Commission investigates rules on parallel imports of pesticides into UK, Italy, Poland and Hungary

Monday, October 17 2005, 15:03

The Commission has started inquiries into certain practices applied by the United Kingdom, Italy, Poland and Hungary that make parallel imports of pesticides from other Member States difficult. Under EU law, such imports are allowed if the product imported is allowed to be sold in the Member State of origin and is identical or sufficiently similar to one already authorised for sale in the Member State of destination. The Commission has asked the four Member States to explain and clarify their rules on the importation of plant protection products from other Member States.

United Kingdom The UK authorities apply stricter conditions to parallel imports of pesticides than those accepted by the European Court of Justice. In particular, the UK authorities require that the product to be imported and the sufficiently similar product already in the market must have been manufactured by the same company or by an associated undertaking. It also appears that the UK authorities have not adequately justified refusals to grant parallel import licences. Finally the Commission notes complaints about delays in the admission procedure.

Poland - No simplified procedure for parallel imports appears to be in place. Thus the Polish authorities make parallel importation from other Member States impossible.

Hungary -The Commission questions certain requirements of the parallel import licensing procedure. In its view, the administrative procedure for granting a licence in Hungary is too burdensome. This also applies to the criteria used to establish identity/similarity between the parallel imported product and the already authorized product.

Italy - . The Italian authorities appear to require from the parallel importer specific information to which he does not necessarily have access. Moreover the parallel importer is also asked to submit an official translation of certain documentation which does not appear to offer any new relevant information. Finally, the timeframe (90 days) within which the Italian authorities may issue the parallel import licence is considered too long.

Background

The EC Treaty requires the Commission to ensure that EU law is correctly implemented. The Commission has been granted powers to do so under the infringement procedure laid down in Articles 226 and 228 of the Treaty. The main purpose of this procedure is not to bring infringement proceedings before the Court of Justice, but to bring the Member State back into line with EU law during a pre-litigation phase.

The main steps of the pre-litigation procedure are:

1. Letter of formal notice

The letter of formal notice represents the first stage in the pre-litigation procedure, during which the Commission requests a Member State to submit its observations on an identified problem regarding the application of Community law within a given time limit. The Commission does not make an accusation but offers the Member State the opportunity to give its explanation regarding an alleged infringement. The Member States is given two months to reply.

2. Reasoned opinion

The reasoned opinion gives a detailed statement, based on the letter of formal notice, of the reasons that have led the Commission to conclude that the Member State concerned has failed to fulfil one or more of its obligations under the Treaty or other EU legislation. The Member State has two months to reply.

3. Decision to refer a case to the Court of Justice

Referral to the Court of Justice of the European Communities opens the litigation procedure