Legal provisions of COM(2008)309 - EC position within the Association Council established by the association agreement with Jordan with regard to the establishment of a tariff dismantling schedule for products appearing in Annex IV to the Association Agreement - Main contents
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| dossier | COM(2008)309 - EC position within the Association Council established by the association agreement with Jordan with regard to the ... |
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| document | COM(2008)309  |
| date | October 7, 2008 |
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52008PC0309
Proposal for a Council Decision on the position to be adopted by the Community within the Association Council established by the Euro-Mediterranean agreement establishing an association between the European Communities and their Member States, of the one part, and the Hashemite Kingdom of Jordan, of the other part, with regard to the establishment of a tariff dismantling schedule for products appearing in Annex IV to the Association Agreement /* COM/2008/0309 final */
[pic] | COMMISSION OF THE EUROPEAN COMMUNITIES |
Brussels, 21.5.2008
COM(2008) 309 final
Proposal for a
COUNCIL DECISION
on the position to be adopted by the Community within the Association Council established by the Euro-Mediterranean Agreement establishing an Association between the European Communities and their Member States, of the one part, and the Hashemite Kingdom of Jordan, of the other part, with regard to the establishment of a tariff dismantling schedule for products appearing in Annex IV to the Association Agreement
(presented by the Commission)
EXPLANATORY MEMORANDUM
Annex IV to the Association Agreement between the European Communities and their Member States and the Kingdom of Jordan (hereinafter, 'Association Agreement') includes a list of products (including textiles, used cars, furniture and sensitive processed agricultural products) exported from the EU to Jordan. These exports are worth about € 150 million per year and were excluded from immediate tariff dismantling when the Association Agreement entered into force on 1 May 2002. Article 11(5) of the Association Agreement foresees that, four years after the date of entry into force, the joint Association Council should establish a tariff dismantling schedule for these products.
The Commission carried out negotiations on the products listed in Annex IV with Jordan throughout 2006 and 2007. The draft agreement reached with Jordan foresees that tariff dismantling for products listed in Annex IV should begin in May 2008 based on 3 lists of products: the tariffs for the products on the first list will be dismantled over 2 years (all tariff lines falling under 'ex 8703' - used vehicles) and the tariffs for the products on the second list over 7 years (mostly textiles and furniture). The third list consists of sensitive processed agricultural products for which tariffs will remain in place.
Particular difficulties were encountered with respect to beer (HS 2203) and vermouth (HS 2205). While showing understanding for Jordan's arguments about cultural sensitivities to imports of alcoholic beverages, the Commission decried Jordan's discriminatory treatment compared to imports of beer and vermouth under their FTA with the USA. The FTA with the USA foresees that duties will be reduced to 44.5% of the original duty level as of 2010. The Jordanian import market for beer and especially of vermouth is very small and currently dominated by imports from the Community.
While tariffs on imports of EC beer and vermouth will remain in place, Jordan agreed to jointly monitor the evolution of imports of those two products in the EC-Jordan Industry, Trade and Services sub-committee (which usually meets once a year), to assess any significant reduction of imports from the Community caused by the preferential treatment accorded to the USA. Where a significant reduction of beer and vermouth imports from the Community was proved, it was agreed that the Jordanian authorities and the Commission should review the applicable customs duties on those two products with a view to remedying the identified imbalance.
In order to facilitate the entry into effect of the tariff dismantling schedule by 1 May 2008, a written procedure for the adoption of the corresponding decision by the Association Council is envisaged.
Proposal for a
COUNCIL DECISION
on the position to be adopted by the Community within the Association Council established by the Euro-Mediterranean Agreement establishing an Association between the European Communities and their Member States, of the one part, and the Hashemite Kingdom of Jordan, of the other part, with regard to the establishment of a tariff dismantling schedule for products appearing in Annex IV to the Association Agreement
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European Community, and in particular Article 300 (2) second subparagraph thereof,
Having regard to the proposal from the Commission,
Whereas:
(1) The Euro-Mediterranean Agreement establishing an Association between European Communities and their Member States, of the one part, and the Hashemite Kingdom of Jordan, of the other part, provides in Article 11 (5) thereof that the Association Council is to re-examine the arrangements to be applied to products listed in Annex IV to the Agreement four years after the date of its entry into force, and at the time of that re-examination, establish a tariff dismantling schedule for those products.
(2) The tariff dismantling schedule for products appearing in Annex IV to the Association Agreement has been negotiated by the European Commission and the Hashemite Kingdom of Jordan,
HAS DECIDED AS FOLLOWS:
Sole article
The position to be taken by the Community within the Association Council with regard to the establishment of a tariff dismantling schedule for products appearing in Annex IV to the Association Agreement shall be based on the draft Decision annexed hereto.