CELEX: 51973PC1798
Language: en
Date: 1973-10-31
Title: DRAFT REGULATION (EEC) OF THE COUNCIL on the opening, allocation and administration of a Community tariff quota for raw silk (not thrown) falling within heading No 50.02 of the Common Customs Tariff#DRAFT REGULATION (EEC) OF THE COUNCIL on the opening, allocation and administration of a Community tariff quota for yarn entirely of silk, other than yarn of noil or other waste silk, not put up for retail sale, falling within heading No ex 50.04 of the Common Customs Tariff#DRAFT REGULATION (EEC) OF THE COUNCIL on the opening, allocation and administration of a Community tariff quota for yarn spun entirely from silk waste other than noil, not put up for retail sale, falling within heading No ex 50.05 of the Common Customs Tariff (presented by the Commission to the Council)

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DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (73) 1798
Vol. 1973/0310
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 ---pagebreak---   COMMISSION OF THE EUROPEAN COMMUNITIES
                                                         COM(73)1798 final
                                                         Brussels , 31 October 1973
                                     DRAFT
                       REGULATION ( EEC ) OP THE COUNCIL
       on the opening , allocation and administration of a Community
            tariff quota for raw silk (not thrown) falling within
               heading No 50.02 of the Common Customs Tariff
                                     DRAFT
                       REGULATION ( EEC ) OP THE COUNCIL
       on the opening , allocation and administration of a Community
           tariff quota for yarn entirely of silk , other than
       yarn of noil or other waste silk , not put up for retail sale ,
     falling within heading No ex 50.04 of the Common      Customs Tariff
                                     DRAFT
                       REGULATION ( EEC) OP THE COUNCIL
       on the opening , allocation and administration of a Community
        tariff quota for yarn spun entirely from silk waste other
            than noil , not put up for retail sale , falling within
                         heading No ex 50.05 of the
                           Common Customs Tariff
                (presented "by the Commission to the Council )
C0M(73)1798 final
 ---pagebreak---                                                                ANNEX I
                            DRAFT
               REGULATION (EEC ) 'OF THE COUNCIL
        on the opening , allocation and administration of a Community
        tariff quota for raw silk (not thrown ) falling within heading
       No 50*02 of the Common Customs Tariff
THE COUNCIL OP THE EUROPEAN COMMUNITIES ,
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 , in accordance with the Resolution passed at its meeting       of 29
                                                                   A
to 31 May 1967 » "the Council , by its Regulation (EEC ) No 321/ 70 , reintroduced
until 31 December 1976 the 10^ autonomous duty of the Common Customs Tariff
for raw silk (not thrown) falling within heading No 50*02 ; whereas the
conventional duty for that product is 5%»
Whereas the resolution aforesaid further provides for the opening, in
respect of that period and for that product , of annual Community tariff
quotas exempt from customs duties ; whereas the amount of those quotas should
correspond to the difference between the total consumption of raw silk and
the amount produced in the Community ;
Whereas raw silk is produced in the Community and whereas it is in the
Community ^ interest to maintain this production on its territory ; whereas
that production can be estimated at 120 metric tons for 1974 ; whereas taking
 OJ No L 43 ,. 24 February 1970 , p. 2 .
 ---pagebreak---                                    mm 2 mm
                                                                ANtfKX I
 account of this production and of the forecasts for 1 974 » the imports
 needed to satisfy consumption within the Community can he estimated at
 2 400 metric tons ;
Whereas equal and continuous access to the quota should "be ensured for all
 Community importers and the rate of levy for the tariff quota should "be
 applied consistently to all imports of the product in question •until the
 quota is used up ; whereas , utilization of the Community tariff quota based
 on an allocation "between the Member States concerned would in the light
 of the principles outlined above appear consistent with the Community
nature of the quota ;
Whereas in view of these factors the initial percentage shares in the quota
volume can for 1974 "be expressed approximately as follows ;
                     Germany               11.5 %
                     Bénélux                0.3 %
                     Prance                32.9 %
                     Italy                 49.5 1°
                     Denmark                0.3 %
                     Ireland                0.3 *
                     United Kingdom         5.2 % ;
Whereas , to take account of future import trends for the product under
consideration , the total quota volume should be divided into two tranches , the
first being allocated and the second held as a reserve to cover at a later
date the requirements of Member States who have used up their initial
quotar-share ; whereas to give importers some degree of certainty the first
tranche of the Community quota should in the event be fixed at 75% of the
total quota ;
Whereas the initial quotas-shares may be used up rather quickly ; whereas ,
therefore , to avoid disruption of supplies any Member State which has
almost used up its initial quota-share , must draw a supplementary quota-
share from the reserve ; whereas this must be done by each Member State as
each one . of its supplementary quota-shares is almost used up and as many
 ---pagebreak---                                       3
                                                                 ANNEX I
times as the reserve allows ; whereas the initial and supplementary quotas-
shares must "be valid until the end 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 teen used up and inform the
Member States thereof ;
Whereas if , at a given date in the quota period , a considerable quantity
is left over in a Member State , it is essential that such State should
return a substantial proportion to the reserve , to prevent part of the
total 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 measure concerning the administration of the quotas-
shares allocated to that Economic Union may be carried out by one of its
members ;
HAS ADOPTED THIS REGULATION :
                               Article 1
Prom 1 January to 31 December 1974 the autonomous duty of the Common Customs
Tariff for raw silk (not thrown) falling within heading 50.02 shall be
totally suspended in respect of a Community tariff quota of 2 400 metric
tons­
                              Article 2
il  A first tranche of 1 820 metric tons of this tariff quota shall be allocated
among the Member States ; the quota-shares shall , subject to Article 5 , be vaiid
until 31 December 1974 and shall be as follows ;
                    Germany              210 metric tons
                    Bénélux                5 metric tons
                    France               600 metric tons
                    Italy                900 metric tons
 ---pagebreak---                 3a
                                  AÎWEX I
Denmark             5 metric tons
Ireland.            5 metric tons
United. Kingdom    95 metric tons
 ---pagebreak---                                  - 4 -
                                                            AOTEX I
2 . The second tranche , of 5°0 metric tons , shall "be held in reserve .
                              Article 3
1 . If 9<yfo or more of a Member State 's initial quota-share specified in
Article 2 ( 1 ) , 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 quota-share , "to the extent
that the reserve is sufficient , equal to 10% of its initial quotas-share ,
rounded up where necessary to the next unit .
2 . If, after its initial quota-share has "been used up , $0% or more of
the second quota-share drawn by a Member State has been used up , that Member
State shall , by notifying the Commission, draw a third quotas-share , to the
extent that the reserve is sufficient , equal to 5% of its initial quotas-share ,
rounded up where necessary to the next unit .
3. If , after its second quota-share has been used up , $0% or more of the
third quotas-share drawn by a Member State has been used up , that Member
State shall , in accordance with the provisions of paragraph 2 , draw a fourth
quotas-share equal to the third.
This process shall apply by analogy until the reserve is used up .
                               t
4.  In derogation from paragraphs 1 , 2 and 3 , "the Member States may draw
quota-shares lower than those fixed in those paragraphs if there are grounds
for considering that those fixed may not be used up . They shall inform the
Commission of their reasons for applying this paragraph.
                                  Article 4
Supplementary quota-shares drawn pursuant to Article 3 shall be valid until
31 December 1974 »
                                  Article 5
A Member State which on 15 September 1974 has not used up Its initial quotas-
share shall return to the reserve not later than 10 October 1974 "the unused
portion exceeding 30% of the initial amount . It may return a greater portion
 ---pagebreak---                                  - 5 -
                                                                ATOÏEX I
 if there are grounds for considering that it may not be used up .
 The Member States shall , not later than 10 October 1974 notify to the
 Commission the total quantities of the raw silk imported up to and including
 15 September 1974 and charged against the Community tariff quota and any
 quantities of the initial quota–share returned to the reserve .
                               Article 6
 The Commission shall keep an account of the quota-shares opened by the Member
 States pursuant to Articles 2 and 3 and shall , as soon as it has been notified ,
 inform each State of the extent to which the reserve has been used up .
 It shall inform the Member States , not later than '15 October 1974 , of the amouni
 held in reserve after amounts have been returned thereto pursuant to Article 5 »
 It shall ensure that the drawing which finally 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 7
 1.  The Member States shall take all measures necessary to ensure that
 supplementary quota–shares drawn pursuant to Article 3 are opened in such
a way that charges may be made , without interruption, against their cumulative
 shares of the Community quota .
2.   Each Member State shall ensure that importers of the product in question
established in its territory have free access to the quota–shares allocated
to it .
3.   The extent to which a Member State has used up its quota-share shall be
based on the quantities of the imported product in question presented for
customs clearance under a declaration for home consumption.
                                Article 8
The Member States shall regularly inform the Commission of imports actually
charged against their quota–shares .
 ---pagebreak---                                  - 6 -
                                                      ANNEX I
                              Article 9
The Member States and the Commission shall cooperate closely to ensure
that the provisions of this Regulation are observed .
                              Article 10
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 .    J
Done at Brussels ,             19  •
                                                For the Council
                                                The President
 ---pagebreak---                                                            ANNEX II
                            DRAFT
             REGULATION ( EEC ) OP THE COUNCIL
                                            I
    on the opening, allocation and administration of a Community-
    tariff quota for yam entirely of silk , other than yarn of noil
    or other waste silk , not put up for retail sale , falling, within
    heading No ex 50*04 of the Common Customs Tariff
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
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 , in accordance with the Resolution passed at its meeting of 29 to
                                                               A
31 May 1967 , the Council , by its Regulation (EEC ) No 322/70 , reintroduced
until 31 December 1976 "the 12$ autonomous duty of the Common Customs Tariff
for yarn entirely of silk other than yarn of noil or other waste silk, not
put up for retail sale falling within heading No ex 50.04 ; whereas the
conventional duty for that product is 7$»
Whereas the Resolution aforesaid further provides for the opening in respect
                              «
of that period and for such silk yarn of an annual Community tariff quota
with reduced or nil duty where a change in the sources of supply or an
insufficient supply within the Community might have adverse results for the
processing industries in the Member States ;
Whereas silk yarn is produced in the Community ; whereas , although that
 OJ No L 43 . 24 February 1970 *     5« ~
 ---pagebreak---                                                              ΑίΓΝΕΧ II
production could cover all the Community requirements "by reason of its
 overall volume , this does not apply with regard to yarn entirely spun
from silk ; whereas there is , as a result , an insufficiency of supply in
the Community ;
Whereas consequently Community supply for those qualities of yarn depends to
a considerable extent on imports ; whereas full application of the duty under
the Common Customs Tariff would result in those products being subjected to
a considerable customs charge while products manufactured from silk yarn
face powerful competition from similar products manufactured from other
material ; whereas an insufficiency of supply , added to competition at
finished product level , might have adverse results for the Community 's
processing industries ;
Whereas the duty under the Common Customs Tariff applicable on imports of
the silk yarn in question is        whereas , when fixing the quota duty , it
 is appropriate to take into account , on the one hand , the situation of the
Community silk yarn producing industry and , on the other , that of the silk
yarn processing industries with regard to their obtaining supplies on favoura'b
terms ; whereas a quota duty of 3% could best satisfy the abovementioned
requirement s ;
Whereas the trend in import ? during 1972 suggests that the import requirements
of the yarns in question might be in the region of 60 metric tons for 1974 ;
whereas the opening of a Community tariff quota of that volume is unlikely to
harm Community production ;
Whereas equal and continuous access to the quota should be ensured for all
importers and the rate of levy for the tariff quota should be applied
consistently to all imports of the product in question until the quota is
used up ; whereas , "utilization of the Community tariff quota in the
light of the principles outlined above based on an allocation between the
Member States concerned would appear consistent with the Community nature
of the quota ; whereas to represent as closely as possible the actual trend
of the market in the product in question the allocation should follow
proportionately the requirements of the Member States calculated both from
statistics of imports during a representative reference period and from
the economic outlook for the tariff year in question .
 ---pagebreak---                                   - 3 -
                                                      AffNEX II
Whereas the corresponding imports of the products falling within the
tariff heading 50.04 of eaoh of the Member States concerned during
        the last threee years for which complete statistics are available
represent the following percentages of total Community imports of these
products :
                      1970        1971      1222
Germany               35.3        35.0       18.6
Bénélux                3.0         0          0.7
France                23.5        20.0       17-1
Italy                 14.7        22.5       50.0
Denmark                0           0.5        0.2
 Ireland               0           0.7        1.4
 United Kingdom     ■ 23.5        21.3       12.0
Whereas in view of these factors and of the forecasts which it is possible
 to make the initial percentage shares in the quota volume can be expressed
 approximately as follows -:
                      Germany           28 %
                      Bénélux            2 *
                      France            20 *
                              c
                      Italy             28 %
                      Denmark            2 1"
                      Ireland            2
                      United Kingdom    18 *
Whereas , to take account of future import trends for the product under
 consideration ? the total quota volume should be divided into two tranches ,
 the first being allocated and the second held as a reserve to cover at a
 later date the requirement s of Member States who have used up their initial
 quota-share ; whereas to give importers some degree of certainty the first
 tranche of the Community quota should in the event be fixed at 83% of the
 total quota ;
 Whereas the initial quotar-shares may be used up rather quickly ;
 ---pagebreak---                                   - 4 -
                                                           ANNEX II
whereas , -therefore , to avoid disruption of supplies any Member State which
has almost used up its initial quota-share , must draw a supplementary
quota–share from the reserve ; whereas this must "be done by each Member
State as each one of its supplementary quota-shares is almost used up , and
as many times as the -reserve allows ; whereas the initial and supplementary
quota-shares must be valid until the end 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 ;
Whereas if , at a given date in the quota period , a considerable quantity
is left over in a Member State , it is essential that such State should
return a substantial proportion to the reserve , to prevent part of the
total 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 measure concerning the administration of the quota-shares allocated
to that Economic Union may be carried out by one of its members ;
HAS ADOPTED THIS REGULATION :
                                 Article 1
Prom 1 January to 31 December 1974 » the autonomous duty of the Common Customs
Tariff for yarn entirely of silk , other than yarn of noil or other waste silk,
not put up for retail sale , falling within heading No ex 50 . 04 shall be
partially suspended at 2>fo in respect of a Community tariff quota of 60 metric
tons .
                                 Article 2
1.   A first tranche of 50 metric tons of this Community tariff quota shall
be allocated among the Member States ; the quotas-shares shall , subject to
Article 5 » "be valid until 31 December 1974 and shall be as follows :
 ---pagebreak---                              - 5 -
                                                             ANHEX II
     Germany                   14 metric tons
     Bénélux                    1 metric ton
     France                    10 metric tons
     Italy                     14 metric tons
     Denmark                    1 metric ton
     Ireland                    1 metric ton
     United Kingdom             9 metric tons
2 . The second tranche , of 10 metric tons , shall "be held in reserve .
                         Article 3
1.  If 90% °r more of a Member State 's initial quota-share specified
in Article 2(1 ), 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
quota-share , to the extent that the reserve is sufficient , equal to
10$ of its initial quota–share , rounded up where necessary to the
next unit .
2 . If , after its initidl quota-share has "been used up , 90$ or more
of the second quota-share drawn "by a Member State has "been used up , that
Member State shall , by notifying the Commission , draw a third quota-share ,
to the extent that the reserve is sufficient , equal to 5$ of its initial
quota-share , rounded up where necessary to the next unit .
3 . If , after its second quota-share has been used up , $0% or more
of the third quota–share drawn by a Member State has been used up , that
Member State , shall in accordance with the provisions of paragraph 2 ,
draw a fourth quota-share equal to the third .
This process shall apply by analogy until the reserve is used up .
4. In derogation from paragraphs 1 , 2 and 3 , the Member States may draw
quota-shares lower than those fixed in those paragraphs if there are
grounds for considering that those fixed may not be used up . They shall
inform the Commission of their reasons for applying this paragraph .
 ---pagebreak---                              - 6 -
                                                          ANNEX 11
                          Article 4
Supplementary quota–shares drawn pursuant to Article 3 shall "be valid
until 31 December 1974 *
                          Article 5
A Member State which on 15 September 1974 has not used-up its initial
quota-share shall return to the reserve not later than 10 October 1974
the unused portion exceeding 20$ of the initial amount .    It may return
a greater portion if there are grounds for considering that it may not
be used up .
The Member States shall , not later than 10 October 1974 notify to the
Commission the total quantities of silk yarn imported up to and including
15 September 1974 and charged against the Community tariff quota and any
quantities of the initial quota–ishare returned to the reserve .
                          Article 6
The Commission shall keep an account of the quota-shares opened by the
Member States pursuant to Articles 2 and 3 and shall , as soon as it has
been notified , inform each State of the extent to which the reserve has
been used up .
It shall inform the Member States not later than 15 October 1974 of the
amount held in reserve after amounts have been returned thereto pursuant
to Article 5 *  It shall ensure that the drawing which finally 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 7
1.  The Member States shall take all measures necessary to ensure that
supplementary quota-shares drawn pursuant to Article 3 are opened in
such a way that charges may be made , without interruption , against their
cumulative shares of the Community quota .
 ---pagebreak---                                  - 7 -
I                                                           AMEX II
  2.  Fa c-h Member State shall ensure that importers of the product
  in question established in its territory have free access to the
  quota–shares allocated to it .
  3.  The Member States shall charge against their quota-shares imports
  of the product in question , when the product is presented for customs
  clearance under a declaration for home consumption .
  4.  The extent to which a Member State has used up its quota-share
  shall be determined on the    basis of imports charged' in accordance
  with paragraph 3 .
                               Article 8
  The Member States shall regularly inform the Commission of imports
  actually charged against their quota-shares .
                               Article 9
  The Member States and the Commission shall cooperate closely to ensure
  that the provisions of this Regulation are observed .
                               Article 10
                           i
  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–-.
                                                     Por the Council
                                                     The President
 ---pagebreak---                                                        ANNEX III
                            DRAFT
             REGULATION (EEC ) pp THE COUNCIL
       on the opening, allocation and administration of a Community
       tariff quota for yarn spun entirely from silk waste other
       than noil , not put up for retail sale , falling within heading
       No ex 50*05 of the Common Customs Tariff
THE COUNCIL OP THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economie Community ,
and in particular Article 28 thereof ;
Having regard to the draft Regulation submitted by the Commission ;
Whereas , in accordance with the Resolution passed at its meeting of
                                                                     A
29 to 31 May 1967 , the Council , by its Regulation (EEC ) No 323/ 70 ,
reintroduced until 31 December 1976 the 1% autonomous duty of the Common
Customs Tariff for yarn spun entirely from silk waste other than noil , not
put up for retail sale falling within heading No ex 50.05 ; whereas the
conventional duty for that product is 7f°i
Whereas the Resolution aforesaid further provides for the opening in respect
of that period and for such yarn of an annual Community tariff quota with
reduced duty or nil duty where a change in the sources of supply or an
insufficient supply within the Community might have adverse results for
the processing industries in the Member States ;
Whereas yarn spun from waste silk is produced in the Community ; whereas
 OJ No L 43 , 24 February 1970 , p. 8
 ---pagebreak---                                                              ANNEX III
although that production could cover all the Community requirements "by-
reason of its overall volume , this does not apply with regard to yarn
entirely spun from waste silk ; whereas there is , as a result , an
insufficiency of supply in the Community ;
Whereas consequently Community supply for those qualities of yarn
depends to a considerable extent on imports ; whereas full application of
the duty under the Common Customs Tariff would result in those products
being subjected to a considerable customs charge while products manufactured
ffom silk yarn face powerful competition from similar products manufactured
from other material ; whereas an insufficiency of supply within the Community,
added to competition at finished product level , might have adverse results
for the Community 's processing industries ;
Whereas the duty under the Common Customs Tariff applicable on imports
of the silk waste yarn in question is 3*5%i whereas when fixing the quota
duty it is appropriate to take into account , on the one hand , the situation
of the Community industry producing yarn spun from waste silk and , on the
other , that of the industries processing yarn spun from waste silk
with regard to their obtaining supplies on favourable terms ; whereas
a quota duty of 1.5# could best satisfy the above-mentioned requirement
                           I
Whereas the trend in imports during the last few years and the first
months of 1972 suggest that Community import requirements of the yarns
in question might be in the region of 190 metric tons for 1974 ; whereas
the opening of a Community tariff quota of that volume is unlikely to harm
Community production ;
Whereas equal and continuous access to the quota should be ensured for all
importers and the rate of levy for the tariff quota should be applied con­
sistently to all imports of the product in question until the quota is
 ---pagebreak---                                                         ANNEX III
used up ; whereas utilization of the Community tariff quota based, on an
allocation "between the Member States concerned would in the light of the
principles outlined above appear consistent with the Community nature
 of the quota ; whereas to represent as closely as possible the actual
trend of the market in the product in question the allocation should
follow proportionally the requirements of the Member States calculated
both from statistics of imports during a representative reference period
and from the economic outlook for the tariff year in question ;
 Whereas the corresponding imports of the products falling within the .
 tariff heading 50«05 of eaoh of the Member States concerned during the
 last three years for which complete statistics are available represent ,
 the following percentages of total Community imports of these products
                     1970          1971          1972
Germany              43.0          39.2          41.0
Bénélux               0.8           0.5           0.1
France                7.4           5.0          10.8
Italy                36.6          47.0          38.7
Denmark               0
                                    0.1    j      0.1
Ireland               0             0             0.6
United Kingdom       12.2    *      8.2           8.7
whereas in view of these factors and of the forecasts which it
to make the initial percentage shares^ in the quota volume can '
approximately as follows :
                     Germany            40.7 %
                    Bénélux              0.5 %
                    Prance               7.6 *
                    Italy              40.7  *
                    Denmark              0.5 *
                    Ireland              0.5 %
                    United Kingdom       9.5 %
 ---pagebreak---                                                              AOTEX III
Whereas , to take account of future import trends for the product under
consideration, the total quota volume should be divided into two tranches ,
the first being allocated and the second held as a reserve to cover at
a later date the requirements of Member States who have used up their
initial quota-share ; whereas to give importers some degree of certainty
the first tranche of the Community quota should be fixed at 84$ of the
total quota ;
Whereas the initial quota shares may be used up rather quickly ; whereas ,
therefore , to avoid disruption of supplies any Member State which has
almost used up its initial quota share , must draw a supplementary quota-
share from the reserve ; whereas this must be done by each Member State
as each one of its supplementary quotas-shares is almost used up , and
as many times as the reserve allows ; whereas the initial and supplementary
quotas-shares must be valid until the end 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 ;
Whereas if , at a given date in the quota period , a considerable quantity
is left over in a Member State , it is essential that such State should
return a substantial proportion to the reserve , to prevent part of the
total 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 measure concerning the administration of the quota-
shares allocated to that Economic Union may be carried out by one of its
members ;
HAS ADOPTED THIS REGULATION;
 ---pagebreak---                                - 4a
                                                          ANNEX III
                            Article 1
Prom 1 January to 31 December 1974 the autonomous duty of the Common
 Customs Tariff for yarn spun entirely from silk waste other than noil ,
not put up for retail sale , falling within heading No ex 50*05 shall
"be partially suspended at 1»5$ in respect of a Community tariff quota
 of 190 metric tons .
 ---pagebreak---                                                             ANNEX III
                               Article 2
1.   A first tranche of 160 metric tons of this Community tariff quota
shall be allocated among the Member States ; the quotas-shares shall ,
subject to Article 5 » "be valid until 31 December 1974 and shall be
as follows :
                      Germany            65 metric tons
                      Bénélux             1 metric tons
                      Prance             12 metric tons
                      Italy              65 metric tons
                      Denmark             1 metric tons
                      Ireland             1 metric tons
                      United Kingdom     15 metric tons
2.   The second tranche , of 30 metric tons , shall be held in reserve .
                              Article 3
 1 . If SOffo or more of a Member State 's initial quota-share specified in
Article 2 ( l ) 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 quota-share ,
to the extent that the reserve is sufficient , equal to 10$ of its initial
quotas-share , rounded up where necessary to the next unit .
2 . If , after its initial quotas-share has been used up , 90$ or more of
the second quota-share drawn by a Member State has been used up , that
Member State shall , by notifying the Commission , draw a third quota-share
to the extent that the reserve is sufficient , equal to 5$ of its initial
quota-share , rounded up where necessary to the next unit .
3. If , after its second quota-share has been used up , $0% or more of the
third quota-share drawn by a Member State has been used up , that Member
State shall , in accordance with the provisions of paragraph 2 , draw a
fourth quota-share equal to the third .
This process shall apply by analogy until the reserve is used up .
 ---pagebreak---                                     - 6 -
                                                          ANÎ1EX III
4 * In derogation from paragraphs 1 f 2 and 3 * "the Member States may
draw quotas-shares lower "than those fixed in "those paragraphs if there
are grounds for considering that those fixed may not "be used up . They
shall inform the Commission of their reasons for applying this paragraph .
                               Article 4
Supplementary quota-shares drawn pursuant to Article 3 shall "be valid
until 31 December 1974 *
                               Article 5
A Member State which on 15 September 1974 has not used up its initial
quotas-share shall return to the reserve not later than 10 October 1974
the unused portion exceeding 20% of the initial amount .     It may return
a greater portion if there are grounds for considering that it may not
be used up .
The Member States shall , not later than 10 October 1974 » notify to the
Commission the total quantities of yarn from silk waste imported up to     ■
and including 15 September 1974 and charged against the Community tariff
quota and any quantities of the initial quotar-share returned to the reserve .
                             (
                               Article 6
The Commission shall keep an account of the quota-shares opened by the
Member States pursuant to Articles 2 and 3 and shall , as soon as it has
been notified , inform each State of the extent to which the reserve has
been used up .
It shall inform the Member States not later than 15 October 1974 of the
amount held in reserve after amounts have been returned thereto pursuant
to Article 5 «
It shall ensure that the drawing which finally 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.
 ---pagebreak---                                - 7 -
                                                      AMEX III
                            Article 7
1.  The Member States shall take all measures necessary to ensure that
supplementary quota-shares drawn pursuant to Article 3 are opened in          j
such a way that charges may "be made , without interruption , against
their cumulative shares of the Community quota .
2.  Each Member State shall ensure that importers of the product in
question established in its territory have free access to the quotar-
shares allocated to it .
3.  The Member States shall charge against their quotar-shares imports of
the product in question , when the product is presented for customs clearance
under a declaration for home consumption .
4.  The extent to which a Member State has used up its quotas-share shall
be determined on the basis of imports charged in accordance with paragraph 3
                            I
                            Article 8
The Member States shall regularly inform the Commission of imports actually
charged against their quota-shares .
                            Article 9
The Member States and the Commission shall cooperate closely to ensure that
the provisions of this Regulation are observed .
                            Article 10
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