CELEX: 51980PC0264
Language: en
Date: 1980-05-27 00:00:00
Title: RECOMMENDATION FOR A COUNCIL DECISION CONCERNING THE CONCLUSION OF THE AGREEMENT BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND SWEDEN NEGOTIATED UNDER ARTICLE XXVIII OF THE GATT IN RESPECT OF CERTAIN HORTICULTURAL PRODUCTS (presented by the Commission to the Council)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (80) 264
Vol. 1980/0101
 ---pagebreak--- Disclaimer
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 ---pagebreak---     COM     SSI ON
                                                              Brussels , 27 nd May 1980
      Of   THE
ROPGAN COMMUNITIES                                            FOR OFFICIAL USE ONLY
  Genera' Sccretciat
                              RECOMMENDATION FOR A COUNCIL DECISION
                     CONCERNING THE CONCLUSION OF    THE AGREEMENT BETWEEN
                          THE EUROPEAN ECONOMIC COMMUNITY   A NO SWEDEN
                             NEGOTIATED UNDER ARTICLE XXVIII OF THE GATT
                         IN RESPECT OF CERTAIN HORTICULTURAL PRODUCTS
                          ( presented by the Commission to the Council )
             S
          C0M(80 > 264 final
 ---pagebreak---                               EXPLANATORY MEMORANDUM
The negotiations initiated by Sweden with the Community under Article XXVIII
of GATT have produced a satisfactory agreement .
Under this agreement , the Community is authorizing Sweden to amend certain
tariff concessions on horticultural products which Sweden had bound under
GATT . In return , Sweden has agreed to a number of new concessions for
Community horticultural products .
 ---pagebreak---                CONCLUSION OF AN AGREEMENT RESULTING FROM THE NEGOTIATIONS
                   INITIATED WITH SWEDEN UNDER ARTICLE XXVIII OF GATT
                       ( Commission communication to the Council )
The Commission is hereby presenting to the Council :
i.   a report on the results of the negotiations initiated with Sweden under
     Article XXVIII of GATT on the amendment of Swedish tariff concessions on
     certain horticultural products ( Annex I );
ii . a draft agreement , and annexes thereto , negotiated between Sweden and the
     Community under Article XXVIII of GATT ( Annex III ).
At its meeting in Geneva on 18 March 19^0 , the Article 113 Committee delivered
a favourable opinion on the results of the above negotiations .
                                                              χ
The Commission recommends that the Council approve the agreement , and annexes
thereto , which have been initialled with Sweden ( Annex III ).
To that end it is presenting a draft decision concluding the agreement
( Annex II ) .
 ---pagebreak---                                                                       ANNEX I
                                         REPORT
             ON THE NEGOTIATIONS WITH SWEDEN UNDER ARTICLE XXVIII OF GATT
              ON THE AMENDMENT OF THE SWEDISH CONCESSIONS IN RESPECT OF
                                 HORTICULTURAL PRODUCTS
 1 . Sweden has amended Chapters 6 , 7 and 8 of its customs tariff ( horticultural
     products ), concerning certain specific duties into " ad valorem" duties and
     at the same time increasing such duties , in some cases substantially .
     In the case of products the customs duties on which are not bound under
                                                                               <
     GATT , this amendment took effect on 1 February 19°0 . Application of the
     new tariff in respect of products the customs duties on which are bound
     under GATT was suspended pending completion of the Article XXVIII
     negotiations .
                                                              χ
                                 Λ
2 . On 10 July 1979 the Swedish Permanent Mission in Geneva communicated to the
     Director General of GATT its intention of amending , pursuant to
     Article XXVIII ( 5 ) of the General Agreement on Tariffs and Trade , certain
     concessions covered by the XXX - Sweden schedule , concerning horticultural
     products .
3 . In this communication , Sweden indicated its willingness to initiate
     negotiations or consultations in accordance with Article XXVIII of GATT .
     The European Community , in turn , stated its rights and its intention of
     entering into negotiations with Sweden ; Sweden replied that it was
     prepared to initiate negotiations or consultations with the European
     Community pursuant to the above Article .
                                               r
4 . Since the end of October last, year , there has been a series of negotiations
        \
     and consultations with the Swedish authorities ;   the members of the ,
     Article 113 Committee have either taken part or been kept regularly
     informed by the Commission .
                  \
 ---pagebreak---                                                                      ANNEX If ?)
These negotiations encompassed , firstly , the compensation the Community
should receive from Sweden under Article XXVIII of GATT following the
amendment of the concessions contained in the XXX - Sweden schedule and ,
secondly , a bilateral undertaking by Sweden to the Community as regards the
stabilization of customs duties not bound under GATT on ornamental plants
 ( the products most affected by the increased charges ).
Compensation agreed on during the negotiations under Article XXVIII of GATT
The main problem during these negotiations was to achieve adequate
compensation in the horticultural sector of real interest to the Member
States of the Community affected by the amendment of the Swedish
concessions , including in particular , arrangements for imports of tomatoes
and cucumbers into Sweden .
After difficult negotiations , Sweden finally made an offer that the
Community found to be satisfactory and acceptable in terms of both quantity
and quality .
The EEC 's proposals and the Swedish offers of compensation are compared
below ( for details , see Annex I ):
                                                     volume of trade
                                                     ( Average 1976 /77 /78 )
EEC requests                                         SKr    89.4 million
Compensation ( within horticultural sector )       • SKr   143.5 million
Stabilization of unbound customs duties
An agreement concerning a bilateral undertaking by Sweden on the
stabilization of customs duties not bound under GATT for ornamental plants
impbrted from the Community was obtained and recorded in the minutes ( see
Annex III ).
 ---pagebreak---                                                                    ANNEX I (?)
8 . Accordingly , at its meeting in Geneva on 18 March , the Article 113
    Committee gave an opinion in favour of concluding the negotiations on this
    basis .
9 . The documents embodying the results of the negotiations were initialled on
    18 March .
 ---pagebreak---  ANNEX 1
                                                                                         Customs duties          *                              Swedish imports        1 η c (* } or deer . (-
                                                                                                                        Customs duties          from EEC               in amount
  Tariff heading                                              Description              currently bound                                                                 coll ected
                                                                                                                                offered         Av. 7 6/77/78
                                                                                          (SKr /1 00 kg)                                        SKr » 000                  SKr '000
                                          1 . COMMUNITY REQUESTS taking account of Sweden's offer to rebind these products
         có .^:. 05                        1 - Bulbs etc. imported with earth                          i>0               :\                   a                              ♦ ¿ 7,0'· :
        07 . r . 701                       1 . Tomatoes 1 6 /5 to 31 /10
                                          ex 16/5 to 31/ 5                                             50                                               4 . ·? .' j          -¿ j:,7.:e
                                                                                                                          17 /· KU;. CHARGE.
                                           ex I/ o to 3C/ o                                                                                           12.U0C                 + 55?·5-*ί-
                                                                                                                       ) of SKr5o/ioo kg
                                           ex 1/ 7 to 30/ '9                                           50              17 '>i Kin. CHARGE             23.319              + l.ój4,:iCU
                                                                                                                       of SKr 70/ 100 k~
                                           ex 1/ 10 to 31/ 10                                          50              17 ,Ό HI:;. CHARGE,              4.222                     -
                                                                                                                       of SKr 50/ 100
 ex 07.01.7c2                             Tomatoes 1Ó/ 4 to 15/ 5                                      ¿ 'e            10               CHARGE  -    20. COO            + 2 . CX . KO
                                                                                                                       of SKr 50/ΐου
        W'ivi· f ? A                      Asparagus          1/5 to ¿0/6                              100              14 /i                                     4             + 0 , ιύο
                                          Mushrooms ·                                                  "Ü              10 ¡ /o                          1 . 159              - 23 , UD
 ex 07.01.2^/29 ^ Red beetroot                                                                        Ztr               5>                                  9 ¿2
       07.::.::4 }               ^ *
                                          Other vegetables 1/ 5 to 30/11                                               10 ¡ >j                          7 . £31              + 93 , í'V
        r· Ζ
        V ~
                   ·*··
                  ^ l · _
                           * r* ■»
                                 _        Cherries · i-¡5 to 2l/7                                      ^Γ
                                                                                                      w «               5 ·/ '                          3.421       '■       + 34.2 :
                           401            Plums          ió/ 7 to jC/ 9                                                15 V                             1····»ο                 4 j ÍJ'V
       C· ?. Cc . 201              )                                                                 4CC
                          2C2      >
                                          Strawberries 1 /6 to 31 /8                                                   14 /Ó                            7.773                * 77 1 Ί:>-·
 CX C:.i:.CC9                             Cherries in sulphur water                                    3'S
                                          16/ 6 to 31 /7                                                              Λ 5 ~r*                               -                    -
                                          II . COMPENSATION OFFERED BY SWEDEN                                      I       Total 1
                                                a) [ rr-pr o ve^ient in Swedish bindings
       O / . C 1.               .*      , Caul i fl overs 1 /12 to- 30/4                               10                           free               ?. 729
ex Cô . ^                              ' Roses 1 /12 to 31 /1                        ' '             500                            free               4.43 : ( 1 )
      ΟΌ · 'ν'Ι · Ο (.2                | ... unplanted, in flower or .in
                                       ' bud                                                         500                      SKr 350/ico :<*!
                                                                                                                         Total II a )
                                                b ) Ifnprovercents in unilateral preferentìal concessions
                                                    H^eed by eXCtian9e °T , 6tt?rSj Customs duties
               31.010                     Mushrooms                                       currentl y aopl î ed                          EEC
                                                                                                      iO                       free     PRET.       (1 .1 : 9 )           -    23,1*0
                                          Fresh grapes 1 /7 to 31 /10                                 EEC                               EEC
                                                                                           6,2 5                               free
                                                                                                      PREF.                             PREF.
                                          c) New bi ridings                                                             Total II b )               14.1.'
     Co.C2.C05
                                     , Ornamental plants other than azaleas ,
                                          ericas , camel i as and rhododendrons
                                                                                                       S Jfe                  10 >                 79.3 ;:
    07 . c..: ex.:  ez..yo   93           Chinese cabbage 1 /1 to 29 /2                           free                        free
    C7.C : ; ^ çç                         Other cabbages 1 /1 to 2C'/2                            free                        free
    07.c..-;3                        1 Other cabbages 1 /3 to 31 /12                                 20 , 0 ,»               20 -i                   3 • i-C
       I' » ν · ·'■ » V· 1/
                          - τ
                             1            Cucumbers 1 /5 to 30/4                                    20,0 £                   30
                                     I                                                                                                               i • •' ; -
                                          Cucumbers 1 /5 to 30/6                                    20,0 >i          'Ο '/■>     κΐί«· 0ΚΑΡ6Ε       2.1 i :
                                              \                                                                       οί 2ΚΓ ^ 0/ 100 κ;-
                                          Cucumbers 1 /7 to 30/9                                   20,0            îo > :.u . CHARGE .              3· ο£θ               * 254.C2C
                                                                                                                      of SKr 70/ icc :<c
   07.Cl.tC2                              Cucumbers 1 /10 to 15/3                                fre •*»                     fJ' CO                  (*t 'OO
   C7 . C i.PCo                           Other cucumbers 1 /10 to 15/5                          fr --                       freo                       7"0
   (. 7 . Ci .-; 4                        Artichokes 1 /7 to 30/11                                  10 /*                    10 P
x          ci .                           Artichokes 1 /5 to 30/(3                                 lo                        free                   i.150
   c ?.                                   Frozen carrots                                            M .»
                     ;:2                                                                                                     16,0
                                          Frozen peas                                              -      /"                1-J.0     "
                     COi
                     0' !4
                                          Frozen carrots and peas , mixed                          iw ..»                   !:••,<>
                                          Frozen beans                                             l'y ,7                   16,0
                    c^ ;
                    O. o
                                          Frozen spinach                           ,               î .; ■-                  16,0
                                          Frozen broccol i                         j               i      ( > y»           10,0                         6C'."!
                        . <>              Dried tomatoes , french beans X onions                     1,0                      3,0                  3 . ôs -
                                          Other dried or dehydrated vegetables ,
                                          apart from potatoes .                    j
  ce . - : ro                             Honeydew melons and cantalouces
                                          16/ 6 to 30/9                            I
                                                                                                  16,0                     iO t G
  O-.CJ . T •                             Other melons 16/6 to 30/9                I
                                                                                                                          J~,0
 ---pagebreak---                                                                     ANNEX II
                       RECOMMENDATION FOR A COUNCIL DECISION
        concerning the conclusion of the Agreement between the European
        Economic Community and Sweden negotiated under Article XXVIII of the
                 GATT in respect of certain horticultural products
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community , and
in particular Article 113 thereof ,
Having regard to the recommendation from the Commission ,
                                                          χ
Whereas Sweden , pursuant to Article XXVIII of the General Agreement on Tariffs
and Trade ( GATT ), has announced its intention of unbinding tariff concessions
on certain horticultural products of which the European Economic Community is
the principal supplier ;
Whereas the Commission has initiated negotiations with Sweden under         "
Article XXVIII of GATT , and has reached an agreement with Sweden that is
considered satisfactory ;
HAS DECIDED AS FOLLOWS :
                                     Article 1
The Agreement between the European Economic Community and Sweden negotiated
                                            f
under Article XXVIII of GATT in respect of certain horticultural products is
hereBy approved on behalf of the Communitv .
                                                                        \
The text of the Agreement is annexed to this Decision .
 ---pagebreak---                                                                    ANNEX 11(2 ;
                                   Article 2
The President of the Council is hereby authorized to designate the person
empowered t© sign the Agreement in order to bind the Community .
Done at Brussels ,                                   For the Council
                                                     The President
 ---pagebreak--- annexe HJL
                :               PROCES-VERBAL
           1 . The Delegation of Sweden - and the Commission of the European
               Communities have concluded their negotiations under Article
               XXVIII for the modification of concessions regarding
               certain horticultural products provided for in schedule
               XXX-SWEDEN with the following agreement :
               The concessions included in Schedule XXX-SWEDEN and set out
               in part A of annex I shall be replaced by
               ( a ) the concessions to' be bound in the GATT as set out in
                     part B of annex I
               ( b ) the autonomous concessions , granted by Sweden to the
                     European Economic . Commun i ty as set out in the draft'
                     letter attached  ( annex II ).
               The provisions contained in this paragraph shall enter into
               force on the same date .
           2 . In connection with these negotiations -under article XXVIII
               of the GATT , the parties have discussed the customs tariffs
               in Sweden regarding certain horticultural products falling
               under chapters 6,7 and 8 of the customs nomenclature not
               bound   in the GATT .
               Sweden agrees to inform the EEC if it is envisaged that
               Sweden will for the items 06.02.005 and 06.02.007
               ( ornamental plants other than azaleas , ericas , camelias
               and rhododendrons ) modify its import system , including
               increase of the duty-rates above the level applied on
               February 1 , 1980 .
               The parties agree , upon request , 'to enter into consultation
               if difficulties might arise for these two items and shall
               endeavour to seek appropriate solutions .
               These consultation shall be held in the framework and in
               accordance with article 1 5- of the agreement between Sweden
               and the-EEC of July 22 , 1972 .
               Geneva ,
               On behalf of the Delegation            On behalf of the Delegation
               of Sweden                              of the Commission of the
                                                      European Communities
 ---pagebreak---            RESULTS OF NEGOTIATIONS BETWEEN
        SWEDEN AND THE EUROPEAN COMMUNITIES
                        UNDER
       ARTICLE XXVIII FOR THE MODIFICATION OF
        CONCESSIONS   IN SCHEDULE XXX - SWEDEN
CHANGES          IN    SCHEDULE         XXX    -  SWEDEN
NOTE : THE CONCESSIONS LISTED IN PART " A " SHALL
BE REPLACED BY THOSE LISTED IN PART " B " . ANY .
         1         •»
ITEM LISTED IN ANNEX " B " CONFERS UPON THE
EUROPEAN COMMUNITIES INITIAL NEGOTIATING RIGHTS .
 ---pagebreak---                                                     PART  A
                        »                        *         ,
      Tariff                                                                   Rate of Duty
       Item                             Description of Product                 " Bound   in
      Number                                                                Existing Schedule
                                                                     -
-     Ex 06.01            •  ·  ·  ·  ·
              -
                          Imported with earth :
                                   Other                                    kr 50 per 100 kgs
      Ξχ 07.01            .....
                          Tomatoes          :
                                   From May 16 to October 31                Kr 50 per 100 kgs
                                   From April 16 to May 15                   Free
                          Asparagus :·
            •
                                   From May 1 to June 30                    Kj" 100 per 100 kgs
    »                     Champignons              ¿                         Kr 75 per . 100 kgs
                          Red beets            :                                              •
                                   Freshly gathered ( new >, delivered
                                   from January 1 to June 30                 Kr 20 per 100 kgs
                                   Other                                     Kr 10 per 100 kgs
                ft
                       " Other vegetables than potatoes .
  •
                          edible roots , garlic , onions ,             •                         «
                          shallots , cabbages , leguminous
                          vegetables , tomatoes , mushrooms .
                          truffles , asparagus , cumcumbers .
                     "
                           lettuces and sweet peppers :
                                    From May 1 to November 30                Kr AO per 100 kgs
      Ex 08.07
                          Cherries           :
                                    From June 16 to July 31                  Kr 30 per 100 kgs
                          Plums           :                    ,
                   •
                                    From July 16 to September 30             Kr 35 per 100 kgs
      Ex 08.08 *           •  ·  ·  ·  ·
                                         i
                          Strawberries :
                                                                         ...
                                    From June 1 to August 31                 Kr 100 per 100 kgs
      Ex 08.11             •  ·  ·  ·  ·
                           Cherries , in sulphur water :
                                     From June 16 to-July 31                 Kr 35 per 100 kgs
 ---pagebreak---                            PART         B
                           Description of 4         Concession
Tariff Item Number         Products                 Rate of Duty
06.01
                              Imported
                              without earth :
          002                     In flower or
                                . in bud            Kr 350 per 100 kgs
                              Imported with earth :
          005                     Other                   8 %
06.02
                              Ornamental plants ,
                              other than azaleas ,
                      *       ericas , camelias .
                              and rhododendron :
          005                     Other than plants
                                  grown in pots          10
06.03
                           Fresh :
                              Roses :
       ex 012                     From December 1
                                  to January - 31        Free
07.01
          294              Red beets                      5 %
          295
               Λ         .  .
                           Caulif lowers :      -
          4 23 •                  From December 1
                                  to Apnl 30             Free
The statistical numbers are those valid on February 1 , 1980 ,
 ---pagebreak---                             Description of          Concession
Tariff Item Number          Products                Rate of Duty
07.01                       Chinese cabbage :
( cont'dl • 49S                   From January 1
                                  to February 29         Fr ee
                             Other cabbage ( other
                             than white and red
                             cabbage , kale and
                             Brussels sprouts )
             498                  From March 1
                                  to December 31         20
             499                  From January 1
                                  to February 29          Fr ee
                             Tomatoes :
         ex 702                   From April 16                              1 )
                                  to May 15               1 0  % min . Kr 50
         ex 701
                                                                 per 100 kgs
         ex 701                   From May 16                                1 )
                                  to June 30              17     min . Kr 50
                                                                 per 100 kgs
         ex 701                    From July 1                               1 )
                                   to September 30         17 % min . Kr 70
                                                                 per 100 kgs
         ex 701                    From October 1                             1 )
                                   to October 31           17 % min . Kr 50
                                                                 per, 100 kes
                                                           10  %
              610             Champignons
                              Asparagus :
              751                  From May 1
                                   to June 30              1 4
                              Cucumbers : -
                                Snake cucumbers
          ex 801                   From March 16
                                   to April 30             20
       *  ex 801            " .     From May 1                                 1 )
                                    to June 30              20 % jnin . Kr 50
                  t                                               per 100 kgs
          ex 801                    From July 1                                1
                                    to September 30         20 % min . Kr 70
                                                                  per 100 kgs
   1
      The minimum rates may be adjusted in relation to the developmen
      of the production costs for these products in Sweden . However ,
      this adjustment should not in any case exceed the development of
      the level of the cost -of -living index in Sweden during the same
      per iod .
 ---pagebreak---                           Description of          Concess ion
                          Products                Rate of Duty
Tariff Item Number
07.01
( cont'd ) •
             p802
               n9      *         From October 1
           '                   ' to March 15 .           Free
                              Other :
         ex 806                  "<• October 1
                                 to May 15               Free
                           Globe artichokes :
              904                From July 1
                                 to November 30          10 %
          ex 905                 pom   May 301
                                 to June
                            Other vegetables than
                            potatoes / edible roots ,
                            garlic , onions , challots ,
                            cabbages , leguminous. -
                            vegetables , tomatoes ,
                            mushrooms , truffles , aspa­
                            ragus , cucumbers , lettuces
                            and sweet peppers :
                304               From May 1
                908               to November 30              '0
     07.02
                00.1        Carrots , peas , beans and
                 002        spinach ; carrots and peas ,
                 003        mixed                             16
                 004
                 005
                                                              1 0
                 006 '       Broccoli
      07.04
                 002         Other ( other than garlic
                 009 1   . > and potatoes )
      08.07
                             Cher r les :
                  101               From June 16
                                    to July 31
                             Plums :
                  401               From July 16
                                    to September 30            '
      08.08
                              Str awber r ies :
                  201               From June 1
             ex 202                 to August 31                '4
 ---pagebreak---                                                          4
Tariff Item Number Description of           Concession
                   Products                 Rate of Duty
08.09
                   Melons :
         103            From June T 6
         104            to September 30          18
08.11
                   Cherries , in sulphur water :
      ex 009            From June 16
                        to July 31                5 %
                                                           A
 ---pagebreak--- SWEDISH DELEGATION                                                Annex  II
                                       Brussels ,            1980
                    Mr. Director General ,
                     I have the honour to inform you that , with reference
                    to the Agreement between the Community and Sweden of
                    21 July , 1972 , and in particular Article 15 thereof
                    whereby the contracting parties declared their
                    readiness to foster , so far as their agricultural
                    policies allow , the harmonious development of trade
                     in agricultural products , Sweden is granting to the
                    Community on a unilateral basis and with effect from
                     1 July 1980 the following tariff concession :
                    Swedish,*. Customs      Description of        Concession
                    Tariff Item Number      Products              Rate of Duty
                    07.01.610               Champignons              8 %
                    08.04                   Grapes , fresh :
                           101                    From July 1 to     Free
                                                  October 31
                    This concession is additional to those included in
                    the letter of 21 July , 1972 , from the Head of the
                    Swedish Delegation , Ambassador S. Astrom , to the
                    Head of the Delegation of the Community , Mr , E.P.
                    Wellenstein .
                    Accept , Mr. Director General , the assurances of my
                    highest consideration .
                    I
                    λ
                    Bengt Rabaeus
                    Ambassador
Sir Roy Denman
Director General
The Commission of
the European Communities
BRUSSELS