CELEX: 51993PC0243
Language: en
Date: 1993-06-04
Title: Proposal for a COUNCIL REGULATION (EEC) opening and providing for the administration of a Community tariff quota for rum, tafia and arrack originating in the African, Caribbean and Pacific States (ACP) (1993/94)

COMMISSION OF THE EUROPEAN COMMUNITIES
                                                  C0M(93)  243final
                                                  Brussels, 4  June 1993
   r
                                    Proposal for a
                               COUNCIL REGULATION (EEC)
         opening and providing for the administration of a Community tariff quota
            for rum, tafia and arrack originating in the African, Caribbean and
                                    Pacific States CACP)
                                          (1993/94)
                            (presented by the Commission)
••4 :
 ---pagebreak---                        EXPLANATORY MEMORANDUM
Protocol No 6 annexed to the Fourth Lomé Convention, which was signed
on 16.12.1989, stipulates that products falling within CN codes
2208 40 10, 2208 40 90, 2208 90 11 and 2208 90 19 (rum, tafia and
arrack) and originating in the ACP States shall be imported into the
Community free of customs duty.
These preferential arrangements apply only to a quantity to be fixed
annually by the Community.
Regarding the method of calculating the quota volume. Protocol No 6
 indicates In its Article 2 the elements to be taken into consideration
and it lays down that the method must be changed with effect from
1994.
According to this protocol, the reference base for that volume, until
the end of 1993, Is the highest annual quantity Imported Into the
Community from the ACP States during the three last years for which
statistics are available. From 1994 the quota volume is each time to
equal the volume of the previous year with an increase of 20 000
hectolitres of pure alcohol.
As can be seen, the two methods are different Insofar as the method
currently in use is based on past imports, whereas the future method
is based on past quotas. In the current proposal, both methods are
applicable, as the quota period extends from 1 July to 30 June of each
year, on account of the special characteristics of the rum market.
Accordingly the present quota volume has been calculated on the basis
of the following elements :
-   for the second half of 1993, the highest quantity imported during
    the corresponding periods in 1990, 1991 and 1992,
-   for the first half of 1994, the volume opened for the corresponding
    period In 1993, calculated in proportion to the volume opened for
    the period 1992/1993. On this basis, the quota volume equals the
    sum of the following quantities :
         imports in the second half of 1990 (these being the highest in
         the last three years), 107 693 HPA.
         six twelfths of the quota volume opened for the period
         1992/1993, 107 134 HPA. A further 10 000 hectolitres of pure
         alcohol (50 % of the quantity Indicated in Article 2 of the
         Protocol) has been added to the sum of these two quantities.
 ---pagebreak---       The quota volume for the period 1 July 1993 to 30 June 1994 should
      therefore be 224 827 hectolitres of pure alcohol.
      Preferential arrangements should therefore be adopted In the form of a
      Community tariff quota for rum, tafia and arrack originating in the
     ACP states.
3.    Community imports of the goods concerned In 1990, 1991 and 1992, for
     which full statistics are available» were as follows:
                       (in hectolitres of pure alcohol)
                                  1990     1991          1992
Benelux                         9 339      9 773        8 234
Denmark                         2 404      2 426        3 256
Germany                        50 451    59 319       90 964
Greece                          5 699      8 882        7 952
Spain                           9 514     17 036      25 385
France                                        69           12
Ireland                         2 282      2 270        2 123
Italy                               54     1 077        1 017
Portugal                                     208          131
United Kingdom                 70 436    87 077       57 871
                              150 179   188 139      196 94S
4.   This is the purpose of the attached proposal.
 ---pagebreak---                      COUNCIL REGULATION (EEC) No     ./93
                                of
         opening and providing for the administration of a Community
              tariff quota for rum, tafia and arrack originating
              in the African, Caribbean and Pacific (ACP) States
                                (1993 to 1994)
THE COUNCIL OF THE EUROPEAN COMMUNITIES.
Having regard to the Treaty establishing the European Economic Community,
and in particular Article 113 thereof,
Having regard to the proposal from the Commission,
Whereas the Fourth ACP-EEC Convention entered into force on
1 September 1991 1 ;
Whereas Protocol 6 thereof stipulates that products originating in the
African, Caribbean and Pacific (ACP) States which fail within CN codes
2208 40 10, 2208 40 90, 2208 90 11 and 2208 90 19 shall, until the entry
 into force of a common organization of the market in spirits, be allowed
 Into the Community free of customs duties under conditions such as to
permit the development of traditional traffic flows between the ACP States
and the Community and between the Member States; whereas the Community
shall until 31 December 1995 fix each year the quantities which may be
imported free of customs duties ; whereas according to that protocol, more
quantities are to be fixed on the basis of the largest quantities imported
annually from the ACP States into the Community in the past three years for
which statistics are available; whereas for 1994 the quota will be the same
as that for the previous year increased by 20 000 hectolitres of pure
alcohoI ;
Whereas, having regard to the levels reached by imports of the products
concerned Into the Community during the past three years for which
statistics are available and as a result of the application of the new
method of calculation in force from 1 January 1994, the annual quota volume
for the period from 1 July 1993 to 30 June 1994 must be fixed at 224 827
hectolitres of pure alcohol;
      OJ No L 229, 17.8.1991, p.3
 ---pagebreak---                                ••••  --il-
Whereas the volume is calculated using the foi(owing method:
     for the first half of 1993 the quota volume shall be equivalent to the
     level reached by imports into the Community during the second half of
     1991. i.e. 107 693 hectolitres of pure alcohol.  This is the largest
     volume of imports during the corresponding periods of the three
     previous years for which full statistics are available;
     for the first half of 1994 the quota volume shall be equivalent to
     that of the first half of 1993, I.e. 107 134 hectolitres of pure
     alcohol. Increased by 10 000 hectolitres of pure alcohol;
Whereas equal and continuous access to the said quota should be ensured for
all Community importers and the rates laid down for the quotas should be
applied consistently to all imports of the products in question into all
the Member states until the Quota Is exhausted; whereas the decision for
the opening of tariff quotas In fulfilment of its International obligations
should be taken by the Community; whereas, to ensure the efficient common
administration of these quotas, however, there is no obstacle to
authorizing the Member States to draw from the quota volumes the necessary
quantities corresponding to actual imports; whereas, however, this method
of administration requires close cooperation between the Member States and
the Commission and the latter must, In particular, be able to monitor the
rate at which the quotas are used up and inform the Member States
accordingly;
Whereas measures should be laid down to ensure that Protocol 6 is
implemented under conditions such as to permit the development of
traditional trade flows between the ACP States and the Community, and
between the Member states;
Whereas, since the Kingdom of Belgium, the Kingdom of the Netherlands and
the Grand Duchy of Luxembourg are united within and jointly represented by
the Benelux Economic Union, any operation concerning the administration of
the quotas may be carried out by any one of its members.
 ---pagebreak---                                      l'-
HAS ADOPTED THIS REGULATION:
                                 Article 1
From 1 July 1993 to 30 June 1994 the following products originating in the
ACP States shall be Imported Into the Community free of customs duty within
the limits of the relevant Community tariff quota shown below:
 Order No   CN code        Description          Quota Volume    Quota duty
                                               (in hi of pure
                                                   a 1coho1
 09.1605  2208 40 10  Rum, tafia and arrack        224 827         Free
          2208 40 90
          2208 90 11
          2208 90 19
                                 Article 2
The tariff quota referred to in Article 1 shall be administered by the
Commission, which may take all appropriate administrative measures to
ensure the effective administration thereof.
                                 Article 3
If an importer presents In a Member State a declaration of entry for free
circulation together with a request for preferential treatment for a
product covered by this Regulation, and the declaration is accepted by the
customs authorities, the Member State concerned shall inform the Commission
and draw an amount corresponding to these requirements from the quota
vo Iume.
Requests to draw from the quota, indicating the date of acceptance of the
said declarations, must be transmitted to the Commission without delay.
 ---pagebreak--- Drawings shall be granted by the Commission by reference to the date of
acceptance by the customs author«ties of the Member state concerned, of the
declarations of entry for free circulation, provided the residual balance
so permits.
 If a Member state does not use the quantities drawn, it shall return them
to the quota as soon as possible.
 if the quantities requested are greater than the available balance of the
quota volume, allocation shall be made on a pro rata basis.   The Member
States shall be informed by the Commission of the drawings granted.
                                  Article 4
Each Member State shall ensure that importers of the products concerned
have equal and continuous access to the quota as long as the residual
balance so permits.
                                  Article 5
The Member States and the Commission shall cooperate closely to ensure that
this Regulation is complied with.
                                  Article 6
Council Regulation (EEC) No 3705/90 of 18 December 1990 on the safeguard
measures provided for in the Fourth ACP-EEC Convention1 shall apply to the
products covered by this Regulation.
                                  Article 7
This Regulation shall enter Into force on the day following that of its
publication in the Official Journal of the European Communities.
     OJ No L 358. 21.12.1990, p.4.
 ---pagebreak---                                    -f-
It shall apply from 1 July 1993.
This regulation shall be binding in Its entirety and directly applicable in
ail Member States.
Done at
                                              For the Counc iI
                                               The President
 ---pagebreak---                           FINANCIAL STATEMENT
1. Budget heading: Chapter 12, Article 120
2- Legal basis:    Article 113 of the Treaty
3. Title of tariff measure: Proposal for a Council Regulation opening
   and providing for the administration of a Community tariff quota for
   rum, tafia and arrack originating in the African, Caribbean and
   Pacific (ACP) States (1993/1994)
4. Aim:    To fulfil obligations imposed by agreements  (Fourth Lomé
   Convention)
5. Method of calculation:
   CN codes: 2208 40 10, 2208 40 90, 2208 90 11, 2208 90 19
   Volume of the quota: 224 827 hi of pure alcohol (period 1.7.93-
   30.6.94)
   Duty to be applied: free
   Normal CCT duty: - 1 ECU/hl/% vol + 5 ECU/hl (< 2 I)
                    - 1 ECU/hl/% vol (> 2 I).
6. Loss of revenue:
   Estimate: 50 627 hi In containers holding 2 litres or (ess
             174 200 hi In containers holding more than 2 litres
   The loss stands at ECU 22 270 462. For the previous period (1.7.1992
   to 30.6.1993) the loss stood at ECU 21 670 690.
 ---pagebreak---  ---pagebreak---                                                                      ISSN 0254-1475
                                                              COM(93) 243 final
                                                      DOCUMENTS
EN                                                                         1102
                                 Catalogue number : CB-CO-93-273-EN-C
                                                             ISBN 92-77-56224-2
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