CELEX: 51973PC2131
Language: en
Date: 1973-12-14
Title: PROPOSAL FOR A REGULATION (EEC) OF THE COUNCIL on the opening of tariff preferences (partial suspension of customs duties) for products made from jute and coir originating in India and products made from jute originating in Bangladesh (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (73) 2131
Vol. 1973/0387
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 ---pagebreak---   COMMISSION OF THE EUROPEAN COMMUNITIES
                                                        COM(73 ) 2131 final
                                                        Brussels . 14 December 1973
                                PROPOSAL TOR A
                       REGULATION (EEC) OP THE COUNCIL
        on the opening of tariff preferences (partial suspension of
customs duties) for products made from jute and coir originating in India
           and products made from jute originating in Bangladesh
                ( submitted to the Council by the Commission)
 COM(73 ) 2131 final
 ---pagebreak---                               EXPLANATORY MEMORANDUM
1.   In its offer on generalized preferences made at UNCTAD the Community, has
provided that the preferential treatment will cover, in general , all manufactured
and semi-manufactured products falling within Chapters 25 to 99 of the Brussels
Nomenclature and originating in developing countries . This preference will
consist in the elimination of customs duties .
However , as regards jute and coir products the Community's offer only provides for
an elimination of customs duties in the framework of special measures to be
determined with the exporting developing countries .
2.   In order to complete these arrangements the Commission has "been authorized
to negotiate on behalf of the Community with the applicant countries , namely :
India as regards jute and coir products and Bangladesh as regards jute products .
The negotiations with India have resulted in the drawing up of two Agreements ;
those with Bangaladesh are in process and will shortly lead to the same results .
There is not provision , in particular , in these agreements ( except in the agreement
on coir products ) that the exporting countries will apply appropriate measures
in order that exports of the products intended for consumption within the Community
will not exceed certain agreed ceilings .
                                                                                 '■i'
3.   The Commission believes that the Agreements concluded with India and , in the
near future , with Bangladesh on trade in products manufactured from jute and coir
contain special measures provided for in the Community 's offer of preferences
for these two products . It proposes , therefore , to extend to the products concerned
from 1 January 1974 the Community 's generalized tariff preferences .
 ---pagebreak---  in accordance with the rules and. timetable contained in the proposed Regulation
 attached hereto and summarized "below :
  (a) The generalized tariff preferences for products manufactured from jute in
       India and Bangladesh shall "be subject to preferential duties for 1974 as
       shown for each of these products ; ;
  (b ) Similar provisions shall apply to coir products originating in India;
  ( c) In Denmark, Ireland and the United Kingdom tariff adjustments arising out of
       the application of the preferential duties shown in the proposed Regulation
       may be introduced gradually in accordance with Article 2(2 ) of the Agreements.
       In 1974 » the United Kingdom and Denmark will continue to apply the duties
       appearing in their 1973 tariff to products coming from India and Bangladesh
       so that , in accordance with the Joint Declaration of Intent\ they may avoid
       a deterioration in traditional trade flows brought about by too speedy
       a removal of duties which formerly applied to these products . As regards
       Ireland , it is considered appropriate that , taking account of the very high
       rates in force at present for jute products it should be allowed to align its
       rates gradually with those provided for , that is to say on the dates and in
       order fixed in Article 39 of the Treaty of Accession.
1
   Joint Declaration of Intent on the development of trade relations with Ceylon
   (Sri Lanka), India, Malaysia, Pakistan and Singapore annexed to the Act of
  Accession.
 ---pagebreak---                                  Proposal for a
                     REGULATION (EEC)     OP THE COUNCIL
           on -the opening of tariff preferences (partial suspension
           of customs duties ) for products made from jute and coir        »
           originating in India and products made from jute originating
           in Bangladesh
THE COUNCIL OP THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community , and
in particular Article 113 thereof ;
Having regard to the proposal from the Commission ;
Whereas within the framework of UNCTAD the European Economic Community has
made an offer concerning the granting of tariff preferences for finished and
semi-finished products from developing countries ; whereas the preferential
treatment provided for by that offer covers , in general , all finished and semi­
finished products falling within Chapters 25 to 99 of the Brussels Nomenclature
and originating in developing countries .
Whereas the offer contains a clause stipulating that the Community has made the ^
offer on the basis that all the principal industrial countries which are members
of the OECD grant preferences and devote comparable efforts to that end and it
follows from the conclusions reached within UNCTAD that the offer is provisional
does not constitute a binding commitment and , in particular , may subsequently be
withdrawn in whole or in part ; whereas withdrawal might be decided on , among
other measures , in order to correct any unfavourable situations which might arise
in the associated countries as a result of the application of the system of
generalized preferences ;                                   ;   .
 ---pagebreak---                                                     - 2 -
      Whereas , however , as regards jute and. coir products , the offer only includes
      the elimination of customs duties where special arrangements have been made with
      the developing exporting countries ;
      Whereas Agreements have just "been            between the Community and India
      and Bangladesh respectively concerning products made from jute and coir ;     whereas
      the said Agreements refer , in particular , to the " Joint Declaration of Intent
      on the development of trade relations with Ceylon (Sri Lanka), India , Malaysia ,
      Pakistan and Singapore " contained in the Act annexed to the Treaty concerning
      the Accession of:_new Member States to the European Economic Community , and to the
     European Atomic Energy Community , signed on 22 January 1972 , and laying down
      special regulations governing trade in these products with the Community ;
     Whereas                       , it is provided , in particular , that the Commission
      should , autonomously and within the scope of its offer on the granting of generalize
     tariff preferences for products made from jute and coir , partially and by stages
      suspend out Common Customs Tariff duties relating to these products from 1 January 1
     Whereas in the light of Protocol No 23 annexed to the Act joined to the Treaty
      concerning the Accession of new Member States to the European Economic Community
     and to the European Atomic Energy Community the new Member States are authorized
     to defer until 1 January 1974 the application of the generalized tariff preference
     scheme applied by the European Economic Community to products originating in the
                                                                                        I-
     developing countries ;    whereas it follows that from that date the new Member States
     will have to apply in full the customs duties provided for in the generalized
     tariff preference scheme of the European Economic Community to products made from
     jute and coir ;   whereas , however , Article 2(2 ) of the abovementioned Agreements
     concerning these products 1 ay r down that in Denmark , Ireland and the United Kingdom
     the tariff adjustments resulting from the opening of the preferences in question
     may be introduced gradually ;
(1)  O.J. nr . L 73 dated 27.3.1972 , p . 195
( 2) P.J. nr . L 73 dated 27-3.72 ,    p. 178
 ---pagebreak--- Whereas , therefore , in respect of the products covered by Article 1 of this
Regulation , the Commission should until 31 December 1974 allow imports to be
partially free from customs duties ; whereas the benefit of these reductions
should be granted only for the products originating in India and Bangladesh ;
whereas for this reason the provisions concerning the definition of the concept
pf the origin of goods should be applied to tariff preferences granted by the
European Economic Community for products from developing countries for the period
from 1 January until 31 December 1974 *
 ---pagebreak--- HAS ADOPTED THIS REGULATION :
                  • • .   . .  ... .    - --. Arti eie 1 e -!     :■■■■■■. t s , ,
1.    Prom 1 January until 31 December 1974 » the? Common Customs Tariff duties
                                                                         ,                 »
on the products listed hereafter shall "be suspended preferentially at the
rates shown in respect thereof.' ' " r                    ' : * '
   Heading number                                                                Preferential rates
   in the Common                               Description                       of duty
   Customs Tariff
       ex 57*06         Jute yarn                                                      4.8
       ex 57.10         Woven fabrics of jute
                        A. Of a width of not more than 150 cm
                             and weighing per square metre :
                                I. Less than 310 g ;                                  12
                              II . Not less than 310 g but not                        11.4
                                  . more than 500 g ;
                            III . More than 500 g.                                     9
                        B. Of a width more than 150 cm                                13.2
       ex 58*02         Other carpets , carpeting, rugs , mats
                        and matting , and " Kilim" , " Schumacks"
                        and " Karamanie" rugs and the like
                        (made up or not ):
                        A. Carpets , carpeting, rugs , mats and
                            matting :
                            ex     I. Coir mats and matting                           13.8
       ex 62.03         Sacks and bags , of a kind used for the
                       packing of goods :
                        ex A. Of jute :
                                 II . Other :
                                      ( a) Of fabric weighing less
                                             than 310 g/m^                            12
 ---pagebreak---                                                     - 5 -
      62.03               (b ) of fabric weighing not less "than
       ( cont . )              310 g/m^ but not more than 500 g/m^           11.4
                          ( c) of fabric weighing more than 500 g/m           9
 2.   In 1974 Denmark and the United Kingdom shall retain the national
 customs tariff that they applied in 1973 for the products concerned. For jute
 textile products falling within tariff headings ex 57*06 , ex 57-01 and 62.03 ex A
 mentioned above Ireland shalj. align its national customs tariff duties with the
 abovementioned preferential rates on the dates and in the order fixed in
 Article 39(1 ) and ( 2 ) of the Act of Accession.
 3.   The benefit of the suspensions referred to in Article 1 shall be reserved
 for products originating in India ;      products originating in Bangladesh shall also
benefit from these suspensions ^ except coir mats and matting falling within tariff
heading 58.02 A ex I.        The concept of the origin of goods shall be as provided
for by the provisions relating thereto which apply to products benefitting
from tariff preferences granted by the European Economic Community to developing
countries for the period from 1 January until 31 December 1974 *
                                          Article 2
1.    The Commission , in close collaboration with Member States , shall take all
necessary measures to ensure that the foregoing provisions are applied .
2.    The Member States shall regularly inform the Commission of imports benefitting
under the preceding provisions .
                                         Article 3
This Regulation shall enter into force on the third day following its publication
in the Official Journal of the European Communities .
This Regulation shall be Isinding in its entirety and directly applicable in all
Member States .
Done at Brussels ,                                           Por the Council
                                                              The President