31968R1052

Official Journal of the European Communities 323

No L 179/8 Official Journal of the European Communities 25.7.68

REGULATION (EEC) No 1052/68 OF THE COUNCIL of 23 July 19£8 on the import and export system for products processed from cereals and from rice

THE COUNCIL OF THE EUROPEAN COMMUNITIES, one unit of the processed product; whereas this method of calculation is simpler to operate than Having regard to the Treaty establishing the that adopted in Regulation No 360/67/EEC and European Economic Community ; enables Community producers to plan ahead ;

Having regard to Council Regulation No 120/67/ Whereas in respect of products subject to the EEC1 of 13 June 1967 on the common organisation common organisation of the market in cereals, but of the market in cereals, and in particular Articles containing no cereals, the variable component 14 (3 ), 16 (5 ), 17 and 23 (4) thereof; should be calculated with reference to market con­ ditions for products which are in competition with them ; Having regard to Council Regulation No 359/67/ EEC2 of 25 July 1967 on the common organisation of the market in rice, and in particular Articles 12 (3 ), Whereas the fixed component of the levy must be 17 (5 ) and 18 thereof; designed to protect the processing industry; whereas that component should be determined on the basis Having regard to the proposal from the Commission; of the most representative processing costs ;

Whereas Council Regulation No 360/67/EEC3 of Whereas, for some residues of processing, protection 25 July 1967 on the import and export system for for the industry is already assured through the pro­ products processed from cereals and from rice tection enjoyed by the main .processed product; adopted rules for the application of -the system of whereas in that case the fixed component can be levies and refunds in tra,de with third countries in equal to zero ; the processed products listed in Article 1 (d) of Regu­ lation No 120/67/EEC — excluding compound Whereas the object of the refund should be to cover feeding-stuffs — and in the processed products listed the difference between the prices of products within in Article 1 ( 1 ) (c) of Regulation No 359/67/EEC ; the Community and on the world market; whereas, for that purpose, criteria should be established for Whereas, in the light of experience gained during determining the refund essentially on the basis of the first marketing year in which common prices for prices of the basic products within and outside the Community and the outlets and conditions for the cereals were applied, the provisions of Regulation No 360/67/EEC should be reviewed so as to bring sale of px*ocessed products on the world market ; them more into line with the actual situation and with the requirements of the trade in products pro­ Whereas provision should be made for granting, at cessed from cereals and from rice ; the beginning of the marketing year, a refund which takes into account the actual cost of the supply of Whereas the variable component of the levy must basic products in so far as they were purchased kt correspond to the incidence on the prime costs of •the end of the previous marketing year at a higher processed products of the levies on basic products ; price than that ruling for the product at the begin­ whereas that incidence may be calculated on the ning'of the new marketing year; basis of the average of the levies applicable during a representative period to the quantity of the basic Whereas, in addition to the system desecribed above, product deemed necessary for the manufacture of the use of inward processing arrangements should be regulated in order to ensure a balance between the use of Community basic products in the manu­ facture of processed goods for export to third 1 OJ No 117, 19.6.1967, p. 2269/67. countries and the use of third country products 2 OJ No 174, 31.6.1967, p. 1 . 3 OJ No 174, 31.7.1967, p. 13 . brought in under inward processing arrangements ;

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TITLE I Whereas Article 23 (4) of Regulation No 120/67/ EEC provides, in trade in processed products the Levies levy on .which is calculated on the basis of barley, maize, oats, sorghum and millet, for a system which Article 2 would result in lowering the price of products im­ ported into Italy, on condition that such products 1 . The variable component of the levy shall, during may not then enter other Member States without the course of a given month, be equal to the average first being subject to a charge to offset the reduction of the levies applicable for the first twenty-five days in their price; whereas, in order to avoid distur­ of the month preceding that of importation per 100 bances on the market in the above-mentioned kilogrammes of the basic product or . products listed processed products, that system must in fact be in column 3 of the Annex, multiplied by the coef­ applied to them if Italy has recourse to it in respect ficient which appears against the product in question of basic products; in column 4 of the Annex. However, for products falling within tariff heading No 23.02, the variable Whereas import levies and export ' refunds on component of the levy shall be obtained by adding processed products are as a general rule valid for together the averages of the levies applicable to 100 one month; whereas the criteria by which they are kilogrammes of common wheat, 100 kilogrammes of determined are intended to ensure , as an aid to barley and 100 kilogrammes of maize and multi­ commercial transactions, that they vary as little as plying that total by the coefficient which appears possible ; whereas , therefore, the levies and refunds against each of these basic products in column 4. fixed at the beginning of the month should not be altered for the last three days of July 1968 to take In order to adjust the above-mentioned averages to account of the tariff nomenclature amended with the threshold price valid for the basic product in effect from 29 July 1968 ; question during the month of importation, they shall be increased or reduced by the difference between that threshold price and the threshold price Whereas, for certain products such as roasted malt valid during the preceding month. or roasted gluten, the levy has to be determined without it being possible to ascertain the raw ma­ 2 . Revision of the variable component during the terial from which they were obtained ; whereas, in course of the month, to take account of a variation order to avoid any possible deflections of trade in the levy applicable to basic products, shall be because of the different systems at present existing effected by the Commission at a flat rate. The margin for glucose falling within heading No 17.02 and of variation beyond which that revision is effected glucose falling within heading No 17.05 , the latter shall be determined for each of the basic products in products should be -subject to the same rules as the question in accordance with the procedure laid down former ; in Article 26 of Regulation No 120/ 67/EEC and Article 26 of Regulation No 359/67/EEC.

3 . The variable component applicable to a processed HAS ADOPTED THIS REGULATION : product manufactured from durum wheat shall be equal to that applicable to a similar product manu­ factured from common wheat.

Article 1 Article 3

1 . For the purposes of this Regulation, 'processed The fixed component of the levy shall be equal to products' means the products or groups of products the amount ^vhich appears against the product in listed : question in column 5 of the Annex.

Article 4 ( a) in Annex A to Regulation No 120/67/EEC, excluding the products falling within heading 1 . In order to prevent disturbances on the market in No 23.07 of the Common Customs Tariff ; products listed in the Annex, in processed products obtained from those products and in products in ( b ) in Article 1 ( 1 ) (c) of Regulation No 359/67/EEC. competition with either the former or the latter, amendments may be made, in accordance with the 2 . For the purposes of this Regulation 'basic pro­ procedure laid down in Article 26 of Regulation ducts' means the cereals listed in Article 1 ( a) and No 120/67/EEC, with regard to : (b) of Regulation No 120/67/EEC and broken rice. ( a) the coefficients shown in column 4 of the Annex ; 3 . Import levies and export refunds shall be fixed • (b) the rates shown in column 2 of the Annex per 100 kilogrammes of processed product in accor­ expressing the starch content of the products dance with the provisions of the following articles. falling within tariff sub-heading 23.02 A;

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(c) the percentages shown in footnote 1 of the Annex ( b) the quantities of basis products used in calculat­ relating to the starch content and the ash content ing the variable component of the levy ; of products falling within tariff headings Nos 11.01 and 11.02 . ( c) the possible duplication of refunds applicable to various products obtained from one and the same process and one and the same product; 2 . The levy applicable to products falling within tariff sub-heading No 07.06 B listed in the Annex (d) outlets and conditions of sale for processed pro­ ducts on the world market. shall be limited to the amount resulting from the application of the rate of duty bound within GATT. 2. If, in the case of an export to be effected Article 5 between the start of the marketing year and dates to be determined, the processed product was manufac­ 1 . When calculating the variable component of the tured from a basic product harvested in the Com­ levy applicable to the products listed in the Annex munity, in stock at the end of the preceding market­ under tariff headings and sub-headings Nos 11.02 ing year and not qualifying for a carry-over-payment, A V ( a), 11.06 B, 11.08 , 11.09, 17.02 B II and the threshold price valid during the last month of 17.05 B, intended at the time of importation for the the preceding marketing year for the basic products same uses as those laid down for the granting of used in calculating the variable component of the production refunds on : levy may be taken into account when applying para­ — potato starch : graph 1 ( a).

— common wheat, maize and broken rice used in 3 . Where the world market situation or the specific the Community for the manufacture of starch ; requirements of certain markets so require, the refund may be varied according to destination . — maize used by the maize industry for the manu­ facture of maize groats and meal (gritz) used in the Community by the brewing industry ; 4. Where paragraph 3 applies, the refund shall be paid provided it is proved that the product has — broken rice used by the brewing industry; been exported from the Community, as laid down in the first indent of Article 7 ( 1 ) of Regulation No the production refunds granted shall be taken into account . 139/67/EEC2, and has reached the destination for which the refund was fixed. However, exceptions may be made to this rule in accordance with the 2 . For the purpose of applying paragraph 1 , the procedure referred to in paragraph 5 , provided con­ increase in the production refund granted in Italy ditions are laid down which offer equivalent in pursuance of Article 1 of Council . Regulation guarantees . No 371/67/EEC1 of 25 July 1967 fixing production refunds on starches and quellmehl shall not be taken into account. 5 . Additional provisions may be adopted in accordance with the procedure laid down in Article 26 of Regulation No 120/67/EEC and Article 26 of 3 . Detailed rules for the application of this Article Regulation No 359/67/EEC. shall be adopted in accordance with the procedure laid down in Article 26 of Regulation No 120/67/ 6. The refunds shall be fixed once a month. EEC and in Article 26 of Regulation No 359/67/EEC.

TITLE II Article 7 The refund shall be fixed in advance for a transaction Refunds to be effected during the period of validity of an export licence, if the applicant so requests when Article 6 applying for the licence.

The amount thereof shall be that applicable on the 1 . The refund which may be granted on processed day the licence was applied for, adjusted on the products shall be determined with particular basis of the threshold price valid for the basic prod­ reference to : uct or products in question during the month of exportation. The adjustment shall be effected by ( a) the prices of basic products used in calculating increasing or reducing the refund by the difference the variable component of the levy; between the threshold prices valid for 100 kilo­ grammes of the basic product during, respectively,

1 OJ No 174, 31 .7.1967, p. -10 2 OJ No 125 , 26.6.1967, p. 2453/67.

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the month in which the licence was applied for and to take account of the need to establish a balance the month of exportation, multiplied by the co­ between the conditions for exporting processed efficients which appear against the processed product products qualifying for an export refund and for in question in column 4 of the Annex. inward processing arrangements .

However, for exports taking place under the condi­ 3 . Use of inward processing arrangements shall be tions provided for in Article 6 (2) the adjustment prohibited in respect of products listed in the Annex may be effected on the basis of the threshold price under headings or sub-headings Nos 11.02 F, 11.06 valid during the last month of the preceding market­ B, 11.09 and 23.02 A if they are to be used in the ing year. manufacture of processed products :

Article 8

TITLE IV I. "When calculating the amount of the export refund applicable to the products listed in the Annex under tariff headings or sub-headings Nos 11.06 B, General provisions II.08 , 11.09, 17.02 B II and 17.05 B, account shall be taken of the production refund granted in respect of: . Article 10

— potato starch; 1 . If Italy has recourse to Article 23 (2) of Regula­ tion No 120/ 67/EEC it shall : — common wheat, maize and broken rice used in the Community for the manufacture of starch. — impose a charge on consignments to other Mem­ 2. In applying paragraph 1 no account shall be ber States of processed products the levy on taken of the increase in the production refund which is calculated on the basis of barley, maize, granted in Italy in pursuance of Article 1 of Regula­ oats, sorghum and millet, and which are listed in tion No 371 /67/EEC. the Annex under tariff headings and sub­ headings Nos 07.06 B, 11.01 C to L, 11.02 A II to F—with the exception of products listed under TITLE III tariff subheadings Nos 11.02 A V ( a) if a pro­ duction refund is granted on maize used in the manufacture of these products—11.06 A and Processing trade 11.07 ;

Article 9 — grant a subsidy on deliveries of these products from other Member States . 1 . . The quantity of basic products of assimilated products within the meaning of Regulation No 81 /67/ EEC1 or of products processed from them on which £. The above-mentioned charge and subsidy shall Member States do not impose levies in view of or in be equal, per 100 kilogrammes of the processed consequence of the exportation of the products listed products specified in paragraph 1, to the amount of in the Annex under tariff headings or sub-headings the charge applicable, -in pursuance of Article 23 (3 ) Nos 07.06 B , 11.01 C to L, 11.02 A II to E, 11.06 A, of Regulation No 120/67/EEC, to the quantity of 11.07, 11.08 , 17.02 B II and 17.05 B, manufactured basic products used for calculating the variable from these . basic products, from these assimilated component of the levy. products or from products processed from them, may not exceed the quantity taken into account for determining the variable component of the levy. Article 11 2. The above-mentioned quantity may be reduced, in accordance with the procedure laid down in The methods used for assessing the ash content, the Article 26 of Regulation No 120/67/EEC and in fat content, the starch content, the denaturing process Article 26 of Regulation No 359/67/EEC, in order and any other method of analysis necessary for the application of this Regulation shall be determined in accordance with the procedure laid down in Article 26 of Regulation No 120/67/EEC and Article 26 of 1 OJ No 81 , 26.4.1967, p. 1594/67. Regulation No 359/67/EEC.

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Article 12 tariff sub-heading No 17.05 B for the month of August 1968 shall be applied from 29 July. The import levies and the export refunds fixed for Article 13 the month of July 1968 on the basis of the tariff nomenclature in force on 1 July 1968 shall remain Regulation No 360/67/EEC is hereby repealed. in force until 31 July. This Regulation shall enter into force on 29 July The levies and refunds on products falling within 1968 :

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

Done at Brussels, 23 July 1968 .

For the Council

The President

G. SEDATI

328 Official Journal of the European Communities

ANNEX

CCT Basic Fixed heading Description of goods Coefficient component No product u.a . / 100 kg

1 2 3 4 5

07.06 Manioc, arrowroot, salep , Jerusalem artichokes , sweet ' potatoes , and other similar roots and tubers with high starch or inulin content, fresh or dried, whole or sliced ; sago pith :

B. Manioc, arrowroot, salep and other similar roots and 0-18 , — tubers with high starch content, excluding sweet potatoes Barley

11.01 Cereal flours1 : C. Barley flour Barley 1-80 0-50 D. Oat flour Oats 1 -. 80 0-50 E. Maize flour :

I. Of a fat content not exceeding 1-5% by weight Maize 1.80 0-25

II . Other Maize 1-02 0-25

F. Rice flour Broken rice 1-06 0-25 G. Buckwheat flour Buckwheat 1-80 0-50 H. Millet flour Millet 1-02 0-25 IJ. Canary seed flour Canary seed 1-02 0-25 K. Grain Sorghum flour % Sorghum 1-02 0-25 L. Other Canary seed 1-02 0-25

11.02 Cereal groats and cereal meal ; except husked glazed polished or broken rice ; germ of cereal, whole or ground1 :

A. Cereal groats and cereal meal :

II . Of rye Rye 1-80 0-50 III . Of barley Barley 1-80 0-50 IV . Of oats Oats 1-80 0-50 V. Of maize , of a fat content :/ (a ) not exceeding 1.5% by weight Maize 1-80 0-50 ( b) Other Maize 1-02 0-25 VI . Of rice Broken wheat 1-06 0·25 VII . Of buckwheat Buckwheat 1-80 0-50 VIII . Of millet Millet 1-02 0-25

1 Inclusion under this heading is subject to the condition that the product in question has a starch content exceeding 45% and an ash content not exceeding 2.5% for products based on wheat or rye, 5% for products based on oats , 2% for products based on maize or grain sorghum , 3% for products based on barley, 4% for products based on buckwheat, 1% for products based on rice, 2% for products based on millet, 2% for products based on canary seed or other cereals. If cither of the two conditions mentioned above is not fulfilled , the product in question shall be classified under tariff sub-heading No 23.02 A on the basis of its starch content.

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CCT Fixed Basic Coefficient heading Description of goods omponent No product i . a . / 100 kg

i 2 3 4 5

11.02 IX. Of grain sorghum Sorghum 1-02 0-25 ( Cont'd) X. Other Canary seed 1-02 0-25

B. Hulled grains (shelled or husked ) : I. Wheat Common wheat 1-33 0-25 II . Rye Rye 1-33 0-25 III. Barley Barley 1-60 IV . Oats : (a) Clipped oats Oats 1-02 0-25 ( b) Other Oats 1-60 0-25 V. Maize Maize 1-60 0-25 VI . Buckwheat Buckwheat 1-60 0-25 VII . Millet Millet 1-60 0-25 VIII. Grain sorghum Sorghum 1-60 0-25 IX . Other Canary seed 1-60 0-25

C. Pearled grains : L Wheat Common wheat 1-60 0-25 II. Rye Rye 1-60 0-25 III. Barley Barley 2-50 0-50 IV . Oats Oats 1-60 0-25 V. Maize Maize 1-60 0-25 . VI . Buckwheat Buckwheat 1-60 0-25 VII. Millet Millet 1-60 0-25 VIII . Grain sorghum Sorghum 1-60 0-25 IX . Other Canary seed 1-60 0-25

D. Kibbled grains : I. Wheat Common wheat 1-02 0-25 II . Rye Rye 1-02 0-25 III. Barley Barley 1-02 0-25 IV . Oats Oats 1-02 0-25 V. Maize Maize 1-02 0-25 VI . Buckwheat Buckwheat 1-02 0-25 VII . Millet Millet 1-02 0-25 VIII. Grain sorghum Sorghum 1-02 0-25 IX . Other Canary seed 1-02 0-25

E. Rolled or flaked grains : I. Wheat Common wheat 1-80 0-50 11. Rye Rye 1-80 0-50

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CCT Fixed Basic heading Description of goods Coefficient component No product u.a./ 100 kg

1 2 3 4 5

E. Rolled or flaked grains :

11.02 III. Barley 2-00 0-50 Barley (Cont'd) IV. Oats Oats 2-00 0-50 V. Maize Maize 1.80 0-50 VI . Rice Broken rice 1-80 0-50 VII . Buckwheat Buckwheat 1.80 0-50 VIII. Millet Millet 1-80 0-50 IX. Grain sorghum Sorghum 1-80 0-50 X. Other 1-80 0-50 Canary seed

F. Germ of cereals, whole, rolled, flaked or ground : I. Of wheat Common wheat 0-75 0-50 II. Other Maize 0-75 0-50

11.06 Flour and meal of sago and of manioc, arrowroot, salep and other roots and tubers falling within heading No 07.06 : A. Denatured 0-18 0-25 Barley B. Other Maize 1-61 1-70

11.07 Malt, roasted or not : A. Unroasted : I. Obtained from wheat : (a) In the form of flour Common wheat 1-78 0-90 (b) Other Common wheat 1-33 0-90

II . Other : (a) In the form of flour Barley 1-78 0-90 (b) Other Barley 1-33 0-90 B. Roasted 1-55 0-90 Barley

n : o8 Starches ; inulin : - A. Starches : I. Maize starch Maize 1-61 1-70 II . Rice starch Broken rice 1-52 2-55 III . Wheat starch Common wheat 2-20 1-70 IV. Potato starch Maize 1-61 1-70 V. Other Wheat 1-61 1-70

11.09 Gluten and gluten flour, roasted or not : A. Unroasted : I. Obtained from wheat Common wheat 4.00 15-00 II . Other Maize 2-00 15-00 B. Roasted Common wheat 4-00 15-00

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CCT Basic Fixed heading Description of goods Coefficient component No product u.a./100 kg

1 2 3 4 5

17.02 Other sugars ; sugar syrups ; artificial honey (whether or not mixed with natural honey); caramel : B. Glucose and glucose syrup : II. Other (a) Glucose in the form of white crystalline powder, whether or not agglomerated Maize 2-10 8-00 (b) Other Maize 1-61 5-50

17.05 Flavoured or coloured sugars , syrups and molasses , but not including fruit juices containing added sugar in any proportion : B. Glucose and glucose syrup : I. Glucose in the form of white crystalline powder, whether or not agglomerated Maize 2-10 8-00 II . Other Maize 1-61 5-50

23.02 Bran , sharps and other residues derived from the sifting, milling or working of cereals or of leguminous vegetables : A. Of cereals : I. Of maize or rice : (a) With a starch content not exceeding 35% by weight Common wheat 0.10 Barley 0.10 > 0 Maize 0.10 , (b) Other : 1 . With a starch content exceeding 35% but not Common wheat 0-16 exceeding 45% by weight and having undergone Barley 0-16 . a denaturing process Maize 0-16 2 . Other Common wheat 0-32 Barley 0-32 - 0 Maize 0-32

II. Of other cereals : (a) Of which the starch content does not exceed 28% by Common wheat 0-08 weight, and of which the percentage which passes through a sieve with a nominal width of aperture Barley 0-08 • 0 of 0-2 mm does not exceed 10% by weight or of which the sieved product has an ash content, Maize 0-08 calculated on the dry product, of 1·5% or more by weight (b) Other Common wheat 0.32 Barley 0-32 • 0 Maize 0-32