Explanatory Memorandum to COM(2004)244 - Rules for the monitoring of trade in certain substances used for the illicit manufacture of narcotic drugs and psychotropic substances - Main contents
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This page contains a limited version of this dossier in the EU Monitor.
| dossier | COM(2004)244 - Rules for the monitoring of trade in certain substances used for the illicit manufacture of narcotic drugs and psychotropic ... |
|---|---|
| source | COM(2004)244  |
| date | 07-04-2004 |
On 13 December 1990 the Council adopted Regulation (EEC) No 3677/90 laying down measures to be taken to discourage the diversion of certain substances to the illicit manufacture of narcotic drugs and psychotropic substances. This act implemented Article 12 of the United Nations Convention against illicit traffic in narcotic drugs and psychotropic substances of 1988 concerning trade in drug precursors which are chemical substances frequently used in the illicit manufacture of narcotic drugs and psychotropic substances.
Within its sphere of competence, the Community participated in the negotiation and concluded the Convention through Council Decision 90/611/EEC.
Article 12 of the United Nations Convention against illicit traffic in narcotic drugs and psychotropic substances requires a system to monitor international trade in drug precursors. The aim of this system is to ensure that the chemicals required to manufacture narcotic drugs and psychotropic substances are denied to those who illegally perform these operations.
Taking account of their multiple licit uses and that in principle their trade is lawful, access to these substances cannot generally be denied but measures need to be taken that strike an appropriate balance between the desire to exploit all possible means to prevent drug precursors reaching illicit drug manufacturers and the commercial needs of the chemical industry.
Regulation (EEC) No 3677/90 therefore lays down rules to monitor trade of drug precursors between the Community and third countries and has established a system of reporting suspicious transactions. This system, which is based on close co-operation with operators, is reinforced through measures, such as documentation and labelling, licensing and registration of operators, procedures and requirements governing exports.
The legislative scheme having being adopted more than a decade ago, it seemed appropriate to evaluate the Community monitoring system of trade in precursors with a view to drawing conclusions from the implementation of the existing Community legislation in this field and in order to be able to effectively counter new patterns and trends of precursor diversion and illicit traffic in narcotic drugs and psychotropic substances.
Following the European Union Action plan on Drugs 2000 - 2004, endorsed by the European Council at Feira in June 2000, the Commission organised an assessment of the Community monitoring system of trade in drug precursors conducted in close co-operation with the Community Member States.
According to this assessment, it is necessary to further strengthen mechanisms and procedures to monitor trade between the Community and third countries in drug precursors and to adapt the existing control system to new trends and patterns of diverting drug precursors. In particular, it was found necessary to extend monitoring requirements with regard to operators based within the Community facilitating trade between third countries, to introduce a Community approach with regard to procedures for granting licences and to strengthen monitoring requirements governing suspensive customs procedures. Procedures and requirements for exports should be further intensified to target and concentrate controls on the most sensitive consignments mainly depending on the sensitivity of the precursor and the third country of the trading partner.
The primary aim of this proposal concerns the need to further strengthen the import control for the main synthetic drug precursors in order to address the heightened concern relating to amphetamine type stimulants (ATS). It is necessary to introduce requirements and procedures for individual import authorisations to allow the monitoring of individual consignments towards the Community and thereby further intensifying the Community's efforts to prevent synthetic drug precursors, in principle not produced in the Community, reaching illegal manufacturers and traffickers of synthetic drugs.
In order to allow operators to fulfil these requirements, provisions governing external trade in drug precursors should, to the extent possible, be aligned with the provisions governing intra-Community trade of drug precursors in accordance with Regulation (EC) No 273/2004 of the European Parliament and of the Council of 11 February 2004.
Regulation (EEC) No 3677/90 should therefore be amended accordingly and replaced for the sake of clarity.
Article 1:
Article 1 indicates the subject matter of the Regulation and clarifies its scope.
Article 2:
Article 2 lays down definitions. The definitions relating to trade between the Community and third countries have been redrafted for the sake of completeness and clarity in order to ensure harmonised application throughout the Community. A provision on drop shipments, namely activities carried out by operators based within the Community facilitating trade between third countries has been inserted in order to allow monitoring requirements linked to these activities.
Articles 3 to 6:
Articles 3 to 6 relate to documentation, record keeping and labelling requirements.
The provisions on documentation have been modified in order to allow control authorities to facilitate the identification of trade in precursors and subsequently target their control. Account has been taken of natural products. Exemptions from the record keeping requirement should be allowed if the competent authorities deem the documentation to be sufficient.
Articles 7 to 9:
Articles 7 to 9 relate to licensing, registration and other requirements.
Intermediary activities including drop shipments are now covered by licensing and registration requirements. It is also proposed that operators dealing with customs warehouses are no longer exempted from licensing and registration. Standard licensing conditions and procedures should be set up to reach a level playing field throughout the Community.
In order to better ensure the monitoring of cases where licences or registration are not required, it is proposed that the operator furnishes a proof of legitimacy of the country of export. Such proof will facilitate the competent authorities to verify whether the exporting country has authorised the export consignment without creating unnecessary additional administrative burden. At the same time, this will allow the Community to fulfil its international obligation to set up a monitoring system to control international trade in precursors.
Article 12:
Article 12 concerns pre-export notifications.
The proposed Article clarifies the current practice of sending pre-export notifications involving Category 2 and Category 3 substances, namely in the case of agreements and in cases of sensitive consignments.
The internationally agreed principle of pre-export notifications is fully recognised.
However, the additional administrative burden of sending pre-export notifications should be accepted only where such instrument is used in a meaningful way, namely allowing the competent authorities to assess whether an export authorisation can be granted. Hence, the absence of a reply from the authorities in the country of destination should not automatically lead to the granting of an export authorisation, but the quality of the follow-up required from the authorities in the country of destination should depend on the degree of sensitivity attached to the consignment. Consequently, it is proposed to have a more nuanced approach in accordance with the guidance given by the International Narcotics Control Board (INCB) in this matter.
Articles 13 to 21:
These Articles concern export authorisations.
It is proposed to discontinue the 'open individual export authorisation system' and to generalise the use of individual export authorisations in principle for all Category 1 and Category 2 substances. Such extension adds additional administrative burden on the shoulders of both competent authorities and operators, but would allow the monitoring of individual export consignments and thereby enhance the effectiveness of control.
However, in order to strike an appropriate balance between the administrative procedures and requirements and the desired increased effectiveness of control, resources should be concentrated on the sensitive drug precursors. Therefore, exports of Category 3 substances should only exceptionally be subject to authorisation, namely in cases where pre-export notifications are applied and in cases of sensitive consignments. Moreover, simplified authorisation procedures should be elaborated.
Articles 22 to 27:
These Articles relate to import authorisations.
When the legislation came into force, the Community was a major exporter of precursors and an importer of illicitly manufactured drugs. This is still the situation but unfortunately the Community is now also in the position of an exporter of illicitly manufactured synthetic drugs and an importer of precursors required for that illicit manufacture.
Hence the primary purpose of this Regulation to further strengthen the import controls of the main synthetic drug precursors in order to address this growing problem, in particular as the Community is generally reported to be one of the main leaders of the worlds' ecstasy manufacture and trade.
It is therefore proposed to introduce individual import authorisation requirements and procedures with regard to Category 1 substances. This will allow competent authorities monitor individual consignments entering the customs territory of the Community and to carry out consignment based controls.
Article 34:
Article 34 concerns the communication of information on the implementation of the rules concerning the trade in precursors. This information is necessary to evaluate the effectiveness of these rules and their application and to allow the necessary adjustments to be made. This information is also necessary to draw up an annual report to be submitted to the International Narcotics Control Board in accordance with Article 12 of the United Nations Convention against illicit traffic in narcotic drugs and psychotropic substances of 1988.