CELEX: 51988PC0686
Language: en
Date: 1988-11-25
Title: Proposal for a COUNCIL DECISION on the conclusion of a new Agreement in the form of an exchange of letters between the European Economic Community and Norway concerning reciprocal trade in cheese (presented by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (88) 686
Vol. 1988/0224
 ---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) modifié en dernier
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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
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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), zuletzt geändert durch die
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Verschlusssachen als herabgestuft angesehen.
 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                         COM(88 ) 686 final
                                         Brussels , 25 November 1988
                               Proposai for a
                              COUNCIL DECISION
          on the conclusion of a new Agreement in the form of an
     exchange of letters between the European Economic     Community and
               Norway concerning reciprocal trade in cheese
                       ( presented by the Commission )
 ---pagebreak---                                   EXPLANATORY   MEMORANDUM
1.    The 1986 agreement in the form of an exchange of letters on reciprocal
       trade in cheese between the Community and Norway is of unlimited duration
      and largely comprises reciprocal tariff quotas ( 1 ). Since the quotas were
      set for the first three years only , the quantities and import duties have
      had to be determined for subsequent years .
2.    On the basis of the directives adopted by the Council , the Commission
      conducted the necessary negotiations with Norway . It was agreed that the
      quantities and duties applicable in 1988 would remain the same for the
      next three years , on the understanding that consultations would be held in
      1990 concerning a possible review . For the sake of clarity and for
      ractical reasons , it was considered preferable to renew the entire
      agreement . The attached draft , which represents the outcome of these
      negotiations , has no fianancial implications for the Community 's budget .
3.    It is therefore proposed that the Council :
        (i)  approve the draft exchange of letters attached to this proposal ;
      ( ii ) authorize the President of the Council to designate the person
             empowered to sign the exchange of letters on behalf of the Community .
( 1 ) OJ No L 22 , 29.1.1986 , p. 25 .
                                                                                    X
 ---pagebreak---                                          Proposai for a
                                        COUNCIL DECISION
         on the conclusion of a new Agreement in the form of an exchange of letters
                between the European Economic Community and Norway concerning
                                  reciprocal trade in cheese
      THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
      Having regard to the Treaty establishing the Europan Economic Community , and
      in particular Article 113 thereof ,
      Having regard to the     proposal     from the Commission ,
     Whereas in the Agreement ( 1 ) between the Community and Norway concerning
      reciprocal trade in cheese signed on 31 January 1986 the tariff quotas to be
     opened by the Community and Norway respectively were laid down for only 1986
      to 1988 ; whereas the agreement should therefore be renewed and the quotas for
      subsequent years should be laid down ;
     Whereas the Commission has conducted the necessary negotiations with Norway
     and whereas the agreement has been reached ,
     HAS DECIDED AS FOLLOWS :
( 1 ) OJ No L 22 , 29.1.1986 , p. 25 .
 ---pagebreak---                                       Artide 1
The Agreement in the form of an exchange of letters between the European
Economic Community and Norway concerning reciprocal trade in cheese is hereby
approved on behalf of the Community .
The text of the Agreement is attached to this Decision .
                                     Article 2
The President of the Council is hereby authorized to designate the person
empowered to sign the Agreement in order to bind the Community .
Done at Brussels ,                               For the Council
                                                 The President
 ---pagebreak---               AGREEMENT    IN  THE  FORM     OF  AN  EXCHANGE OF LETTERS
           BETWEEN   THE EUROPEAN ECONOMIC COMMUNITY AND THE KINGDOM OF NORWAY ,
                   CONCERNING RECIPROCAL TRADE IN CHEESE
              A. Letter -from the Community
Si r ,
I have the honour to refer to the consultations held between
the European Economic Community and Norway under paragraph 6 of
the Arrangement concerning reciprocal trade in cheese , signed
on 31 January 1986 .          In view of the common interest of the
European Economic Community and Norway in offering consumers , in
addition to home-produced cheese , other types of imported
cheese ,      I propose that with effect from 1 January 1989 this
Arrangement be replaced by the following provisions :
1.     For the annual quantities of cheese listed below , the
       import duties may not exceed the following levels :
       a ) on i mport at i on i nt o__t. lie Communi ty
           ( excluding Spain and Portugal >
           Cheese falling within              Code NC    04.06 of the Common
           Customs Tariff , originating in and coming from Norway ,
           and accompanied by an approved certificate ( 1 ):
( 1 ) The certificate will be issued by " Norske Meierier
( Norwegian Dairies )
 ---pagebreak---                                             Annual quantity                Import duty
                                              ( in tonnes )              ( in ECU / 100kg )
                                       for the years 1989, 1990 and
                                         ''  VIIW J VVM W I I / /U Ul IU
                                         -11991_
–    Jarlsberg , of a minimum
      •fat content o-f 45% , by
     weight , in the dry matter
      and o-f a dry matter
     content , by weight , o-f
     not less than 56% , matured
     •for at      least three months :
     * whole cheeses with rind
          (1)     weighing -from 8 kg
         to 12 kg
     * rectangular blocks o-f a
         net weiqht not exceeding
         7 kg ( 2 )
     * pieces packed in vacuum
         or in inert gas , o-f a net
         weight o-f not less than
         150 g but not exceeding
          1 kg ( 2 )                   2 020                               55
-    Ridder , of a minimum fat
     content of 60% , by weight ,
     in the dry matter and
     matured for at least 4
     weeks :
     * wole cheeses with rind
          ( 1 ) weighing from 1 kg
         to 2 kg
     * pieces packed in vacuum
         or in inert gas , with
         rind on at least one side
          ( 1 ) , of a net weight of
         hot less than 150 g ( 2 )
( 1 ) The expression " whole cheeses with rind " means cheeses of
        the conventional flat cylindrical shape . For the purposes
        of these provisions , the rind is defined as follows : the
        rind of such cheeses is the outer layer formed from the
        cheese itself , having a distinctly more solid consistency
        and a distinctly darker colour .
( 2 ) The wording on the packing must be such as to enable this
        cheese to be identified by the consumer .
 ---pagebreak--- b ) on importation into Norway
                                      Annual quantity        Import duty
                                         ( in tonnes )          ( Nkr / kg )
                                  for the years 1989, l^^and
    Cheese of all types and
    varieties , originating
    in and coming from the
    Communi ty                      2  160                    1 . 20
2.   Norway will take the necessary steps in order to :
     - limit the issue of the certificates referred to in            1  (a)
       to the quantities agreed in this Agreement :
     - ensure that the autonomous system of import licence
       allocation will be managed taking into account market
       requirements and in such a way that imports may take place
       regularly and that the quantities agreed for import into
       Norway from the Community can effectively be imported .
3.   The Community and Norway will take steps to ensure that the
     benefits which they grant each other will not be jeopardized
     by other import measures .
4.   The Community and Norway undertake , each on its own behalf ,
     to ensure that the prices charged by their exporters are not
     such as to create difficulties on the importing country ' s
     market .
     They agree , in this connection , to set up a system of
     information and mutual cooperation as described in the Annex
     to this Agreement .
     If difficulties arise concerning the prices charged ,
     consul tati ons will be held at the request of either party ,
     as promptly as possible , with a view to the adoption of
     appropriate corrective measures .
 ---pagebreak--- 5.  Consultations will be held at the request of either party on
    any question relating to the operation of this Agreement .
    The two parties may , by common accord , alter it by reference
    in particular to the trend o-f market prices , production ,
    marketing or consumption o-f home-produced and imported
    cheeses .
6.  During the -first hal-f o-f 1990 consultations will be held to
    review the operation of the agreement and , i f necessary , to
    adjust the quantities .
7.  During the first half of 1991 , consultations will be held to
    determine the quantities and import duties applicable for
    the subsequent years .
S.  This Agreement may be terminated by a year 's notice in
    writing .
    If this provision is applied , each party retains the rights
    it had before the conclusion of the Agreement .
I should be obliged if you would confirm that your Government is
in agreement with the above .
Please accept , Sir , the assurance of my highest consideration .
                                   On behalf of the Council
                                   of the European Communities
 ---pagebreak---               B. Letter    -from the Kinqdom of      Norway
Si r ,
I have the honour to acknowledge receipt of your letter of
today 's date which reads as follows :
"I    have the honour       to refer   to the consultations held between
the European Economic Community and Norway under paragraph 6 of
the Arrangement concerning reciprocal trade in cheese , signed
on 31 January 1906 .           In view of the common interest of the
European Economic Community and Norway in offering consumers , i
addition to home-produced cheese , other types of imported
cheese ,      I propose that with effect from 1 January 1989 this
Arrangement be replaced by the following provisions :
1.     For the annual quantities of cheese listed below , the
       import duties may not exceed the following levels :
       a > on i mgor t at ia n int.o t he_ Communi t y
           ( excluding Spain and Portugal )
           Cheese falling within         Code NC 04.06 of the Common
           Customs Tariff , originating in and coming from Norway ,
           and accompanied by an approved certificate ( 1 ):
                                                                    . /. .
 ( 1 ) The certificate will be issued by             Norske Meier i er
 ( Norwegian Dairies )
 ---pagebreak---                                            Annual quantity         Import duty
                                             ( in tonnes )       ( in ECU / 100kg )
                                     for the years 1989, 199^and
-    Jarlsberg , of a minimum
     fat content of 45"/., by
     weight , in the dry matter
     and of a dry matter
     content , by weight , of
     not less than 56% , matured
     for at     least three months :
     * whole cheeses with rind
        (1)     weighing from 8 kg
       to 12 kg
     * rectangular blocks of a
       net weight not exceeding
       7 kg ( 2 )
     * pièces packed in vacuum, .
       or in inert gas , of a net
       weight of not less than
       150 g but not exceeding
        1 kg ( 2 )                      2 020                      55
-    Ridder , of a minimum fat                         .
     content of 60% , by weight , .
     in the dry matter and
     matured for at least 4
     weeks :
     * wole cheeses with rind
        ( 1 ) weighing from 1 kg
       to 2kg.
     * pieces packed in vacuum
       or in inert gas , with
       rind on at     least one side
        ( 1 ) , of a net weight of
       not less than 150 g ( 2 )
( 1 ) The expression " whole cheeses with rind " means cheeses of
      the conventional flat cylindrical shape . For the purposes
      of these provisions , the rind is defined as follows : the
      rind of such cheeses is the outer layer formed from the
      cheese itself , having a distinctly more solid consistency
      and a distinctly darker colour .
( 2 ) The wording on the packing must be such as to enable this
      cheese to be identified by the consumer .
 ---pagebreak--- b) on importation into Norway
                                     Annual    quantity      Import duty
                                        ( in  tonnes )          ( Nkr / kg )
                                                     990 and
                                for the y««rs 1989, 199^anc
                                                     1991
   Cheese of all types and
   varieties , originating
   in and coming from the
   Communi ty                      2   160                    1 . 20
2.  Norway will take the necessary steps in order to :
    – limit   the issue of the certificates referred to in           1  ( a)
      to the quantities agreed in this Agreement :
    – ensure that the autonomous system of import licence
      allocation will be managed taking into account market
      requirements and in such a way that imports may take place
      regularly and that the quantities agreed for import into
      Norway from the Community can effectively be imported .
3.  The Community and Norway will take steps to ensure that the
    benefits which they grant each other will not be jeopardized
    by other import measures .
4.  The Community and Norway undertake , each on its own behalf ,
    to ensure that the prices charged by their exporters are not
    such as to create difficulties on the importing country 's
    mar ket .
    They agree , in this connection , to set up a system of
    information and mutual cooperation as described in the Annex
    to this Agreement .
    If difficulties arise concerning the prices charged ,
    consultations will be held at the request of either party ,
    as promptly as possible , with a view to the adoption of
    appropriate corrective measures .
 ---pagebreak--- 5.   Consultations will be held at the request of either party on
     any question relating to the operation o-f this Agreement .
     The two parties may , by common accord , alter it by reference
     in particular to the trend of market prices , production ,
     marketing or consumption of home-produced and imported
     cheeses .
6.   During the first half of 1990 consultations will be held to
     review the operation of the agreement and , if necessary , to
     adjust the quantities .
7.   During the first half of 1991 , consultations will be held to
     determine the quantities and import duties applicable for
     the subsequent years .
8.   This Agreement may be terminated by a year 's notice in
     writing .
     If this provision is applied , each party retains the rights
   . it had before the conclusion of the Agreement .
I should be obliged if you would confirm that your Government is
in agreement with the above ".
I have the honour to confirm that my Government is in agreement with the
contents of your letter .
Please accept , Sir , the assurance of my highest consideration .
                      For the Government of the Kingdom of Norway
 ---pagebreak---                                ANNEX
                    Mutual information procedures .
In order to ensure that the prices charged by exporters are not
such as to cause problems on the market of the importing
country , the following information procedures shall be
estab 1 i shed :
Norway shall provide the Commission of the European Communities
with the following information :
-  two weeks before the start of each quarter of the calendar
   year , a forecast of Norwegian exports to the Community for
   the following quarter ( quantities envisaged , Norwegian
   free - at - f rentier prices envisaged , foreseeable end markets ) ,
-  three weeks after the close of each quarter of the calendar
   year , actual Norwegian exports to the Community in the
   preceding quarter , giving quantities exported , Norwegian
   f ree – at~f rontier prices actually applied and importing
   Communi ty countr i css .
The Commission of the European Communities shall provide , every
quarter , price quotations and any other relevant information
concerning the market in home – produced and imported cheeses .
 ---pagebreak---                        EXCHANGE OF LETTERS
concerning the non-application of monetary compensatory amounts
         to imports into the Community of cheese from Norway
                          Letter No .  1
r*' J »_
3 1 1^ q
 I have the honour to refer to the Agreement in the form of an
exchange of letters concluded this day between Norway and the
European Economic Community concerning trade in cheese .
Further to the said Agreement , I can confirm that the
Community will not apply any monetary compensatory amounts to
cheese imports covered by the Agreement .
 I should be obliged if you would acknowledge receipt of this
letter .
Please accept , Sir , the assurance of my highest consideration .
                                 On behalf of the Council
                                of the European Communities
 ---pagebreak---                           Letter  No 2 .
Si r ,
 I have the honour to acknowledge receipt of your letter of this
day , which reads as -follows :
 "I have the honour to refer to the Agreement in the form of an
exchange of letters concluded this day between Norway and the
European Economic Community concerning trade in cheese .
Further to the said Agreement , I can confirm that the
Community will not apply any monetary compensatory amounts to
cheese imports covered by the Agreement .
 I should be obliged if you would acknowledge receipt of this
.1 etter . "
Please accept , Sir , the assurance of my highest consi der at i on .
                      For the Government of the Kingdom of Norway
 ---pagebreak---             FINANCIAL              STATEMENT
                                                                  Date : 27 October 1988
   1 . Budget heading : Revenue 100                    Appropriations : I 594 . 4m ECU
: 2 . Title : Proposal for a Council Decision on the conclusion of a new agreement in
:              the form of an exchange of letters on reciprocal trade in cheese between
t              the EEC and Norway
  3 . Legal basis : Article 113 of the Treaty
  4 . Aims of project : To extend for 1989 , 1990 and 1991 the quotas and reciprocal
                           duties existing between the Community and Norway for cheeses .
                                                   period of         current            following
                                                   12 months     financial year      financial year
  5.     Financial implications                                       ( 1988 )            ( 1989 )
  5.0    Expenditure
         - charged to the EC budget
           ( refunds / intervention )
         - national administration
         - other
  5.1    Receipts
         - own resources of the EC                                'V                   - 3.4m ECU
           ( levies / customs duties )
         - national
                                                       1990             1991
  5.0.1 Estimated expenditure
  5.1.1 Estimated receipts                       - 3.4m ECU        - 3.4m ECU
  5.2 Method of calculation :
           Normal import levy :        2 088.8 ECU / t
           Reduced import levy :         550   ECU / t
           Loss of levy per tonne      1 538.8 ECU / t
           Total loss of levy : 2 020 t x 1 538.8 x 1.100 ( DT ) = 3.4m ECU ( B )
           Exports to Norway do not qualify for export refunds .
  6.0 Can the project be financed from appropriations entered in the relevant chapter
       of the current budget ?                                                             yes /no
  6.1 Can the project be financed by transfer between chapters of the current budget ?
                                                                                           yes /no
  6.2 Is a supplementary budget necessary ?                                                ycs-/no
  6.3 Will future budget appropriations be necessary ?                                     yes /no
  Observations : Since the new agreement represents the continuation of the arrangements
                   already in force with unaltered quantities and duties , the financial
                    consequences ialreadyi taken into account in the 1989 draft budget .
                                KAJ**
                                                                                                    II