CELEX: 51981PC0303
Language: en
Date: 1981-06-12
Title: DRAFT DECISION OF THE ACP-EEC CUSTOMS COOPERATION COMMITTEE derogating from the definition of the concept of "originating products" to take account of the special situation of Fiji with regard to its production of canned tuna#PROPOSAL FOR A COUNCIL REGULATION (EEC) regarding the application of Decision No..../81 of the ACP-EEC Customs Cooperation Committee derogating from the definition of the concept of "originating products" to take into account the special situation of Fiji with regard to its production of canned tuna fish (presented by the Commission to the Council)

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DOCUMENTS "COM"
COM (81) 303
Vol. 1981/0098
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 ---pagebreak---   COMMISSION OF THE EUROPEAN COMMUNITIES
                                                COM(81 ) 303 final
                                                Brussels , 12 June 1981
            DRAFT DECISION OF THE ACP-EEC CUSTOMS COOPERATION COMMITTEE
      derogating from the definition of the concept of originating products "
      to take account of the special situation of Fiji with regard to its pro­
      duction of canned tuna
                                                              " "?
                                                    Ν
                                                      ;\
                    PROPOSAL FOR A COUNCIL REGULATION ( EEC )
      regarding the application of Decision No . ,../ 81 of the ACP-EEC Customs
      Cooperation Committee derogating from the definition of the concept of
      "originating products" to take into account the special situation of
      Fiji with regard to its production of canned tuna fish
                      ( presented by the Commission to the Council )
COM ( 81 ) 303 final
 ---pagebreak---                                  EXPLANATORY NOTE
 In recent time Fiji has already invested a considerable amount of capital
 in the fishery sector . The country has a canning industry and in order
 to supply the canneries with fish , particularly skipjack tuna caught mainly
 in the 12 miles territorial sea , it has set up its own fleet of vessels .
 Next to skipjack tuna ( which is not landed in sufficient quantities to maintain
 the economic viability of the canning industry ) there is a need to use alternative
 types of fish such as albacore tuna which are caught either within a zone of
 200 miles or else outside this zone .
 By lettre No . ACP/L . 078/81 of 23 January 1981 the ACP States have submitted a
 request on behalf of the Government of Fiji for a derogation from the rules of
 origin in respect of canned tuna falling under heading 16.04 in Protocol No . 1
 to the second ACP- EEC Convention .                   '
 The cannery in Fiji is faced with a shortage of supply of sufficient quantities
 of fish for its processing sector which is mainly due to the relatively short
 skipjack fishing season » As a consequence of poor catch seasons for skipjack
 tuna and lack of supply of alternative types of fish the cannery was even
 forced into a temporary shutdown of its operations in recent times causing
 part of the workforce to be laid off .
 For these reasons the cannery is currently operating at a level of only 15 tons
 per day which is far below its potential processing capacity of 45 tons per day .
 Accordingly while the company could provide employment for 350 persons if it
 were operating at full capacity the number of employees is at present only
 210 . The only way to reach this level of employment would be to extend the
canning season which would involve an increase in the supply of albacore tuna
  co the cannery . v
 ---pagebreak---                                        - 2 ~
 As t ? Fijian fishir,g fleet is not at present equipped for the specialized type
 of lisn? ng required for albacore tuna versels of Korean and Taiwanese origin
 have been chartered . Tn<:-se boats do not fulfil the criteria as regards regis­
 tration , flag , ownership and crew in Protocol No . 1 and therefore , the fish
 caught by them and canntcl afterwards in Fiji , does not acquire originating
status and accordingly does not qualify for preference in the Community .
Depending on the outcome of the survey on the economic feasability of Fiji
undertaking this type of fishing , the government will proceed to acquire its
 own long line vessels in the future .
 In this context reference should be made to Article 155 of the second ACP-EEC
Convention which applies to Fiji and which provides for special measures to be
 introduced for island ACP States in order to enable them to overcome the spe­
 cific difficulties resulting from their geographical location . According to
Article 30 of Protocol No . 1 the examination of the derogation request should
in particular take into account this geographical situation .
The Fijjan Government has      made a request for a deroaation from the rules of
origin for 2000 tonnes of         canned tuna      which will be added to the
amount of originating tuna         at present imported .onto the Community
market ( United Kingdom principally ).
The Commission has noted that Fiji already benefits from a preferential regime
accorded to ACP States for originating products - a regime which has allowed
a rapid progression of exports from 1976 to 1979 of canned tuna         from this
country ( c.f . Annex I ). It is necessary that the Community market should
not be the only outlet for the increase in Fijian production . In fact , Canada
is usually the most important customer      where Fiji benefits from preferential
access ( 1320 tonnes in 1978 , 2130 tonnes in 1979 ). Furthermore , Fijian . canned
tuna       may also benefit from preferential access in geographically closer
third countries ( Australia , New Zealand, Japan ).
 ---pagebreak---                                        - 3 -
In consequence , in order to favourize the increase in Fijian production and to
encourage the diversification of markets for Fijian products , the Commission
proposes to accept a derogation from the rules of origin for a quantity calculated
on the basis of the average over the last three years ( 1978 , 1979 , 1980 )
in respect of which exports of Fijian canned tuna to the Community represent
37% of total world exports ( c.f . Annex II ).
The Commission therefore proposes to accord a derogation from the rules of
origin for two years to Fiji for tuna conserves in respect of an amount of
750 tonnes per year .
For reasons of simplicity and clarity a draft regulation to apply this decision
after its adoption by the EEC-ACP Customs Cooperation Committee in the Community
has also been annexed .
 ---pagebreak---             Community imports of canned tuna from Fiji ( tonnes )
  X
  ΐϋ
       1976           1977         1978        1979           1980
        215            639          788        1820           1024 Q ( tonnes )
        523           1571         2032      . 4533           3201 V (, 000 EUA )
i
t
     Source : OECT)
                                                                            t
 ---pagebreak---                                - 5 -
                                                        1
                                                      ANNEX II
          Fijian exports of canned tuna
V = Value in , 000 # US
% = Percentage in relation to total value of exports
Destination ~        1977          1978         '  1979        1980
CEE       V          1164          1891            4554        4051
.
          %             16.7         21.2            44.6         47.0
Canada    V          4035        - 6541            4949        3785
          %             58.0         73.5 .          47.4       ' 43.9
Australia V           510           296             782         629
          %              7.3          3.3             7.5          7.3
USA       V          1251           169              74         109
          %             20.0          1.9             0.7          1.2
TOTAL     V          6959          8896           10440        8616
          %           100           100             100         100
Source : Fiji
 ---pagebreak---                               DRAFT
Decision No/       81 of the ACP-EEC Customs Cooperation Committee derogating
from the definition of the concept of " originating products " to take account
of th- special situation of Fiji with regard to its production of canned tuna
THE CUSTOMS COOPERATION COMMITTEE ,
Havina regard to the second ACP-EEC Convention signed in Lome on 31 October
                                                        1)
1979 ( hereinafter referred to as " the Convention "),
Whereas Article 30 of Protocol No . 1 to the Convention concerning the
definition of the concept of " originating products " and methods of adminis­
trative cooperation , makes provision for derogations to be made from the
rules of origin by the Customs Cooperation Committee , in particular to
facilitate the development of existing industries or the creation of new
industries ;
                    «
Whereas the African , Caribbean and Pacific States ( ACP ) have submitted a
request from the Government of Fiji for a derogation from the definition
set cut in Protocol No . 1 in respect of canned tuna produced by Fiji ;
Whereas Fiji disposes of a fleet of vessels in order to supply its canning
industry with raw material for the production of canned tuna ;
Whereas at present this fleet cannot supply sufficient quantities of tuna
fish for the canneries to maintain the economic viability of its canning
operations ;
Whereas Fiji has made plans for the extension of its fishing fleet ; whereas
these plans will take several years to implement before the fleet is
sufficiently large to catch the required quantities of originating tuna fish
for the canneries ;
 ( 1 ) OJ No L 347 of 22.12.1980 , p.l
 ---pagebreak---  Whereas Fiji has been unable to obtain supplies of fish originating in other
 ACP States ;
 Where the Fijian canning industry is therefore dependent upon supplies of
tuna fish of third country origin ;
Whereas in these circumstances a temporary derogation from the definition of
the concept of originating products should be accorded ;
HAS DECIDED AS FOLLOWS :
Article 1
By way of derogation from the special provisions of List A in Annex II
to Protocol No . 1 , canned tuna manufactured in Fiji and falling within
heading NO . ex 16.04 of the Common Customs Tariff shall be considered as
originating in Fiji        subject to the following conditions .
Article 2
This derogation provided for in Article 1 shall relate to 750 tonnes per annum
of canned tuna falling within heading No . ex 16.04 of the Common Customs Tariff
and exported from Fiji between 1st June 1981 and 31 May 1983 .
Article 3
The authorities of Fiji shall take the necessary steps to carry out quan­
titative checks on exports of the products referred to ir. Article 2 and
shall forward to the Commission every three months a statement of the
quantities in respect of which movement certificates EUR.l have been issued    '
pursuant to this Decision .
 ---pagebreak--- Article 4
Th-s ACP States , the Member States and the Community shall be bound , each
to the extent to which it is concerned , to take the measures , necessary
to implement this Decision .                             ,
Article 5
                                               »
This Decision shall enter into force on
It shall apply from 1 June 1981 until 31 * 31ay 1983 .
Done at Brussels ,                             For the ACP-EEC Customs Cooperation
                                                            Committee
                                                           The Chairman
 ---pagebreak---                      COUNCIL REGULATION ( EEC )
regarding the application of Decision No .        /81 of the ACP-EEC Customs
Cooperation Committee derogating from the definition of the concept of
"originating products " to take into account the special situation of
Fiji with regard to its production of canned tuna fish
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 ACP-EEC Customs Cooperation Committee set up under the second
ACP-EEC Convention, signed in Lome on 31 December 1979 ^, adopted pursuant
to Article 28(3 ) and 30(1 ) of Protocol No . I to the Convention , Decision
No .    /81 derogating from the definition of the concept of "originating
products " to take into account the special situation of Fiji with regard to .
its production of canned tuna until' 31 May 1983 ;
Whereas it is necessary in accordance with Article 33 of the said Protocol
No . 1 to take the measures required to implement that Decision ;
                              f
HAS ADOPTED THIS REGULATION :
Article 1
Decision No .    /81 of the ACP-EEC Customs Cooperation Committee annexed to
this Regulation shall apply in the Community .
                                                            • • •/• • •
( 1 ) OJ Nô L 347 of 22.12.1980 , p.l
 ---pagebreak---                                     - 2 -
              I
Article 2
Ihis Regulation shall enter into force on the day of its publication in
the Official Journal of the European Communities .
It shall apply from 1st > June 1981 until 31 May 1983 .
This Regulation shall be binding in its entirety and directly applicable in
all Member States .
Done at Brussels .                           For the Council
                                             The President