Legal provisions of COM(2008)362 - Community position within the Joint Committee established by the agreement with Switzerland of 22 July 1972 on the adaptation of Protocol No 3, concerning the definition of the concept of ‘originating products’ and methods of administrative co-operation, pursuant to the 2007 enlargement of the EU

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52008PC0362

Proposal for a Council Decision on a Community position within the Joint Committee established by the agreement between the European Economic Community and the Swiss Confederation of 22 July 1972 on the adaptation of Protocol No 3, concerning the definition of the concept of ‘originating products’ and methods of administrative co-operation, pursuant to the 2007 enlargement of the European Union /* COM/2008/0362 final - ACC 2008/0118 */


[pic] | COMMISSION OF THE EUROPEAN COMMUNITIES |

Brussels, 17.6.2008

COM(2008) 362 final

2008/0118 (ACC)

Proposal for a

COUNCIL DECISION

on a Community position within the Joint Committee established by the Agreement between the European Economic Community and the Swiss Confederation of 22 July 1972 on the adaptation of Protocol No 3, concerning the definition of the concept of ‘originating products’ and methods of administrative co-operation, pursuant to the 2007 enlargement of the European Union

(presented by the Commission)

EXPLANATORY MEMORANDUM

CONTEXT OF THE PROPOSAL

Grounds for and objectives of the proposal

Bulgaria and Romania acceded to the European Union on 1 January 2007. The Agreement between the European Economic Community and the Swiss Confederation of 22 July 1972 applies directly to these two Member States as of their day of accession.

The accession of the new Member States implies that Protocol No 3 concerning the definition of the concept of ‘originating products’ and methods of administrative cooperation, which was last amended by Decision No 3/2005 of the EC-Switzerland Joint Committee requires some technical amendments.

According to Article 39 of Protocol No 3, the provisions of this Protocol may be amended by decision of the Joint Committee.

The text of the draft decision includes some technical amendments and some transitional provisions, aiming at smoothing the transitional process and at guaranteeing legal security.

Point 4 of Annex V of the 2005 Act of Accession provides for similar transitional provisions.

Moreover, Annex II to Protocol No 3 has been amended in order to take into account the changes introduced into the Nomenclature governed by the Convention on the Harmonised Commodity Description and Coding System (Harmonised System) as from 1 January 2007.

These amendments were discussed by the experts of both Contracting Parties at the Joint Committee meeting, as well as at the Customs Committee.

General context

The accession of new Member States to the EU implies that the protocol on rules of origin, included in the Community agreements with third countries, has to be amended by a decision of the joint committee, or equivalent, foreseen by the agreement.

The impact of the changes introduced in the Harmonised System 2007 on the rules of origin has lead to the amendment of the list rules contained in Annex II to any origin protocol.

Existing provisions in the area of the proposal

The proposal provides for amendments to Protocol No 3 to the Agreement between the EEC and Switzerland of 1972. This protocol concerns the definition of the concept of originating products and methods of administrative cooperation, and was last amended by Decision No 3/2005 of the EC-Switzerland Joint Committee.

Consistency with the other policies and objectives of the Union

The proposed decision is consistent with the enlargement policy of the Union, as it is a direct consequence of the enlargement process.

consultation of int ERESTED PARTIES AND IMPACT ASSESSMENT

Consultation of interested parties

Further to the discussions at the Customs Committee held on 23 November 2006, the customs administrations on both sides would already autonomously implement the content of this draft Decision.

Collection and use of expertise

There was no need for external expertise.

Impact assessment

There is no need for an impact assessment insofar as the amendments proposed are merely technical and do not modify the substance of the current origin protocol.

legal elements of the proposal

Summary of the proposed action

The draft decision lays down the necessary amendments to Protocol No 3 pursuant to the enlargement of the EU:

- Articles 3(1) and 4(1): deletion of the new Member States;

- Annexes IVa and IVb: addition of the new language versions;

- transitional provisions on proofs of origin and administrative cooperation and for goods in transit;

- Annex II: modified further to the amendments of the Harmonised System 2007 in order to maintain the origin rules unchanged.

Legal basis

Article 133 in conjunction with Article 300 paragraph 2, second subparagraph of the Treaty establishing the European Community.

Subsidiarity principle

The proposal falls under the exclusive competence of the Community. The subsidiarity principle therefore does not apply.

Proportionality principle

The proposal complies with the proportionality principle for the following reason(s).

There is no other option in the present case. Therefore this is the simplest measure possible.

There is no extra financial and administrative burden.

Choice of intruments

Proposed instruments: Council decision

Other means would not be adequate for the following reason(s).

The accession of new Member States to the EU and the entry into force of the Harmonised System 2007 imply an amendment of the protocol on rules of origin. Article 39 of the protocol provides for the Joint Committee to amend the provisions of this Protocol.

budgetary implication

The proposal has no implication for the Community budget.

ADDITIONAL INFORMATION

A review, revision or sunset clause is not foreseen .

2008/0118 (ACC)

Proposal for a

COUNCIL DECISION

on a Community position within the Joint Committee established by the Agreement between the European Economic Community and the Swiss Confederation of 22 July 1972 on the adaptation of Protocol No 3, concerning the definition of the concept of ‘originating products’ and methods of administrative co-operation, pursuant to the 2007 enlargement of the European Union

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 133 in conjunction with the second subparagraph of Article 300 thereof,

Having regard to the proposal from the Commission,

Whereas:

1. The concept of originating products and methods of administrative cooperation are set out in Protocol No 3 to the Agreement between the European Economic Community and the Swiss Confederation of 22 July 1972.

2. The accession of Bulgaria and Romania to the European Union as of 1 January 2007 implies that this Protocol should be adjusted.

3. The entry into force of the Harmonised System as of 1 January 2007 implies that this Protocol should be further adjusted, in particular its Annex II, which is here entirely reproduced.

4. It is therefore appropriate, for the proper functioning of the Agreement and with a view to facilitating the work of economic operators and customs administrations, to amend Protocol No 3 accordingly.

5. These amendments should be introduced by a decision of the Joint Committee established by the Agreement between the European Economic Community and the Swiss Confederation of 22 July 1972.

6. The Community should therefore take position in the Joint Committee as set out in the attached draft Decision

HAS DECIDED AS FOLLOWS:

Article 1

The position to be adopted by the Community within the Joint Committee established by the Agreement between the European Economic Community and the Swiss Confederation on the amendment of Protocol No 3 concerning the definition of the concept of 'originating products' and methods of administrative co-operation, is that defined in the attached draft decision of the Joint Committee.

Article 2

The decision of the Joint Committee shall be published in the Official Journal of the European Union.