JUDGMENT OF 12. 7. 1973 — CASE 11/73 GETREIDE-IMPORT v EINFUHR- UND VORRATSSTELLE GETREIDE

In Case 11/73 Reference to the Court under Article 177 of the EEC Treaty by the Hessisches Finanzgericht (VIIth Senate) for a preliminary ruling in the action pending before that court between

THE COURT composed of: R. Lecourt, President, R. Monaco (Rapporteur) and P. Pescatore, Presidents of the Chambers, A. M. Donner, J. Mertens de Wilmars, H. Kutscher, C. O'Dalaigh, M. Sørensen and A. J. Mackenzie Stuart, Judges Advocate-General: J. P. Warner Registrar: A. Van Houtte

gives the following

JUDGMENT

Issues of fact and of law

I — Facts and procedure

II — Observations submitted under Article 20 of the Protocol on the Statute of the Court

A — Observations submitted by Getreide-Import GmbH

B — Observations submitted by the Federal Republic of Germany

C — Observations submitted by the Commission of the European Communities

Grounds of judgment

Costs

I —. Facts and procedure

1. On 30 October 1963 the Einfuhr- und Vorratsstelle für Getreide und Futtermittel, of Frankfurt-am-Main (hereinafter referred to as EVStG), issued to Getreide-Import GmbH two licences for the import of common wheat and barley from France, fixing the rate of levy in advance in accordance with Article 2 (1) of Regulation No 130/62 of the Council.

2. Getreide-Import GmbH, respresented by Karl Hinrichs, notary at Duisburg, the Federal Republic of Germany, represented by Martin Seidel, acting as agent, and the Commission of the European Communities, represented by its legal adviser, Peter Kalbe, submitted written observations in accordance with Article 20 of the Protocol on the Statute of the Court.

II —. Observations submitted under Article 20 of the Protocol on the Statute of the Court

A —. Observations submitted by Getreide-Import GmbH

B —. Observations submitted by the Federal Republic of Germany

(a). Costs to be taken into account, as being inevitable:

(b). Costs not to be taken into account:

C —. Observations submitted by the Commission of the European Communities

(a). Import costs incurred upon entry, which are inevitable for any importer:

(b). Import costs incurred upon entry, but which are not inevitable for every importer:

(c). Import costs incurred between arrival at the frontier post (Emmerich) and the first stage of the marketing process (Duisburg). The following may be taken as being such costs:

1. By orders dated 5 February 1973 and 18 June 1973, filed at the Court of Justice on 21 February 1973 and 22 June 1973 respectively, the Hessisches Finanzgericht referred, under Article 177 of the EEC Treaty a question on the interpretation of Articles 2 and 4 of Regulation No 19 of the Council dated 4 April 1962 (P.I. 1962, No 30), concerning the gradual establishment of a common organisation of agricultural markets in the cereals sector;

2. The question is whether, in calculating the levy in accordance with the above Regulation, various costs of import should be deducted from the threshold price, in particular, costs of examining plants, costs of inspection, costs of customs clearance, bank charges and expenses relating to presentation of documents and to the mandatory security;

3. The question seeks not only an interpretation of Articles 2 and 4 of Regulation No 19/62, but also an answer by the Court to the particular problems raised by the application of Community law to the specific circumstances forming the subject matter of the main action;

4. By Article 2 of Regulation No 19/62, the amount of the intra-Community levy upon cereal imports such as common wheat and barley was equal to the difference between the free-at-frontier price for the product as between the exporting and importing Member States, and the threshold price within the importing State;

5. In order to avoid disturbances resulting from the import of low-priced goods, the threshold price provided by Regulation 19/62 was intended, by means of levies, to fix the level to which the price of the imported product must be raised to preclude its being offered for sale on the market in question at a price lower than the basic target price;

6. Marketing costs include those expenses inherent in the procedures and formalities of import, which every importer must inevitably incur, as well as the normal expense of transporting those goods to the decisive marketing stage in the main deficit area.

7. Thus the question should be answered to the effect that Articles 2 and 4 of Regulation 19/62 of the Council must be interpreted as meaning that the items of import costs to be taken into account in calculating the amount of the levy are those which every importer must inevitably incur in complying with the procedures and legal formalities necessary for the import of the products in question and in transporting those products to the first wholesale marketing stage in the area to which the basic target price applies;

8. The costs incurred by the Federal Republic of Germany and by the Commission of the European Communities, which have submitted observations to the Court, are not recoverable, and as these proceedings are, insofar as the parties to the main action are concerned, in the nature of a step in the action pending before the national court, the decision on costs is a matter for that court;

On those grounds, Upon reading the pleadings; Upon hearing the report of the Judge-Rapporteur; Upon hearing the observations of the Commission of the European Communities; Upon hearing the opinion of the Advocate-General; Having regard to the Treaty establishing the European Economic Community, especially Article 177; Having regard to Regulation No 19 of the Council of 4 April 1962 on the gradual establishment of a common organisation of agricultural markets in cereals; Having regard to the Protocol on the Statute of the Court of Justice of the European Economic Community, especially Article 20; Having regard to the Rules of Procedure of the Court of Justice of the European Communities; THE COURT in answer to the question referred to it by the Hessisches Finanzgericht (VIIth Senate) by orders of that Court dated 5 February 1973 and 18 June 1973, hereby rules: