CELEX: 31991R2228
Language: en
Date: 1991-06-26 00:00:00
Title: Commission Regulation (EEC) No 2228/91 of 26 June 1991 laying down provisions for the implementation of Regulation (EEC) No 1999/85 on inward processing relief arrangements

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31991R2228

Commission Regulation (EEC) No 2228/91 of 26 June 1991 laying down provisions for the implementation of Regulation (EEC) No 1999/85 on inward processing relief arrangements  

Official Journal L 210 , 31/07/1991 P. 0001 - 0084

COMMISSION REGULATION (EEC) N° 2228/91of 26 June 1991laying down provisions for the  implementation of Regulation (EEC) No 1999/85 on inward processing relief arrangements THE COUNCIL OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, Having regard to Council Regulation (EEC) No 1999/85 of 16 July 1985 on inward processing relief  arrangements (1), and in particular Article 31 thereof, Whereas Council Regulation (EEC) No 3677/86 of 24 November 1986 laying down provisions for the  implementation of Regulation (EEC) No 1999/85 on inward processing relief arrangements (2), as last  amended by Regulation (EEC) No 704/91 (3), has been substantially amended on a number of occasions;  whereas it is appropriate, for reasons of clarity and rationality, to consolidate the said  Regulation; Whereas it is necessary to adopt certain provisions to regulate the issue of inward processing  authorizations; whereas in particular it is appropriate to lay down rules for application of the  economic conditions and to define the circumstances in which those conditions, in the interests of  maximum administrative simplification, shall be deemed to be fulfilled; Whereas in view of the market situation for milk products the period of validity of the inward  processing authorization should be limited; whereas a non-renewable time-limit should also be set  for dealing with the compensation products in one of the approved ways; Whereas the procedure for the exchange of information should apply to all authorization granted in  respect of milk products, even where the value does not exceed ECU 100 000; Whereas certain conditions which must at present be complied with in order to obtain an inward  processing authorization and for use of the arrangements constitute a significant hindrance to the  promotion of exports by Community undertakings from the customs territory of the Community; whereas  experience has shown that the management of the arrangements could be simplified in the case of  processing undertakings where most of their main compensating products are intended for export out  of the customs territory of the Community as well as for those undertakings which have a continuous  flow of production intended both for the Community and for third country markets; whereas the  reduction or elimination of administrative complications is bound to have a positive effect on the  cost of products exported to third country markets, thus increasing the competitiveness of  Community undertakings on these markets; whereas it is appropriate therefore to lay down new  provisions consolidating or repealing certain existing implementing provisions; Whereas it is desirable to define the circumstances in which the suspension system may be used,  given that compensating products are to be exported from the customs territory of the Community;  whereas in cases where the products are not to be exported the drawback system may be used when the  conditions for this system are fulfilled; whereas provision should also be made, in certain  circumstances, for the release for free circulation of compensating products to be authorized under  the suspension system; Whereas it is necessary to lay down the conditions for use of the equivalent compensation and prior  exportation systems and to define the time at which the change in customs position of the goods  concerned takes place; Whereas it is necessary to define the conditions under which the equivalent compensation of rice  can be authorized, by using the CN code at eight figures; whereas, however, while awaiting for an  appropriate modification of the combined nomenclature on certain types of rice, it is necessary  that equivalence be determined only by the length/width ratio for certain types of rice; Whereas it is desirable to restrict the system whereby import goods are placed under the  arrangements in a Member State other than that in which use of the arrangements was authorized and  where the processing operations are carried out, where the prior exportation procedure is used;  whereas provision should be made for the requisite exchange of information between the two Member  States concerned; Whereas it is necessary to specify the formalities to be carried out and the compensatory amounts  applicable in cases of triangular traffic where compensating products are dispatched from the  Member State where processing has taken place to another Member State where the formalities for  export from the customs territory of the Community are carried out; Whereas it is necessary to specify how the various procedures are to apply in connection with the  common commercial policy; Whereas standard rates of yield should be laid down on the basis of the existing Community rules; Whereas there is a need to lay down standard rates of yield to ensure the same facilities for pasta  whether or not it contains eggs; Whereas implementing rules must be laid down to cover entry of goods for the arrangements, use of  the drawback system and some of the ways in which goods or products may be dealt with for customs  purposes; whereas such rules, while being adequate to prevent abuses, must be such as to keep  administrative procedures to a minimum so as not to impose a burden on firms using the  arrangements; Whereas it is necessary to lay down rules ensuring the uniform application of the second paragraph  of Article 14 (2) of Regulation (EEC) No 1999/85; whereas the wording of certain provisions of the  Regulation relating to discharge of the arrangements should be amended to illustrate the link  between them and the provisions concerning simplified procedures; whereas some examples should be  given in these provisions to facilitate that application in practice; whereas more detailed  provisions are required concerning the time limit for submitting the bill of discharge, the  supporting documents required for discharge and the payment of import duties in respect of  compensating products or goods put onto the market; Whereas it is necessary to lay down uniform rules for the charging of duties in cases where a  customs debt arises; whereas for that purpose it is necessary to draw up a list of compensating  products which can be charged at their appropriate rate, to lay down special rules for olive oil  and to provide for the application of certain agricultural import duties; whereas it is also  desirable to lay down certain rules for the application of monetary compensatory amounts in  connection with the arrangements; Whereas it is necessary to lay down provisions for calculating the proportion of import goods  incorporated in compensating products where this is necessary in order to ascertain the amount of  import duties to charge, to be repaid or remitted; whereas in view of the complexity of the  calculations which may be involved, it is appropriate to give quantified examples; Whereas, since the value scale method cannot reasonably be used for operations involving the inward  processing of durum wheat into cereal meal, it is necessary to use the quantitative scale method  (import goods) to calculate the import goods incorporated in the compensating products; whereas for  these operations it is also necessary to amend the standard rates of yield to take into account the  processing conditions; Whereas civil aircraft from non-member countries do not attract import duties when introduced into  the customs territory of the Community; whereas, in view of the way in which civil aircraft are  used in the transport sector, delivery of such aircraft to airline companies should be deemed to be  equivalent to exportation from the territory of the Community; whereas it is also desirable to  consider as equivalent to such exportation the repair, modification or conversion of civil aircraft  carried out under inward processing relief arrangements; Whereas there is a need under the suspension system for procedures allowing goods in the unaltered  state and for compensating products to be placed under a new customs procedure, where their nature  of technical characteristics have been appreciably changed by unforeseen circumstances or force  majeure; Whereas it is necessary to adapt the procedure for exchange of information for administrative  cooperation by means of the INF 1 sheet in order to enable the customs authorities of the Member  State where release for free circulation is authorized to levy the total amount of import duties  resulting from this release for free circulation; Whereas the new provisions must favour only those compensating products exported from the customs  territory of the Community, and must not result in an unjustified financial advantage due to a  postponement of the date on which a customs debt arises; whereas this last objective may be  achieved by introducing a system of compensatory interest; whereas, however, such interest should  in some cases not be provided for; Whereas the interest rates will be set by the Commission on the basis of average representative  short-term interest rates for each Member State in a given six-month period of the preceding year;  whereas the rates set will be valid for six months and will be published in the L series of the  Official Journal of the European Communities before they come into force; Whereas it is desirable to establish rules for discharge of the arrangements and for repayment or  remission under the drawback system; Whereas it should be specified that where several processing operations have been carried out under  the drawback system, the repayment claim must be presented to the customs authority of the Member  State where the first processing operation was authorized and where the entry of release for free  circulation was accepted; whereas it is, however, appropriate to provide for a procedure making it  possible to obtain repayment or remission from the customs authority of the Member State where the  compensating products are dealt with in one of the procedures referred to in Article 27 of  Regulation (EEC) No 1999/85; Whereas it is necessary to provide for a suitable exchange of information between the customs  authorities of the Member States in order to facilitate repayment or remission of import duties in  cases where the compensating products have been placed under a procedure allowing for repayment or  remission after undergoing subsequent processing under a new authorization; whereas it is also  necessary to specify that the document used in this exchange must be attached to the repayment  claim; Whereas it is necessary to lay down rules for administrative cooperation to ensure uniformity in  the application of economic conditions and implementation of the arrangements where more than one  Member State is concerned; Whereas the information to be exchanged between Member States and the Commission for the purpose of  scrutinizing the economic conditions should be simplified in order to speed up transmission and  allow computerization of the procedure; Whereas the measures provided for in this Regulation are in accordance with the opinion of the  Committee for Customs Procedures with Economic Impact, HAS ADOPTED THIS REGULATION: TITLE I GENERAL PROVISIONS AND PRODUCTION ACCESSORIES Article 1For the  purposes of this Regulation:  1.  basic Regulation means Regulation (EEC) No 1999/85;  2.  main compensating products means the compensating products for the production of which use of  the inward processing arrangements (hereinafter referred to as the 'arrangements`) was authorized;  3.  secondary compensating products means compensating products other than those referred to in  paragraph 2 which are a necessary by-product of the processing operation;  4.  losses means the proportion of the import goods destroyed and lost during the processing  operation, in particular by evaporation, dessication, venting as gas or leaching;  5.  quantitative scale method means calculation of the import goods incorporated in the various  compensating products by reference to the quantity of such import goods;  6.  value scale method means calculation of the import goods incorporated in the various  compensating products by reference to the value of such compensating products;  7.  equivalent compensation means the system referred to in Article 2 (1) (a) of the basic  Regulation;  8.  prior exportation means the system referred to in Article 2 (1) (b) of the basic Regulation;  9.  triangular traffic means the system whereby import goods are entered for the arrangements in a  Member State other than that in which use of the arrangements was authorized and where the  processing operations are carried out; 10.  importing Member State means the Member State in which the import goods are entered for the  arrangements; 11.  exporting Member State means the Member State in which the compensating products are declared  for export; 12.  specific commercial policy measures means non-tariff measures established as part of the  common commercial policy in the form of Community rules governing arrangements for the import or  export of goods, such as surveillance or safeguard measures, quantitative limits or restrictions  and import or export bans; 13.  time limit for re-exportation means the date by which the compensating products must have been  dealt with in one of the ways listed in Articles 18 or 27 (1) of the basic Regulation; 14.  monthly aggregation means application of the second paragraph of Article 14 (2) of the basic  Regulation in respect of time limits for re-exportation which begin to run during a given calendar  month; 15.  quarterly aggregation means application of the second paragraph of Article 14 (2) of the basic  Regulation in respect of time limits for re-exportation which begin to run during a given quarter. Article 2The goods covered by the fourth indent of Article 1 (3) (h) of the basic Regulation,  used as production accessories, are listed in Annex I. TITLE II AUTHORIZING USE OF THE ARRANGEMENTS CHAPTER I APPLYING FOR AUTHORIZATION Article 31.   Without prejudice to paragraph 4 or to Article 25, applications for authorization shall be made in  writing and shall conform to the model set out in Annex II. They shall at least contain the  information indicated in the said Annex. Applications must be signed and dated. 2.  Where the customs authority considers the particulars indicated in the model referred to in  paragraph 1 to be inadequate, it may require the applicant to supply additional particulars. 3.  The application must be accompanied by all supporting documents or evidence needed for its  appraisal. 4.  The customs authority may allow the holder of an authorization to apply for its renewal by  simple written request, giving particulars of the previous authorization and indicating any changes  which need to be made. 5.  The customs authority shall keep applications and the documents and evidence relating to them,  together with copies of any authorizations issued. 6.  The applicant may request that the authorization be either for the suspension system or the  drawback system where the conditions for use of the appropriate system are fulfilled. 7.  Where processing is carried out under a job processing contract between two persons established  in the Community the application for authorization shall be lodged by or on behalf of the  principal. 8.  Where a request is to be made for alteration of an authorization, paragraph 4 shall apply. CHAPTER II GENERAL CONDITIONS FOR AUTHORIZING USE OF THE ARRANGEMENTS Article 41.  Before  issuing the authorization the customs authority shall check that the conditions for use of the  arrangements, in particular the economic conditions, are fulfilled. 2.  For the purposes of the second sentence of Article 4 (a) of the basic Regulation, 'imports of a  non-commercial nature` means imports of an occasional nature, containing goods the nature and  quantity of which does not indicate that they are being imported for any commercial purpose. 3.  For the purposes of Article 4 (c) of the basic Regulation the customs authority shall establish  the methods of identifying the import goods in the compensating products or the means of verifying  whether the conditions laid down for the proper conduct of operations under the equivalent  compensation system have been complied with. To this end the customs authority shall use, inter alia, the following means: (a)  statement or description of special marks or manufacturer's numbers; (b)affixing of seals, clip-marks or other distinctive marks; (c)the taking of samples, illustrations or technical descriptions; (d)the carrying-out of analyses. Article 51.  For the purposes of applying the economic conditions: (a)comparable goods shall be considered unavailable within a 'suitable time` within the meaning of  Article 6 (1) (c) of the basic Regulation where producers established in the Community cannot make  them available to the operator in time for the proposed commercial operation to be carried out,  despite a request having been made to them in good time; (b)in deciding whether the price of comparable goods produced in the Community is such as to make  the proposed commercial operation economically impracticable, the customs authority shall take  account, inter alia, of the impact that the use of Community-produced goods would have on the cost  price of the compensating product and hence on the disposal of the product on the third-country  market, having regard to: - both the price of the uncleared goods for processing and the price of comparable goods produced  in the Community less domestic taxes refunded or refundable on exportation, including any refunds  and any other amounts applying under the common agricultural policy. Conditions of sale, in  particular payment terms, and proposed delivery terms shall also be taken into consideration when  comparing prices, and- the price obtainable for the compensating product on the third-country  market, as ascertained from commercial correspondence or other information; (c)'job processing` means any processing of import goods directly or indirectly placed at the  disposal of the holder of the authorization which is carried out according to the specifications  and on behalf of a principal established outside the customs territory of the Community, generally  against payment of processing costs alone. 2.  Goods produced in the Community shall be comparable to import goods when they fall within the  same CN code, are of the same commercial quality and have the same technical characteristics,  having regard to the compensating products to be obtained. 3.  In assessing the economic conditions, the following shall not in themselves be taken as grounds  for granting the authorization: (a)the fact that the Community producer of comparable goods which could be used to carry out the  processing operations is an undertaking in competition with the person applying to use the  arrangements; (b)the fact that the goods are produced in the Community by a single undertaking. Article 61  For the purposes of Article 6 (4) of the basic Regulation the value limit shall be  ECU 200 000 per authorization, irrespective of the number of operators carrying out the processing  operation. However, the value limit for the goods and products listed in Annex III shall be ECU 100 000. 2.  The value referred to in paragraph 1 shall be the customs value of the goods estimated on the  basis of the particulars known and the documents presented at the time when the application is  lodged. 3.  The application of paragraphs 1 and 2 may be suspended in respect of particular import goods in  accordance with the procedure described in Article 31 (2) and (3) of the basic Regulation. Article 71.  For the purposes of Article 7 of the basic Regulation, the economic conditions  shall be deemed to be fulfilled in respect of a given type of goods to be entered for the  arrangements within a given period where the applicant: (a)  during the period in question obtains 80 % of his global requirements for these goods  incorporated in the compensating products in the customs territory of the Community, in the form of  goods produced in the Community being comparable within the meaning of Article 5 (2) to the import  goods. To make use of this provision, the applicant must supply the customs authority with supporting  documents which enable the authority to satisfy itself that the intended purchase of Community  goods may be reasonably carried out. Such supporting documents, to be annexed to the application,  may take the form, for example, of copies of commercial or administrative documents which refer to  purchase made in an earlier reference period, or orders or untended purchase for the period under  consideration. Without prejudice to Article 11 (2) of the basic Regulation, the customs authority shall, where  necessary, check that the said percentage is correct at the end of the period in question; (b)is trying to guard against real supply problems, proven to the satisfaction of the customs  authority, for that type of goods, and the proportion of Community-produced supplies is lower than  the percentage indicated at (a); (c)satisfies the customs authority that he has taken the necessary steps to obtain goods for  processing on the Community market but has met with no response from Community producers. 2.  Paragraph 1 (a) shall not apply to goods falling within Annex II to the Treaty. Article 81.  An authorization for use of the suspension system may be granted only on condition  that there is an actual intention to export the main compensating products from the customs  territory of the Community. 2.  The following shall be deemed to be an export from the customs territory of the Community: (a)  the delivery of compensating products to persons eligible for reliefs under the Vienna  Convention of 18 April 1961 on Diplomatic Relations, the Vienna Convention of 24 April 1963 on  Consular Relations or other consular conventions, or the New York Convention of 16 December 1969 on  Special Missions; (b)the delivery of compensating products to the armed forces stationed in the territory of a  Member State in accordance with Article 136 of Council Regulation (EEC) No 918/83 (1); (c)the delivery of civil aircraft to airline companies established in the customs territory of the  Community; (d)the repair, modification or conversion of civil aircraft carried out under processing relief  arrangements. CHAPTER III EQUIVALENT COMPENSATION AND PRIOR EXPORTATION Article 9Without prejudice to  Article 10, where use is to be made of equivalent compensation or prior exportation, the equivalent  goods must fall within the same CN code, be of the same commercial quality and have the same  technical characteristics as the import goods. Article 10Where the circumstances so warrant, the customs authority may allow the equivalent  goods to be at a more advanced stage of manufacture than the import goods, provided that the  essential part of the processing to which the said equivalent goods are subjected is carried out in  the premises of the holder of the authorization or in the premises where the operation is being  carried out on his behalf. Article 11Special provisions, set out in Annex IV, shall apply in respect of the goods referred  to in that Annex. Article 121.  The change in customs position described in Article 2 (3) of the basic Regulation  shall be effected as follows: (a)In the case of equivalent compensation without prior exportation, the change in customs  position of the import goods and the equivalent goods shall take place at the time of acceptance of  the document placing the compensating products or unprocessed goods under one of the customs  procedures referred to in Article 18 of the basic Regulation. However, where the holder of the authorization puts the import goods on the Community market either  in the unaltered state or in the form of compensating products before the arrangements have been  discharged, the change in customs position of the import goods and the equivalent goods shall take  place at the time the goods are put on the market; (b)In the case of prior exportation: - the change in the customs position of the exported compensating products shall take place at the  time of acceptance of the export declaration and on condition that the import goods are entered for  the arrangements, - the change in the customs position of the import goods and the equivalent goods shall take place  at the time of acceptance of the declaration entering them for the arrangements. 2.  The change in customs position referred to in paragraph 1 shall not alter the origin of the  exported goods. 3.  In the event of the total destruction or irretrievable loss of goods in the unaltered state or  compensating products the share of import goods destroyed or lost shall be calculated by reference  to the proportion of import goods in stocks of goods of the same kind held by the holder of the  authorization at the time when the destruction or loss occurred, unless he can produce evidence of  the actual quantity of import goods destroyed or lost. CHAPTER IV TRIANGULAR TRAFFIC Article 13The customs authority of the Member State referred to  in Article 3 of the basic Regulation may allow triangular traffic only as part of the prior  exportation system. CHAPTER V ISSUING THE AUTHORIZATION Article 141.  Without prejudice to Article 25,  authorizations shall be made out in writing and shall conform to the model set out in Annex II.  They shall contain at least the particulars there indicated. Authorizations must be signed and  dated. 2.  Authorizations shall be addressed to the applicant. 3.  Authorizations shall take effect on the date of issue. 4.  In cases which can be shown to be exceptional, the customs authority may issue a retroactive  authorization. However, the retroactive effect of such authorization may not go back beyond the time when the  application was lodged. 5.  The customs authorities shall keep copies of authorizations for at least three calendar years  after the end of the year of their expiry. Article 151.  The period of validity of an authorization shall be set by the customs authority,  having regard to the economic conditions and the specific needs of the applicant. Where an authorization is for a period exceeding two years the conditions on which it was issued  shall be reviewed periodically at intervals specified in the authorization. 2.  Notwithstanding paragraph 1, the period of validity of an authorization in respect of the  products referred to in the second subparagraph of Article 28 (1) may not exceed three months. TITLE III OPERATION OF THE ARRANGEMENTS CHAPTER I SPECIFIC COMMERCIAL POLICY MEASURES Article  16Where non-Community goods are entered for the arrangements using the suspension system, any  specific commerical policy measures to which imports of the said goods are subject shall not  apply. Article 17Non-Community goods, even where they are not liable for import duties, may also be  entered for the arrangements using the suspension system: (a)  with a view to non-application of specific commercial policy measures applying to the goods; (b)with a view to non-application of specific commercial policy measures applying to export of the  goods in the unaltered state or the compensating products, without prejudice to specific commerical  policy measures applying to exports of products originating in the Community. CHAPTER II FORMALITIES FOR ENTRY OF GOODS FOR ARRANGEMENTS (SUSPENSION SYSTEM) AND FORMALITIES  FOR RELEASE OF GOODS FOR FREE CIRCULATION (DRAWBACK SYSTEM) Section 1 Normal procedure Article  181.  The entry of goods for the arrangements using the suspension system shall be subject to the  lodging of a declaration of entry for the arrangements. The person making the declaration is  hereinafter referred to as the 'declarant`. 2.  Paragraph 1 shall also apply to the entry for the arrangements of import goods under the prior  exportation system. 3.  The declaration referred to in paragraph 1 must be lodged at a competent customs office in the  Member State where the authorization was issued. However, where the triangular traffic system is  used, the declaration entering the import goods for the arrangements shall be lodged at the customs  office indicated on information sheet INF 5, referred to in Article 32. Article 191.  The declaration referred to in Article 18 shall be made out on a form IM as  provided for in Article 3 of Council Regulation (EEC) No 1900/85 (1). 2.  The declaration referred to in paragraph 1 must also contain, should the need arise: - in box 44, the reference to the authorization, - in box 47, the elements to be taken into consideration for the calculation of the import duties  to be applied. 3.  The description of the goods given in the declaration referred to in paragraph 1 must  correspond to the description given in the authorization. Article 201.  The customs authority may require that the authorization be presented when the  declaration or, where the drawback system is used, the entry for release for free circulation, is  lodged. 2.  The said declaration or entry must be accompanied by all other documents whose presentation is  necessary for entry for the arrangements or for free circulation, as the case may be. 3.  The customs authority may agree that the documents in question be held at its disposal rather  than accompanying the declaration or entry. Article 211.  Particulars of the authorization must also be given in Box 44 of the entry for  release for free circulation made out under the drawback system. 2.  The description of the goods given in the entry referred to in paragraph 1 must correspond to  the description given in the authorization. Article 221.  Article 4 (3), (4) and (5) and Articles 5 to 10 of Commission Regulation (EEC) No  1751/84 (2) shall apply mutatis mutandis. 2.  Acceptance of a declaration under Article 18 or entry under Article 21 shall be subject to  issue of an inward processing authorization. In cases which can be shown to be exceptional,  however, the particular authority may accept the declaration or entry without such authorization  having been issued, provided the application was submitted before such acceptance. 3.  Where paragraph 2 is applied, particulars of the application for authorization shall also be  given in Box 44 of the declaration or entry in question. Section 2 Simplified procedures Article 231.  Provided the proper conduct of operations is  not thereby affected, the customs authority, at the declarant's request and on conditions it shall  lay down, shall agree that: (a)  a declaration under Article 18 or entry under Article 21 need not contain some of the  particulars referred to in Article 19 or 21 as the case may be, or need not be accompanied by some  of the documents referred to in Article 20; (b)a declaration under Article 18 or entry under Article 21 can be replaced by a commercial or  administrative document, accompanied by an application for entry for the arrangements or use of the  drawback system, signed by the declarant; (c)the goods can be entered for the arrangements or the drawback system used without the goods  having been presented and before the declaration or entry is lodged. 2.  Where use of the simplified procedure referred to in paragraph 1 (c) is authorized, the person  authorized shall, upon arrival of the goods on the designated premises: (a)duly notify the customs authority of such arrival in the manner specified by the said  authority. However, the customs authority may: - permit the authorized person to notify it of the arrival of the goods when this is imminent,  rather than requiring him to wait for their actual arrival; - in special circumstances, where the nature of the goods and the rapid import turnover warrant  this, exempt the authorized person from the requirement to notify each arrival of goods, provided  that he supplies all the information the particular authority judges necessary to enable it to  exercise its right to examine the goods should the need arise; (b)enter the goods in his accounts. Such entry shall be effected in the manner specified by the  customs authority. It shall indicate the date of such entry. Such entry may be replaced by any  other formality of comparable probative effect stipulated by the customs authority; (c)make available to the customs authorities all documents relating to the entry of the goods for  the arrangements. 3.  The following shall not be authorized by the customs authority to use the simplified procedures  described in paragraph 1: (a)persons who do not offer adequate guarantees as to the proper conduct of the operations; (b)persons whose accounts are not such as to enable the customs authority to check on the  operations where the simplified procedure described in paragraph 1 (c) is used. The customs authority may withhold authorization to use the simplified procedures from persons who  do not frequently enter goods for the arrangements. Article 241.  Incomplete declarations or entries, commercial or administrative documents and  entries in the accounts as referred to in Article 23 must contain at least the particulars  necessary for identification of the goods. Acceptance by the customs authority of such incomplete declaration or entry, commercial or  administrative documents or entry in the accounts shall have the same force in law as acceptance of  the declaration referred to in Article 18 or entry as referred to in Article 21. Any examination of the goods shall be based on the particulars given in the incomplete declaration  or entry, commercial or administrative document or entry in the accounts. In the cases referred to in Article 23 (1) (c), entry of the goods in the accounts shall be  equivalent to their release. 2.  Additional declarations or declarations relating to goods covered by the procedure authorized  under Article 23 (1) must be lodged, or documents omitted under Article 23 (1) (a) must be  supplied, at the competent customs office, and no later than the time when the bill of discharge is  lodged. Acceptance of such declaration shall not have the same force in law as acceptance of the  declaration referred to in Article 18 or entry referred to in Article 21. 3.  The customs authority may agree that the declaration or additional declaration be of a general,  periodic or recapitulative nature. Article 251.  Where Articles 23 and 24 are not applied, the customs office designated by the  customs authority shall, in respect of operations relating to: (a)repair of goods, including restoring them to their original condition and putting them in  order, or(b)the usual forms of handling to which goods may be subject under the Community rules  governing customs warehouses and free zones, permit lodging of the inward processing declaration or, under the drawback system, the entry for  release for free circulation to constitute an application. In this case acceptance of the declaration or entry shall constitute the authorization and shall be  subject to the conditions governing the granting of the authorization. 2.  The customs office designated by the customs authority may apply the procedure described in  paragraph 1 in respect of goods to be used for inward processing operations other than those  referred to in that paragraph. Each Member State shall notify the Commission of the designated offices, specifying the type of  goods and the processing operations covered in each case. 3.  Where paragraphs 1 and 2 are applied, the declaration referred to in Article 18 or the entry  referred to in Article 21 shall be accompanied by a document made out by the declarant containing  the following information: (a)where the person applying to use the arrangements is not the same as the declarant, the name or  business name and address of that person; (b)where the processor is not the same as the applicant or declarant, the name or business name  and address of the said processor; (c)the nature of the processing operation; (d)the trade and/or technical description of the compensating products; (e)the rate of yield or, where appropriate, the method by which the rate will be established; (f)the period within which the goods are to be dealt with in one of the ways provided for in  Article 18 or 27 of the basic Regulation; (g)the place where it is intended to carry out the processing operation. Such accompanying document shall form an integral part of the declaration. CHAPTER III TIME LIMITS PROVIDED FOR IN ARTICLE 14 OF THE BASIC REGULATION Article 26Where  the circumstances so warrant, the time limit set for placement under one of the procedures referred  to in Article 18 or 27 of the basic Regulation may be extended, even when the limit originally set  has expired. Article 271.  In the case of monthly aggregation, all time limits for re-exportation beginning  to run in a given month shall expire on the last day of the calendar month during which the time  limit for re-exportation relating to the final entry for the arrangements in the month in question  would expire. 2.  In the case of quarterly aggregation, all time limits for re-exportation beginning to run in a  given quarter shall expire on the last day of the quarter during which the time limit for  re-exportation relating to the final entry for the arrangements in the quarter in question would  expire. 3.  Where monthly or quarterly aggregation has been requested and authorized, that fact shall be  indicated at point 9 of the inward processing application and of the authorization itself (see  specimens in Annex II). 4.  Monthly or quarterly aggregation may be authorized where the import goods are expected to be  entered, on a regular basis, for the arrangements for processing and exportation in the form of  compensating goods so that the time taken for re-exportation will be more or less constant. 5.  Monthly or quarterly aggregation shall be applied taking account of the examples in Annex XII. Article 281.  In the case of agricultural products of the kind referred to in Article 1 of  Council Regulation (EEC) No 565/80 (1) which are to be exported in the form of processed products  or goods within the meaning of Article 2 (b) or (c) of that Regulation, the period within which the  import goods must be dealt with in one of the ways specified in Article 18 of the basic Regulation  may not exceed six months. However, in case of the products specified in Article 1 of Council Regulation (EEC) No 804/68 (2)  intended for the manufacture of products referred to in that Article or of goods listed in the  Annex to that Regulation, the time-limit for re-export may not exceed four months. 2.  Where monthly aggregation is authorized for the agricultural products referred to in paragraph  1, the time limits for re-exportation referred to in Article 27 (1) shall expire not later than the  last day of the fifth calendar month following that for which aggregation was authorized. 3.  Where quarterly aggregation is authorized for the agricultural products referred to in  paragraph 1, the time limits for re-exportation referred to in Article 27 (2) shall expire no later  than the last day of the quarter following that for which aggregation was authorized. Article 291.  The time limit referred to in Article 14 (3) of the basic Regulation shall be set  with due regard to the time needed for the supply and transport of the import goods to the  Community. 2.  The time limit referred to in paragraph 1 may not exceed: - three months in the case of goods subject to a price-regulating mechanism, - the period of validity of the import licence issued in accordance with Commission Regulation  (EEC) No 2630/81 (1) in the case of raw sugar falling within CN codes 1701 11 or 1701 12, - six months in the case of all other goods. This period may, however, be extended where the holder  of the authorization submits a reasoned request, provided that the total period does not exceed 12  months. Where the circumstances so warrant, the extension may be allowed even after the original  time limit has expired. Article 301.  The time limits referred to in Articles 26 and 28 shall run from the date of  acceptance of the declaration entering the goods for the arrangements or, under the drawback  system, of the entry for release for free circulation. 2.  The time limits set in accordance with Article 29 shall run from the date of acceptance of the  export declaration. CHAPTER IV STANDARD RATES OF YIELD Article 311.  Where the import goods for inward processing  are listed in column 1 of Annex V and the compensating products obtained are those in columns 3 and  4, the customs authority shall apply the standard rates of yield shown in column 5. 2.  The standard rates of yield referred to in paragraph 1 shall apply only to goods of sound,  genuine and (;) OJ N° L 258, 11. 9. 1981, p. 16. merchantable quality which conform to any standard quality laid down in Community rules. 3.  Each Member State shall notify the Commission of cases in which it proves impossible to apply  the standard rates referred to in paragraph 1 because, although the import of goods processed are  listed in column 1 of Annex V, the processing operations produce compensating products other than  those shown in columns 3 and 4 at the same stage of manufacture. CHAPTER V TRIANGULAR TRAFFIC Article 321.  For triangular traffic the information sheet  referred to as 'information sheet INF 5` shall be used. 2.  Information sheet INF 5 shall be made out on a form corresponding to the model and indications  in Annex VI, in one original and three copies which must be presented together at the customs  office where the export declaration is lodged. Information sheet INF 5 shall be made out in respect of the quantity of import goods corresponding  to the quantity of compensating products exported. Where it is planned to import the goods in  successive consignments, more than one INF 5 form may be made out. Article 331.  The customs office where the export formalities are carried out shall endorse  information sheet INF 5. It shall retain copy No 1 and return the original and the other copies to  the declarant. The customs office where export from the customs territory of the Community takes place shall  certify on the original and copies, which it shall then return to the declarant, that the products  have left the said territory. 2.  Where the customs office where the export formalities are carried out is not the office  competent to check on the arrangements, it shall send copy No 1, endorsed, to the latter office. 3.  Where the compensating products are dispatched to a Member State other than the Member State  where the processing took place in order that the export formalities for the dispatch of those  compensating products from the customs territory of the Community might be carried out in the  customs office of this other Member State, the compensating products shall be consigned from the  Member State of processing to the Member State of export using the Community transit procedure  (external procedure). The box reserved for the description of goods on the transit document shall  contain one of the indications referred to in Article 73 (1), plus the letters "EX-IM". The procedure for use of the INF 5 sheet shall be modified as follows: - the original and the three copies duly completed (boxes 1 to 8) must be lodged with the customs  office which is requested to issue the T 1 document, - that office shall enter particulars of the T 1 document in box 9 and shall affix the "T 1 stamp"  , - box 10 shall be completed when the compensating products are actually exported from the  particular territory of the Community. 4.  The compensating products referred to in paragraph 3 may only be exported direct to third  countries. 5.  For the purposes of Article 37, in the cases referred to in paragraph 3, 'the exporter of the  compensating products from the exporting Member State` referred to in the first indent of Article  37 (1) (b) shall mean the holder of the authorization who consigns the compensating products to the  Member State from which they are exported from the customs territory of the Community, and 'the  exporting Member State` referred to in Articles 35 and 37 (1) (a), the first and second indents of  Article 37 (1) (b), and in Article 37 (2) shall mean the Member State where the compensating  products are placed under the procedure referred to in paragraph 3. Article 341.  The import goods may be entered for the arrangements at a particular office of  importation, other than that specified, if so allowed by the customs office of the exporting Member  State which is competent to check on the arrangements or by the customs office of the importing  Member State which shall notify this change to the customs office responsible for control of the  arrangements. 2.  In the event of theft, loss or destruction of information sheet INF 5, the importer may ask the  customs office which endorsed it for a duplicate to be issued. The said office shall comply with  this request provided it can be shown that the import goods in respect of which the duplicate is  requested have not been entered for the arrangements. The original and copies of the information sheet INF 5 so issued shall bear one of the following  indications: DUPLICADODUPLIKATÁÍÔÉÃÑÁOEÏDUPLICATEDUPLICATADUPLICATODUPLIKAATSEGUNDA VIAArticle 351.   The declaration entering import goods for the arrangements must be accompanied by the original and  copies Nos 2 and 3 of information sheet INF 5. 2.  The customs office where the inward processing declaration is presented shall note on the  original and copies Nos 2 and 3 of information sheet INF 5 the quantity of import goods entered for  the arrangements and the date of acceptance of the corresponding declaration. It shall send without  delay copy No 3 to the customs office in the exporting Member State competent to check the  arrangements, returning the original to the declarant and retaining copy No 2. Article 36On receipt of copy No 3 the customs office competent to check on the arrangements  shall notify the holder of the authorization without delay of the quantity of import goods entered  for the arrangements and the date of such entry. Article 371.  Under the triangular traffic system: (a)  where the import goods are liable, in trade between the exporting and importing Member States,  to customs duties, charges having equivalent effect or other charges provided for under the common  agricultural policy, the specific arrangements applicable to certain goods resulting from the  processing of agricultural products, or provided for, where appropriate, in an Act of Accession;  or(b)where the import goods qualify, in the trade referred to at (a), for the payment of amounts  provided for under the common agricultural policy, the specific arrangements applicable to certain  goods resulting from the processing of agricultural products, or provided for, where appropriate,  in an Act of Accesion, such duties, charges or amounts shall apply in the same way as if the import goods in question had  been: - sent by the exporter of the compensating products from the exporting Member State to the  importing Member State, and- brought into the importing Member State from the exporting Member  State by the person in the name or on behalf of whom the inward processing declaration in respect  of the said goods was made out. 2.  The duties, charges and amounts referred to in paragraph 1 shall be applied by the importing  Member State at the time when the import goods are entered for the arrangements, and by the  exporting Member State at the time when the arrangements are discharged. 3.  The particulars used for applying paragraph 1 shall be those obtaining on the date of  acceptance of the declaration. Article 38This chapter shall also apply where the prior exportation of compensating products and  importation of import goods take place in a single Member State. However, Member States may lay  down other procedures. CHAPTER VI SPECIAL PROVISIONS FOR USE OF THE DRAWBACK SYSTEM Article 391.  Goods released for  free circulation under the drawback system and compensating products obtained under that system may  undergo successive processing operations under other authorizations permitting use of the same  system. Where necessary, the particular authority shall issue a new authorization with reference to  the authorization previously issued. 2.  Where another authorization has been granted under the conditions laid down in paragraph 1,  account shall be taken of the time set in this new authorization for the repayment or remission of  duties. CHAPTER VII GENERAL PROVISIONS FOR IMPLEMENTATION OF ARTICLES 18 AND 27 OF THE BASIC REGULATION  Article 401.  Without prejudice to use of the simplified procedures, any compensating products  or goods in the unaltered state to be placed under one of the customs procedures referred to in  Article 18 or 27 of the basic Regulation must be produced at a customs office empowered by the  customs authority to supervise the arrangements in order to undergo the customs formalities  specified for the procedure in question under the general provisions applicable. However, the customs authorities may allow the products or goods concerned to be produced at a  customs office other than that referred to in the first subparagraph. 2.  Compensating products or goods in the unaltered state shall be deemed to have been produced at  a customs office when their presence on the premises of that office or on other premises designated  by the customs authority has been notified to the said authority in the manner required to enable  it to carry out supervision or checks. Article 41The declaration of application to place compensating products or goods in the  unaltered state under one of the customs procedures referred to in Article 18 or 27 of the basic  Regulation must contain the particulars necessary for discharge of the arrangements or to support  an application for drawback. Article 421.  When the nature or technical characteristics of the import goods have been altered  as a result of unforeseeable circumstances or force majeure so that it becomes impossible to obtain  the compensating products for which an inward processing authorization under the suspension  procedure has been granted, the holder of the authorization must inform the customs authority of  what has happened and apply for the import goods concerned to be placed under another customs  procedure. 2.  On receipt of the application referred to in paragraph 1, the customs authority shall allow the  arrangements to be discharged in respect of the import goods concerned in accordance with Article  18 of the basic Regulation, which shall be applied mutatis mutandis. 3.  Article 12 (3) shall be applicable mutatis mutandis. 4.  In cases where the alteration in question may affect the continuation in force or the substance  of the authorization, paragraphs 1 and 2 shall be without prejudice to Article 11 (2) of the basic  Regulation. 5.  The provisions of this Article shall apply mutatis mutandis to the compensating products. CHAPTER VIII SPECIAL PROVISIONS CONCERNING EXPORT Section 1 Normal procedure Article 43The  export, either direct or after one of the customs procedures referred to in Article 18 (2) (a) or  (b) or 27 of the basic Regulation, of compensating products or goods in the unaltered state shall  be subject to completion of the export formalities. Article 441.  The lodging, acceptance, correction and cancellation of the export declaration,  examination of the declared compensating products or goods in the unaltered state, the possible  taking of samples, checking of the export declaration and related documents, the results of such  checks and the granting of authorization to export the products or goods shall be governed by the  provisions adopted by Member States pursuant to Council Directive 81/177/ EEC (1) and Commission  Directive 82/347/EEC (2), having regard to the objectives of the Regulation. 2.  Where the prior exportation system is used, Article 22 (2) shall apply mutatis mutandis. Section 2 Simplified procedures Article 451.  Provided the proper conduct of operations is  not thereby affected, the customs authority, at the request of the person concerned and on  conditions it shall lay down, shall agree that: (a)  the export declaration may be replaced by a commercial or administrative document accompanied  by an export application signed by the declarant; (b)the compensating products may be exported without being presented to the customs authority  competent to check on exportation and before lodging of the export declaration. 2.  Where use of the simplified procedure described in paragraph 1 (b) is authorized, the person  authorized shall: (a)  give the customs authority competent to check on exportation, referred to in paragraph 1 (b),  notice of dispatch in the manner specified by the said authority, so as to enable such authority to  check on consignments, if necessary, before their dispatch; (b)make out an export declaration or the document referred to in paragraph 1 (a); (c)enter the goods in the unaltered state or compensating products to be exported in his accounts.  Such entry shall be effected in the manner laid down by the customs authority. It shall indicate  the date of entry. Such entry may be replaced by any other formality of comparable probative effect  stipulated by the customs authority; (d)make available to the customs authority all documents relating to the export of the goods in  the unaltered state or compensating products in question. 3.  The following shall not be authorized by the customs authority to use the simplified procedures  described in paragraph 1: (;) OJ N° L 83, 30. 3. 1981, p. 40. ($) OJ N° L 156, 7. 6. 1982, p. 1. (a)persons who do not offer adequate guarantees as to the proper conduct of the inward processing  operations; (b)persons whose accounts are not such as to enable the customs authority to check on the  operations where the simplified procedure described in paragraph 1 (b) is used. The customs authority may withhold authorization to use the simplified procedures from persons who  do not frequently carry out inward processing operations. Article 461.  The commercial or administrative document and entry in the accounts referred to in  Article 45 must contain at least the particulars necessary for identification of the goods or  products and a reference to the authorization. Acceptance by the customs office of such commercial or administrative document or entry in the  accounts shall have the same force in law as acceptance of the export declaration. Any examination of the goods or products shall be based on the particulars given in the commercial  or administrative document or entry in the accounts. In cases covered by Article 45 (1) (b) entry of the goods in the accounts shall be equivalent to  their release. 2.  The declaration relating to goods or products covered by the authorization referred to in  paragraph 1 must be lodged at the competent customs office within the period stipulated by the  customs authority. Acceptance of such declaration shall not have the same force in law as  acceptance of the export declaration. 3.  The customs authority may agree that the declaration should be of a general, periodic or  recapitulative nature. CHAPTER IX SPECIAL PROVISIONS CONCERNING RELEASE FOR FREE CIRCULATION Section 1 Circumstances in  which goods may be released for free circulation Article 471.  The conditions for the release  for free circulation of goods in the unaltered state or compensating products shall be deemed to be  fulfilled where the person concerned declares that he is unable to enter those products or goods  for a customs procedure under which import duties would not be payable. 2.  The customs authority may authorize release for free circulation on a case-by-case or general  basis, provided this does not contravene other Community provisions relating to release for free  circulation. Section 2 Simplified procedures Article 481.  Provided the proper conduct of operations is  not thereby affected, the customs authority, at the request of the person concerned and on  conditions it shall lay down, shall agree that: (a)  the entry for release for free circulation need not contain some of the particulars asked  for; (b)the entry may be replaced by a commercial or administrative document accompanied by an  application signed by the declarant for release for free circulation; (c)the compensating products or goods in the unaltered state may be released for free circulation  without being presented and before the entry is lodged. 2.  Where use of the simplified procedure described in paragraph 1 (c) is authorized, the person  authorized shall: (a)notify the customs authority in the manner specified by the said authority, and before the  goods leave his premises, of the imminent dispatch of consignments, and/or supply the said  authority with all the information it judges necessary to enable it to exercise its right to  examine the goods should the need arise; (b)enter the compensating products or goods in the unaltered state in his accounts. Such entry  shall be effected in the manner laid down by the customs authorities. It shall indicate the date of  entry. Such entry may be replaced by any other formality of comparable probative effect stipulated  by the customs authority; (c)make available to the customs authority all documents relating to the release for free  circulation of the compensating products or goods in the unaltered state in question, and in  particular the import licence required under the common agricultural policy or documents provided  for by the common commercial policy. 3.  The following shall not be authorized by the customs authority to use the simplified procedures  described in paragraph 1: (a)persons who do not offer adequate guarantees as to the proper conduct of the processing  operation; (b)persons whose accounts are not such as to enable the customs authority to check on the  operations where the simplified procedure described in paragraph 1 (c) is used. The customs authority may withhold authorization to use the simplified procedures from persons who  do not frequently carry out processing operations. Article 491.  Incomplete entries, commercial or administrative documents and entry in the  accounts as referred to in Article 48 must contain at least the particulars necessary for  identification of the compensating products or goods and a reference to the authorization. Acceptance by the customs authority of such incomplete entry, commercial or administrative document  or entry in the accounts shall have the same force in law as acceptance of the entry for release  for free circulation. Any examination of the compensating products or goods shall be based on the particulars given in  the incomplete entry, commercial or administrative document or entry in the accounts. In cases as referred to in Article 48 (1) (c), entry of the compensating products or goods in the  accounts shall be equivalent to their release. 2.  The additional declaration or declaration relating to products or goods covered by the  authorization referred to in paragraph 1 must be lodged at the competent customs office within the  period stipulated by the customs authority. Acceptance of such declaration shall not have the same force in law as acceptance of the entry for  release for free circulation.3.  The customs authority may agree that the additional declaration or the declaration referred to  in paragraph 2 should be of a general, periodic or recapitulative nature. Article 501.  Where a general authorization for release for free circulation has been issued in  accordance with Article 47, the import goods may be put on the Community market either in the form  of compensating products or of goods in the unaltered state without the formalities for release for  free circulation being completed at the time of their being put on the market. Goods put on that market in such a manner shall not be deemed solely for the purposes of paragraph  2 as having been treated in one of the ways specified in Article 18 of the basic Regulation. 2.  Import goods, whether in the form of compensating products or of goods in the unaltered state,  which are covered by a general authorization for release for free circulation issued in accordance  with Article 47 and which, on expiry of the time limit for re-exportation, have not been dealt  with, having due regard to Article 27 (a), in one of the ways referred to in Article 18 of the  basic Regulation shall be deemed to have been released for free circulation, and the entry for  release for free circulation shall be deemed to have been lodged and accepted and release granted  upon expiry of the said time limit. 3.  For the purposes of applying Council Regulation (EEC) N° 222/77 (1), goods put on the market in  accordance with paragraph 1 shall be regarded forthwith as Community goods. Section 3 Release for free circulation of goods subject to specific commercial policy measures  Article 511.  The release for free circulation of import goods in the form either of goods in  the unaltered state or of compensating products other than secondary compensating products referred  to in Annex VII shall be subject to the application by the customs authority of any specific  commercial policy measures in force for the import goods at the time when the entry for release for  free circulation was accepted. 2.  Where release for free circulation is requested in a Member State other than that in which use  of the arrangements was authorized, it shall be subject to the application by the customs authority  in the Member State of authorization or, at the declarant's request, by the customs authority in  the Member State where release is requested, of any specific commercial policy measures in force  for the import goods in the Member State concerned at the time when the entry for release for free  circulation was accepted. CHAPTER X PROVISIONS RELATING TO DUTIES AND OTHER CHARGES AND APPLICATION OF MONETARY  COMPENSATORY AMOUNTS Section 1 Duties and other charges and application of monetary compensatory  amounts Article 521.  The duties to be charged under Article 20 (1) of the basic Regulation on  import goods eligible, at the time when (;) OJ N° L 38, 9. 2. 1977, p. 1. the declaration referred to in Article 18 was accepted, for favourable tariff treatment by reason  of their end-use shall be calculated at the rate corresponding to such end-use without special  authorization for the granting of such treatment being required, provided that the conditions  attaching to the granting of favourable tariff treatment are fulfilled. 2.  Paragraph 1 shall apply only where the goods have been put to the end-use qualifying them for  favourable tariff treatment before expiry of the time-limit set for that purpose by the Community  provisions governing the conditions under which such goods may be accorded the said treatment. The  time-limit shall run from the time of acceptance of the declaration referred to in Article 18. It  may be extended by the customs authority where the goods have not been put to the end-use in  question as a result of unforeseeable circumstances, force majeure or inherent technical exigencies  of the processing operation. Article 531.  The list of compensating products and processing operations to which the first  indent of Article 21 (1) (a) of the basic Regulation applies is given at Annex VII. For the application of this Article, the destruction under the supervision of the customs authority  of compensating products other than those to which the first indent of Article 21 (1) (a) of the  basic Regulation applies, is considered to be the same as an exportation outside the customs  territory of the Community. 2.  The date to be used for calculating import duties on the compensating products referred to in  paragraph 1 shall be that on which the entry for release for free circulation is accepted. 3.  The customs authority shall permit application of the first indent of Article 21 (1) (a) of the  basic Regulation in respect of waste, scrap, residues and rejects other than those mentioned in the  list referred to in paragraph 1. The Member States shall notify the Commission every six months of cases in which this paragraph has  been applied. Article 541.  Where the import goods are olive oils falling within headings 1509 and 1510 of the  combined nomenclature and their release for free circulation either in the unaltered state or in  the form of compensating products falling within CN codes 1509 90 00 or 1510 00 90 has been  authorized, the agricultural levy to be charged shall be: - the agricultural levy indicated on the import licence issued under the tendering procedure,  subject to theprovisions of Article 4 (2) of Commission Regulation (EEC) N° 3136/78 (1), or- the last minimum agricultural levy fixed by the Commission before the date of acceptance of  the entry for free circulation, when the licence referred to in Article 6 of the said Regulation is  submitted or when the quantity released for free circulation does not exceed 100 kilograms. 2.  Paragraph 1 shall also apply where the import goods are olives falling within CN codes 0709 90  39 or 0711 20 90 and the release for free circulation of compensating products falling within CN  codes 1509 90 00 or 1510 00 90 has been authorized. Article 551.  In the event of the release for free circulation in a Member State other than the  one in which use of the arrangements was authorized of goods in the unaltered state or compensating  products, the said Member State shall: - collect import duties other than those referred to in the second indent which are mentioned on  information sheet INF 1 provided for in Article 75, in accordance with the corresponding  indications, - apply any monetary compensatory amount in force at the time of acceptance of the entry for  release for free circulation, without prejudice to Article 10 of Council Regulation (EEC) N°  1677/85 (2). In the event of release for free circulation of goods in the unaltered state the  amount shall be that applying to those goods; where compensating products are released for free  circulation the amount shall be that applying to those products. 2.  In the event of export, as defined in Article 1 (2) (c) of Commission Regulation (EEC) N°  3154/85 (3), the exporting Member State shall apply the monetary compensatory amounts in accordance  with Articles 7 and 8 of the said RegulationArticle 561.  Where the compensating products are  released for free circulation and the customs debt is calculated in accordance with Article 20 of  the basic Regulation, on the basis of the items of charge appropriate to the import goods, the  particulars mentioned in Article 2 (1) (h), (i), (j) and (k) of Commission Directive 82/57/EEC (4),  shall refer to the goods in the unaltered state. 2.  The particulars referred to in paragraph 1 need not be supplied where information sheet INF 1  or another document containing the same particulars as the INF 1 sheet, issued in the Member State  where release for free circulation takes place, accompanies the entry for release for free  circulation. Section 2 Proportion of import goods incorporated in compensating products Article 57The  proportion of import goods incorporated in compensating products shall be calculated when necessary  in order to determine the import duties to be charged, repaid or remitted. Such calculation shall  not be effected when, inter alia, the amount of the debt is determined solely on the basis of  Article 21 of the basic Regulation. Article 58The quantitative scale method (compensating products) shall be used where one kind of  compensating product only is derived from the inward processing operations. In that case the  quantity of import goods corresponding to the quantity of compensating products in respect of which  a customs debt has arisen shall be calculated by applying to the whole amount of the said goods a  coefficient corresponding to the ratio of the quantity of compensating products in respect of which  a customs debt arises to the total quantity of compensating products. Article 591.  The quantitative scale method (import goods) shall be applied in accordance with  this Article where all elements of the import goods are found in each compensating product. In deciding whether this method shall apply, losses shall not be taken into account. The quantity of import goods used in the manufacture of each compensating product shall be  determined by successively applying to the total quantity of import goods a coefficient  corresponding to the ratio of the quantity of the said goods found in each type of compensating  product to the total quantity of the goods found in the compensating products as a whole. The quantity of import goods corresponding to the quantity of compensating products in respect of  which a customs debt has arisen shall be determined by applying the coefficient arrived at by the  method indicated in Article 58 to the quantity of import goods used in the manufacture of the said  product calculated in accordance with the third paragraph hereof. 2.  Notwithstanding paragraph 1, the quantitative scale method (import goods) shall also apply to  operations involving the processing of durum wheat into 'couscous` cereal meal, groats and other  meal. Article 601.  Where Articles 58 and 59 do not apply, the value scale method shall be used in  accordance with this Article. However, with the agreement of the holder of the authorization and  for the purposes of simplification, the customs authority may apply the quantitative scale method  (import goods) instead of the value scale method where either method would give similar results. 2.  In order to determine the quantity of import goods used in the manufacture of each type of  compensating product, successive coefficients corresponding to the ratio of the value of each  compensating product to the total value of those products, calculated in accordance with paragraph  3, shall be applied to the total quantity of import goods. 3.  The value of each of the different compensating products to be used for applying the value  scale shall be: - the recent selling price in the Community of identical or similar products, provided that this  has not been influenced by the relationship between buyer and seller, or, where this is not known, - the latest ex-works price in the Community, provided that this has not been influenced by the  relationship between buyer and seller. Where the value cannot be ascertained under the first subparagraph it shall be determined by the  customs authority using any reasonable method. 4.  The quantity of import goods corresponding to the quantity of compensating products in respect  of which a customs debt has arisen shall be calculated by applying the coefficient arrived at by  the method indicated in Article 58 to the quantity of import goods used in the manufacture of the  products in question, calculated in accordance with paragraph 2. Article 61The calculations referred to in Article 58, 59 or 60 shall be effected on the basis of  the examples set out in Annex XI or by any other method giving the same results. Section 3 Compensatory interest Article 621.  Where a customs debt is incurred in respect of  compensating products or goods in the unaltered state compensatory interest shall be paid on the  import duty applicable. 2.  Paragraph 1 shall not apply: - where a customs debt governed by Article 9 (1) of Council Regulation (EEC) N° 2144/87 (;) is  incurred, - where Article 21 (2) of the basic Regulation is applied, - where the secondary compensating products referred to in Annex VII are released for free  circulation, provided they are in proportion to exported quantities of main compensating products, - where the holder of the authorization applies for release for free circulation and furnishes  proof that particular circumstances not arising from any negligence or action on his part make it  impossible or economically impossible to carry out the export operation under the conditions he had  anticipated and duly substantiated when applying for the authorization. 3.  The request for consideration of a case under the terms of the fourth indent of paragraph 2  shall be submitted to the customs authority indicated by the Member State which issued the inward  processing authorization. It shall be admissible only if accompanied by all the supporting  documents needed for a full examination of the case put forward. Where a customs authority receives  a request relating to compensatory interest on a sum of ECU 3 000 or less per bill of discharge and  observes that the documents supporting the request indicate a situation of the kind provided for in  the fourth indent of paragraph 2, it shall not apply paragraph 1. In this case the supporting  documents shall be held for three years by the customs authority. In all other cases, where it intends to grant the request, it shall forward the said request to the  Commission with the file containing the material needed for a full examination of the case.  Clearance from the customs authority for entry for free circulation of compensating products or  goods in the unaltered state shall be subject to the furnishing of a security, the level of which  shall be determined in accordance with paragraph 4. The Commission shall notify the Member State concerned immediately it receives the file. The Member  State which OJ N° L 201, 22. 7. 1987, p. 15. forwarded the request shall not apply paragraph 1 if within two months of the date of notification  of receipt the Commission has failed to inform it of any objections. The Commission shall notify the Member States of requests received and the action taken on them. 4. (a)  The annual interest rates shall be set by the Commission on the basis of the arithmetical  average of representative short-term rates for each Member State in a given six-month period in the  previous year. They shall apply to all customs debts incurred in the course of a six-month period. The rate applied shall be that for the Member State where the inward processing operations, or the  first such operation, took place. Rates shall be published in the L series of the Official Journal of the European Communities at  least one month before they become applicable. (b)Interest shall be applied per calendar month for the period running from the first day of the  month following the month in which the import goods in respect of which the arrangements are  discharged were entered for those arrangements to the last day of the month in which the customs  debt is incurred. Such period shall not be less than a month. (c)The amount of interest shall be calculated on the basis of the import duties, the interest rate  referred to in (a) above and the period referred to in (b) above. TITLE IV BILL OF DISCHARGE AND REPAYMENT CLAIM CHAPTER 1 BILL OF DISCHARGE Article 631.   Without prejudice to paragraph 2, where the suspension system is used the holder of the  authorization must supply the customs authority with a bill of discharge within 30 days of the  expiry of the time limit set for re-exportation having regard, where appropriate, to Article 27. Where monthly or quarterly aggregation is used, a bill of discharge shall be supplied for each  month or quarter in question. 2.  The customs authority may itself draw up the bill of discharge referred to in paragraph 1  subject to the same time limits. That fact shall be indicated in the authorization. 3.  On the basis of the rate of yield established, the bill of discharge shall show the quantity of  import goods, giving particulars of the inward processing declarations, and the quantity of  compensating products, giving particulars of the documents under which the products were placed  under one of the procedures referred to in Article 18 of the basic Regulation. Where a simplified  procedure is used for entry under the arrangements or placement under a customs procedure referred  to in Article 18 of the basic Regulation, the declarations and documents shall be those stipulated  in Articles 24 (2), 46 (2) and 49 (2), and in the provisions relating to other simplified customs  procedures. The bill of discharge shall also show the quantity of goods deemed to have been  released for free circulation in accordance with Article 50. 4.  Import duties on import goods, whether in the form of compensating products or of goods in the  unaltered state, deemed to have been released for free circulation in accordance with Article 50,  shall be paid, at the latest, on presentation of the bill of discharge possibly based on a summary  declaration. 5.  Where identification of other items of charge relating to the import goods is necessary in  order to determine the amount of import duties, the bill of discharge shall in addition show such  items and, where appropriate, the proportion of the import goods incorporated in the compensating  products, calculated in accordance with Articles 58 to 61. 6.  Any document relating to goods deemed to have been released for free circulation in accordance  with Article 50 which is necessary for the proper implementation of the provisions governing the  release of goods for free circulation must be made available to the customs authority by the holder  of the authorization. 7.  The customs authority may agree that the bill of discharge referred to in paragraph 1 be made  out by computer or in such other manner as the said authority shall stipulate. Article 64The customs authority may permit the bill of discharge to be made out directly on the  inward processing declaration. Article 65The customs authority shall annotate the bill of discharge on the basis of the check  which has been carried out, informing the holder of the authorization, if necessary, of the result  of the check and shall keep the bill of discharge and related documents for at least three calendar  years from the end of the year in which the bill was drawn up. However, the customs authority may  decide that documents relating to the bill of discharge should be kept by the holder of the  authorization, in which case the said documents shall be kept for the same period. Article 661.  Where import goods have been entered for the arrangements by virtue of a single  authorization but under several declarations, compensating products or goods in the unaltered state  shall be deemed for the purposes of Article 18 of the basic Regulation to have been obtained from  the import goods entered for the arrangements under the earliest of the declarations. 2.  Where the holder of the authorization can show the specific import goods from which the  compensating products or goods in the unaltered state referred to in paragraph 1 were obtained, the  said paragraph 1 shall not apply. CHAPTER II REPAYMENT CLAIM Article 67Repayment or remission of import duties on specified  goods may be claimed only by the holder of the authorization, or by a single holder where Article  39 is applied. Article 681.  The repayment or remission of import duties to the holder of the authorization  shall be subject to the lodging by the said holder with the customs authority of the Member State  referred to in Article 3 (1) of the basic Regulation of a claim, hereinafter referred to as the  'repayment claim`. Such claim must be submitted in duplicate. 2.  Subject to paragraph 3, claims for the repayment of import duties may be submitted only to the  customs authority of the Member State where the entry for release for free circulation referred to  in Article 21 (1) was accepted. 3.  In specific cases, following a written request from the persons concerned, where two or more  Member States involved in processing operations are prepared to allow claims for repayment to be  submitted to the customs authority of a Member State other than the one specified in paragraph 2,  they shall first communicate the requests to the Commission, together with a draft of the  procedures planned to ensure that the claim referred to in Article 69 is correctly made out. The  Commission shall inform the other Member States accordingly. The procedures notified to the  Commission may be applied unless the Commission notifies the Member States concerned, within two  months of the date of receipt of the draft, of any objections to such application. 4.  The customs authority may agree that the repayment claim be made out by computer or in such  other manner as the said authority shall stipulate. Article 691.  The repayment claim must contain, inter alia, the following particulars: (a)  reference to the authorization; (b)the type and quantity of the import goods in respect of which repayment or remission is  claimed; (c)the CN code of the import goods; (d)the customs value of the import goods and the rate of import duties to which they are liable as  agreed by the customs authority on the date of acceptance of the entry for release for free  circulation in connection with the arrangements; (e)the date of release for free circulation of the import goods in connection with the  arrangements; (f)reference to the entries under which the import goods were released for free circulation in  connection with the arrangements; (g)the type and quantity of the compensating products and the customs procedure under which they  are to be placed; (h)the value of the compensating products if the value scale method is used for the purpose of  discharge; (i)the rate of yield; (j)reference to the declarations under which the compensating products were entered for one of the  customs procedures referred to in Article 27 (1) of the basic Regulation; (k)the amount of import duties to be repaid or remitted, as well as any compensating interest  collected, taking into account, inter alia, the import duties on other compensating products. 2.  The customs authority may agree that the claim should not contain some of the particulars  referred to in paragraph 1 where these do not concern calculation of the amount to be repaid or  remitted. 3.  Where Article 77 (1) applies, the claim shall be accompanied by the originals of INF 7  sheet(s), duly endorsed. 4.  Where the customs authority decides that the entries and declarations referred to in paragraph  1 (f) and (j) respectively, and such other document as the said authority shall stipulate, should  be kept by the holder of the authorization, the said entries, declarations and documents shall be  made available to the customs authority. Article 701.  The time limit referred to in Article 27 (2) of the basic Regulation shall be set  at a maximum of six months from the date on which the compensating products were dealt with under  one of the procedures specified in Article 27 (1) of the said Regulation. 2.  Where special circumstances so justify, the customs authority may extend the time limit  referred to in paragraph 1 even after the expiry of that time limit. Article 71The customs authority shall annotate the repayment claim in accordance with the check  carried out and shall inform the holder of the authorization of the result; it shall keep the claim  and related documents for at least three calendar years from the end of the year in which it takes  a decision on the claim. However, the customs authority may decide that documents relating to the  claim should be kept by the holder of the authorization, in which case the said documents shall be  kept for the same period. TITLE V ADMINISTRATIVE COOPERATION CHAPTER I COMMUNICATION CONCERNING ECONOMIC CONDITIONS  Article 721.  The communication referred to in Article 8 of the basic Regulation must be  transmitted to the Commission in the month following that in which the authorization was issued. 2.  Where an authorization is issued under Article 9 of the basic Regulation the period referred to  in paragraph 1 shall apply. Where the customs authority does not consider it desirable to issue the authorization before  consultation has taken place at Community level, it shall transmit the particulars of the  application to the Commission as soon as possible. 3.  The Member States shall transmit to the Commission: (a)  in respect of each authorization where the value of the import goods per operator and per  calendar year exceeds the limits set in Article 6, the particulars indicated in Annex VIII; such  particulars need not be transmitted where the inward processing application has been issued on the  basis of one or more of the economic conditions referred to by the following codes: 6106, 6107,  6201, 6202, 6301, 6302, 6303. However, in respect of the products referred to in the second subparagraph of Article 28 (1),  particulars must be supplied for every authorization granted, irrespective of the value of the  products and irrespective of the code used to identify the economic condition. (b)in respect of each application for an authorization rejected because the conditions are not  considered to be fulfilled, the particulars indicated in Annex IX. 4.  The information referred to in paragraph 3 shall be transmitted during the month following that  in which the authorization was issued or the application for an authorization rejected, as the case  may be. It shall be forwarded by the Commission to the other Member States and, where it gives rise  to comment by a Member State or the Chairman of the Committee for Customs Procedures with Economic  Impact, shall be examined by the Committee. CHAPTER II EXCHANGE OF INFORMATION BETWEEN CUSTOMS AUTHORITIES Article 731.  Where the  compensating products or goods in the unaltered state are placed in a free zone or under one of the  customs procedures referred to in Article 18 (2) (a), (b) or (d) or in the second indent of Article  27 (1) of the basic Regulation, the box reserved for the description of goods on the document used  for the procedure or in the free zone or another box intended for this purpose shall contain one of  the following indications: - Mercancías PA, - A. F.-varer, - A. V.-Waren, - AAìðïñaaýìáôá AAÔ, - I. P. goods, - Marchandises PA, - Merci PA, - AV-goederen, - Mercadorias PA. 2.  Where import goods are subject to specific commercial policy measures and such measures  continue to be applicable at the time when the goods, either in the unaltered state or in the form  of compensating products, are placed under one of the procedures mentioned in Article 18 of the  basic Regulation or in a free zone, the indication referred to in paragraph 1 must be supplemented  by one of the following: - Política commercial, - Handelspolitik,- AAìðïñéêÞ ðïëéôéêÞ, - Commercial policy, - Politique commerciale, - Politica commerciale, - Handelspolitiek. Article 74Where the products or goods referred to in Article 73 are placed under a customs  procedure or in a free zone after having been in a free zone or under one of the customs procedures  referred to in Article 18 (2) (a), (b) or (d) or in the second indent of Article 27 (1) of the  basic Regulation, the customs authority shall satisfy itself that the indications mentioned in  Article 73 (1) and, where appropriate, Article 73 (2), have been entered on the documents used for  the procedure or in the free zone. Article 751.  Where release for free circulation of the compensating products or the goods in  the unaltered state is requested in a Member State other than the one where use of the arrangements  was authorized or where the customs authority has to establish the amount of the security referred  to in Article 16 of the basic Regulation, the information sheet, hereinafter referred to as the  'INF 1 sheet` shall be used. It shall comprise an original and one copy on a form conforming to the  model and provisions set out in Annex X. 2.  For the purpose of calculating the import duties, and the compensatory interest, - to be indicated on the INF 1 sheet in respect of the products to which the sheet relates, or- to  be collected on other products in respect of which a customs debt has been or will be incurred, the products to which the sheet relates shall be deemed to have been released for free circulation  on the date on which the customs authority endorsed box 2 of the INF 1 sheet. Except where Article 76 (5) applies, the compensatory interest shall be indicated under heading 9  (b) of the information sheet. Article 761.  Where the release for free circulation of all or part of the compensating goods or  goods in the unaltered state referred to in Article 73 is requested, the customs authority  responsible for authorizing such release, using the INF 1 sheet endorsed by it, shall ask the  customs authority which authorized use of the inward processing arrangements to indicate: - the amount of import duties to be levied under Article 20 (1) or Article 27 (3) of the basic  Regulation, - the amount of compensatory interest to be levied under Article 62, - the quantity, CN code and origin of the imported goods used in the manufacture of the  compensating products released for free circulation. The said amount of import duties shall also reflect any difference between: - the amount of import duties determined by the application of Article 20 of the basic Regulation  or the amount of import duties refunded or remitted, and- the amount of import duties already  recorded or to be refunded or remitted. The original of the INF 1 sheet shall be transmitted to the customs authority which authorized use  of the inward processing arrangements, and the copy shall be kept by the customs authority which  endorsed box 2 of the sheet. 2.  Where the application for release for free circulation related to products or goods referred to  in Article 73 (2) and the specific commercial policy measures are to be applied in the Member State  where use of the arrangements was authorized, the customs authority responsible for authorizing  such release shall, using the INF 1 sheet endorsed by it, ask the customs authority which  authorized use of the inward processing arrangements to indicate whether the specific commercial  policy measures in force for goods entered for the said arrangements have in fact been applied. In  that case the original of the INF 1 sheet shall be transmitted to the customs authority which  authorized use of the inward processing arrangements, and the copy shall be kept by the customs  authority which endorsed the sheet. Where the INF 1 sheet is used to apply specific commercial policy measures, the authority receiving  it shall notify the holder of the authorization of the application. 3.  The customs authority to which the INF 1 sheet is addressed shall supply the information  requested in boxes 8, 9 and 10 of this sheet, certify and return the original. However, it shall  not be obliged to supply such information beyond the expiry of the period for which it is required  to keep records. 4.  Where the compensating products obtained from processing operations under the drawback system  are transferred to another Member State under cover of a T1 document or one of the documents  referred to in Article 7 of Regulation (EEC) N° 222/77 which may constitute supporting documents  for a request for repayment, and are the subject of a new inward processing application, the  customs authority of the other Member State responsible for issuing the new authorization, either  with the suspension system or with the drawback system, shall use the INF 1 sheet to determine the  amount of any import duties to be levied or the amount of the customs debt liable to be incurred. 5.  Where the INF 1 sheet is used to establish the amount of the security referred to in Article 16  of the basic Regulation, one of the following indications must be entered in box 2 of the INF 1  sheet: - Garantía- Sikkerhedsstillelse- Sicherheit- AAããýçóç- Security- Garantie- Cauzione-  Zekerheidsstelling- Garantia. 6.  The INF 1 sheet containing one of the indications listed in paragraph 5 may be used only for  the purposes of Article 16 of the basic Regulation. 7.  Should release for free circulation be requested where an INF 1 sheet has been made out under  paragraph 5, a new INF 1 sheet shall be endorsed in accordance with paragraphs 1 to 4. 8.  The acceptance of the declaration for release for free circulation shall imply the transfer of  the obligation to export the compensating products indicated on the INF 1 sheet from the holder of  the authorization to the person who has lodged the declaration. Article 771.  Where the compensating products obtained from processing operations under the  drawback system are transferred, without a repayment claim being submitted, to a Member State other  than the one where release for free circulation took place and are placed there, either in the  unaltered state or after further processing, under one of the customs procedures permitting  repayment or remission under Article 27 (1) of the basic Regulation, the customs authority in the  Member State where the products were placed under one of the procedures shall where necessary, at  the request of the person concerned, issue the information sheet referred to in paragraph 2. The said authority shall give the original to the person concerned and keep the copy. 2.  The information sheet known as the INF 7 sheet shall comprise an original and one copy on a  form conforming to the model in Annex XIII. The sheet shall be presented at the same time as the customs declaration used to confer the  required destination. TITLE VI FINAL PROVISIONS Article 781.  Regulation (EEC) N° 3677/86 is hereby repealed. 2.  References to the repealed Regulation shall be construed as references to this Regulation and  should be read in accordance with the correlation table in Annex XIV. Article 79This Regulation shall enter into force on 1 October 1991. This Regulation shall be binding in its entirety and directly applicable in all  Member States. Done at Brussels, 26 June 1991. For the CommissionChristiane SCRIVENERMember of the Commission(1) OJ N° L  188, 20. 7. 1985, p. 1. (2) OJ N° L 351, 12. 12. 1986, p. 1. (3) OJ N° L 77, 23. 3. 1991, p. 11. (1) OJ N° L 105, 23. 4. 1983, p. 1. (1) OJ N° L 179, 11. 7. 1985, p. 4. (2) OJ N° L 171, 29. 6. 1984, p. 1. (1) OJ N° L 62, 7. 3. 1980, p. 5. (2) OJ N° L 148, 28. 6. 1968, p. 13. (1) OJ N° L 370, 30. 12. 1978, p. 72. (2) OJ N° L 164, 24. 6. 1985, p. 6. (3) OJ N° L 310, 21. 11. 1985, p. 9. (4) OJ N° L 28, 5. 2. 1982, p. 38.  ANNEX I LIST OF GOODS (PRODUCTION AS ACCESSORIES) REFERRED TO IN ARTICLE 2 All goods,  which are not to be found in the compensating products, but which allow or facilitate the  production of compensating products, even if they are entirely or partially used up in the process,  with the exclusion of the following goods: (a)  fuels, energy sources other than those needed for the testing of compensating products or for  the detection of faults in import goods needing repair; (b)lubricants other than those needed for the testing of compensating products, their adjustment  or withdrawal; (c)equipment and tools.  ANNEX II MODEL APPLICATION FOR INWARD PROCESSING AUTHORIZATION APPLICATION FOR INWARD  PROCESSING AUTHORIZATIONDate: .............................. NB: The particulars should, if possible, be supplied in the order indicated. Information relating  to goods/products must be given for every type of goods/products concerned. Applicants shall be required to supply only such particulars as they may reasonably be expected to  know.  1. Name or business name and address: a)of the applicant: . . b)of the operator (¹): . .  2. Which system it is intended to use (²): a)suspension system: . . b)drawback system: . .  3. Special procedure applied for (²): a)equivalent compensation: . . . b)prior exportation: . . . c)triangular system: . . .  4. Goods to be processed and grounds for application: a)trade and/or technical description (³): . b)indication of combined nomenclature classification (%): . c)estimated quantity (¹): . d)estimated value (¹): . e)origin ((): . f)code ()): .  5. Compensating products and planned export operation: a)trade and/or technical description (³): . . . b)indication of combined nomenclature classification (%): . . c)main compensating products: . . d)planned export operation ( 7): . .  6. Rate of yield (§): . . .  7. Nature of processing operation: . . .  8. Place where the processing operation is to be carried out: .  9. Estimated time needed for: a)carrying out the processing operations (¹*): . b)disposing of the compensating products (¹¹): . c)procurement and transport to the Community of non-Community goods (¹²): . 10. Suggested method of identification: . . . 11. Indicate the customs office through which it is planned to carry out formalities relating: a)to the import goods: . b)to the compensating products: . 12. Intended duration of authorization (¹³): . 13. Equivalent goods (¹%): . . 14. Importer authorized to enter goods for the arrangements (¹¹): . . 15. Reference to any authorization issued in the preceding three years in respect of goods identical to  those covered by this application: . . Date: . Signature: . Notes (application)¹(¹)Where applicant and operator are not the same, give operator's  name/business name and address. ¹(²)Indicate the system and/or the special procedure intended to be used or applied for. ¹(³)The description should be sufficiently clear and detailed to enable the customs authority to  take a decision on the application, and in particular to decide in the light of information  supplied whether the economic conditions can be regarded as fulfilled and whether, in cases where  it is planned to use the equivalent compensation system, the conditions for use of that system are  fulfilled. ¹(%)For information: Only the four digit code need be given, unless an indication of the eight  digit code is required to enable the authorization to be issued or for the proper conduct of the  processing operations. The eight digit code must be given where it is planned to use the equivalent  compensation system. ¹(¹)This information is not required where the code indicated under (f) is one of the following  codes: 6101, 6301, 6302, 6201 or 6107. Where they are supplied, they may refer to an import  period. ¹(()State country of origin. ¹())Enter the appropriate code or other requisite information indicating why the essential  interests of Community producers are not affected: Where the operation concerned is one of the following: -job processing under a contract with a person established outside the Community (to be specified  in the application):code 6201-operation of a non-commercial nature:code 6202-repair of goods,  including overhaul or adjustment:code 6301-usual forms of handling listed in Directive  71/235/EEC (¹):code 6302-operations to be carried out successively in one or more Member States  using import goods covered by an authorization issued by virtue of codes 6101 to 6107:code  6303-operation relating to goods whose value per type of goods and per calendar year does not  exceed the amount indicated in Article 6:code 6400Where the goods to which the application  relates are not available in the Community: -either because they are not produced there:code 6101-or because they are not produced there  in sufficient quantity:code 6102-or because Community suppliers are unable to make them  available to the applicant within a reasonable time:code 6103Where goods of the same kind are  produced in the Community but cannot be used: -either because their price makes the proposed commercial operation uneconomic:code 6104-or  because they are not of the quality or characteristics necessary to enable the operator to produce  the required compensating products:code 6105-or because they do not conform to the  expressly-stated requirements of the non-Community purchaser of the compensating products (e.g. on  technical or commercial grounds):code 6106-or because the compensating products must be made  from the goods specified in the application in order to comply with provisions protecting  industrial and commercial property rights (e.g. patents, trade marks):code 6107Where Article 7  applies: point (a):code 7001point (b):code 7002point (c):code 7003Other reasons (specify):code  8000¹( 7)To be supplied where suspension system is applied for. Indicate export market prospects  for compensating products. ¹(§)Indicate the expected rate of yield or suggest how such rate should be established. (¹*)Indicate the average time likely to be needed to process a given batch (expressed e.g. by unit  or quantity) of goods. (¹¹)Indicate the time likely to elapse between completion of the processing operations and export  of the compensating products. (¹²)To be filled in only if it is planned to use the prior exportation procedure. (¹³)Indicate the period within which it is planned to import the goods to be processed. (¹%)To be filled in only if it is planned to use the equivalent compensation system. State the  eight digit code, commercial quality and technical characteristics of the equivalent goods, to  enable the customs authority to make the necessary comparisons between import goods and equivalent  goods and ascertain other particulars which may be needed if Article 10 is applied. (¹¹)To be filled in only if it is planned to use the triangular traffic system. Give the  importer's name or business name and address. (¹) OJ N° L 143, 29. 6. 1971, p. 28. MODEL INWARD PROCESSING AUTHORIZATION INWARD PROCESSING AUTHORIZATIONDate:  .............................. NB: The authorization must contain particulars of the application. Where information is supplied by  reference to the application, the application shall constitute an integral part of the  authorization. The particulars should if possible be supplied in the order indicated:  1. Name or business name and address: (a)of the holder of the authorization: . . (b)of the operator (¹): . .  2. System authorized (²): (a)suspension system: . . (b)drawback system: . .  3. Procedure (²): (a)equivalent compensation: . . . (b)prior exportation: . . . (c)triangular traffic: . . .  4. Goods to be processed (³): (a)trade and/or technical description: . . (b)indication of combined nomenclature classification: . . (c)estimated quantity: . (d)estimated value: .  5. Compensating products (³): (a)trade and/or technical description: . . . (b)indication of combined nomenclature classification: . . (c)main compensating products: . .  6. Rate of yield or method by which the rate will be established (%): . . .  7. Nature of processing operations: . . .  8. Place where processing operation is to be carried out and storage premises: .  9. Time allowed for placing under a customs procedure specified in Article 18 or 27 of the basic  Regulation (¹): . . 10. Time allowed for entering non-community goods for the arrangements ((): . . . 11. Approved means of identification: . . . 12. Name of customs authority empowered to check on: (a)import goods: . (b)the disposal of products for the purposes of Article 18 or 27 of the basic Regulation: . (c)conduct of the processing operations: . 13. Period of validity ()): . . 14. Equivalent goods ( 7): . . 15. Importer authorized to enter goods for the arrangements (§): . . 16. Date for review of economic conditions (¹*): . Date: . Signature: . Notes (authorization)¹(¹)Where the holder of the authorization and the operator are not the same,  give operator's name/business name and address. ¹(²)Indicate the system authorized and/or the procedure. ¹(³)Particulars to be supplied as necessary to enable customs offices to check on use of the  authorization, with particular reference to approved or expected rates of yield and having regard  in respect of quantity and value to the economic conditions cited. Quantity and value may be stated  in terms of a given period of importation. Where reference is made to compensating products,  distinguish between main and secondary compensating products. ¹(%)State rate of yield or indicate how the customs authority empowered to check on the proper  conduct of the processing operations is to determine rate of yield. Where the yield is to be that  shown in the accounts of the holder of the authorization, enter 'holder`s accounts'. ¹(¹)Indicate the time needed to process a given quantity of import goods and dispose of the  corresponding compensating products. ¹(()to be filled in if the prior exportation procedure is to be used. ¹())Where circumstances allow the granting of an authorization for a period longer than two years,  enter in section 13 the period of validity or the words 'unlimited validity`, as appropriate,  accompanied by the review provision referred to in section 16. ¹( 7)To be filled in only if it is planned to use the equivalent compensation system. State the  eight digit CN code commercial quality and technical characteristics of the equivalent goods. ¹(§)To be filled in only if use of the triangular traffic system is authorized. Give the  importer's name or business name and address. (¹*)See note ()).  ANNEX III GOODS WHOSE TOTAL VALUE FOR THE PURPOSES OF ARTICLE 6 (4) OF THE BASIC  REGULATION MUST NOT EXCEED 100 000 ECU >TABLE> ANNEX IV   SPECIAL PROVISIONS CONCERNING EQUIVALENT COMPENSATION AND PRIOR EXPORTATION  FOR CERTAIN TYPES OF GOODS   1.  RiceRice classified under CN code 1006 shall not be deemed  equivalent unless it falls within the same eight digit subheading of the combined nomenclature.  Nevertheless, for rice with a length not exceeding 6,0 mm and a length/width ratio equal to or more  than 3 and for rice with a length equal to or less than 5,2 mm and a length/width ratio equal to or  more than 2, equivalence shall be established by determination of the length/width ratio only. The measurement of the grains shall be done in accordance with Annex A (2) (d) to Council  Regulation(EEC) No 1418/76 of 21 June 1976 on the common organization of the market in rice (¹). 2.  WheatEquivalent compensation may not be used between common wheat classified under CN code  1001 90 99 and harvested in the Community, all durum wheat classified under CN code 1001 10 90 and  harvested in the Community, and imported wheat falling within the same subheadings of the combined  nomenclature and harvested in a third country. However, after consulting a group of experts consisting of representatives of the Member States  meeting in the framework of the committee for customs procedures with economic impact, the  Commission may decide to derogate from the prohibition of recourse to equivalent compensation for  the abovementioned products. (¹) OJ N° L 166, 25. 6. 1976, p. 1.  ANNEX V STANDARD RATES OF YIELD >TABLE> ANNEX VII COMPENSATING PRODUCTS TO WHICH SPECIFIC DUTIES MAY APPLY UNDER THE FIRST  INDENT OF ARTICLE 21 (1) (a) OF THE BASIC REGULATION >TABLE> ANNEX VIII Member State: . INWARD PROCESSING RELIEFARRANGEMENTSReturn of information as required by Article 72 (3) (a)  ofRegulation (EEC) N°     /  Year: Authorizations grantedduring the month of . (Return to be submitted not later than the end of the month following the end of the calendar month  in question)>TABLE> ANNEX IX Member State: . INWARD PROCESSING RELIEFARRANGEMENTSReturn of information as required by Article 72 (3) (b) of  Regulation(EEC) N°     /  Year: Applications rejectedduring the month of . (Return to be submitted not later than the end of the month following the end of the calendar month  in question)>TABLE> ANNEX XII  EXAMPLES OF MONTHLY AND QUARTERLY AGGREGATION  Combined application of the  following provisions: - Article 14 (2), second paragraph of the basic Regulation, - Article 27, 50 and 63 of the implementing Regulation. The examples given below are based on the following assumptions: (a)  that the inward processing arrangements (suspension system) have been authorized in accordance  with Article 8 of the implementing Regulation; (b)that a general authorization for release for free circulation in accordance with Article 47 has  been issued; (c)that the import goods, whether in the form of goods in the unaltered state or of compensating  products, are put on the Community market in accordance with Article 50 of the implementing  Regulation; (d)that the time limit for re-exportation when placing the goods under one of the customs  procedures referred to in Article 18 of the basic Regulation ist, for the example given, three  months. >TABLE>Example A: monthly aggregationThree consignments of goods entered for the  arrangements in January are to be aggregated (1, 15 and 31 of the month). The time limit for re-exportation for all these consignments is 30 April; the deadline for  presentation of the bill of discharge in accordance with Article 63 of the implementing Regulation  is then 30 May. The duties on import goods or compensating products put on the Community market specified in  Article 50 must be paid no later than 30 May possibly on the basis of a summary declaration in  accordance with Article 63 (4) of the implementing Regulation. The items of charge for the goods or  products are determined on the basis of Article 20 of the basic Regulation or Article 21 of that  Regulation if applicable. The date taken into consideration is 30 April. Example B: quarterly aggregationNine consignments of goods entered for the arrangements in the  course of a quarter are to be aggregated: - 1, 15 and 31 January, - 1, 15 and 28 February, - 1, 15 and 31 March. The time limit for re-exportation for all these consignments is 30 June; the deadline for  presentation of the bill of discharge in accordance with Article 63 of the implementing Regulation  is then 30 July. The duties on import goods or compensating products put on the Community market specified in  Article 50 must be paid no later than 30 July possibly on the basis of a summary declaration in  accordance with Article 63 (4) of the implementing Regulation. The items of charge for the goods or  products are determined on the basis of Article 20 of the basis Regulation or Article 21 of that  Regulation if applicable. The date taken into consideration is 30 June.  ANNEX XIV CONCORDANCE TABLE >TABLE>