CELEX: 51987PC0244
Language: en
Date: 1987-05-26
Title: Proposal for a COUNCIL REGULATION on special arrangements for imports of maize and sorghum into Spain for 1987 to 1990 ) (presented by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (87) 244
Vol. 1987/0155
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983 concernant
l'ouverture au public des archives historiques de la Communauté économique européenne et de
la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983, p. 1) modifié en dernier
lieu par le règlement (UE) 2015/496 du Conseil du 17 mars 2015 (JO L79 du 25. 3.2015, p. 1), ce
dossier est ouvert au public. Le cas échéant, les documents classifiés présents dans ce dossier
ont été déclassifiés conformément à l'article 5 dudit règlement ou sont considérés déclassifiés
conformément aux articles 26(3) et 59(2) de la décision (UE, Euratom) 2015/444 de la
Commission du 13 mars 2015 concernant les règles de sécurité aux fins de la protection des
informations classifiées de l'Union européenne.
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983 concerning
the opening to the public of the historical archives of the European Economic Community and the
European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as last amended by Council
Regulation (EU) 2015/496 of 17 March 2015 (OJ L 79, 27.3.2015, p. 1), this file is open to the
public. Where necessary, classified documents in this file have been declassified in conformity
with Article 5 of the aforementioned regulation or are considered declassified in conformity with
Articles (26.3) and 59(2) of the Commission Decision (EU, Euratom) 2015/444 of 13 March 2015
on the security rules for protecting EU classified information.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1. Februar
1983 über die Freigabe der historischen Archive der Europäischen Wirtschaftsgemeinschaft und
der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983, S. 1), zuletzt geändert durch die
Verordnung (EU) Nr. 2015/496 vom 17. März 2015 (ABI. L 79 vom 25.3.2015, S. 1), ist dieser Akt
der Öffentlichkeit zugänglich. Soweit erforderlich, wurden die Verschlusssachen in diesem Akt in
Übereinstimmung mit Artikel 5 der genannten Verordnung freigegeben; beziehungsweise werden
sie auf Grundlage von Artikel 26(3) und 59(2) der Entscheidung der Kommission (EU, Euratom)
2015/444 vom      13.   März 2015     über die   Sicherheitsvorschriften für den Schutz von  EU-
Verschlusssachen als herabgestuft angesehen.
 ---pagebreak---  COMMISSION OF THE EUROPEAN COMMUNITIES
                                                    COM(87 ) 244 final
                                                    Brussels, 26 May 1987
                                 Proposai for a
                               COUNCIL REGULATION
     on special arrangements for imports of maize and sorghum into Spain
                                for 1987 to 1990
                                                     )
                        ( presented -•Ьу^ he Commission )
                                 by the Commission)
                                       ζο I ιο
C0M(87 ) 244 final
 ---pagebreak---                                                г                                     l v?
                                       EXPLANATORY MEMORANDUM
 In an agreement between the European Economic Community and the United States of
 America concerning the conclusion of negotiations under Article XXIVC6 ) of the
 General Agreement on Tariffs and Trade ( GATT ), approved by a Council Decision
 adopted   on 30 ^January 1987, the Community undertook, in respect of the years from
  1987 to 1990, 5open annual import quotas into Spain for 2 million tonnes of maize       and
 300 000 tonnes of sorghum , minus any imports of certain grain substitutes during
 the same years .
 This draft regulation lays down detailed rules of application of the above agreement ,
 which can be implemented :
      either under a system for reducing the levy applicable to maize and sorghum
      imports ;
-     or by direct purchase    of the relevant cereals on the world market .
 As regards the reduced levy arrangement,    it is stipulated that this         will apply
under the import licences system , it being understood , however , that the import
 licences with levy reduction will be valid only in Spain .       For administrative
 reasons , it may also be stipulated that the import licences with reduction will be
 issued only Spain .
The amount of the reduction is to be fixed according to the management committee
procedure ( Article 26 of Regulation ( EEC ) No 2727 / 75 ) at a level enabling disturbance
of the Spanish market to be avoided .        It is stipulated that the reduction may also
be fixed by a tender procedure .
It is also stipulated that the reduction can be differentiated for imports of maize
and sorghum into Spain from the ACP countries , which already enjoy preferential
treatment under Council Regulation ( EEC ) No 486 / 85 on the arrangements applicable to
agricultural products originating in these countries .
In the case of execution of the agreement by direct purchase        on the world market ,
        the Spanish intervention agency will be resDonsible for the practical execution
of the operation .     The use of the direct purchase procedure will be decided
according to the management committee procedure . Direct purchase is entirely financed
by the Community .
Imports of maize and sorghum under the agreement at preferential terms could , however ,
interfere with the single Community market-For unprocessed cereals, a solution could
be found by stipulating that the reduction will be granted in fact only when proper
evidence is given that the relevant cereals have actually been processed or used in
Spain .     A security system could underpin this obligation . On the other hand , the
problem remains open for products derived from maize or sorghum exported from Spain ,
which cannot be subjected to an administrative control system .         Accordingly , for
the latter products , a clause has been included to the effect that where the markets
are disturbed a contervai ling duty can be introduced , under the management committee
procedure , on exit from Spain .
 ---pagebreak---                                                                                           ♦
                                                  3
                                 PROPOSAL FOR A COUNCIL REGULATION
             on special arrangements for imports of maize and sorghum into Spain
                                     for 1987 to 1990
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community, and in
particular Article 43 thereof .
Having regard tothe proposal from the Commission ,
Having regard to the opinion of the European Parliament ,
Whereas , under an agreement between the European Economic Community and the United
States of America concerning the conclusion of the negotiations under Article XXIV{6 )
of the General Agreement on Tariffs and Trade ( GATT ), approved by a Council
Decision of - 87 / 224 / EEC ,          the Community undertook , in respect of the years
1987 to 1990 , to open annual quotas for imports into Spain of 2 million tonnes of
maize and 300 000 tonnes of sorghum , minus the quantities of certain grain
substitutes               imported into that country during the same year , either directly
or indirectly ; whereas the quantities of maize and sorghum imported must be used
or processed in Spain ;
   Whereas the implementation of the agreement referred . to above can be contemplated
either under a levy reduction system or by direct purchases on the world market ;
whereas this agreement , motivated by the accession of Spain to the Community , is
a transitional measure ; whereas , however , imports of maize and sorghum into
Spain effected under the said agreement at preferential terms are liable to interfere
with the single Community market ; whereas , to overcome this difficulty , appropriate
measures must be approved , including the possibi lity of applying a countervailing
duty        to processed products exported either to non-member countries or to the
rest of the Community ;
Whereas Council Regulation ( EEC ) No 486 / 85 of 26 February 1985 on the arrangements
applicable to agricultural products and certain goods resulting from the processing
of( ACPagricultural  products originating in the African, Caribbean and Pacific
         ) States or in the overseas countries and territories , as last amended       by
Regulation ( EEC )              / 87 , provides , in particular; for a 50% reduction in the
levy on sorghum and a smaller reduction in the levy on maize ;             whereas the
combination of this advantage with the reduction provided for under the present
Regulation would disturb the Spanish market for cereals ; whereas this difficulty
can be overcome by         .. setting       a special reduction of the Levy on maize and sorghum
imported under this Regulation ;
1      0J No L 98 , 10.4.1987 , p.1
2
       0J No L 61 , 1.3.1985 , p.4 .
       0 J No L • ,           /, P-
                                 p.
 ---pagebreak---                                                  ч
Whereas provisions are required to cover the operations arising from this
 Regulation according to the mechanisms laid down by Council Regulation ( EEC )
do 729 / 70 of 21 April 1970 on the financing of the common agricultrual policy ^,
as last amended by Regulation ( EEC ) 3769 / 85 , and by Council Regulation ( EEC )
No 1883 / 78 of 2 August 1978 laying down general rules for the financing of
interventions bythe European Agriculutral Guidance Guarantee Fund , Guarantee
Section ^ as last amended by Regulation ( EEC ) 801 /87 ?;
Whereas , as this js a matter of the application of an international agreement
between a        third country and the Community , the resulting operations should
be financed in their entirety by the Community ;       whereas an exception , should
therefore be established to the provisions of the last subparagraph of Article 6
of Council Regulation ( EEC ) No 1883 / 78 ,
HAS ADOPTED THIS REGULATION :
    0J No L 94 , 28.4.1970 , p.3 .
 5 0J No L 362, 31.12.1985, p.17 .
6 0J No L 216, 5.8.1978, p. 1 .
7 0J No L 79, 21.3.1987, p. 14.
 ---pagebreak---                                                       5
                                                Article    1
For a oeriod of four years from 1987 onwards , imports from third countries for free circulation
 in Spain of maximum annual quantities of 2 million tonnes of maize and 300 000 tomes of sorghum shall be
  effected as provided in the following Articles .
                                                Article 2
1 .
      The annual quantities referred to in Article 1 shall be reduced , according
      to procedures to be determined , by any quantities of maize gluten , brewers ' gra i ns
      and citrus pulp imported into Spain from third countries . Where it is ascertained
      that the quantities of maize gluten , brewers' grains and citrus pulp imported
      into Spain under the cover of documents establishing their Community status
      develop abnormally , the necessary action shall be taken in accordance with the
      procedure laid down in Article 26 of Counci 1 Regjlation ( EEC ) No 27?7/ 75 ■ .
2.     For 1987 , ^iy c.iantitfos of maize and sorghum imported under Council Regulation ( EEC)
       No 2913 / 86 shall not be included in the quan t i t i es referred        to in Article 1 .
3.     The quantities of maize and sorghum referred to in Article 1 shall                 be allocated
       to processing or use in Spain .
                                                Art i c le 3
                                               in respect of
1.     Without predjudice to Article 4 , / imports of maize and sorghum into Spain ,
       but within the quantitative limits set in Article 2 , a reduction shall be
       applied to the levy fixed in accordance with Article 13 of Regulation ( EEC )
       2727 / 75 .
2.     The amount of the reduction shall be fixed, in accordance with the procedure laid down in
       Article 26 of Regulation ( EEC ) 2727 / 75, at a level enabling disturbance of the
       Spanish     market to be avoided .        The reduction can also be fixed by
           a tender procedure .
       The reduction can be di f f erent i ated f or imports of maize and sorghum into
       Spain under Regulation ( EEC ) No 486 / 85 .
3.     The reduction shall be applied to imports of maize and sorghum effected into
       Spain on the basis of a licence valid only in that Member State .
80J No L 281 , 1.11.1975, p.1
90J No L 272, 24.9.1986, p.1
 ---pagebreak---                                        Artide 4
   1 . With a view to effecting the imports referred to in Article 1 , it may be decided, under
        the procedure laid down in Article 26 of Regulation ( EEC ) No 2727/ 75 , that the
        Spanish intervention agency shall purchase directly on the world market quantities
        of maize and sorghum to be determined and shall place them und^g customs warehou¬
        sing procedure as provided for in Council Directive 69 / 74 / EEC )          -
  2 . Quantities purchased pursuant to          with paragraph 1 shall be put up for sale on
        the Spanish domestic market in accordance with the procedure laid down in
        Article 26 of Regulation ( EEC ) n° 2727/ 75 on terms enabling market disturbance to
        be avoided .
3 . When the goods are placed in free circulation, an agricultural levy equal , taking the
      monetary compensatory amount into account , to the average of the levies applicable in
       Spain and fixed for the cereals concerned during the first 25 days of the month
      preceding the date of acceptance of the declaration of entry into free circulation ,
      minus the difference between the threshold price and the intervention price for the same month.
        Entry into free circulation shall be effected by the Spanish intervention agency .
        When the purchasers of the goods make payment to the intervention agency , the
        selling price minus the levy shall correspond to r^j/enue from sales within the
        meaning of Annex I to Council Regulation (EEC) No 3247/81 .
  4 . The purchasing operation provided for in paragraph 1 shall rank as intervention for
        the purpose of stabilizing the agricultural markets within the meaning of
        Article 1(2)(b ) of Regulation ( EEC ) No 729 / 70 .
  5 . Payments by the intervention agency for buying in as provided for in paragraph 1
        shall be borne by the Community as they arise and shall be treated in the same
        way as the expenditure referred to in Article 2 of Regulation ( EEC ) No 1883 / 78 .
        The Spanish intervention agency shall record the value of the merchandise purchased
        at a price of " zero " in the account referred to in Article 4 of Regulation
        ( EEC ) No 1883 / 78 .
        The provisions of the last subparagraph of Article 6 of Council Regulation
        ( EEC ) No 1883 / 78 shall not apply to the financing of physical operations
        resulting from the storage of the products purchased .
                                      Article 5
  At a frequency to be determined , the Commission shall record in accounts :
  - the quantities of maize and sorghum imported into Spain from third countries ,
  - the quantities of maize gluten , brewers' grains and citrus pulp imported into Spain .
  For this purpose , the Spanish authorities shall supply the Commission regularly with
  all necessary information .
                                      Article 6
  The imports referred to in Article 2 must be effected , in respect of a given year ,
  by the end of February of the following year .
   ( 10 )0J No L 58 , 8.3.1969 , p. 7 .
    ( 11 ) 0J No L 327, 14.11.1981 , p.1
 ---pagebreak---                                                Artide 7
   Where the markets for products derived from maize or sorghum are disturbed , a
    countervailing duty may be introduced in accordance with the procedure laid down in
    Article 26 of Regulation ( EEC ) No 2727 / 75 for exports of the relevant products
   from Spain or for their consignment to other Member States .
                                               Article 8
   The following shall be adopted in accordance with the procedure laid down in Article 26
   of Regulation ( EEC ) No 2727 / 75 :
   -   any     measures needed to ensure that the cereals the levy for which has been
       reduced        are actually processed or used in Spain ,
         all other detailed rules for implementing       this Regulation , and in particular
         those relating to the issue of import licences ; such rules may stipulate
         that the licences may be issued only in Spain , after Commission endorsement .
                                              Article 9
This R egu lat ion sha 1 1 enter into force on the day of its publication in the Official
Journal of the European Communities .
This Regulation shall be binding in its entirety and directly applicable in all
Member   States .
Done at Brussels                                                 For the Council
 ---pagebreak---                                                       Ί>
         FINANCIAL               STATEMENT                   --
                                                             : Date : 8 May 1987
 1 . Budget heading : Revenue           : Article 100        Appropriations : 1 175.5 m ECU
                         Expenditure : B 100 and B 101                   2 061 ECU and 999 m ECU
2 . Title : Proposal for a Council Regulation on imports into Spain of maize and
              sorghum under the agreement of 29 January 1987 between the Community and
              the United States of America
3 . Legal basis :
U. Aims of project : To provide an arrangement ( reduction of levy or direct buying ) in
                         allowing of imports of maize and sorghum (2 300 000 t ) agreed by
                         the EEC and USA on 29 January 1987
                                                   period of     current           following
                                                   12 months  financial year     financial year
5.     Financial implications                                     ( 1987 )           ( 1988 )
5.0    Expenditure
       - charged to the EC budget
         ( refunds / intervent ion )                 + 81          + 53               + 81
       - xxxxxxxxxxxxxxxxxxxxxx
       - xxxxxx
5.1    Receipts
       - own resources of the EC                     -   8         - 58               -   8
         ( leviesxxxxxxxxxxxxxxxx
       - xxxxxxxx
                                                     1989         1990
5.0.1 Estimated expenditure                            + 81       + 81
5.1.1 Estimated revenue                                - 8        - 8
5.2 Method of calculation :          see Annex
6.0 Can the project be financed from appropriations entered in the relevant chapter
      of the current budget ?                                                         xxx/no
6 . 1 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
                                                                                      xxxxxx
6.2 Is a supplementary budget necessary ?                              (1)            xxx/no
6.3 Will future budget appropriations be necessary ?                                  yes /xx
Observations : ( 1 ) This measure leads to an increase in appropriations required for
                        1987 which are not covered by the existing budget .
 ---pagebreak---                                                                             ANNEX
                                                        CALCULATION OF FINANCIAL CONSEQUENCES
  I. MAIN HYPOTHESES
        The financial consequences were calculated on the basis of the following analysis :
        1 . Cereals imported with an abatement on the levy (1 million tonnes ) cause a reduction in own resources to be collected .
        2 . Cereals bought in by the intervention agency (1 million tonnes ) on the world market give rise to public storage expenditure
             comprising the payment for the goods bought and the storage costs for an average duration of six months .        121 ECU/ t calculated
             in accordance with Article 5(4 ) of the draft Regulation , an amount to be entered in accounts as own resources as a levy , is
             deducted from the price collected on sale ( 181 ECU/ t ).
        3 . On account of the imports into Spain in accordance with the agreement , it is assumed that there will be a fall in full levy
             imports of 500 000 tonnes throughout the rest of the Community , a fall which leads to a decrease in levies collected , and
             additional exports of 500 000 tonnes of fodder grain with payment of refunds .
II . CALCULATION METHOD
                                                                                                                                 million ECU ( B )
                                                                     Hypothoses for calculation and costs in full 12-month             Consequences
                                                           i
                                                                     year :                                                            in 1987 (*)
    Variation in levies owing to :
    ( a ) abatement on levy                                        1    million tonnes x - 40 ECU / t x double rate           -  43      -   29
    ( b ) fall in EUR-10 imports                                 - 0,5 million tonnes x    180 ECU/ t x double rate           -  95      -   29
    ( c ) levy collected on resale of cereals bought in            1    million tonnes x   121 ECU / t x double rate          + 130        p.m .
         directly                                        ;
    TOTAL of variations in levies                                                                                      (1)    -    8     -   58 ( 1 )
    Variation in EAGGF expenditure owing to :
    a ) Public storage                                         ( Purchase of 1 million t at 53 ECU/ t x double rate = + 57 )
          ( on account of cereals bought in by the             ( Storage for 6 months x double rate *                  + 14 )   + 6      +   53
         intervention agency )                                 ( Sale of 1 million t :                                      )
                                                               (1 million t x ( 181 x 121 ECU/ t ) ( 2 ) x double rate - 65 )
    b ) Export refunds for EUR-10                              500 000 t x 145 / ECU/ t x double rate                      +    75         p.m .
    TOTAL variations in EAGGF expenditure                                                                                     +  81      +   53
   Variation in expenditure-levy difference                                                                                   +  89      + in (*) 1
( 1 ) This decrease in own resources will , moreover , have the effect of reducing expenditure for reimbursement from own resources
       ( approximately 1 million ECU for a full year and - 6 million ECU in 1987 ).
( 2 ) 121 ECU/ t to be entered in own resources ( see ( c ) in the Table ), corresponding to normal levy minus the difference between the
       threshold price and the intervention price .
(*) In 1987 , the reduction in levies is higher than over 12 months because when the mechanism is set in motion , owing to the fact
       that an average storage period of 6 months is used as a working hypothesis , there will be no removals from stock in 1987 and
       therefore no payment of levies yet for cereals imported and stored ; this payment will arise subsequently at the time of removal ,
       lor the same reason , in 1987 there will be no revenue for the EAGGF from sales on the internal market , which will have the effect
       of keeping 1987 EAGGF expenditure at a relatively high level .
       These two items mean that the variation in the difference between the expenditure and levy will be higher in 1987 than in 1988 .
 ---pagebreak---                            FICHE P.M.E.
 1.  OBLIGATIONS ADMINISTRATIVES DECOULANT DE L' APPLICATION DE LA
     LEGISLATION POUR LES ENTREPRISES .
                      néant
 2.  AVANTAGES POUR L' ENTREPRISE
     - OBJ / N ON
    r LESQUELLES
3-   INCONVENIENTS POUR L' ENTREPRISE
     ( coût supplémentaires ) •            -
    - DO/ N ON
    - CONSEGUENCES
A.  EFFETS SUR L' EMPLOI           néant*
5.  Y A - T- IL EU CONCERTATION PREALABLE AVEC LES PARTENAIRES
    SOCIAUX ?
    - ftf / NON
    - AVIS DES PARTENAIRES SOCIAUX                                 i
                                                                   I
                                                                   i
                                                                   I
                                                                   I
6.  Y A- T- IL UNE APPROCHE ALTERNATIVE HOINS CONTRAIGNANTE ?