Certain Community commitments fall due on 1 July 1963. Information Memo P-21/63, June 1963

. _lof dt Condrnn Tclcphorp E6.00.40

csiToMs DuTrEs

A

_-

Intra-Coranunitv dutiee

On l" Jul"y ],963 'nt".-Conmunity dutiee wbLch

in

accordance with the

Breaty provj.sions and the two speed-up decisions have already been

reduced. by:

i)

5V'

of

the baeic duty

for iniluetrial

products,

iil

35%

(or

3V6

for

certain

liberalized

products)

of

the baslc duty

for

agriculturaL producte l-isted

in

Annex

II of

the Treatyr

will

be

further

l-orrered by LAt%

of

the baslc

duty.

T4iq brings the

total

reduction

to

6M

for

industriaL products and 4y%

(ot

4O%) for

certaln agriculturaL

producte.

thus the target

of

a

total

reduction

ot

9tr/"

of

badic duties by the end

of

the secoid otage

(3I

Deceaber Ig65)

wil.l,

so

far

ae

induetrial

products are concerned, have been surpassed

by 1 July t95t.

There

_is

no eign

that

Menber States wbich hi+"herto have applied

the reduction by the acroes-the-board nethod

will.

f,eeort

to

lten-by-iten

reductions

in

casee where these rvould be pernrissible under the

Treaty,

An 2? August J962

ltaly of ite

own accord nade

a further

IWo cut

in

the customs duties

in forle

on 1

July

1962

(i.e.

a 5% cut

in

duties

by comparison

with

195?)

for industrial

products

with

certain

excep-tions (f)

and

for agricultural

products other than those coning under a connon organization

of

markets accompanied by

a

1-evy

systen.

This

reduction

will

be abeorbed

in that

due on L

July,

which &eans that

Italian

dutj.es w1L1 have

to

be lowered by

a

further Jo/o

in

order to reach the leveL provided

for after

the reduction on

that

date.

B

_-

Second move towards the common external

tariff

.Iune 1,95]

e/?t/6,

INFORMATIOI{ MEI'{O

Certain Conrounity coranitmente

fall

due

The positlon

le

sumned up below.

on L JuLy 1963.

Under the EEC

freaty

the conmon external

tariff

nust be

intro-duced

in

accordance wlth

Article

2J, which lays down:

a)

the following schedulet

r.

first

approxinatJ-on: end

of

the fourth year after

into

force

of

the Treaty

(,1

December 1951);

entry

. , ,/ . r.

(f) fhis

concerns products for

to

take safeguard neasureg

Treaty (certain

_silk,

lead

which

Italy

has regueeted authorization

in

pursuance

of Artlcle

226

of

the

-2-tr ) tt':.e f oliovi j.ng pi:,r'ticulars :

p/?-L/63

Flrst aPPrcrxination:

i)i.vjrerethedu.l;iesappli'cab]-eon]-Jr:'nua"ry1-957donot

-differbymor.etjranL5l#frant]redutj.esrrndertheC0nfi1on

external tariff ihe laltr:r clrrties are applicable

forth-with;

ii) in thc: case of otkier tr'riff heerciinp's elcir ltel!11 State

shall apply a duty which re<lncps b;1 )o% the differcnce

betweeit' inl auty of 1 Janv.ar;y Li'1i anrt tha'; r-rndrr the

coillmon e:qte'nal tariff (sc:e i\plrrtnci-" R, exanples I anrl 2)

Seconr]-approxirnation:thcd-ifferencebetweent}redrriiosof lJatruaryLg5Tandthoseii'nrlerthcco]nmonexterna]'tariff

wi-l1 ap;a:'r, fr" reduccrl by 3ryti (56e Appendix A' exanrpJ-e s

J and lt)

Thi.rd. e;.i:prcxi-nertion: the colilnon external ta::if f wj-l' be

aPPlied in its enti:'etY'

iI.T}refirstspeerl-upd.ecis.lj-orr(rzt'ta.v]96,0)anct}ieseconcl

(15 i4ay 195;L), vrhich v'iais suppl-er:renied by thc decision of 22 i'1lay

L)(tj, changed the above s"irliule ancl partislf,';rrs .s f o:Llovrs

( indu; lriai _Prodrrc ts ) :

a) schedu-le

b)

_Eeri+sslsie

Flrs t aPP'.r:o;:imation :

i) tJro approximaticn is calcu1-':teri on tlie basis r:f the corllfion e:<ternal tarif f Lc::s ?-O% (sce Appenilix Bt cxanPles 1, 2 end' 1) ;

ii) tire ca-lculi;,,tir:n i'lay nr:-L result j-n custotns rtuties lovier

t]:an|hoseoftheccllmonextcrnaltariffbeforeLTyezCI%

rednc f ion ( see Apper:rlix B, example 2) ;

iii) f or somc particuli'rrl;* sensitive prodi'tcts on Li'st Gt the

apprcximaiion is to be raade toiriards the clutiee of the

coflmonextcrnaltariffbeforet]r'e?-0'/6reduction;

Sccond aPProxination:

i) sat'le arrengernents as for Appendix B, exanrll-es 4, 5

}'irst ai:proxiuaiion: 1 Jnnuary 1?61 (a year earl-i' r than

tire dite sct b}' the ?r'eatY);

second approxj-n:rtion: 1 July 1g{'3 G I/?- yer'rs ea":-'lier

than tlie date set by the 'Irear;y) _'

first approximation (see

. n\

A

_-1-

_P/2r/ 63

ii) for' 'birriff he:rdings v;hcro ciu-iies h:ve 'been reducerl by

nore Nha-n 2Q% uncler GATT, appr,:xinerticn will- have to be

nade tovrai'ris these reduccd dutie':i (s':e Apperrdix Bt

exarr'tple 5).

Thefcllowingt;rbles,g}rowthetliffercrrtY,Iclirsi.nwhich severa-l nntional iar:if fs are af f ectcd' by the approxin:tj-c'n tori,lrrds the coHnorr oxterl:ral';ariff c:.rried {ir;Lt i-n Sccorlilrice

vrifh Art*cLe zJ of the Trcaty (Appen.dix A) i.rnd the

approxima-tion accord,ing tc thc speed-up cllcj-s:ons (Appe nriix B) '

Proc cssi-ng traf f ic

ll.rom lJuiy L963 ur.Lil- i0,septerilber the rate of J-evy on goods enter.i-ng in.to proce;$sing trirffic isr to be 15c/u Ltt a1-L

Menbcr Sta.tr:o.

This comnj-ssion rlecision af fe'cts goocls obta-ined in a lvienrbcr Sta.t,e incorporatj-ng products wh.i-ch,ir: ihe r.':rnuf acturirrg llierrhey

state, irave no.,; paid the a.ppropri"ate cusboms duties or charge s

rvith. equlvalent *it*"t or. ltave bent:fited blr * total or partiirl" dravbacl'. on su.ch {uties i'tnd- c}i'elrgcs'

Theprcp91.f,ir:nofthecustoirtsciutj-e'stobelta].''crrint,:

con":iclera.tion in ,l.etermininq tlie rate cf the 1'evy i-n cluesti-on had beer. fi.xed'""t- Z:;t- ot eS?.T"nr: L95(;. It w.rs r"ai sed tr: 11%

on l- Jernr:ary f-962 a;d to r+571 on 1 ju)-y L962,' The d';cj sion to

raise it 'Lo _{55i( coincidcs "sith} the fresh 10?6 red'uctjon in 'bhe

basic clu,ties; in intra-comnunity trarie v,ri.}j-c]i toolt ef f t:c' on

I JulY.

Lille the lrrcvloss 13--:es1 ';he 55?1, ral,e lu:ls been fi::ed soJ-e1y

in the J..ight oi tfr* Treaiy rtrlers _'n ta'j-f f disarrnanent between

the I,leii,ber S-,ci:.tes ancl the €irad.ual appl-j-cation of the C-tlT. 'Ilitlse

i.ul-es, hr:tve"/er, un.;le'v,'ent considerali', changes j-n l-962 as- ,r

rcsult of thc in-,;rccir.rction of t1o sysf;en of agricultural l-evj'es

and the asscciation of Greece l'rith the ccrnrnuility. sincc - fhcse

two devel-opments clirectiy af fi,:ct the ,5cope of Artj-cie l'0(2)

sr;b*pare.graph2,theConLnissicnwill'sco11]i''ivetotak'ea

,c.crcj-sion arncn*iirg an,i "nriiisingup to clate the dcci'sion of 2E Jirne

l9fro. pencli*g ihat du.:ci"ior rie it5'/t rate hi.rs b,)er p'rcrrisir:r:ialry

*

-+-Api:xNtIX

?/2L/63

A

E,qTABI,IS F]IT 3}J.T oF f]{E EEC COi'i}lC.iN EXT"lilR}iAL Tiii;llFF ui'IDEIt THii !u.til'{s

rlii J L r'trrirt .Lti .f, firr?I,JfFv l- l\ur.! r f t-_-^----_*._*_{Arti_C1e T)}

i'j-rst approximation (Jl Deccnber -1-?bl)

z\.]

-j 11

on .l- Jauuary

nn .'].Trl-nttt','rr

1_957 .

1){:,? .

I

I

i-_-i

!

i

I

Second al:)i)roxii:ration ( _{iI Decenl)ar f-965)}

Ti'*.rnn"l a 4

!^-{irLv!v /

Comnon extcrr:Itll t:tri-ff . o o. i.. o.. ... t..

l\iationai tarif f oi: I Jnltttty _{)-937 ,.. ' 2... !..} o ! e ...

Naticnal ti:"rif f on l.- JeuLllr.ry I9'e5 ... o. o _{'.. '..}

-L

_L;xelil'lJ.ic 't

Ccntirirtt external tarif f .. o. !. o _'.. r r.. r. ) o ?0

ili:-tional tariff tln 1.Janu.ary Lgi? ..'..,'....o.!... 12

ll;itional l.:Lriff on I J:inu:lry i-!'55 ... r. o... ". l-6'B

Thl::cl a.ppr oxit:tation :

20 )o ";l'

L-f

-* r:rd

{71 a

^/^\

lJeccnirer !'Jo'J )

t_

I .iixarillll€ r

I e

C'),nrnon external

.tl atlon?,-i. Tf.rar f a\ a\ u-L L.rjldtr u,r.t r i :

llvr!'1h: a

C olrtn ctt e x'L c r n:r1 i\aticnal tarj-lf'

Na+"ional t:rrillf

t:r|if f . o s r o _{. ' o.} e o o.. q.. . o... ! o o _{" '}

on 1 Janu,try J-957

on 1 Jai:uary 1962 r o a a tc a a a a a a a! a t I

i

-5-Apt)ENTDiX

P/2r/63

B

ESTA.BLISII}4ENT OI' TIiE ]INC COYII4CN EXT]i.{}I/r], !/Ii.I]iFT' A{ TJC)iiIIllg _I]O TiiE

='--E

_ligogl[r.il

Iri-rs t ;:p 0roxirration

.qt,q-#

(1 _{J:in'u:r'v f961)} 'J 't

--lr'a._rlln | 4! |

r*/r,! 4:-, v!./

{-C ornnio;t extcrn::-i C c::r-non external ilational- ta::iff

l{.i tion:rl terri f f

E.rarnple 2

C cmrti,n

e>ltcr;ro.l-Cc;nnen extJf

iL:'"-ldational ta.riff

l{a"tional fari f f

j-: \.,-r1Ih I ,1 t

F-#ffi

Convnort cxteri:a.I

(.1 _onn,o..:L ext,:rn:rI

Nr:'bional tariff

I,l;rt j-on.:r-'l- 'i;arif i

o...'.t... 2C ;:",1:, s .. i , . . c o o . r. .. .. . .. 16

I(:,5"/ ....or o.c..'... 10

1-c;{.1. .o... o... r'. o.... 2rr\

Vi:t.\--!Ierr.t

t:rrrff -l.es,.: on I Jan,;ar;r on 1 Ja.nuary

U(1.Li.Lf o a r...r.. 20

zC'h .o o....r... t o ct t

L{157 ... ! i,.. _{' o....} o,. 1951 .. . . .

ta11_1 i 1 | 6r-l.i

^-\1 '1 .T'r r rr n n'r '1 _T^n.'cr-' UIT ! UC.TIUq,J

_t- o

2L

20 '+)

taf i-ff .r.r. tt.o..to.ee ...'.tt. 2A

tariff less 2Cf,/, d....*o..e...,..'.. 16

cn I Jei:u;ry 3.957 ...e ..o...'.o Lz

on l Ja.rruary 1!(11 ..ro.o...c....tr. LJrz

Scccn,l aT;::rcxii:r-.'ticn (l-,Iul:" 1961)

Tl'rrnrn'l ., /+ 411!crt'r t/r. !

C o;iinton external tari C orunon external- ttrri l'lational- tarif f' on I

ldrltional tari-ff cn

l-tf . 6 r . r . . . . o . o . o . c . . . . . o . a . a o o

.[f less 20?6 ,.. o r... c.... e . o. o.

January 1957 ,... o,

1 ^r -r

dUJ-y rYO, ...r .aattoaaaat

?n

l-D

7.4

cl..D

(+) the lower lir:rit being the common external tnriff trot reduced

Cornmon extcrnal

C ornr.ron cxtcrrral

Itlational tariff

NsCl-on&J tarl-r r

atarlataaaa

.taa..ra.ao

-6-APPEjIDII B (contd")

?/2L/63

+^--i +f_{vc1l Ir r a a a .}

...

2A

tari-f f Less ?O%...,.r,..."."" on 1 January 195J .... o _'

- a/'z

on I JLiIy ryo, ...., '...

Ib

CL

2A

LV

gles!]-e*-q

Cov'rnon external tariff r... '.... _' o o _'

COmmOn eXternal tar:if f IeSS ?.Q?[, . o. o. ,... L6

Conmon externa1 tarif f (c,rncession ullder GA?T) .... 14

llational tariff on l- Januttty Li)l rcrio..r'oo.."" 2I

i{aticnal tariff on L JuLy L953 .... _{' o.. '. " " '} 16'8

/l I

J(

L?-'',i-rqn'l _{r: 7}

!1!r^r-r F! v I

C or,:r.'lon external C otrinron extcrnal

National tari-ff I{ational ta.riff

tariff ....r...o. ..."."t _{t " orl} ta-rj-ff LeE;s 2A% r... o... " " " ' on. 1 ianuary 7-95-/ ...,... _""'

'Ihj-rd approxination: I Januar;, L9f:7, according to the

Connissionr s Actj,on Progralrulle.

(+) the lovrer linit being the comnlon external- tariff not reiluced

o

ECONOMTC AIfD FII']ANCIAL AFI'AIRS

P/2L/63

The 1July tirue-l.iniit does not in fact apply in this field:

rluring the noti.th of Jul-y, however, the Cor.tr*iosion will finalise its

propoials for the general economic forecas*s necessary for Corununity

Itnrcgranmingrf

Certain inportant measures in tlie nonetary and fj-nanclal field

have also recently been subm.itted to the Cr:uncil. These concern

the setting up of a Co:rrnittee of Go',rernors of Central Banks, closer

co-operation on intertrational monetary natt,ersr collsul-taticn

between llernber St.ates before any alteration of official exchange

rates ancl the forrnation of a butlgetary policy corunittee.

c.0iglroN {gR I*c irtT uR{"t*-IgI,r "gg

Fcr agricultural prc;ducts subject to a levy system, I July is

the startin.g date fc.,r the ali-gnnent of prices and the gradual

recluction of the j-ntra-Cortnunity levies, which ar:e to be pi:ased out

by the encl of the transiticn pericd.

In the cereals sector tire alignnent of prices means narr?wing

the gaps b;tween the target prj-cep fixed by thc lvteraber States\r / .

this lras been done for the 19$/64 seagon by setting a unlform

quality stendard for targct prices, intervention prices artd threshold

prices- which rue:e.ns an actual lowerin6 of prices to the grovrer in

cerf;ain mcnbe:: countries wliere prices are high. But the .l-owest

target prices ernd the lcwcrr ]-imits of the range of target pr'ces

ha-re been raise'l for certain cerctlls. /- uniforn ratio v'rl.ll' be

established between the threshold prige of barl.ey anC tliat oj

certain oth.cr coarse grains for rorhich there is no guaranteed' price

to the grovJer. These prel5-ninary approxinatic'n neasures wi-.-l nean

a reduction in part of the intr*r-Conlruni-ty levies.

For processed producis such as flour, grcats, neal, rnalt and

starch the cereals coniponcn'. of the levy vril-.L therefore tre changed;

the other componcnt (irrotection fcr thc processing 3-ndustry) will be

reduced by trryo-fif t':e:rtils.

Ior conversion products (pigneat, *ggt arLci poultry) _{r the}

i'ntra-Communi"ty levies will also be reduced. The corponent of the levy

'rrnreeonti yro the. ef f ecf; on f eeding costs of di-f f crences between the

r vt,r vv

pri-ccs of fee d grains ( cereals ccnponent) r,vitl l:c lourered in step r,vith the appro*itlation of c€real prices. The conponent

represent-inc tr ntenti on for thc conversion inclustr;r will be reduced by

!l]ti yr

1wo-tifteenths. The thirC co.nponent of tlie levies on inpc]rts from

non-member cr:untries vrhich determj.nes the Connunit;; preference goes up by L% and" will tirerefo::e be at least 3% ct tlne sluice-gate price.

Iti,vever, for technical- reasons i.t is not possible to coniplete the

ca.lcu1a'bir-,ns for tl're le'vies on conversion products by 1Ju1y and

their apllication has had to be postponed for a r:onth. The nevv

levies -n pigneat, eggs and poultr; uiil1 not theref ore take ef fect

ur:til I August.

(1) !'or the previous season nothing more than a standstilf was

-8-s!g!-E0I,Jgl

At the enC. of 1961 the represerrtatives cf the

meeting j-n Cor-lncilr adopted a resolution gradual-iy

onrr e'l n.qrr Fr"lr rren ar,d women.

The lrie$ber litates had undertaken to take the accol'cU-ng' to the f ollowi-ng time-table:

Meruber States t

to bring about

ne ces,gaxy 6t€Ps

i) b5" _J0 Jule 1952 _.there shor:ld be no wage discrinlnation

greater than L5?6;

ii) by JO June 1953 rro wa.ge discriruj-natiorr greater than IO"l;

iii) by 11 Decernber I95l+ all wage discrimination abo"ished.

V,iith the helir of Goyelnuent experts and both sides of i'ndustry

the 5EC Commj-ssion has dr;rwn up a r;uestionnaire which hae been

distributecl to the ]'lenber Sta'tes f cr c onp I s tir:n by lo Septembet 1955 _'

Thr, rranl'i as wi 1,] inf orrn the EEC Sorimissiotl on how the ti-,rie-tahle

is beirg otrserved, in particular the appointe,l da"te of JA June L967'

ASSOCIATED AI'RICAN COUI{:|]RIES AfiD MADAGASOAR

the African States j"ncJ.udi.ng _{l'iadaSasci*r as.sociated} with the

EilC nust, uncLer the ter,nrs. of the agreenent reilched between those

St:rtes and the }ternlcer States on i.9 Decernber 1962, make a: ''rther

IO% cut in tiieir custorns drrties in favoul' of the it{ember Sta-; -'s on

l July Lg6i. On the name date the lrte:nber Sti:tes are to accord the