Luxembourg, 24.05.2006
DOC. CNC/STAT 6176
INTERNAL DOCUMENT

397th meeting of the Customs Code Committee

Tariff and Statistical Nomenclature Section

*

Luxembourg, 17 - 18 May 2006

SUMMARY RECORD

1. ADOPTION OF THE AGENDA (DOC. CNC/STAT 6157)

AT, CY, LU, MT and NL were not represented. The agenda was adopted.

2. GENERAL INFORMATION

The Committee was informed about the publication of a pocketbook on External and intra-European Union trade (1999-2004) and samples were given out.

3. APPROVAL OF THE MINUTES OF THE 390th MEETING (DOC. CNC/STAT 6145)

The minutes were adopted.

4. MODERNISATION OF THE CN (DOC CNC/STAT 6173)

A short list of codes in chapters 1-24 that could be targeted for merging/deletion was presented to the Committee. The implementation of these first results of the CN modernisation exercise was decided to be targeted for CN2008 due to lack of time for studying and discussing the codes in chapters 1-24, and due to the need of consultations on national level. Eurostat will negotiate with the different stakeholders in order to be able to still extend the list which currently has some 89 codes on it. A revised list will be discussed in the next meeting.

TF on CN modernisation convened right before the Committee meeting and processed chapters 50-70.

5. Questions sUBMITTED TO THE COMMITTEE FOR EXAMINATION UNDER ARTICLE 8 OF REGULATION (eec) n° 2658/87, AMENDED BY ARTICLE 252 of REGULATION (eec) n°2913/92.

5.1. Possible introduction of subheadings for certain types of canned sweet peppers

Document CNC/STAT 5864 + 2 Annexes

A laboratory report concerning the differentiation of piquillo peppers was submitted to the Committee. However, it was felt that the identification of the product is still not clear enough due to the vagueness of the description of piquillo peppers. In addition, it would be preferable to create a code in TARIC instead of CN as the need is only to monitor external imports. However, in order to create a statistical code in TARIC, identification of the goods which leaves no doubts about their classification is equally needed. If such a description can be formulated, the possibility to create a TARIC code and provide surveillance reports to the requesting MS could be investigated.

5.2. Possible introduction of a supplementary unit for vine cuttings and slips

Document CNC/STAT 6039

The fact was highlighted that these products are bought, sold and priced in pieces and therefore SU p/st would be appropriate. On the other hand, there were concerns about losing the data on net mass as a consequence.

A question was raised concerning the definition of a piece of unrooted cutting, as there are different lengths of cuttings, and a piece might possibly mean a 32cm piece (in which case a 64cm cutting could represent two pieces), or something else. Due to lack of information this item was postponed to the next meeting.

5.3. Possible introduction of subheadings for tipping paper

Document CNC/STAT 6040 + Annex

Due to problems in the translation process there were still minor linguistic problems in various language versions, but those will be dealt with and did not present an obstacle for taking a vote. MS are requested to send their comments on their language versions to ESTAT.

5.4. Possible introduction of subheadings for 'biofuels'

Document CNC/STAT 6164 + 5 Annexes

The requesting MS gave a presentation on the growing need to get data on the trade and consumption of biofuels. The chairman introduced his analysis and commentary on the subject (doc 6164). There is an acute and justified need for data, but the CN can only partly satisfy those needs due to problems with definitions, handling mixtures and the unknown end-use of the liquids.

This was an introduction to this complex subject and a more in-depth discussion will follow in the next meeting.

5.5. Possible introduction of a supplementary unit for goat and kid skins

Document CNC/STAT 6054, 6158, 6159

Numerous MS were in favour of accepting the proposal except for the SU for the residual subheading 4103 90 90. Two MS would have liked to postpone the matter until there is more experience on the recent Intrastat simplification due to which data on net mass is lost whenever there is a SU.

It was decided to incorporate the other proposed SUs, with the exception of 4103 90 90, into the final CN2007 draft to be voted on in July. After the meeting, the ramifications of introducing SUs were explained in detail to the requesting federation, which after serious reconsideration still preferred to have the SUs. Also, delegates will be informed if there is new information concerning the SU/mass simplification after the June meeting of the Intrastat Committee.

5.6. Possible introduction of subheadings for hides and skins of dogs and cats

Document CNC/STAT 6054, 6056, 6160

The needs for trade data on these products were not quite clear. Eurostat will find out from relevant Commission services where their interests lie concerning these products. In case the main interest would lie in external imports, TARIC should be considered instead of CN. The feasibility of identifying the products wasn't clear either. The item was postponed to the next meeting.

5.7.-5.15. Items related to HS transposition

It was felt that the requested codes that will be deleted from HS should be reintroduced in CN, and subsequently their possible deletion/merging discussed separately in the framework of CN modernisation. All the codes were accepted by the Committee, including two new ones on Axminster carpets (5.8.). Only codes for heading 8425 were taken out as PL withdrew their request concerning them (5.13.). The codes for blackcurrants and redcurrants were also approved since DG AGRI and the trade federation had expressed their support for the codes, although PL withdrew their request concerning redcurrants.

The approved codes will be incorporated into the final CN2007 draft to be voted on in July.

6. Questions sUBMITTED TO THE COMMITTEE FOR EXAMINATION UNDER ARTICLE 9 OF REGULATION (eec) n° 2658/87, AMENDED BY ARTICLE 252 of REGULATION (eec) n°2913/92.

6.1. Possible creation of an explanatory note for CD-Rs, DVD-/+Rs

Document CNC/STAT 5855, rev. 4

The Committee adopted a favourable opinion (20 MS in favour, 5 MS not present).

6.2. Possible introduction of subheadings for tipping paper

Document CNC/STAT 6040 + Annex

The Committee adopted a favourable opinion (20 MS in favour, 5 MS not present).

7. CN 2007 – TRANSPOSITION of HS 2007

DG TAXUD informed the Committee briefly on the progress of the HS transposition work and that the next Committee meeting is due to be held on the 30th of May.

8. ANY OTHER BUSINESS

The Committee agreed to the proposal of the chairman to have the subdivision of heading 8542 discussed in the Committee meeting in Brussels on May 30th, although it is not a statistical Committee, in order to be able to take advantage of the HS transposition and modernise heading 8542 already in CN2007 to reflect today's technological reality. The fresh proposal of the trade federation was given to the delegates. After the meeting the federation revised and simplified their proposal, the latest proposal is annexed to these minutes. Delegates are invited to send their possible comments to Commission Services (ESTAT G2 and TAXUD B3) by May 28th and coordinate the position of their respective MS with their colleagues participating the meeting in Brussels.

DK wished to postpone the foreseen general discussion on codification to the next meeting.

FR announced that they would present a proposal to delete the supplementary units for approximately 100 codes.

DK asked the Commission to make the documents available earlier before the meeting and to add an explanatory introduction for every document.

The chairman asked the delegations to inform ESTAT if the supplementary unit "m³" for headings 4403 and 4407 is calculated with or without bark in their country.

Annex: Proposal for a new subdivision of heading 8542, DOC. CNC/STAT 6163


List of participants:

DELEGATIONS / ADMINISTRATION
BELGIQUE/BELGIË / Banque Nationale de Belgique, Bruxelles
BELGIQUE/BELGIË / Douanes et Accises, Bruxelles
BULGARIA / National Statistics Institute, Sofia
CZECH REPUBLIC / Czech Statistical Office, Praha
DANMARK / Danmarks Statistik, Kobenhavn
DEUTSCHLAND / Statistisches Bundesamt, Wiesbaden
DEUTSCHLAND / Bundesministerium für Finanzen
ESTONIA / Statistical Office of Estonia, Tallinn
ELLADA / National Statistical Service of Greece
ESPANA / Departamento de Aduanas, Madrid
FRANCE / DGDDI, Paris
IRELAND / CSO, Dublin
ITALIA / ISTAT, Rome
LATVIA / Central Statistical Bureau of Latvia, Riga
LITHUANIA / Statistics Lithuania, Vilnius
HUNGARY / Hungarian Central Statistical Office, Budapest
POLAND / Central Statistical Office of Poland, Warsaw
PORTUGAL / INE, Lisboa
PORTUGAL / Portuguese Customs
ROMANIA / INSSE, Bucharest
SLOVENIA / Statistical Office of Slovenia, Ljubljana
SLOVAKIA / Statistical Office of the Slovak Republic, Bratislava
SUOMI/FINLAND / National Board of Customs, Helsinki
SVERIGE / Statistics Sweden, Stockholm
SVERIGE / Tullverket KC Q
UNITED KINGDOM / HM Revenue & Customs
Southend-on-Sea
TAXUD / Unit B3
ESTAT / Unit G2: Chairman

6