 May 1970, establishing
                                                                     (2)
     a common procedure for administering quantitativa quotas        v ',
    Having regard to the proposal from the Commission »
    Whereas the Community is a party to the Arrangement regarding International
     Trade in Textiles ^^(hereinafter called "the Arrangement") ;
    Whereas , in pursuance of its obligations under the Arrangement , the Community
    has negotiated certain bilateral export–restraint Agreements and taken or maintained
   certain unilateral quantitative restriction measures towards a number of supplying
    countries;        whereas , on the other hand, the Community has adopted and executed
    a programme . to        eliminate     ' certain residual quantitative restrictions
* existing in the Community on 1 January 1974 ;
    Whereas , following the execution of this programme , restraints on imports of
    textile products to whioh the Arrangement applies may only be maintained by virtue
    of the provisions of the Arrangement , unless they are justified under the provisions
    of      GATT (including its Annexes and Protocols) ;
    Whereas the execution of the above-mentioned programme . falls                  within
    the common commercial policy,         the implementation whereof should be confirmed
   by appropriate Community legislation ,
   HAS ADOPTED THIS REGULATION"
 ( 1 ) 0J. No. L 159, 15.6.1974, p.1 .
 ( 2 ) 0J. No, L 124, 8.6.1970, p.1 .
 ( 3) 0J. No. L 118, 30.4.1974, p.1 .
 ---pagebreak---                           Article 1
       Imports into the Community of those textile products
defined in Nimexe chapters 51-63 » "being textile products to
which the Arrangement regarding International Trade in Textiles at
present. applies , shall no longer         be subject to quantitative
restrictions in the Community except "by virtue of' Community regula­
tions in force .
                          Article 2
       Notwithstanding                  of Article 1 ,       imports into
the Community of products referred to . therein          shall "be per­
mitted up to the quantitative limits fixed "by the Community in agree­
ments negotiated or measures taken under the Community ^ international
obligations and laid down in Community regulations
                          Article 3
       This Regulation shall enter into force
on the        day          '■ its publication in the Official Journal of
the European Communities . Itshall apply with effect from 1 April 1977 .
Done at Brussels ,                                       For the Council
                                                         The President