31977R2708

No L 324 /96 Official Journal of the European Communities , 19 . 12 . 77

COUNCIL REGULATION ( EEC) No 2708/77 of 28 November 1977

opening, allocating and providing for the administration of a Community tariff quota for raw or unmanufactured Virginia type tobaccos originating in developing countries

THE COUNCIL OF THE EUROPEAN COMMUNITIES , whereas preferential imports of the products concerned could be effected without quantitative restrictions ; whereas it appears appropriate, however, in view of the Having regard to the Treaty establishing the European sensitiveness of the tobacco sector generally and of the Economic Community, and in particular Article 43 need to safeguard the interests of the associated coun­ thereof, tries and of the ACP States in this field, to lay down for raw or unmanufactured Virginia type tobacco special Having regard to the proposal from the Commission, conditions consisting in a reduction of the customs duty applicable to these products within the limits of a Community tariff quota ; Having regard to the opinion of the European Parlia­ ment ( 1),

Having regard to the opinion of the Economic and Social Committee ( 2), Whereas the offer made by the Community includes a clause stating that the Community drew up the offer on Whereas in the Joint Declaration of Intent, on the de­ the assumption that all the main industrialized countries velopment of trade relations with Sri Lanka, India, which are members of the OECD would participate in Malaysia, Pakistan and Singapore (3), the Community granting preferences and would make similar efforts in declared its readiness to seek solutions to the problems this direction ; whereas, moreover, it is evident from the which may arise in the field of trade with the countries conclusions worked out in UNCTAD that this offer, referred to ; while being of a temporary nature, does not constitute a binding commitment and, in particular, may be with­ drawn wholly or in part at a later date ; whereas this Whereas, on the one hand, for several Asian countries possibility may be adopted inter alia with a view to of the Commonwealth and particularly India, the types remedying any unfavourable situations which might of unmanufactured tobaccos concerned are an impor­ arise in the ACP States following the implementation of tant export product and the flow of trade in such pro­ the generalized preference scheme; ducts is likely to be changed as a result of the enlarge­ ment of the Community and, on the other hand, these countries are among the worst hit by the present Whereas, moreover, the conference of Heads of State or of Government of the Member States and the States economic crisis; whereas the system of generalized tariff preferences may constitute a solution to the problems of acceding to the European Communities held in Paris this nature; whereas these types of tobaccos should be from 19 to 21 October 1972, invited the Community included in the generalized preferences scheme; institutions and the Member States progressively to adopt an overall policy of development cooperation on a world-wide scale comprising in particular the im­ Whereas, within the context of UNCTAD , the Euro­ provement of generalized preferences with the aim of pean Economic Community offered to grant tariff pre­ achieving a steady increase in imports of manufactures ferences on certain processed agricultural products of from the developing countries; Chapters 1 to 24 to the Common Customs Tariff which originate in developing countries; whereas the preferen­ Whereas tariff preferences have been applied as from tial treatment proposed in that offer consists, in respect the second half of 1971 ; whereas, however, for the of certain goods which are subject to the trade ar­ flue-cured Virginia type tobacco, the said system of rangements laid down in Regulation (EEC) No tariff preferences has been made applicable from 1974 1059/69, of a reduction in the fixed component of the and it is appropriate to apply this system henceforth for charge applicable to such goods by virtue of that Regul­ all Virginia type tobaccos ; ation, and, in respect of products which are subject to the single customs duty, of a reduction in such duty; Whereas it is expedient, therefore, that the Community should open for 1978 for these raw or unmanufactured tobaccos, originating in the countries and territories ( x) OJ No C 266, 7. 11 . 1977, p. 16 . listed in the Annex, a Community tariff quota limited to ( 2) Opinion delivered on 26/27 October 1977 (not yet pub­ 60 000 tonnes, at a customs duty rate of 7% with a lished in the Official Journal). minimum charge of 15 units of account per 100 kilo­ (3) OJ No L 73 , 27. 3 . 1972, p. 195 . grams net weight for Virginia type tobaccos falling

19 . 12 . 77 Official Journal of the European Communities No L 324 / 97

within subheading 24.01 ex B and with a maximum Whereas, on the basis of the available statistical data charge of 45 units of account per 100 kilograms net which cover only a relatively brief period and whereas weight for the Virginia type tobaccos falling within they should be weighted on the basis of the estimates subheadings 24.01 A ex I and 24.01 A ex II; which may be made in respect of the quota year, the shares in the first tranche may be set out as follows :

Germany 10 315 tonnes, Whereas, in accordance with Protocol 23 to the Act of Benelux 5 586 tonnes, Accession ( 1), the generalized tariff preference scheme France 980 tonnes, became fully applicable in the new Member States on 1 January 1974 ; Italy 3 920 tonnes, Denmark 1 862 tonnes, Ireland 1 935 tonnes . Whereas the benefit of this tariff quota should be re­ United Kingdom 34 202. tonnes served for products originating in the countries and ter­ ritories under consideration, the concept of 'originating products' being determined in accordance with the Whereas Member States may exhaust their initial shares procedure laid down in Article 14 of Council Regula­ for the products in question at different rates; whereas tion (EEC) No 802/68 of 27 June 1968 on the common to avoid disruption of supplies on this account it should definition of the concept of the origin of goods (2); be provided that any Member State which has almost used up its initial share should draw an additional share from the reserve ; whereas this must be done by each Member State as and when each of its additional shares Whereas it is necessary to ensure equal and continuous is almost entirely used up, and repeated as many times access for all Community importers to the abovemen­ as the reserve allows ; whereas the initial and additional tioned quota and the uninterrupted application of the shares must be available for use until the end of tRe rate laid down for this quota to all imports of the pro­ quota period; whereas, however, it seems advisable to ducts concerned into all Member States until this quota permit the Member States to limit the exercise of their is used up; whereas having regard to the principles set total obligation to draw on the reserve amount to a out above, the Community nature of the quota can be level not exceeding 40% of their initial share; whereas respected by allocating the Community tariff quota this method of administration calls for close co­ among Member States; whereas, moreover, to this end operation between Member States and the Commission and in the context of the utilization system, the actual which must, in particular, be able to observe the extent charges against the quota may relate only to products to which the quota amount is used and inform Member which have been entered for home use and which are States thereof; accompanied by a certificate of origin;

Whereas if, at a specified date in the quota period, a considerable balance remains in one or other Member Whereas, to take account of future import trends for the State it is essential that that Member State pays a large products in question in the various Member States, the amount of it back into the reserve, in order to avoid a quotas should be divided into two tranches, the first part of the Community quota remaining unused in one being allocated among Member States and the second Member State when it could be used in others ; held as a reserve to cover subsequently the requirements of Member States which have exhausted their initial shares; whereas, moreover, the reserve constituted in Whereas since the Kingdom of Belgium, the Kingdom of the manner described above tends to avoid making the the Netherlands and the Grand Duchy of Luxembourg system of utilization of the quota excessively rigid, to are united in and represented by the Benelux Economic the detriment of the developing countries concerned and Union, all transactions concerning the administration of will contribute to achieving the aim already mentioned shares allocated to that economic union may be carried of improving the generalized preferences system; where­ out by any one of its members, as, to give importers in each Member State some degree of certainty, the first tranche of the Community quota might be fixed at a relatively high level, in this case HAS ADOPTED THIS REGULATION : - 98% of the full quota ;

Article1¶

(!) OJ No L 73 , 27. 3 . 1972, p. 178 . 1 . From 1 January to 31 December 1978 , a Commun­ (2) OJ No L 148 , 28 . 6 . 1968 , p. 1 . ity tariff quota of 60 000 tonnes shall be opened in the

No L 324/98 Official Journal of the European Communities 19 . 12 . 77

Community for the imports of raw or unmanufactured 2 . If a Member State, after exhausting its initial shares, Virginia type tobaccos falling within subheadings 24.01 has used 90% or more of the second share drawn by it, A ex I, 24.01 A ex II and 24.01 ex B of the Common that Member State shall forthwith, by notifying the Customs Tariff. Within this tariff quota the customs Commission, draw a third share, equal to 5% of its ini­ duty shall be suspended at 7% with a minimum charge tial share rounded up should the occasion arise to the nearest unit above. of 15 units of account per 100 kilograms net weight for Virginia type tobaccos falling within subheading 24.01 ex B and a maximum charge of 45 units of account per 100 kilograms net weight for Virginia type tobaccos 3 . If a Member State, after exhausting its second share, falling within subheadings 24.01 A ex I and 24.01 A has used 90% or more of the third share drawn by it, ex II . that Member State shall, under the same conditions , draw a fourth share equal to the third. This process shall continue until the reserve has been exhausted . 2 . This tariff quota shall apply solely to products originating in the countries and territories listed in the Annex. However, those imports which enjoy exemption from customs duties under other preferential tariff 4 . By way of derogation from paragraphs 1 , 2 and 3 , a arrangements granted by the Community may not be Member State may draw shares lower than those charged against this tariff quota. 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 For the purposes of the application of this Regulation the Commission of its grounds for so doing. the concept of .'originating products' shall be deter­ mined in accordance with the procedure laid down in Article 14 of Regulation (EEC) No 802/68 . 5 . Any Member State may limit the sum total of its additional shares to 40% of its initial share, informing Entry to this tariff quota shall be subject to the produc­ the Commission that it is so doing. tion of a certificate of authenticity appearing in the cer­ tificate of origin and made out in accordance with the procedure referred to in the second subparagraph. Article 4 Article 2 Additional shares drawn pursuant to Article 3 shall be valid until 31 December 1978 . 1 . A first tranche of 58 800 tonnes shall be allocated among the Member States. The shares which, subject to Article 5 , shall be valid until 31 December 1978 , shall for each Member State be as follows : Article 5

Germány 10 315 tonnes, A Member State which on 25 October 1978 has not Benelux 5 586 tonnes , exhausted one of its initial shares shall, not later than 7 France 980 November 1978 , return to the reserve any unused tonnes, portion in excess of 15% of the initial amount. It may Italy 3 920 tonnes, return a greater portion if there are grounds for believ­ Denmark 1 862 tonnes, ing that such portion may not be used in full. Ireland 1 935 tonnes , United Kingdom 34 202 tonnes . Member States shall, not later than 7 November 1978 , notify the Commission of the total quantities of the 2 . The second tranche of 1 200 tonnes shall constitute product in question imported up to and including 25 the reserve. October 1978 and charged against the Community quotas and of any portion of their initial shares re­ turned to the reserve. Article 3

Article 6 1 . If a Member State has used 90% or more of its ini­ tial share as fixed in Article 2 ( 1 ), or of that share minus any portion returned to the reserve pursuant to Article The Commission shall keep an account of the shares 5 , it shall forthwith, by notifying the Commission, draw opened by the Member States pursuant to Articles 2 and a second share, to the extent that the reserve so permits, 3 and shall, as soon as the information reaches it, in­ equal to 10% of its initial share rounded up should the form each State of the extent to which the reserve has occasion arise to the nearest unit above. been used up.

19 . 12 . 77 Official Journal of the European Communities No L 324 / 99

It shall, not later than 21 November 1978 , inform the petitive products at a serious disadvantage or create an Member State of the amount still in reserve following unfavourable situation in the ACP States, the customs any return of shares pursuant to Article 5 . duties applied within the Community may be re-intro­ duced in part or in full for imports of the products in It shall ensure that when an amount exhausting the question from the country or countries or territory or reserve is drawn the amount so drawn does not exceed territories which are the cause of such disadvantage. the balance available, and to this end shall notify the Such measures may also ' be taken in the event of a amount of that balance to the Member State making the serious disadvantage, either actual or foreseeable, which last drawing. is confined to a single region of the Community.

The Member States shall take all appropriate measures to ensure that additional shares drawn pursuant to Article 10 Article 3 are opened in such a way that importations may be charged without interruption against their 1 . In order to ensure that Article 9 is applied, the cumulative shares of the Community quota . Commission may, by way of a Regulation, re-introduce normal duties for a fixed period.

Article 7 2 . If the Commission has acted at the request of a Member. State, the former shall give its decision within a 1 . The Member States shall ensure free access to the maximum period of 10 working days from the date of shares which have been allocated to them for importers receipt of the request and shall inform the Member of the said goods who are established in their territory. State of the action it has taken.

2 . The extent to which a Member State has used up its 3 . Each Member State may refer the measure taken by share shall be determined on the basis of imports of the the Commission to the Council within a period of 10 said goods which have been entered for home use, on working days following the date it was notified. The the basis of the customs value of the said goods, and fact that the matter has been referred to the Council which are accompanied by a certificate of origin in shall not constitute the suspension of the measure. The accordance with the rules referred to in Article 1 (2 ). Council shall meet without delay. Acting on a qualified majority, it may amend or repeal the measure in ques­ 3 . Goods shall qualify for a tariff quota only if the tion. certificate of origin referred to in paragraph 2 is submit­ ted before the date on which the levying of duties is Article 1 1 re-introduced . Articles 9 and 10 shall not prejudice the application of the protective clauses drawn up in connection with the Article 8 common agricultural policy pursuant to Article 43 of the Treaty nor those drawn up in connection with the Member States shall inform the Commission at monthly common commercial policy pursuant to Article 113 of intervals of imports of the products in question charged the Treaty. against their shares. This information shall show both the value expressed in units of account and the quantity Article 12 expressed in tonnes. Member States and the Commission shall cooperate Article 9 closely to ensure that the above Articles are observed.

Should imports of the products benefiting under the Article 13 arrangements provided for in Article 1 be imported into the Community at prices such as to put or be likely to This Regulation shall enter into force on 1 January put Community producers of similar or directly com­ . 1978 .

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

Done at Brussels, 28 November 1977 . For the Council The President L. OUTERS

No L 324/ 100 Official Journal of the European Communities 19. 12. 77

ANNEXi

List of developing countries and territories enjoying generalized tariff preferences ( x)

I. INDEPENDENT COUNTRIES

660 Afghanistan 260 Guinea 801 Papua New Guinea 208 Algeria 257 Guinea Bissau 520 Paraguay / 330 Angola 488 Guyana 504 Peru 528 Argentina 452 Haiti 708 Philippines 453 Bahamas 424 Honduras 644 Qatar 640 Bahrain 664 India 066 Romania 666 Bangladesh 700 Indonesia 324 Rwanda 469 Barbados 616 Iran 819 Samoa 284 Benin 311 Sao Tome and Principe 612 Iraq 675 Bhutan 632 Saudi Arabia 272 Ivory Coast 516 Bolivia 248 Senegal 464 Jamaica 391 Botswana 628 Jordan 355 Seychelles and Dependencies 508 Brazil 264 Sierra Leone 696 Kampuchea, Democratic 676 Burma 706 Singapore 346 Kenya 328 Burundi 342 Somalia 728 Korea, Republic of 302 Cameroon 636 Kuwait 669 Sri Lanka 247 Cape Verde Islands 684 Laos 224 Sudan 306 Central African Empire 604 Lebanon 492 Surinam 244 Chad 395 Lesotho 393 Swaziland 512 Chile«► 268 Liberia 608 Syria 480 Colombia 352 Tanzania 216 Libya 375 Comoros 370 Madagascar 680 Thailand 318 Congo, People's Republic of 386 Malawi 280 Togo 436 Costa Rica 701 Malaysia 817 Tonga 448 Cuba 667 Maldive Islands 472 Trinidad and Tobago 600 232 Mali 212 Tunisia Cyprus 338 Djibouti 228 Mauritania 350 Uganda 456 Dominican Republic 373 Mauritius 647 United Arab Emirates 500 Ecuador 412 Mexico 236 Upper Volta 220 Egypt 204 Morocco 524 Uruguay 428 El Salvador 484 Venezuela 366 Mozambique 310 803 Nauru 690 Vietnam Equatorial Guinea 334 652 Yemen Ethiopia 672 Nepal ^ · · · 815 Fiji 432 Nicaragua 656 Yemen, Democratic 314 Gabon 240 Niger 048 Yugoslavia 252 Gambia 322 Zaire 288 Nigeria 276 Ghana 649 Oman 378 Zambia 473 Grenada 662 Pakistan 416 Guatemala 440 Panama

(*) The code number preceding the name of each beneficiary country or territory is that given in 'Geonomenclature 1977', published by the Statistical Office of the European Communities .

19. 12 . 77 Official Journal of the European Communities No L 324/ 101

II. COUNTRIES AND TERRITORIES

dependent or administered, or for whose external relations Member States of the Community or third countries are wholly or partly responsible

890 Australian Antarctic Territory 421 Belize 413 Bermuda 890 British Antarctic Territory 357 British Indian Ocean Territory 812 British Pacific Ocean 703 Brunei 202 Canary Islands 463 Cayman Islands and Dependencies 205 Ceuta and Melilla 802 Christmas Island, Cocos/(Keeling) Islands, Heard Island and McDonald Islands, Norfolk Island 529 Falkland Islands and Dependencies 822 French Polynesia 890 French Southern and Antarctic Territories 044 Gibraltar 740 Hong Kong 743 Macao 377 Mayotte 476 Netherlands Antilles 809 New Caledonia and Dependencies 808 Pacific Islands administered by the United States of America or under United States trusteeship ( x) 329 St Helena and Dependencies 814 Territories for which New Zealand is responsible ( Cook Islands, Niue Island, Tokelau Islands) 454 Turks and Caicos Islands 457 Virgin Islands of the United States 811 Wallis and Futuna Islands 471 West Indies

Note: The above lists may be amended subsequently to take account of changes in the international status of countries or territories.

(*) The Pacific Islands administered by the United States of America include : Guam, American Samoa (including Swain's Island), Midway Islands, Johnston and Sand Islands, Wake Island and the Trust Territory of the Pacific Islands (the Caroline, Marianas and Marshall Islands).