2009 introducing exceptional trade measures for countries and territories participating in or linked to the EU's Stabilisation and Association process - Main contents

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dossier	COM(2010)54 - 2010/0036 (COD) Proposal for a Regulation of the European Parliament and of the Council on amending Council Regulation (EC) ...
source	COM(2010)54
date	22-02-2010

1. By Regulation (EC) No 2007/2000 i, the European Union has granted exceptional unlimited duty-free access to the EU market for nearly all products originating in the countries and territories benefiting from the Stabilisation and Association process. The key aim of these measures is to revitalise the Western Balkan economies through a privileged access to the EU market. In turn, economic development is to foster political stability in the entire region.

2. As Council Regulation (EC) No 2007/2000 was substantially amended several times, it was codified by Council Regulation (EC) No 1215/2009 of 30 November 2009 i.

3. These trade preferences were granted for a period ending on 31 December 2010 and currently apply to Bosnia and Herzegovina, Serbia and Kosovo i for all the products under the scope of Regulation (EC) No 1215/2009. The products originating in Albania, in the Republic of Croatia, in the former Yugoslav Republic of Macedonia or in Montenegro continue to benefit from the provisions of Regulation (EC) No 1215/2009 when so indicated or from any measures provided in Regulation (EC) No 1215/2009 which are more favourable than the trade concessions provided for in the framework of bilateral agreements between the European Union and these countries.

4. On the 16 June 2008 the Stabilisation and Association Agreement between the European Union and Bosnia and Herzegovina was signed. Pending the conclusion of ratification procedures, the Interim Agreement on trade and trade-related matters between the European Union and Bosnia and Herzegovina entered into force on 1 July 2008.

5. On 29 April 2008 the Stabilisation and Association Agreement between the European Union and Serbia was signed. Pending its entry into force, the Interim Agreement on trade and trade-related matters between the European Union and Serbia is implemented since 8 December 2009 and entered into force on 1 February 2010.

6. As the Interim Agreements / Stabilisation and Association Agreements (SAAs) grant trade concessions to Bosnia and Herzegovina and Serbia on the same products identified in the autonomous trade preferences, these concessions have to be withdrawn from the Council Regulation (EC) No 1215/2009. These concern the preferential tariff quotas for baby beef, sugar and sugar products, certain wines, as well as for certain fishery products.

7. On 14 October 2009 the European Commission adopted a Communication entitled Kosovo - Fulfilling its European Perspective and it recommended to extend the Autonomous Trade Measures.

8. The General Affairs Council in its Conclusions of 8 December 2009 states that in respect to the EU's relations with Kosovo it attaches importance to measures on trade, without prejudice to Member States' positions on status.

9. The European Parliament in its Resolution on 26 November 2009 Enlargement strategy 2009 concerning the countries of the Western Balkans Iceland and Turkey calls on the Commission to make every possible effort to mitigate the effect of the economic crisis on the Western Balkans.

10. The termination of the trade preferences would take from the beneficiaries an objective economic advantage in their trade with the EU. This could have very negative consequences on the overall economic performances of Western Balkans, with consequent negative repercussions on their domestic reform and transition processes. Moreover, their economic recovery could be seriously jeopardised.

11. This proposal amends certain elements of Regulation (EC) No 1215/2009 to permit the extension of its validity to 31 December 2015 and make certain adjustments consequent to the entry into force of bilateral agreements with Bosnia and Herzegovina and Serbia. Regulation (EC) No 1215/2009 also contains, in Articles 2 and 10, certain powers reserved to the Council and which are not based on Council Decision 1999/468/EC laying down the procedures for the exercise of implementing powers conferred on the Commission. The Commission will make a proposal which will revise all such procedures in the common commercial policy in the light of the system of implementing acts set out in Article 291 of the Treaty on the Functioning of the European Union and the regulation on the rules and general principles concerning the Commission's exercise of the implementing powers adopted on the basis of Article 291 i. That proposal will also address Articles 2 and 10 of Regulation (EC) No 1215/2009. This proposal will be presented as soon as possible after the Commission has adopted a proposal on the rules and general principles concerning the Commission's exercise of the implementing powers.

12. The Regulation does not incur costs charged to the EC budget. Its application would also not entail any losses of customs revenue compared to the current situation.

13. In the view of the above the present proposal aims to extend the validity of Council Regulation (EC) No 1215/2009 to 31 December 2015. The present proposal amends the Council Regulation (EC) No 1215/2009 in order to take into consideration the changes in respect to the products coverage.

14. In order not to disrupt trade, this Regulation has to be adopted and published in the Official Journal of the European Union before 31 December 2010. In the event this is not possible, the recital number 8 and the second paragraph of Article 3, which feature brackets in the Proposal, should be fully inserted in the Regulation in order to ensure, exceptionally, its retroactive application.