CELEX: 51974PC1064
Language: en
Date: 1974-07-10
Title: Draft REGULATION (EEC) OF THE COUNCIL on the opening, allocation and administration of an autonomous Community tariff quota for 1974 for ferro-silicon falling within subheading No 73.02 C of the Common Customs Tariff#Draft REGULATION (EEC) OF THE COUNCIL on the opening, allocation and administration of an autonomous Community tariff quota for 1974 for ferro-silico-manganese falling within subheading No 73.02 D of the Common Customs Tariff#Draft REGULATION (EEC) OP THE COUNCIL on the opening, allocation and administration of an autonomous Community tariff quota for 1974 for ferro-chromium containing not more than 0.10% by weight of carbon and more than 30% but not exceeding 90% inclusive by weight of chromium (super refined ferro-chromium) falling within subheading No ex 73.02 EI of the Common Customs Tariff#Draft REGULATION (EEC) OF THE COUNCIL on the opening, allocation and administration of a Community tariff quota for 1974 for ferro-chromium containing not less than 4% by weight of carbon falling within subheading No ex 73.02 EI of the Common Customs Tariff (submitted to the Council by the Commission)

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DOCUMENTS "COM"
COM (74) 1064
Vol. 1974/0175
 ---pagebreak--- Disclaimer
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 ---pagebreak--- COMMISSION OS THB EUROfBAN CQMMUMTIES
                                                         COM(74 ) 1064 final
                                                         Brussels , 10 July 1974
                                        Draft
                         REGULATION" ( EEC ) OF THE COUNCIL
            on the opening, allocation and administration of an autonomous
       Community tariff quota for 1974 for ferro-silicon falling within sub­
                  heading No 73.02 C of the Common Customs Tariff
                                        Draft
                         REGULATION (EEC ) OE THE COUNCIL
            on the opening, allocation and administration of an autonomous
       Community tariff quota for 1974 for ferro- silico-manganese falling within
                 subheading No 73.02 D of the Common Customs Tariff
                                        Draft
                         REGULATION (EEC ) OP THE COUNCIL
            on the opening , allocation and administration of an autonomous
   Community tariff quota for 1974 for ferro-chromium containing not more than
   0.10% "by weight of carbon and more than 30% "but not exceeding 90% inclusive
           "by weight of chromium ( super refined ferro-chromium ) falling
           within subheading No ex 73.02 EI of the Common Customs Tariff
                                        Draft
                         REGULATION ( EEC ) OF THE COUNCIL
           on the opening , allocation and administration of a Community
      tariff quota for 1974 for ferro-chromium containing not less than 4%
           by weight of carbon falling within subheading No ex 73.02 EI
                             of the Common Customs Tariff
                   ( submitted to the Council by the Commission )
        COM74 ) 1064 final
 ---pagebreak---                        EXPLiEATORY MEMORÛUDDM
The draft Regulations annexed hereto follow requests from certain
Member States that autonomous Community tariff quotas "be increased or
opened for 1974 f°r ferro-silicon , ferro-silico -manganese, super-
refined ferro-chromium , high carbon ferro-chromium , unwrought lead
and zinc .
The requests concerned were studied , in particular , at consultations
with experts from all the Member States held on 12 February 1974 on
the basis of economic information and forecasts supplied by the
competent bodies .   In this contexrt it must be mentioned , as the
Commission has already done many times , that as far g,s autonomous
Community tariff quotas are concerned it is insufficient simply to
open quotas to meet estimated import needs from third countries .
This procedure is , in fact , liable to disrupt Community production or
even to discourage further development, in this sector .    This fact is
all the more true in the present circumstances since a study was made
of these raw materials on the Community market at the be^inninc of the
year on the basis of forecasts which , £iven the uncertainty    surrounding
all sectors of Community production , could be changed during 1974 .
These factors were taken into consideration when each product was
studied .
Prom economic forecasts , supplied at that meeting Community tables may
be drawn up in respect of each of the products concerned as follows :
 ---pagebreak---                                         - 2 -
                                         Inward      Duty free   Quota       Exports
 Description
                    Consump-   Produc­
                    tion       tion      processing  imports     opened on   third
                                         traffic     from third  1 January   countries
                                                     countries   1974
 Ferro-silicon       626 900    483 000     3 000     92 975      20 000      51 200
 Ferro-silico-
 manganese           211 550    105 000     2 800     21 800      50 000         950
 Supez«-refined
 ferro-chromium      168 39 »   113 000     4 000     12 900       3 000       4 900
 High carbon
 ferro-chromium      291 540    170 000     2 500     13 840                  10 800
 Unwrcught lead
 other than
"bullion lead     1 136 000   1 018 000     8 000       4 300     55 000     101 850
Unwrought pinc 1 471 800      1 398 300    21 000      62 100     20 000     133 000
   Community import requirements from third countries calculated in the usual
   manner from the above figures show the following deficits and surpluses :
   - ferro-silicon                           surplus of 23 275 metric tons
   t- ferro-silico-maziganese                deficit of 31 000 metric tons
   - super- refined ferro-chromium           deficit of 30 596 metric tons
   - high carbon ferro-chromium              deficit of 94 400 metric tons .
   - unwrought lead other than
      "bullion lead                          surplus of 51 150 metric tons
   « unwrought zinc                          surplus of 162 600 metric tons
   The result is that for ferro -silico -manganese, super-refined ferro-chromium
   and high carbon ferro-chromium , which are in short supply , the minimum
   import requirements from third countries are 31 000 , 3.0 596 and .
   94 400 metric tans respectively .
                                                                         •/
 ---pagebreak---                                     - 3 -
It should be noted that , in view of the increased demand for ferro-silicon
as a ferro-alloy owing to the increase in steel production and of the
present comparatively stable capacity of Community production , there is
no guarantee that in 1974 the requirements of consumer industries will "be
met on the scale indicated by the above figures by deliveries from the
Community or from third countries to which the duty free arrangements apply .
This seems all the more true because in the past final assessments of this
metal have always shown a relatively high deficit .     Furthermore , traditio­
nal trading arrangements between the new Member States and certain third
countries should not be disrupted unduly , particularly since such trade
was granted total or partial reductions in customs duties until the end
of 1973 .    For this reason the Commission proposes that an autonomous
tariff quota fixed at 25 000 metric tons be opened at a reduced rate of
duty for ferro-silicon .
The agreement drawn up between the nine Member States during the accession
neg-otiaticns ( see Protocol No 14 annexed to the Act of Accession) was
taken into consideration when studying unwrought lead other than bullion
lead .    This agreement contains a complex action programme which is valid
until the pnd of 1977. and relates to customs duties , an annual tariff'' -,
quota to be opened , the decreasing scale of this quota and a review of        -
the situation by the Council before abolishing the quota with the object
of reducing the autonomous duty on this metal to a rate of not less than
1.1 u.a./lOO kg.     This agreement , which has been in force since 1971 »
has not produced any problems in the Community of the Six and in the
opinion of the Commission it would be premature to commence the review
provided for by Protocol No 14 . during 1974 > that is to : say , in the middle
of the term of the agreement .    Hence , the Commission believes that in
the present situation it cannot go beyond the agreement by planning the
opening of an additional autonomous quota .                   ■   • .   .< . .
                                                                          /
 ---pagebreak---                                        - 4 -
     It appears from the calculation of Community requirements of unwrought
     zinc , in respect of which a similar agreement was drawn up "by the Member
     States ( See Protocol No 15 to the Act of Accession), that such requirements
    may "be met entirely "by the tariff quota opened at the beginning of the
    year and by deliveries from the Community or from third countries to which
    the duty free arrangements apply .    Under these conditions the Commission
    believes that it cannot propose the opening of an additional quota for
    unwrought zinc .
4 . The Commission has finally been induced by the facts in 2 and 3 above to
    propose the opening of the following autonomous tariff quotas :
    - for ferro-silicon                   :  25 000 metric tons at a reduced
                                                    rate or duty
    - for ferro-sili co-manganese         :  31 000 metric tons at a reduced
                                                    rate of duty
    - for super- refined ferro-chromium   :  20 000 metric tons at a reduced
                                                    rate of duty
    - for high carbon ferro-chromium      :  60 000 metric tons duty free .
5 . The proposed rules of administration for ferro-silico-manganese, which
    involve , inter alia , the setting up of a reserve , do net require special
    mention since they do not differ from those already proposed and upheld
    by the Council for autonomous increases and the opening of contractual
    quotas already referred to for this ferro-alloy .     The Commission believes
    that each of the quotas for ferro-silicon and the two qualities of ferro­
    chromium should , on account of the size of the proposed q-iotas compared
    with the actual import needs from third countries , be subdivided into two
    tranches , the first being allocated among the Member States in proportion
    to their respective needs and the second constituting a Community reserve .
    The setting up of a Community reserve is justified all the more in the
    present circumstances since the draft Regulations annexed hereto provide
    that at first only those Member States which at present have actual fore­
    seeable needs should share in the increase .   The Commission is however aware
    of the problems posed by the evolution of these neec.s and consequently reserves
    the right to alter the draft regulations later in the light of necessities .
 ---pagebreak---                                      - 5 -
6 . The quota duties adopted for the autonomous increase in the tariff quotas
    for ferro-silicon and ferro-silico-manganese in 1973 were 7$ (instead
    of 1C$ ) and 4$ (instead of 5.5$) while the quota duty relating to the
    last increase decided in 1970 for super refined ferro-chromium was 5%
    ( instead of 8fo). It seens that in fixing the quota duties at 7$ (for
    ferro-silicon), 4$ (for ferro-silico-manganese ) and 5*5$ (for supeus-refined
    ferro-chromium) respectively for the proposed autonomous increases sufficient
    attention is "being paid to the Community production situation in these
    sectors and to the need to encourage the laying in of supplies in the
    Community .
    The Commission "believes that in view of the special situation of the
    market in high carbon ferro-chromium and of the fact that it is a new
    Community tariff quota there should "be no quota duty levied on this
    product »
 ---pagebreak---                                                                AMEX A
                                      Draft
                 REGULATION (EEC ) No    /74 OF THE COUNCIL
                               of
        on the opening , allocation and administration of an autonomous
        Community tariff quota for 1974 for ferro-silicon falling within
        subheading No 73.02 C of the Common Customs Tariff
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community ,
and in particular Article 28 thereof ;
Having regard to the draft Regulation submitted "by the Commission ;
Whereas , as regards ferro-silicon falling within subheading No 73-02 C of
the Common Customs Tariff , a conventional duty free Community tariff quota
of 20 000 metric tons has been opened by the Council for 1974 and allocated
among the Member States by Regulation (EEC ) No 3587/73* of 28 December 1973 ;
Whereas , bearing in mind present production capacity within the Community
and the large increase in ferro-silicon required for the manufacture of
steel , the above mentioned quota of 20 000 metric tons will not cover the
entire Community import requirements of ferro-silicon from third countries ;
whereas it is therefore desirable that an autonomous Community tariff quota
limited to 25 000 metric tons be opened ;    whereas , so as not to prejudice
Community development prospects in the production area concerned , the quota
duty applicable should be fixed at
    No L 3°5 » 31 Pecember 1973 » P « 29
 ---pagebreak---                                                              AÏÏNEX A
Where as equal suid continuous access to the quota should "be ensured for all
Community importers and the rate of duty for the tariff quota should "be
applied consistently to all imports of the product in question until the
quota is exhausted ;   whereas in the light of these principles arrangements
for the utilization of the Community tariff quota "based on an allocation
among Member States would seem to be consistent with the Community nature
of the quota;   whereas in order that it may correspond as closely as
possible to the actual trend of the market in the product in question ,
allocation of the quota should be in proportion to the requirements of
the Member States as calculated by reference to statistics of imports from
third countries during a representative reference period and to the economic
outlook for the quota period in question ;
Whereas , on the basis of statistics available at the time and allowing for
the foreseeable development of the ferro-silicon market during the current
year , the tariff quota of 20 000 metric tons opened by the aforementioned
Regulation was allocated in the following percentages :
              Bénélux         64.75
              Denmark          0.75
              Germany         15.00
              France           0.25
              Ireland          1.25
              Italy            4.25
              United Kingdom 13.75
Whereas , since the quota is an autonomous Community tariff quota intended
to cover additional import needs arising in the Community , the allocation
of the cdditional share may be made on the basis of the actual needs
 ---pagebreak---                                                               AMSX A
 expressed by each of the Member States ;   whereas Denmark , the United Kingdom,
 Ireland and the three Member States comprising the Benelux Economic Union have
 stated that they require further supplies of 1 050, 52 250 , 100 end 31 050
metric tons respectively ; whereas the needs of Germany mry be estimated at
 10 000 metric tons ; whereas, according
to the most recently available economic information and statisitics , the
other Member States have not used up enough of their shares of the initial
quota of 20 000 metric tons opened by the above-mentioned Regulation to
justify their participation at present in the Community tariff quota ;
whereas , moreover , should additional needs arise subsequently in those
Member States they may have recourse to the procedure set up in Article 3
of this Regulation ;   whereas this system of allocation also ensures the
uniform application of the Common Customs Tariff ;
Whereas | to take account of future import trends for the product concerned ,
the quota should be divided into two tranches , the first being allocated
among the above mentioned Member States and the second held as a reserve to
cover subsequently the requirements of Member States which have exhausted
their new shares and additional requirements which might arise in the other
Member States ; whereas , to give importers some degree of certainty , the
first tranche of the quota should be fixed at a relatively high level which
could be 20 000 metric tons ;
Whereas Member States may exhaust their initial shares at different rates ;
whereas to avoid disruption of supplies on this account it should be provided
that any Member State which has almost used up its initial share should draw
an additional share from the reserve ;   whereas each time its additional
share is almost exhausted a Member State should draw a further share , and so
on as many times as the reserve allows ;
 ---pagebreak---                                                              mm. A
                                                             ■MVI3MMOM
Whereas the initial and additional shares should "be valid until the end
of the quota period ; whereas this form of administration requires close
collaboration between the Member States and the Commission , and the
Commission mast be in a position to keep account of the extent to which
the quotas have been used up and to inform the Member States accordingly ;
Whereas if at a given date in the quota period a considerable quantity
of a Member State 's initial share remains unused in one Member State while
it could be used in others , that such State should return a significant
proportion thereof to the reserve ;
Whereas , since the Kingdom of Belgium , the Kingdom of the Netherlands and
the Grand Duchy of Luxembourg are united within and jointly represented by
the Benelux Economic Union , any transaction in respect of the administration
of the shares allocated to that Economic Union may be carried out by any
one of its members ;
                            I
HAS ADOPTED THIS REGULATION:
                                  Article 1
1 . There shall be opened within the Community for the period from the date
    of entry into force of this Regulation to 31 December 1974 in respect •
    of ferro-silicon falling within subheading l>To 73«02 C of the Common
    Customs Tariff Community quota of 25 000 metric tons .
2 . The Community Customs Tariff duty shall be suspended at 7% in respect of
    importations under the above quota.
3 . New Member States shall apply in respect of importations under the said
    quotas duties calculated in accordance with the relevant provisions of -
    the Act of Accession .
 ---pagebreak---                                      - 5 -
                                                                aitnek a
                             I                                 WMSJ3BCVM
                                    Article 2
1 . A first tranche of 20 000 of this quota shall "be allocated among certain
    Member States ;  the shares , which subject to Article 6 shall he valid
    until 31 December 1974 . shall "be as follows :
                            Bénélux            6 574  metric tons
                            Demnark               222 metric tons
                            Germany          . 2 118 metric tons
                            Ireland                22 metric tons
                            United Kingdom    11 064 metric tons
2 . The second tranche of 5 000 metric tons shall constitute a reserve .
                                    Article 3   .
    Should ferro-silicon be required in Prance and Italy these Member States
    shall draw a sufficient share from the reserve to the extent that the
    reserve so permits .
           I
                                    Article 4
1 . As soon as one of the Member States referred to in Article 2 has used
    $Ofo or more of its initial share as fixed in Article 2(l ), or of that
    share minus any portion returned to the reserve pursuant to Article 6 ,
    it shall forthwith , "by notifying the Commission , draw a second share ,
    to the extent that the reserve so permits , equal to 10^ of its initial
    share rounded up as necessary to the next whole number.
 ---pagebreak---                                                                A2E7E5C A
2 . As soon as one of the Member States , after exhausting its initial share ,
    has used 9Ofo or more of the second share drawn "by it , the Member State
    shall forthwith , in the manner and to the extent provided in paragraph X ,
    draw a third share equal to 5% of its initial share .
3 . As soon as one of the Member States , after exhausting its second share ,
    has used JOfo or more of the third share drawn by it , that Member State
    shall , in the manner and to the extent provided in paragraph 1 , draw a
    fourth share equal to the third.
    It shall continue in this fashion until reserve is exhausted .
4 . By way of derogation from paragraphs 1 to 3 , the Member States may draw
    shares lower than those specified in those paragraphs if there are grounds
    for believing that those specified may not be used in full .       Any Member
    State applying this paragraph shall inform the Commission of its grounds
    for so doing.
                                   Article 5
Additional shares drawn pursuant to Article 4 shall be valid until
31 December 1974 .
                                   A""tir.le 6
Any Member State referred to in Article 2 which on 15 October 1974 has not
exhausted its initial share shall not later that 10 November 1974 return to
the reserve the unused portion in excess of 2Ofo of the initial amount .
It may return a greater portion if there' are grounds for believing that
such portion may not be used in full , .
 ---pagebreak---                                     -7-
                                                             AMEX A
Those Member States shall , not later than 10 November 1974 , notify the
CoTTanission of the total quantities of the product in question imported up
to and including 15 October 1974 and charged against the Community quota
and of any portion of their initial shares returned to the reserve .
                                  Article 7
The Commission shall keep an account of the shares opened by the Member
States pursuant to Articles 2 , 3 and 4 and shall , as soon as the information
reaches it , inform each State of the extent to which the reserves have
been used up .
It shall , not later than 15 November 1974 , inform the Member States of the
amounts still in reserve following any return of shares pursuant to
Article 6 .
It shall ensure that when an amount exhausting one of the reserves is drawn
the amount so drawn does not exceed the balance available , and to this end
shall notify the amount of that balance to the Member State making the
last drawing .
                                  Art ici 3 8
1 , Every Member State shall take all appropriate measures to ensure that
    additional shrres drawn pursuant to either Article 3 or Article 4 are
    opened in such a way that importations may be charged without interruption
    against its accumulated share of the relevant Community quota.
 2, Every Member State shall ensure that importers of the products in question
    established in its territory have free access to the shares allocated
    to it .
 3, Every Member State shall charge importations of the product in question
    against its shares as and when the product is entered with the customs
    authorities for home use .
 ---pagebreak---                                                             AMSX A
4 . The extent to which a Member State has used up its shares shall he
    determined on the "basis of the importations charged against those shares
    in accordance with paragraph- 3 .   ...
                                  Article 9
Every Member State shall notify the Commission at regular intervals of the
importations charged against its shares .
                                  Article 10
The Member States and the Commission shall cooperate closely to ensure that
this Regulation is complied with .
                                  Article 11
This Regulation shall enter into force on
This Regulation shall "be binding in its entirety and directly applicable
in all Member States .
Done at Brussels ,                                   Por the Ccuncil ,
                                                     The Président •
 ---pagebreak---                                                              ANNEX B
                                     Draft
                    REGULATION (EEC ) ' No   /74 OF THE COUNCIL
                                of           * * • •                         ^
         on the opening , allocation and administration of an autonomous
         Community tariff quota for 1974 for ferro -silico -manganese
         falling within subheading No 73*02 D of the Common Customs Tariff
THE COUNCIL OF THE EUROPEAJ? COKMUNITIES ,
Having regard to the Treaty establishing the European Economic Community ,
and in particular Article 28 thereof ;
Having regard to the draft Regulation submitted by the Commission;
Whereas , as regards ferro-silico -manganese falling within subheading
No 73.02 D of the Common Customs Tariff , a conventional duty free Community
tariff quota of 50 000 metric tons has been opened by the Council for 1974
and allocated among the Member States by Regulation (EEC ) No 3588/7 3"*" of
28 December 1973 ;
Whereas , bearing in mind present Community production capacity , the above-
mentioned quota of 50 000 metric tons will not cover the entire Community
import requirements of ferro-silico -manganese from third countries ;    whereas
it is therefore desirable that an autonomous Community tariff quota limited
to 31 000 metric tons be opened; whereas , so as not to prejudice Community
development prospects in the production area concerned , the quota duty
applicable should be fixed at 4/& >
 OJ No L 365 9 31 December 1973 » P * 31 *
 ---pagebreak---                                      2
                                                           AIÏÏJEX B
Whereas equal and continuous access "to the quota should be ensured for all
Community importers and the rate of duty for the tariff quota should be
applied, consistently to all imports of the product in question until the
quota is exhausted ;  whereas in the light of these principles arrangements
for the utilization of the Community tariff quota based on an allocation
among Member States would seem to be consistent with the Community nature
of the quota ;  whereas in order that it may correspond as closely as
possible to the actual trend of the market in the product in question ,
allocation of the quota should be in proportion to the requirements of
the Member States as calculated by reference to statistics of imports
from third countries during a representative reference period and to the
economic outlook for the quota period in question ;
Whereas , on the basis of statistics available at the time and allowing
for the foreseeable development of the ferro-silico -manganese market
during the current year , the tariff quota of 50 000 metric tons opened by
the aforementioned Regulation was allocated in the following percentages :
                          Bénélux          8.33
                          Denmark          0.62
                          Germargr        82.20
                          France           0.10
                          Xreland          1.04
                          Italy            3.54
                          United Kingdom   4.17 ;
Whereas , since the quota is an autonomous Community tariff quota intended
to cover additional import needs arising in the Community , the allocation
of the additional share may be made on the basis of the actual needs
                                                                     ./
 ---pagebreak---                                     - 3 -
                                                             A3BEX B
expressed by each of the Member States ;    whereas the United Kingdom ,
Ireland , Germany and the three Member States comprising the Benelux
Economic Union have stated that they retire further supplies of 3 400 ,
200 , 35 000 and 15 400 metric tons respectively ; whereas the other Member
States have not used up enou^i of their share of the initial quota of
50 000 metric tons opened by the abovementioned Regulation according to
the most recently available economic information and statistics , to justify
their participation at present in the proposed increase in the Community
tariff quota ;  whereas , moreover , should additional needs arise subsequently
in those Member States they may have recourse to the procedure set up under
Article 3 of this Regulation ;   whereas this system of allocation also
ensures the uniform application of the Common Customs Tariff ;
Whereas , to take account of future import trends for the product concerned ,
the quota should be divided into two tranches , the first being allocated
among the abovementioned Member States and the second held as a reserve
to cover subsequently the requirements of Member States which have exhausted
their new shares and any additional requirements which might arise in the
other Member States ; whereas , to give importers some degree of certainty ,
the first tranche of the quota should be fixed at a relatively high level
which could be 25 000 metric tons ;
Whereas Member States may exhaust their initial shares at different rates ;
whereas to avoid disruption of supplies on this account it should be
provided that any Member State which has almost used up its initial share
should draw an additional share from the reserve ; whereas each time its
additional share is almost exhausted a Member State should draw a further
share , and so on as many times as the reserve allows ;
                                                                     /
 ---pagebreak---                                     - 4 -
                                                               AMEX B
Whereas the initial and additional shares should be valid until the end
of the quota period ?  whereas this form of administration requires close
collaboration "between the Member States and the Commission, and the
Commission must be in a position to keep account of the extent to which
the quotas have been used up and to inform the Member States accordingly !
Whereas if at a giv® date in the quota period a considerable qaantity of a
Member State *s initial share remains unused it is essential , to prevent
a part of a quota frcm remaining unused in one Member State while it could
be used in others , that such State should return a significant proportion
thereof to the reserve :
                                                                           t
Whereas , since the Kingdom of Belgium , the Kingdom of the Netherlands and
the Grand Eucfcy of Luxembourg are united within and jointly represented by
the Benelux Economic Union, any transaction in respect of the administration
of the shares allocated to that Economic Union may be earried out "by any
one of its members ;
HAS ADOPTED THIS EEOULATIOIf:
                                  Article 1
1 . There shall be opened within the Community for the period from the
date of entry into force of this Regulation to 31 December 1974 in respect
of ferro–silico-<nanganese falling within subheading Ko 73*02 D of the
Common Customs Tariff a Community tariff quota of 31 000 metric tons#
2 . The Community Customs Tariff duty shall be suspended at 4f° in respect
of importations under the above quota.
3 . Mew Member States shall apply in respect of importations under the
said quota duties calculated in accordance with the relevant provisions
of the Act of Accession .
 ---pagebreak---                                                                    AMEX B
                                  Article 2
1 . A first tranche of 25 000 metric tons of this quota shall be allocated
among certain Member States ; the shares , which subject to Article 6 shall
be valid until 31 December 1974 » shall be as follows :
                 Benelux                               7 125 metric tons
                 Germany                             1 6 200 metric tons
                 Ireland        -                        100 metric tons
                 United Kingdom                        1 575 metric tons .
2*  The second tranche of 6 000 metric tons shall constitute a reserve .
                                  Article 3
Should ferro–silico-manganese be required in Prance and Italy, these
Member States shall draw a sufficient share from the reserve to the
extent that the reserve so permits .
                                  Article 4
                                  m MU–» »I ■ – ■ AH
1•  As soon as one of the Member States referred to in Article 2 has
used 90$ or more of its initial share as fixed in Article 2(1 ), or of
that share minus any portion returned to the reserve pursuant to
Article 6 , it shall forthwith, by notifying the Commission, draw a
second share , to the extent that the reserve so permits , equal to 10$
of its initial share rounded up as necessary to the next whole number .
                                                                           ./•
 ---pagebreak---                                                               AIÎEEx B
2.   As Boon as one of the Member States , after exhausting one of its
initial shares , has used 90fa or more of the second share drawn "by it ,
that Member State shall forthwith , in the manner and to the extent provided
in paragraph 1 , draw a third share equal to 5$ of its initial share .
3»   As soon as one of the Member States , after exhausting its second share ,
hc.s      9    or more of the third share drawn by it , that Member State
shall,, in the manner and to the extent provided in paragraph 1 , draw a
fourth share equal to the third .
It shall continue in this fashion until the reserve is exhausted .
4»   B/ way of derogation from paragraphs 1 to 3 f the Member States may draw
shares lower than those specified in those paragraphs if there are grounds
for believing that those specified may not be used in full .       Any
Member State applying this paragraph shall inform the Commission of its
grounds for so doing.
                                   Artide 5
Additional shares drawn pursuant to Article 4 shall be valid until
 21 Decer.ber 1974 .
                                   Article 6
Any Member State referred to in Article 2 which on 15 October 1974      has
not exhausted its . initial share shall not later than 10 November "1974
return to the reserve the unused portion in excess of 20fo of the initial
 amount .   It may return a greater portion if there are grounds for
believing that such portion may not be used in full .
                                                                            •/
 ---pagebreak---                                                               AMEX B
Those Member States shall , not later than 10 November 1974 » notify the
Commission of the total quantities of the product in question imported
up to and including 15 October 1974 and charged against the Community
quota and of any portion of their initial shares returned to the reserve .
                                  Article 7
The Commission shall keep an account of the shares opened by the Member
States pursuant to Articles 2 , 3 and 4 and shall , as soon as the information
reaches it , inform each State of the extent to which the reserves have been
used up .
It shall , not later than 15 November 1974 » inform the Member States of the .
amounts still in reserve following any return of shares pursuant to
Article 6 .
It shall ensure that when em amount exhausting one of the reserves is
drawn the ajnount so drawn does not exceed the balance available , and to
this end shall notify the amount of that balance to the Member State making
the last drawing.
                                  Article 8
1.  Every Member State shall take all appropriate measures to ensure that . ,
additional shares draiim pursuant to either Article 3 or Article 4 are
opened in such a way that importations may be charged without interruption
against its accumulated share of the relevant Community quota .
2.  Every Member State shall ensure that importers of the product in question
established in its territory have free access to the     shares allocated to it .
 ---pagebreak---                                                            ANïEX B
3.  Every Member State shall chcirge importations of the product in question
against its shares as and -when the product is entered with the customs
authorities for home use .
4.  The extent to which a Member State has used up its shares shall be
determined on the basis of the importations charged against .those shares
in accordance with paragraph 3 .
                                 Article 9
Every Member State shall notify the Commission at regular intervals of
the importations charged against its shares .
                               Article 10
The Member States and the Commission shall cooperate closely to ensure
that this Regulation is complied with .
                               Article 1 1
This Regulation shall enter into force on
This Regulation shall be binding in its entirety and directly applicable
in all Member States .
Done at Erussels ,
                                                     For the Council
                                                     The Président
 ---pagebreak---                                                                ÂŒX c
                                     Draft
                         REGULATION (EEC ) Ho    /74 OP THE COUNCIL '
                                of
on the opening, allocation and administration of an autonomous Community
tariff quota for 1974 for ferro–chromium containing not more than 0.10$ "by
weight of carbon and more than 30$ but not exceeding 90$ inclusive "by
weight of chromium ( super refined ferro–chromium) falling within subheading
No ex 73.02EI of the Common Customs Tariff .
THE COUNCIL OP THE EUROPEAN COMMUNITIES f
Having regard to the Treaty establishing the European Economic Community ,
and in particular Article 28 thereof ;
Having regard to the draft Regulation submitted by the Commission ;
Whereas , as regards ferro–chromium containing by weight not more than
0.10$ of carbon and more than 30$ but not more than 90$ of chromium
( super refined ferro–chromium ) falling within subheading No ex . 73-02EI
of the Common Customs Tariff , a conventional duty-free Community tariff
quota of 3 000 metric tons has been opened by the Council for 1974 and
allocated; among the Member States by Regulation (ESC ) No 35^9/73^ of .
28 December 1973 ;
Whereas , bearing in mind present Community production capacity , the
abovementioned quota of 3 000 metric tons will not cover the entire
Community import requirements of this product from third countries ;
whereas it is therefore desirable in order that Community development
prospects of the production area concerned should not be affected that
an autonomous Community tariff quota limited to 20 000 metric tons be
opened ;  whereas , for the same reasons , the quota duty applicable should
be fixed at 5*5$;
                                                                         ./•
10J No L 365 , 31 December 1973, p.34.
 ---pagebreak---                                                               AÏJîEX G
Whereas equal and continuous access to the quota should be ensured for
all Community importers and the rate of duty for the tariff quota should
"be applied consistently to all imports of the product in question until the
 quota is exhausted ;  whereas , in the light of these principles , arrangements
for the utilization of the Community tariff quota based on an allocation
rjnong Kember States would seem to be consistent with the Community nature
 of the quota;   whereas in order that it iacy correspond as closely as
possible to the actual trend of the market in the product in question,
 allocation of the quota should be in proportion to the requirements of the
Kember States as calculated by reference to the statistics of imports
from third countries during a representative reference period and to the
 economic outlook for the quota period in question;
IJhereas , on the basis of statistics available at the time and allowing for
 the foreseeable development of the market in the product concerned during
 the current year , the tariff quota of 3 000 metric tons opened t>y the
 aforementioned Regulation was allocated in the following percentages :
                    Bénélux                     5.66
                    Benmark                     0.34
                    Gen^any                     6.17
                    France                      0.34
                    Ireland                     0.01
                    Italy                      84.14
                    United Kinsdom              3.34 ;
 Whereas , since the quota is an autonomous Community tariff quota intended
 to cover additional import needs arising in the Community, the allocation
 of the additional share may be made on the basis of the actual needs
 expressed by each of the Kember States ;   whereas Denmark, Prance ,
 ---pagebreak---                                                                 Airanx c
the United Kingdom, Germany and the three Member States comprising the
Benelux Economic Union have stated that they require further supplies of
90 , 7 000 , 6 900 , 4 000 , and 1 685 metric tons respectively; whereas the
other Member States have not used up enough of their share of the initial quota
of 3 000 metric tons opened by the abovementioned Regulation, according to
the most recently available economic information and statistics , to justify
their participation at present in the proposed increase in the Community
tariff quota;    whereas , moreover , should additional needs arise subsequently in
those Member States they may have recourse to the procedure set up under
Article 3 of this Regulation; whereas this system of allocation also ensures
the uniform application of the Common Customs Tariff ;
Whereas , to take account of future import trends for the product concerned ,
the quota should be divided into two tranches , the first being allocated
among the abovementioned Member States and the second held as a reserve
to cover subsequently the requirements of Member States which, have exhausted
their new shares and any additional requirements which might arise in the other
Member States ; whereas , to give importers some degree of certainty , the
first tranche of the quota should be fixed at a relatively high level which
could be 18 000 metric tons ;
Whereas Member States may exhaust their initial shares at different rates ;
whereas to avoid disruption of supplies on this account it should be provided
that any Member State which has almost used up its initial share should draw
an additional share from the reserve ; whereas each time its additional share
is almost exhausted a Member State should draw a further share , and so on as
many times as the reserve allows ; whereas the initial and additional shares
should be valid until the end of the quota period ; whereas this form of
administration requires close collaboration between the Member States and the
 ---pagebreak---                                      - 4 -
Commission, and the Commission must "be in a position to keep account of the
extent to which the quotas have been used up and to inform the Member States
accordingly ;
Whereas if at a given date in the quota period a considerable quantity of
a Member State 's initial share remains unused it is essential , to prevent
a part of a quota from remaining mused in one Member State while it could
be used in others , that such State should return a significant proportion
thereof to the reserve ;
Whereas , since the Kingdom of Belgium, the Kingdom of the Netherlands and
the Grand Duchy of Luxembourg are united within and jointly represented
by the Benelux Economic Union, any transaction in respect of the
administration of the shares allocated to that Economic Union may be
carried out by one of its members ;
ÏÏAS AB0PT3D THIS REGULATION:
                                    Article 1
1.   There shall be opened within the Community for the period from the date of
entry into force of this Regulation to 31 December 1974 * in respect of
ferro-chromium containing by weight not more than 0.10$o of carbon and niore
than 30% but not more than 90% of chromium ( super–refined ferro–chromium)
falling vdthin subheading Ho ex 73»02EI    of the Common Customs Tariff a
Community tariff quota of 20 000 metric tons .
2 . The Community Customs Tariff duty shall be stLspended at 5*5% in respect
of importations under the above quota .
3.   New Member States shall apply in respect of importations under the said
quota duties calculated in accordance with the relevant provisions of the
Act of Accession,
                                                                            /•
 ---pagebreak---                                                               AMEX C
                                   Article 2
1.  A first tranche of 18 000 metric tons of this quota shall "be allocated
among certain Member States ; the shares , which subject to Article 6 shall
be valid until 31 December 1974 » shall be as follows :
                       Benelux          :       1 540 metric tons
                       Denmark          :          85 metric tons
                       Germany          :       3 660 metric tons
                       Prance           :       6 400 metric tons
                       United Kingdom :         6 315 metric tons .
2.  The second tranche of 2 000 metric tons shall constitute a reserve .
                                   Article 3
Should ferro-chromium be required in Ireland or Italy , those Member States
shall draw a sufficient share from the reserve to the extent that the
reserve so permits .
                                   Article 4 .•
1.  As soon as one of the Member States referred to in Article 2 has used
90$ or more of its initial share as fixed in Article 2(l ), or of that share
minus any portion returned to the reserve pursuant to Article 6 , it shall
forthwith, by notifying the Commission, draw a second share , to the extent
that the reserve so permits , equal to 10/£ of its initial share rounded up
as necessary to the next whole number .
 ---pagebreak---                                      - 6 -
                                                                ATOEX C
2 « As soon as one of the Member States , after exhausting its initial share ,
has uaed jof: or more of the second share drawn by it , that Member State             V
shall forthwith , in the manner and to the extent provided in paragraph 1 ,
draw a third share equal to 5f> of its initial share .
3 . As soon as one of the Member States , after exhausting its second share ,
has used 9Ofo or more of the third share dra,wn by it , that Member State
shall , . in the manner and to the extent provided in paragraph 1 , draw a
fourth share equal to the third .
It shall continue in this fashion until the reserve is exhausted .
4«  By way of derogation from paragraphs 1 to 3 , the Member States may draw
shares lower than those specified in those paragraphs if there are grounds
for believing that those specified may not be used in full . Any Member
State applying this paragraph shall inform the Commission of its grounds for
so doing.
                                     Article 5
Additional shares drawn pursuant to Article 4 shall be valid until 31 December 1974 *
                                     Article 6
Any Member State tfeferred to in Article 2 which on 15 October 1974 has not*'
exhausted its initial share shall not later than 10 November 1974 return to
the reserve the unused portion in excess of 20fi of the initial amount .    It
may return a greater portion if there are grounds for believing that such
portion may not be used in full .
                                                                            /.
 ---pagebreak---                                      -7-
                                                              AMEX C
Those Member States shall ! not later than 10 November 1974 , notify the
Commission of the total quantities of the product in question imported up to and
including 15 Octobor 1974 an^ charged against the Community quota and of any .,
portion of their initial shares returned to the reserve .                 ,
The Commission shall keep an account of the shares opened by the Member
States pursuant to Articles 2 , 3 and 4 and shall , as soon as the information
reaches it , inform each State of the extent to which the reserves have
been used up .
It shall , not later than 15 November 1974 , inform the Member States of
the amounts still in reserve following any return- of shares pursuant to
Article 6 .
It shall ensure that when an amount exhausting one of the reserves is ,
drawn the amount so drawn does not exceed the balance available , and to
this end shali notify the amount of that balance to the Member State making
the last drawing.
                                    Article 8
1 . Every Member State shall take all appropriate measures to ensure that
additional shares drawn pursuant to either Article 3 or Article 4 are
opened in such a way that importations may be charged without interruption
against its accumulated share of the relevant Community quota .             ''
2 . Every Member State shall ensure that importers of the product in
question established in its territory have free access to the shares
allocated to it . ,
3.  The extent to which a Member State has used up its shares shall be
determined on the basis of the importations of the product in question
entered for home use .
 ---pagebreak---                                      - 8 -
                                   Artide 9
Every Member State shall notify the Commission at regular intervals of
the importations charged against its shares .
                                   Article 10
The Member States and the Commission shall cooperate closely to ensure that
this Regulation is complied trith.
                                   Article 11
                                   im m »» awnHiiaMW
                                                        l
This Regulation shall enter into force on
This Regulation shall be binding in its entirety and directly applicable in
all Member States .
Done at Erussels ,
                                                      For th© Council
                                                      The Président
 ---pagebreak---                                                             ATOEX D
                                  3)raft
                 REGULATION (EEC ) No     /74 OP THE COUNCIL                          t
                                 of ••••»•••••
on the opening, allocation and administration of a Community tariff                    J
quota for 1974 for ferro–chromium containing not less than 4$ by weight
of carbon falling vjithin subheading No ex 73»02EI of the Common Customs
Tariff
THE COUNCIL FO THE EUROPEAN COMMUNITIES ,.
Having regard to the Treaty establishing the European Economic Community ,
and in particular Article 28 thereof ;
Having regard to the draft Regulation submitted by the Commission ;
Whereas Community production of ferro-chromium containing not less than
4$ by weight of carbon falling within subheading No ex 73«02EI of the
Common Customs Tariff is inadequate and producers are unable to meet the
total requirements of consumer industries in the Community ;   whereas it is there­
fore in, the Community 's interest to suspend totally in respect of this metal      '
the application of the Common Customs Tariff duty until 31 December 1974 »
up to a limit which should be fixed at 60 000 metric tons so that Comr.unity        J
development prospects of the production area concerned are not affected ;
Whereas equal and continuous access to the quota should be ensured for all
Community importers and the rate of duty for the tariff quota should be
applied consistently to all imports of the product in question until the
quota is exhausted ;  whereas in the light of these principles arrangements
for the utilization of the Community tariff quota based on an allocation
among Member States would seem to be consistent with the Community nature of the
                                                                          •/.
 ---pagebreak---                                       - 2 -
                                                                AHHEX D
  whereas , in order that it may correspond as olosely as possible to the ,
  actual trend of the market in the product in question , allocation of the
  quota should "be in proportion to the requirements of the Member States as
  calculated by reference to statistics of imports from third countries
  during a representative reference 'period and to the economic outlook for
  the quota period in question ;
  Whereas , however , since the quota is an autonomous Community tariff quota
  intended to cover import needs arising in the Community , the allocation of
  the quota may be made on the basis of the actual import needs from third
  countries expressed by each of the Ilember States ;  whereas , on the basis
  of economic information supplied and allowing for duty free supplies from
  the Community or certain third countries , these needs would be as follows :
                       Bénélux                   5 718 metric tons
                       Denmark                     240 metric tons
                       Germany                  12 708 metric tons
                       I^rance                   7 146 metric tons
                       Italy                     6 354 metric tons
                       United Kingdom           27 794 metric tons ;
  Whereas the most recently available economic information concerning Ireland
 would not at present justify its participation in the allocation of the quota ;
  whereas , since the quota is a community tariff quota, it is appropriate to
  provide for this Member State a commercially exploitable share , which should
  be raised at 40 metric tons ; whereas this system of allocation also ensured the
  uniform application of the Common Customs Tariff ;
  Whereas , to take account of future import trends for the product concerned ^
' the quota should be divided into two tranches, the first being allocated among
 ---pagebreak--- certain Member States and the second held as a reserve to cover subsequently
the requirements .of Member States which have exhausted their initial share
and any additional requirements which might arise in Ireland ; whereas , to
give importers some degree of certainty, the first tranche of the quota
should be fixed at a relatively high level which could be 50 000 metric
tons ;
Whereas Member States may exhaust their initial shares at different rates ;
whereas to avoid disruption of supplies on this account it should be
provided that any Member State which has almost used up its initial share
should draw an additional share from the reserve ; whereas each time its
additional share is almost exhausted a Member State should draw a further
share , and so on as many times as the reserve allows ;  whereas the
initial and additional shares should be valid until the end of the quota
period ; whereas this form of administration requires close collaboration
between the Member States and the Commission , and the Commission must be
in a position to keep account of the extent to which the quotas have been
used up and to inform the Member States accordingly ;
Whereas if at a given date in the quota period a considerable quantity of
a Member State 's initial share remains unused it is essential , to prevent
a part of a quota from remaining unused in one Member State while it
could be used in others , that such State should return a significant
proportion thereof to the reserve ;
Whereas , since the Kingdom of Belgium , the Kingdom of the Netherlands and
the Grand Duchy of Luxembourg are united within and jointly represented by
the Benelux Economic Union, ar>y transaction in respect of the administration
of the shares allocated to that Economic Union may be carried out by any one
of its members ;
 ---pagebreak---                                      - 4 -
                                                                ATOTEX D
 HAS ADOPTED THIS REGULATION" î
                                  Article 1
 1 . There shall be opened within the Community for the period from the date
 of entry into force of this Regulation to 31 December 1974 in respect of
 ferro-chromium containing not less than 4$ by weight of carbon falling
 wit hin subheading No ex 73*02 E I of the Common Customs Tariff a Community
 quota of 60 000 metric tons .
2 . Imports of the product in question already benefitting from exemption
 of customs duties by virtue of another preferential tariff arrangement are
not chargeable against this tariff quota .
3.   The Common Customs Tariff duties shall be totally suspended in respect
of importations under the above quota .
4*   New Member States shall apply in respect of importations under the said
quota duties calculated in accordance with the relevant provisions of the
Act of Accession .
                                    Article 2 .
1«   A first tranche of 50 000 metric tons of this quota shall be allocated ,
among certain Member States ; the shares , which subject to Article 6 shall
be valid until 31 December 1974 » shall be as follows :
                 Benelux               :    -    4 765 metric tons ,
                 Denmark               :           200 metric tons
                 Germany               :        10 590 metric tons
                 France                          5 955 metric tons
                 Ireland                            35 metric tons
                 Italy                           5 295 "metric tons
                 United Kingdom        :        23 160 metric tons .
2.    The second tranche of 10 000 metric tons shall constitute a reserve .
 ---pagebreak---                                      - 5 ~
                                                             AMEX D
                                    Article 3
1 . As soon as one of the Member States referred to in Article 2 has used
    9Ofo or more of its initial share as fixed in Article 2(l ), or of that
    share minus any portion returned to the reserve pursuant to Article 5,
    it shall forthwith , "by notifying the Commission , draw a second share , to
    the extent that the reserve so permits , equal to 10$ of its initial
    share rounded up as necessary to the next whole number .
2 . As soon as one of the Member States, after exhausting its initial share ,
    has used 90$ or more of the second share drawn by it , that Member State
    shall forthwith , in the manner and to the extent provided in paragraph 1 ,
    draw a third share equal to % of its initial share .
3 . As soon as one of the Member States, after exhausting its second share ,
    has used 90fo or more of the third share drawn "by it , that Member State
    shall , in the manner exid. to the extent provided in paragraph 1 , draw a
    fourth share equal to the third .
    It shall continue in this fashion until the reserve is exhausted .
4 . By way of derogation from paragraphs 1 to 3 » a Member State may draw
    shares lower than those specified in those paragraphs if there are
    grounds for "believing that those specified may not he used in full .
    Any Member State applying this paragraph shall inform the Commission of
    its grounds for eo doing.
                                                                       ./
 ---pagebreak---                                                               A1WEX T>
                                    Article A
Additional shares drawn pursuant to Article 3 shall be valid until
31 December 1974 »             '       ■
                                    Article 5
Any Member State referred to in Article 2 which on 15 October 1974 has not
exhausted one of its initial shares shall not later than 10 November 1974
return to the reserve the unused portion in excess of 20% of the initial
amount .   It may return a greater portion if there are grounds for believing
that such portion may not be used in full .
Those Member States shall , not later than 10 November 1974 j notify the
Commission of the total quantities of the products in question imported up
to and including 15 October 1974 and charged against the Community quotas
and of any portion of their initial shares returned to the reserve .
                                    Article 6
The - Commission shall keep an account of the shares opened by the Member
States pursuant to Articles 2    and 3   and shall , as soon as the information
reaches it , inform each State of the extent to which the reserves have been
used up .
It shall , not later than 15 November 1974 » inform the Member States of the
amounts still in reserve following any return of shares pursuant to Article 5
It shall ensure that when an amount exhausting one of the reserves is drawn
the amount so drawn does not exceed the balance available , and to this end
shall notify the amount of that balance to the Ilember State making the last
drawing.
 ---pagebreak---                                                             ANNEX D
                                   Article 8
1 . Every Member State shall take all appropriate measures to ensure that
     additional shares drawn pursuant to Article 3 are opened
     in such a way that importations may "be charged without interruption
     against its accumulated share of the relevant Community quota .
2 . Every Member State shall ensure that importers of the product in question
     established in its territory have free access to the shares allocated
     to it .
3 . Every Member State shall charge importations of the product in question
     against its share as and when the product is entered with the customs
     authorities for home use .
4 . The extent to which a Member State has used up its share shall "be
   . determined on the "basis of the importations charged against that share
     in accordance with paragraph 3 .
                                   Article 9
Every Member State shall notify the Commission at regular intervals of the
importations charged against its shares .
                                   Article 10
The Member States and the Commission shall cooperate closely to ensure that
this Regulation is complied with .
 ---pagebreak---                                                           AMEX D
                                Article 11
This Regulation shall enter into force on ...
This Regulation shall "be binding in its entirety and directly applicable
in all Member States .
Done at Brussels ,
                                                 For the Cour cil .
                                                 The Président