Explanatory Memorandum to COM(2005)142 - Community position within the Association Council on a derogation from the provisions concerning the definition of the concept of "originating products" and methods of administrative co-operation laid down in the association agreement with Tunisia - Main contents
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| dossier | COM(2005)142 - Community position within the Association Council on a derogation from the provisions concerning the definition of the ... |
|---|---|
| source | COM(2005)142  |
| date | 18-04-2005 |
In the context of the Barcelona process, the Commission has made a proposal to the Council for the extension of the pan-European cumulation of origin to the Mediterranean countries, which will contribute to the creation of the Euro-Med free trade area by 2010.
The pan-Euro-Mediterranean cumulation of origin will allow, amongst other, that garments manufactured in Tunisia will be conferred preferential origin for export to the Community if they are made up from fabrics originating in the other pan-Euro-Mediterranean countries, such as Turkey.
A basic condition for the application of pan-Euro-Mediterranean cumulation is the existence of free trade agreements with identical rules of origin, between the countries of the zone. Tunisia has recently signed a free trade agreement with Turkey. The pan-Euro-Mediterranean cumulation also requires that the rules of origin of the EC-Tunisia Euro-Mediterranean Agreement be amended. A proposal to that effect is currently being discussed by the Council.
2. Nature of the problem
The rule of origin applicable to the garments for which the derogation is requested is that all the fabrics used must be manufactured from already originating yarn. In other words, it does not allow for the use of non-originating fabrics in the manufacture of these garments.
Based upon the Joint Declaration on Article 39 of Protocol No. 4 to the EC-Tunisia Agreement, on 16 February 2005, Tunisia requested a derogation which will allow the manufacture in Tunisia of originating garments from fabrics originating in Turkey for export to the EU. This derogation aims at anticipating the effects of pan-Euro-Mediterranean cumulation of origin among Tunisia, Turkey and the EU.
3. Structure of the proposed derogation
The proposal lays down that the derogation shall be granted:
- in respect of garments falling under chapters 61 and 62 of the Harmonized Commodity Description and Coding System;
- for a quantity of 8.040 tons of trousers and for a quantity of 1.855 of other garments (detailed table enclosed in Annex 1);
- until the entry into force of the Pan-Euro-Mediterranean protocol on rules of origin among the Parties concerned, namely Tunisia, Turkey and the EU but, in any event, for no longer than a period of one year;
- provided that Tunisia carries out quantitative checks on the exports of the products concerned and supplies statements of the quantities in respect of which movement certificates have been issued;
- provided that Turkey and Tunisia, pending the entry into force of the Free Trade Agreement they recently signed, agree to start implementing its rules of origin, including the provision on administrative co-operation.
4. Conclusion
The Council is invited to adopt the proposed Community position for the adoption by the EC-Tunisia Association Council of the decision derogating from the current rules of origin.