CELEX: 51973PC2008
Language: en
Date: 1973-11-29
Title: DRAFT REGULATION (EEC) OF THE COUNCIL on the opening, allocation and administration of a Community tariff quota for bullion lead and unwrought lead other than bullion lead falling within subheadings No 78.01 A I and A II of the Common Customs Tariff (1974)#DRAFT REGULATION (EEC) OF THE COUNCIL on the opening, allocation and administration of a Community tariff quota for unwrought zinc falling with subheading No 79.01 A of the Common Customs Tariff (1974) (submitted to the Council by the Commission)

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Vol. 1973/0356
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 ---pagebreak--- OOMMESiGN QF THB EUEOPEAN COMMUN3TIES
                                                            , COM( 73 ) 2008 final ■ V .
                                          ■                 ; Brussels , 29 November 1973
                               /. , ;  : DRAFT . :           " : : ;
       ;    .            . REGULATION (EEC) OP THE COUNCIL    . -
   on the opening , allocation and administration of a Community tariff quota
       for bullion lead and unwrought lead other than "bullion lead falling
   within subheadings Ho 78.01 A I and A II of the. Common Customs Tariff (1974)
                                                                                         ;   y i
                                                                                  f       -/   .. V.'
                            \               DRAFT • • ;
                         "" REGULATION (EEC) of the council
    on the opening ; allocation and administration of a Community tariff quota .
              ■    ; . ■ for unwrought zinc falling with
           subheading No 79.01 'A of the Common Customs Tariff (1974) "         ,
                                                                                      /.
                    ( submitted to the Council by the • Commission)     , -
  COM(73 ) 2009 final
 ---pagebreak---                                                          Annex A
                       FXPMNATORY EMRfflDIM
1,       At the time of the negotiations with the countries wishing to
join the Communities , an overall solution for the problems of lead and
zinc was worked out .    This solution , "by which certain Member States
waived the rights which they enjoyed under Protocol No XV of list G ,
was recorded in Protocols No 14 and 15 annexed to the Act of Accession ,
and may "be summarized as follows :
In respect of "bullion lead. :
( a ) special treatment for this metal in the Common Customs Tariff by
      the creation of a new subheading within heading No 78.01 ;
( b ) transformation of the present specific duty of 1.32 u.a./lOO kg into
      an ad valorem dutycf 4«5$"S
( c ) a nil duty Community tariff quota to be opened , equal in amount to
      the sum of requests made by the Member States concerned , plus a
      reserve , and to be administered according to the system of prior
      allocation , until this duty is totally suspended for an unlimited
      period ;
( d ) participation by the new Member States in the nev; tariff quota from
      1 January 1974 "
( e ) suspension of the duty at a level of 2$ from 1 January 1975 ?
( f ) from 1973 , annual examination of the possibility of totally
      suspending the duty for an unlimited period .
    In fact , the Common Customs Tariff provides for an autonomous duty
    of 4*57® and a, conventional duty of 1.32' u.a./lOO kg.
 ---pagebreak---                                                           Annex A
In respect of other inwrought lead
                               1
( a) transformat ion , as soon as possible and. "by 1 January 1974 at the
       latest of the present specific duty of 1.32 u.a./lOO k& into an
       ad valorem duty of 4»5 collecting at least 1.1 u.a./lOO kg;
( b ) participation by the new Member States in the Community tariff quota
       of 55 OOO metric tons at zero rate from 1 January ;
( c ) from 1 January 1975 » reduction of the quota volume until its
       disappearance on 31 December 19775
 ( d ) a reexamination of the situation before abolishing the quota with
       a view to a possibly limited reduction of the duty ( collecting at
       least 1.1 u.a./lOO kg), it being understood that in any case the
       the Community foundry industry should continue to be safeguarded . ■
In rsspcot of urarrpou.'ftit zinc
 ( a ) transformation , from 1 January 1974 » of the specific duty of 1.32 u.a
       100 kg into a duty of 4*5^» collecting at least 1.1 u.a./lOO kg;
 ( b ) from the same date , participation by the new Member States in the
       zero-rated tariff quota , which was fixed at 30 000 metric tons in
       1971 > and which will decrease every year - except in 1974 - until
       it disappears on 31 December 1977 «
 2.       The Commission recorded that the solution adopted from 1971 to
 1973 , even if it did not fully correspond to the Community nature of
 the quotas to be opened , was the only one which allowed progress to be
made in a Community direction , ss opposed to the purely national situa­
 tions which had preceded it .    For this reason the annexed draft regula­
 tions , on the quotas for 1974 » f-re to a considerable degree based on the
 ---pagebreak---                                - 3 -
                                                       Annex  A
situation obtaining during the preceding years , as regards the conditions
for opening , allocating and administering it .
      The annexed draft regulations also take into account the agreement
reached by the experts on the scope to be left to the Member States to
limit the amounts drawn from the quota volumes relating to unvrought lead
other than bullion lead and to zinc to certain grades of metal and for
certain purposes .
 ---pagebreak---                                                             Annex A
                                  Draft
• ;f    :•        REGULATION' (SEC ) ITo . . i/73 OP THE C0U1TCIL
                                 of ...
         on the opsning, allocation and administration of a Community
         tariff quota for "bullion lead and unwrought lead other than
        "bullion lead falling within subheadings Bo 73»01 A I and A II
        of the Common Customs Tariff ( 1974 )
 THE CC01ICI L OP THE EUEOPEMT COMIUMTTES ,
 Having regard to the' Treaty establishing the European Economic Community
 and in particular Article 28 thereof ;
 Having regard to the draft Regulation submitted by the Commission ;
 Whereas , as regards unwrought lead , Community production is insufficiQnt
 arid whereas producers cannot therefore meet all of the requirements of
 industry in the Community ;
 ^Jhereas it appears to be in the Community 's interest to suspend , in the
 'case of this metal , the application of the unilateral Common Customs
 Tariff duties for a year within given limits , and to distinguish between
 bullion lead ( unwrought lead containing 0. 02 or more by weight of
  silver for refining) and unwrought lead other than bullion lead ;
 iJhereas , under Article 39 of the Act annexed to the Treaty concerning
 the accession of new Member States to the European Economic Community
 and to the European Atomic Energy Community, signed on 22 January 1972 ,
 the new Member Sts,tes must on 1 January 1974 make the first moves
 towards alignment     of their national tariffs on the Common Customs
  Tariff as regards the product in question ; whereas , therefore , the
 needs of those Member States for imports from third countries should
    OJ Ho L 73 , 27 March I973 , p 22 »
 ---pagebreak---                                     - 2 -
                                                         Annex A
  from that date onwards be covered "by the tariff quota in question during
  the period thereof ; whereas , these requirements may not include imports
  to which some other preferential , tariff treatment may apply , particularly
  under the European Free Trade Association arrangements ; whereas the s
  duties to be applied "by the new Member States under the said tariff quota
  must be in' conformity* with the provisions of the said Act ;
        Whereas , in view of the slight intcrpenetration of the markets in
  bullion lead and in other unwrought lead , and of the lack of complete
  statistical data on these two grades of the metal , it does not seem
  possible to establish the volume and allocation of the Community tariff
  quota for the metals concerned on the basis of previous data ;     whereas ,
  on the basis of estimates of requirements submitted by the Member States ,
  the quota volume to be opened for 1974 has been fixed at 313 700 metric
  tons for bullion lead and at 55 000 metric tons for other unwrought lead ;
  whereas the latter amount takes account of the need to maintain a
  reasonable balance of deductions from the tariff quota for unwrought
  lead in general in order to safeguard the foundry industry ;    whereas ,
  therefore , only the estimated requirements by some Member States for
  specific grades of lead have been taken into account ;   whereas it is
  advisable to allow Member States the option of not taking their share
  from these 55 000 metric tons if certain conditions of quality and
  purpose have not been met ;
        Whereas , to take account of future import trends fcr the product
: under consideration, the total quota volume of both grades df lead should
  be divided into two tranches , the first being allocated and the second
  being held as a reserve to cover at a later date the requirements of
  Member States, who have used up their initial shares ;   whereas , to give
 ---pagebreak---                                                           Armer. A
 importers some certainty , the first tranche shall "be fixed at
 285 ISO metric tons for "bullion lend end 51 150 metric tons for other
unwrought lead , the remainder of 28 520 metric tons and 3850 metric
 tons constituting the reserve ; whereas , failing a sufficiently repre­
  sentative reference period , the following initial percentage-shares may
 "be adopted on the "basis of estimates which take account of the new
  situation :
                                     (metric tons )
                             Bullion lead      I    Other unwrought lead ■
 Germany                        54 000                     11 984
  Bénélux                        22 000                    16 619
  France                             50                       333
  Italy                          54 000                    11 984
  Denmark                            50                       911
  Ireland                            80                       230
•United Kingdom                155 000                      9 089
         Whereas the initial shares may "be used up fairly quickly ;  whereas ,
  therefore , to avoid disruption of supplies , any Member State which has
  almost used up its initial share should draw a supplementary share from
  the reserve ;  whereas this must "be done by each Member State as each one
  of its supplementary shares is almost used up , and as many times as the
  reserve allows ;  whereas the initial and supplementary shares must bo
  valid until the end of the quota period ;   whereas this form of administra­
  tion requires close collaboration between the Member States and the
  Commission , and the Commission must bo in a position to follow the extent
  to which the quota volume has been used up and inform the Member States
  thereof ;
 ---pagebreak---                                               - 4 -
                                                                              Annex A
       Whereas if , at a given date in the quota period , a Member State
has a considerable quantity left over , it is essential that it should
return a significant proportion thereof to the reserve , to prevent a
part of the Community tariff quota from remaining unused in one Member
State while it could be used in others ;
       Whereas since the Kingdom of Belgium , the Kingdom of the
Netherlands and the Grand Duchy of Luxembourg are jointly represented
by the Benelux Economic Union any measures concerning the administration
of the shares allocated to that economic union may be carried out by
one of its members ;
HAS ADOPTED THIS REGULATION :
             /
                                           Article 1
1.     During the period from 1 January to 31 December 1974 Community
tariffs quotas shall be opened in the Community for the following
products coming from third countries , and within the following limits :
                                                                                     I
                      I                                                                Amount of the
CC'T heading       j!              Description
number             j!
                      '
                      I "
                           -
                           ■ 1  – – ι– -" ι·ι  ι.
                                                  - – -
                                                        ■ ■ ι - - .1
                                                                         -
                                                                     - – - '■ "■ -
                                                                                           quota
78.01 A I          j unwrought lead containing 0.02$                                     313 700 metric
                                                                                             t ons
                      j or more by weight of silver for
                      I refining ( bullion lead )                                   ,
                      ί                                                            ι
                      I                                                            i
78.01 A II            |   Other unwrought lead                                     !      55 000 metric
                                                                                             tons
                                                                                   ί
                    I
                      l                                                            i
                      i
2#    Imports of the product in question may not be counted under this
tariff quota if they are already free of customs duties under other
preferential tariff treatment applied by certain Member States in
particular under the European Free Trade Association arrangements .
 ---pagebreak---                                      - 5 -
                                                                Annex A
    3.     Within this tariff quote,, the Common Customs Tariff duties shall
    he totally suspended .
    k.     Without prejudice to their option to accelerate alignment under
    Article 41 of the Act of Accession , the new Ilember States shall within
    this tariff quota apply, in lieu of the duties to "be applied in trade with
    third countries from 1 January 1974 find shown in column 2 of the table
    below athe duties shown in column 1 thereof :
                                      Quota duties      Third country duties
                                            1                         2
    Bullion lead (heading
    No . 7^.01 A*"I of the
    Common Customs Tariff )
               Denmark                      0 %         1,8%, collecting at
                                                        most 0.528 u.a. /lOO kg
               Ireland                     0 ?          I.8/3, collecting a
                                                        maximum of O.528 u.a./
                                                        100 kg
               United Kingdom              0 fo        '1.8/, collecting a
                                                        maximum of O . 528 u.a./
                                                        100 kg
    Unwrourht lead , other than
    bullion lead
    ( heading No . 78*01 A II of
    the Common Customs Tariff )
               Denmark                     0 %          1.8%, collecting a
                                                        minimum of 0,44 u.a .
                                                        and a maximum of
                                                        0,528 u.a./lOO kg
               Ireland                     0 %          1.8%, collecting a
                                                        minimum of 0.44 ^» a .
                                                        and a maximum of
                                                        O . 528 u.a./lOO kg
               United Kingdom              0 %          1.8%, collecting a
                                                        minimum of 0.44 u.a .
                                                        and a maximum of
                                                        0«528 u.a./lOO kg
                                           3 r          4.5%, collecting a
                                                        minimum of 1.1 u.a .
                                                        and a maximum of
                                                        1.32 u.a./lOO kg
Impor s of these products into the United Kingdom from Commonwealth countries
are free of duty .
 ---pagebreak---                                                         Anne :: A
                                Artide 2
1.      The Community tariff quotas referred, to in Article l(l ) shall "be
divided into two tranches .
2.      The first tranche of 285 180 metric tons in respect of "bullion
lead. and. 51 150 metric tons in respect of other unwrought lead shall
be allocated among the Member States ;     the respective shares of the
Member States , which , subject to Article 5 » shall be valid until
31 December 1974 » shall be as follows :
( a ) as regards unwrought lead containing 0.02/? or more by weight of
      silver for refining (bullion lead ):
                    Gcrmany                 54 000 metric tons
                    Benelux                 22 000 metric tons
                    Franc e                     50 metric tons
                    Italy                   54 000 metric tons
                    Danemark                    50 metric tons
                  . Ireland                     80 metric tons
                    United Kingdom         155 000 metric tons
 ---pagebreak---                                  - 7 -
                                                         Annex A
( b ) as regards other unwrought lead :
                   Germany              11 984  metric tons
                   Bénélux              16 619  metric tons
                   Prance                   333 metric tons
                   Italy                11 984  metric tons
                   Denmark                  911 retnc tons
                   Ireland                  230 metric tons
                   United Kingdom        9 089  metric tons
3.      The second tranches, of 28 520 metric tons and 3$50 metric tons
respectively , shall constitute the Community reserves .
                              Article 3
1.      If 90jo or more of a Member State * s initial share as specified, in
Article 2(2 ), or of that share minus the portion returned to the reserve
where Article 5 is applied , has been used up , that Member State shall ,
without delay , by notifying the Commission , draw a second share , to
the extent that the reserve is sufficient , equal to 10^ of its original
share , or rounded up , where necessary , to the next unit .
£•      If , after its initial share has been used up , JQffo or more of the
second share drawn by a Member State has been used up , that Merrbcr State
shall , without delay , in accordance with the provi si ore of paragraph 1 ,
draw a third share equal to frjc of its initial share , rounded up where
necessary to the next unit ,
3,      If , after its initial chare has been used , 90^ or more of the
second share drawn by a Member State has been used up , that Member State
shall , in accordance with the provisions of paragraph 1 , draw up a fourth
share equal to the third .
 ---pagebreak---                                                        Annex A
This process shall continue to apply until the reserve is used up *
4.     By v;ay of derogation from paragraphs 1 to 3 , a Member State may
draw shares lower than those fixed in those paragraphs if there are
grounds for "believing that those fixed may not he used up .   It shall
inform the Commission of its reasons for applying this paragraph .
                                Article 4
Supplementary shares drawn pursuant to Article 3 shall he valid until
31 December 1974 »
                                Article 5
A Member State which on 15 October 1974 has not used up its initial
share shall return to the reserve not later than 31 October 1974 the
unused portion exceeding 20$ of the initial amount . It may retvirn a
greater portion if there are grounds for believing that it may not be
used up .
Member States shall , not later than 31 October 1974 » notify the
Commission of the total quantities of the product in question imported
up to and including 15 October 1974 and counted against the Community
tariff quota and any quantities returned to the reserve .
                                Article 6
Member States may restrict deductions from their shares of unwrought
 lead ( other than bullion load ) for certain purposes or grades .
 ---pagebreak---                                 - 9 -
                                                       Annex A
                              Article 7
The Commission shall keep an account of the shares opened "by the Member
States pursuant to Articles 2 and 3 and shall , as soon as information
reaches it , inform each state of the extent to which the reserve has
been used up .
It shall , not later than 15 November 1974 » inform the Member States of
the amount still in reserve after returns have been made pursuant to
Article 5 »
It shall ensure that the drawing which uses up the reserve is limited
to the balance available and to this end shall specify the anount
thereof to the Member State making the last drawing.
                              Article 8
1.     Member States shall take all measures necessary to ensure that
supplementary shares drawn pursuant to Article 3 are opened in such a
way that imports may be counted without interruption against their
accumulated shares in the Community quota.
2.    Member States shall ensure that importers of the product in
question established in their territory have free access to the shares
allocated to them .
3.    Member States shall ad-minister their share in accordance xd.th the
system of prior allocation.
4*    The extent to which a Member State has used up its quota-share
shall be determined by reference to imports of the/ product in question
as and when such products are presented for customs clearance under
declarations for consumption.
 ---pagebreak---                                  «■* 10 ••
                                                    Annex A
                               Article 9
Member States shall regularly inform the Commission of imports actually
counted against their shares .
                               Article 10
Member States and the Commission shall cooperate closely to ensure that
the preceding Articles are observed .I
                               Article 11
This Regulation shall enter into force on 1 January 1974 *
      This Regulation shall be binding in its entirety and directly
applicable in all Member States .
Done at Brussels ,           19 * •
                                               For the Council
                                               The President
 ---pagebreak---                                                          Arrncx B
                                  Draft
               REGULATION ( ECC ) NO ...«/73 OF THE COUNCIL
                      of
       on "the opening, allocation and administration of a Community
       tariff quota for unwrought zinc falling with subheading No . 79 . 01 A
                      of the Common Customs Tariff
                                   ( 1974 )
THE COUNCIL OF THE EUROPEAN COM®NITIES ,
       Having regard to the Treaty establishing the European Economic
Community, and in particular Article 28 thereof;
       Having regard to the draft Regulation from the Commission ;
       Whereas , as regards unwrought zinc , Community production is
insufficient , and whereas producers cannot therefore meet all of the
requirements of industry in the Community ;
       Whereas it appears to be in the Community ^ interest to suspend ,
in the case of this metal , the application of the unilateral Common
Customs Tariff duties for a year within given limits ;
       Whereas , under Article 39 of the Act annexed to the Treaty
concerning the accession of new Member States to the European Economic
Community and to the European Atomic Energy Community , signed, on
22 January 1972"*", the new Member States must on 1 January 1974 make the
first move towards alignment of the national tariffs on the Common
Customs Tariff as regards the product in question ; whereas , therefore ,
the needs of those Member States for imports from third countries should
from that date onwards be covered by the tariff quota in question during
the period thereof ; whereas these requirements may not include imports
to which some other preferential tariff treatment may apply, particularly
 1 OJ No L 73 , 27 March 1972 , p. 22.
 ---pagebreak--- under the European Free Trade Association - arrangements ;   whereas the
duties to "be applied "by the now Member ■ States under the said tariff
quota must he ill conformity with the provisions of the said Act ;
       Whereas , in view of the slight interpenetration of the markets
in unwrought zinc , it does not seem possible to establish the volume
and allocation of the Community tariff quota for the metal concerned
on the basis of previous data ;   whereas , on the basis of estimates of
requirements supplied by the Member States , the quota volume for
unwrought zinc to be opened for 1974 has been fixed at 20 000 metric
tons ; whereas this amount takes account of the need to stay within
reasonable limits and to safeguard Community production ;     whereas ,
therefore , only the estimated requirements by some Member States for
specific grades of zinc have been taken into account ;     whereas it is
advisable to allow Member States the option of not taking their share
from this amount if certain conditions of quality and purpose have not
been met ;
       Whereas , to take account of future import trends for the product
under consideration , the total quota volume of 20 000 metric tons should
be divided into two tranches , the first being allocated and the second
being held as a reserve to cover at a later date the requirements of
Member States who have used up their initial shares ;     whereas , to give
import ers some certainty , the first tranche should be fixed at
18 000 metric tons , the remainder of 2 000 metric tons constituting the
reserve ; whereas , failing a sufficiently representative reference
period , the following initial percentage-shares may be adopted on the
basis of estimates which take account of the new situation :
 ---pagebreak---                                                             Annex B
                     Germany                42.67
                     Bénélux                25.34
                     Franco                  1.33
                     Italy                  10.66
                     Denmark                 2.22
                     Ireland                 1.48
                     United Kingdom         16.30
        Whereas the initial shares may "be used up fairly quickly ;
 whereas , therefore , to avoid disruption of supplies , any Member State
 which has almost used up its initial share should draw a supplementary
 share frora the reserve ;     whereas this must he done "by each Member State
 as each one of its supplementary shares is almost used up , and as many
 times as the reserve allows ;       whereas the initial and supplementary
 shares must be valid until the er_d of the quota period ;      whereas this
 form of administration requires close collaboration between the Member
 States and the Commission , and the Commission must be in a position to
 follow the extent to which the quota volume has been used up and inform
 the Member States thereof ;
         vftiereas if , at a given date in the quota period , a Member State
 has a considerable quantity left over , it is essential that it should
 return a significant proportion thereof to the reserve , to prevent a
 part of the Community tariff quota from remaining unused in one Member
 State while it could be used in others ;
        Whereas since the Kingdom of Belgium , the Kingdom of the ITetherland
 and the Grand -Duchy of Luxembourg are jointly represented by the Benelux
 Economic Union any measures concerning the axlministration of the shares
 allocated to that economic union may be carried out by on^ of its
 merifbcrs ;
                            /    Article 1
1.     During the pcriod/^on ]_ January to 31 December 1974 a Community
tariff quota of 20 000             tons shall be opened in the Community
for unwrought zinc falling vi-thin subheading No 79*01 A of the Common
 ---pagebreak---                                                                     * I    ^
                                                                                  \\
                                                                                   "v  v
                                                                ... i ;       >r     v
                                                              Ai'INFX B
V-'y 2.    Imports of the product in question may not be counted under this
      tariff quota if they are already free of customs duties under other
     preferential tariff treatment applied by certain i'iember States in
     particular under the the European Free Trade Association arrangements .
     3t     Within this tariff quota the Common Customs Tariff duties shall
     be totally suspended .
     k.     Without prejudice to their option to accelerate alignment under
     Article 41 of the Act of Accession , the new Member States shall within
     this tariff quota apply , in lieu of tho duties to he applied in trade
     with third countries from 1 January 1974 cind shown in column 2 of the
     table below , the duties shown in column 1 thereof :
                                     Quota dut ies         Third countries duties
                                           1                            2
     .Denmark                              0 %             1.8%, collecting a
                                                          minimum of 0.44- u.a .,
                                                           and a maximum of
                                                          .0.528 u.a./lOO kg
     Ireland                               0 %             1.8$, collecting a
                                                          minimum of 0.44 u.a . ,
                                                           and a maximum of
                                                           O . 528 u.a. /lOO kg
     United Kingdom                        3 %            4.5$» collecting a
                                                          minimum of 1.10 u.a .,
                                                          and a maximum of
                                                          1.32 u.a./lOO kg
                                   £0.8856/metric ton      £0.8856 per metric
                                                          ton , + 1.8$, collecting
                                                           a minimum of 0.44 u.a .
                                                          per 100 kg,plu3 £0.8856
                                                          per metric ton , and a
                                                          maximum of O . 528 u.a .
                                                          per 100 kg, plus £0.8856
                                                          per metric ton .
        Imports of these products into the United Kingdom from Commonwealth
        countries are free of duty .
 ---pagebreak---                                    - 5 -                  ν
                                                             Annex E
                                 Article 2
1.     The Community tariff quota referred to in Article l(l ) shall "be
divided into two tranches .
2.     The first tranche of 18 000 metric tons shall he allocated among
the Member States ; the respective shares of the Member States , which ,
subject to Article 5 » shall be valid from 1 January to 31 December 1974
                                                                      197
shall be as follows :
                        Germany          7 681 metric tons
                        Bénélux          4 561 metric tons
                        branco             239 metric tons
                        Italy            1 919 metric tons
                        Dennark            4OO metric tons
                        Ireland            266 metric tons
                        United. Kingdom  2 934 metric tons .
3.     The second tranche , of 2 000 metric tons , shall constitute a
reserve .
                                 Article 3
1.     If 90^ or more of a Member State 's initial share as specified in
Article 2(l ), *or of- that share minus the portion returned to the
reserve where Article 5 i s applied , has been used up , that Member
State shall without delay , by notifying the Commission , draw a second
share , to the extent that the reserve is sufficient , equal to 10$ of
its initial share , or rounded up where necessary to the next unit .
2.     If , after its initial share has been used up , 90% or more of the
second share drawn by a Member State has been used up , that Member Stat
shall , without delay , in accordance with the provisions of paragraph 1 ,
draw a third share equal to 5°/° of its initial share , rounded up where
necessary to the next unit .
 ---pagebreak---                                                       Annex B
3.    If , after its second share' Has "been used up , 90/o or more of
the third share drawn "by a Member State has "been used up , that
Member State shall , in accordance with the provisions of paragraph 1 ,
draw up a fourth share equal to the third .
      This process shall continue to apply until the reserve is
used up .
4.    By way of derogation from paragraphs 1 to 3 , a Member State
may draw shares lower than those fixed in those paragraphs if there
are grounds for believing that those fixed may not be used up . It
shall inform the Commission of its reasons for applying this paragraph .
                            Article 4
Supplementary shares drawn pursuant to Article 3 shall be valid until
31 December 1974 »
                            Article 5
A Member State which on 15 October 1974 has not used up its initial
share shall return to the reserve not later than 31 October 1974 'the
unused portion exceeding 20% of the initial amount . It may return a
greater portion if there are grounds for believing that it may not
be used up .
Member States shall , not later than 31 October 1974 t notify the
Commission of the total quantities of the product in question imported
up to and including 15 October 1974 an& counted against the Community
tariff quota and any quantities returned to the reserve .
 ---pagebreak---                                                      Annex B
                           Article 6
Member States may restrict deductions from their shares of unwrovight
zinc for certain purposes or grades .
                           Article 7
The Commission shall keep an account of the shares opened by tue
Member States pursuant to Articles 2 and 3 and shall , as soon as
information reaches it , inform each State of the extent to which
the reserve has been used up .
It shall , not later than 15 November 1974 » inform the Member States
of the amount still in reserve after returns have been made pursuant
to Article 5 »
It shall ensure that the drawing which uses up the reserve is limited
to the balance available and to this end shall specify the amount
thereof to the Member State making the last drawing.
                           Article 8
1.    Meriber States shall take all measures necessary to ensure that
supplementary shares drawn pursuant to Article 3 are opened in such
a way that imports may be counted without interruption against their
accumulated shares in the Community quota *
2.    Member States shall ensure that importers of the product in
question established in their territory have free access to the
shares allocated to them .
3»    Member States shall administer their share in accordance with
the system of prior allocation .
 ---pagebreak---                                                     Annex B
4.     The extent to which a Member State has used up its quota-
sliare shall "be determined by reference to imports of the product
in question as and when such products are presented for customs
clearance under declarations for consumption.
                           Article 9
Member States shall regularly inform the Commission of imports
actually counted against their shares .
                           Article 10
Member States and the Commission shall cooperate closely to ensure
that the preceding Articles are observed .
                           Article 11
This Regulation shall enter into force on 1 January 1974 *
       This Regulation shall be binding in its entirety and directly
applicable in all Member States .
Done at Brussels ,           19 . •
                                               For the Cpuncil
                                               The President