31977R2561

23. 11 . 77 Official Journal of the European Communities No L 299/ 1

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(Acts whose publication is obligatory)

COUNCIL REGULATION ( EEC) No 2561 /77 of 21 November 1977 opening, allocating and providing for the administration of a Community tariff quota for liqueur wines falling within subheading ex 22.05 C of the Common Customs Tariff, originating in Cyprus and marketed under the label of 'Cyprus sherry', and introducing subsidies for similar wine products produced in the Community ( 1977)

THE COUNCIL OF THE EUROPEAN Whereas, as from 1 July 1977, imports of the product COMMUNITIES , in question into the United Kingdom and Ireland, the traditional markets for the wine marketed under the Having regard to the Treaty establishing the European label of 'Cyprus sherry', should, under the Act of Economic Community, and in particular Articles 43 Accession, be subject to the Common Customs Tariff and 1 1 3 thereof, duties :

Having regard to the proposal from the Commission, Whereas, to allow for the disposal of existing stocks, Having regard to the opinion of the European Parlia­ Community arrangements should be introduced for ment ( !), the second half of 1977, in the form of a Community tariff quota exempt from customs duties and the coun­ Whereas the exchange of letters referred to in Article tervailing charge ; 12 of the Protocol laying down certain provisions relating to the Agreement establishing an Association between the European Economic Community and the Whereas these arrangements should not disturb the Republic of Cyprus consequent on the accession of market in Community wines similar to liqueur wines new Member States to the European Economic originating in Cyprus and covered by this Regulation ; Community (2) makes provision for special interim whereas, to avoid distortion of the conditions of arrangements for the wine product exported under the competition between the said products and similar label of 'Cyprus sherry' and intended for direct human Community wines, provision should be made, in consumption, which involve the non-application of respect of the latter, for the granting of aids, based on countervailing charges on imports of this wine into the difference, on the market of the Member States of Ireland and the United Kingdom , within the limits of destination, between the prices of Community liqueur an annual quota of 200 000 hectolitres ; wines and the prices of the liqueur wines in question originating in Cyprus ; Whereas, to that end , Regulation ( EEC) No 1253 /73 (3), as amended by Regulation (EEC) No 3576/73 (4), as last extended and amended by Regula­ tion ( EEC) No 1606/ 76 (5 ), introduced arrangements Whereas a Community tariff quota should be opened under the conditions set out above and within the for imports of the wine product exported under the label of 'Cyprus sherry', originating in and coming limits of 100 000 hectolitres for the period 1 July to 31 December 1977 ; from Cyprus, and provided for subsidies for similar wine products produced in the Community as origi­ nally constituted and exported to Ireland and the United Kingdom ; whereas the arrangements in ques­ Whereas entry under the above Community tariff tion expired on 30 June 1977 ; quota must be conditional on the presentation of the A.CY.l movement certificate and on the wines being 0)01 No C 266, 7 . 11 . 1977, p. 25 . described as 'Cyprus sherry' in the V.I.I document (2) OJ No L 133 , 21 . 5 . 1973 , p . 88 . provided for in Regulation ( EEC) No 21 1 5/76 (6) ; (3) OJ No L 133 , 21 . 5 . 1973 , p . 115 . (4) OJ No L 359, 28 . 12. 1973 , p. 33 . (5) OJ No L 175, 1 . 7. 1976, p . 6 . (6) OJ No L 237, 28 . 8 . 1976, p. 1 .

No L 299 / 2 Official Journal of the European Communities 23 . 11 . 77

Whereas it is in particular necessary to ensure equal position to follow the extent to which the quota and uninterrupted access to the abovementioned volume has been used up and inform the Member quota for all Community importers and uninterrupted States thereof ; application of the rates laid down for that quota to all imports of the products concerned into all Member Whereas if, at a given date in the quota period, a States until the quota has been used up ; whereas, Member State has a considerable quantity of the having regard to the above principles, the Community initial share left over, it is essential that it should nature of the quota would be respected by allocating return a significant proportion thereof to the reserve the Community tariff quota among the Member to prevent a part of the Community quota from States ; whereas, in order to reflect as accurately as remaining unused in one Member State when it could possible the actual development of the market in the be used in others ; products concerned, such allocation should be in proportion to the requirements of the Member States, assessed by reference to both the statistics relating to Whereas, since the Kingdom of Belgium, the imports of the said products from Cyprus over a repre­ Kingdom of the Netherlands and the Grand Duchy of sentative period and the economic outlook for the Luxembourg are united in and represented by the quota period concerned ; Benelux Economic Union, all transactions concerning the administration of the shares allocated to that economic union may be carried out by any one of its members,

Whereas in this case, however, neither Community nor national statistics showing the breakdown for each of the types of wines in question are available ; whereas, in these circumstances, the quota volume HAS ADOPTED THIS REGULATION : should be allocated in initial shares, taking into account demand for these wines on the markets of the various Member States and the requirements indicated by certain Member States ; Article 1

1 . Until 31 December 1977, the Common Customs Tariff duties in respect of the following products origi­ Whereas, in order to take into account import trends nating in Cyprus shall be totally suspended within the for the products concerned in the different Member limits of an overall Community tariff quota of States, the quota amount should be divided into two 100 000 hectolitres . instalments, the first being allocated among the Member States and the second held as a reserve CCT intended to cover at a later date the requirements of heading Description of goods No Member States which have used up their initial share ; whereas, in order to guarantee some degree of security ex v to importers in each Member State, the first instal­ 22.05 C IIa) ex 22.05 C IIb) J ment of the Community quota should be fixed at a ex 22.05 C III a) 2 f Liqueur wines marketed under the level which could, in the present circumstances, be ex 22.05 C III b) 3 i label of 'Cyprus sherry' 99 % of the quota volume ; ex 22.05 C IV a) 2 ex ' 22.05 C IV b) 3

Whereas the initial shares of the Member States may be used up at different times ; whereas, in order to 2. The Protocol on the definition of the concept of take this into account and to avoid disruption, any 'originating products' and on methods of administra­ Member State which has used up almost all of its tive cooperation annexed to the Agreement between initial share should draw a supplementary share from the European Economic Community and Cyprus shall the reserve ; whereas this should be done by each be applicable . Member State each time one of its supplementary shares is almost used up, and so on as many times as the reserve allows ; whereas the initial and supplemen­ 3 . The entry of these wines under the tariff quota tary shares should be valid until the end of the quota referred to in paragraph 1 shall be conditional on period ; whereas this form of administration requires their being described in the V.I.l document provided close collaboration between the Member States and for in Regulation (EEC) No 2115/76 as 'liqueur wines the Commission, and the Commission must be in a to be marketed under the label of "Cyprus sherry" '.

23 . 11 . 77 Official Journal of the European Communities No L 299/3

4. Within the limits of the above tariff quota, the fixed in the said paragraphs, if there is reason to products referred to in paragraph 1 shall be exempt believe that those fixed might not be used up. They from the countervailing charges provided for in Regu­ shall inform the Commission of their reasons for lation (EEC) No 816/70 ('), as last amended by Regula­ applying this paragraph. tion (EEC) No 2211 /77 (2).

Article 4 Article 2 The additional shares drawn pursuant to Article 3 1 . The quota laid down in Article 1 shall be shall be valid until 31 December 1977 . divided into two instalments .

2. A first instalment, amounting to 99 000 hecto­ Article 5 litres, shall be allocated among the Member States ; the shares which, subject to Article 5, shall be valid up Member States shall return to the reserve, not later to 31 December 1977, shall be as follows : than 15 December 1977, the unused portion of their (in hectolitres) initial share which , on 1 December 1977, is in excess Benelux 100 of 20 % of the initial amount. They may return a Denmark 100 greater portion if there are grounds for believing that Germany 100 such portion might not be used in full. France 100 Ireland 900 Each Member State shall, not later than 15 December Italy 100 1977, notify the Commission of the total imports of United Kingdom 97 600 the products concerned effected under the Commu­ nity quota up to and including 1 December 1977 and, where appropriate, the proportion of the initial share returned to the reserve . 3 . The second instalment, amounting to 1 000 hectolitres, shall constitute the reserve .

Article3¶

1 . If 90 % or more of the initial share of a The Commission shall keep account of the shares Member, as specified in Article 2 (2), or of that share opened by Member States pursuant to Articles 2 and 3 and, as soon as it has been notified, shall inform each less the portion returned to the reserve, where Article State of the extent to which the reserve has been used . 5 has been applied, has been used, that Member State shall, without delay, by notifying the Commission, draw a second share equal to 1 5 % of its initial share, The Commission shall notify Member Staes not later than 20 December 1977 of the amount in the reserve rounded up where necessary to the next whole number in so far as the amount in the reserve allows . after the return of shares pursuant to Article 5.

2. If, after the initial share has been used up, 90 % The Commission shall ensure that the drawing which or more of the second share drawn by a Member State uses up the reserve is limited to the balance available has been used up, that Member State shall, in accor­ and, to this end, shall specify the amount thereof to dance with the conditions laid down in paragraph 1 , the Member State making the final drawing. draw a third share equal to 7-5 % of its initial share, rounded up where necessary to the next whole Article 7 number, in so far as the amount in the reserve allows.

3 . If, after its second share has been used up, 90 % 1 . Member States shall take all measures necessary or more of the third share drawn by a Member State to ensure that additional shares drawn pursuant to has been used up, that Member State shall, in accor­ Article 3 are opened in such a way that imports may dance with the same conditions, draw a fourth share be charged without interruption against their aggre­ equal to the third. gate shares in the Community quota.

This process shall continue to apply until the reserves 2. Each Member State shall ensure that importers are used up . of the products concerned established in their terri­ tory have free access to the shares allocated to them. 4. By way of derogation from paragraphs 1 , 2 and 3, Member States may draw smaller shares than those 3 . The extent to which a Member State has used up its shares shall be determined on the basis of the (') OJ No L 99 , 5. 5 . 1970 , p. 1 . imports of the products in question entered for home O OJ No L 256, 7. 10 . 1977, p. 1 . use .

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Article 8 products eligible for aid, shall be adopted in accor­ dance with the procedure laid down in Article 7 of 1 . Subsidies shall be granted for liqueur wines of Regulation No 24 on the progressive establishment of Community origin similar to the liqueur wines a common organization of the market in wine ( !). described in the V.I.I document provided for in Regu­ lation (EEC) No 2115/76 as 'liqueur wines to be Article 10 marketed under the label of "Cyprus sherry" ' which are dispatched by 31 December 1977 from the At the request of the Commission, Member States producer Member States to the other Member States shall inform it of imports actually charged against of the Community which have actually imported and their shares . marketed under this Regulation products referred to in Article 1 . Article 11 2. The subsidies referred to in paragraph 1 shall be The Member States and the Commission shall colla­ calculated on the basis of the difference, on the borate closely in order to ensure that this Regulation markets of the importing Member States, between the is observed . prices of Community liqueur wines and those of the liqueur wine marketed under the label of 'Cyprus Article 12 sherry'. This Regulation shall enter into force on the third day Article 9 following its publication in the Official Journal of the European Communities. Detailed rules in respect, particularly, of the amount of the subsidy and of the Community liqueur wine It shall apply until 31 December 1977.

This Regulation shall be binding in its entirety and directly applicable in all Member States .

Done at Brussels, 21 November 1977. For the Council The President H. SIMONET

(') OJ No 30, 20 . 4. 1962, p. 989/ 62.