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DRAFT RECOMMENDATION (12377/2023 – C90000/2023 – 2023/0303(NLE))

On the draft Council decision on the conclusion, on behalf of the Union, of the Agreement in the form of an Exchange of Letters between the European Union and the Argentine Republic amending the Agreement in the form of an Exchange of Letters between the European Union and the Argentine Republic pursuant to Article XXVIII of the General Agreement on Tariffs and Trade (GATT) 1994 relating to the modification of concessions on all the tariff-rate quotas included in the EU Schedule CLXXV as a consequence of the United Kingdom’s withdrawal from the European Union

INTA-PR-756031

Committee on International Trade · Rapporteur: Jordi Cañas

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This is a draft report by the Committee on International Trade on a draft Council decision to conclude an EU–Argentina agreement amending tariff-rate quota shares after the UK's withdrawal from the EU. The rapporteur recommends that Parliament give its consent to the agreement, which revises the EU27 shares of two tariff-rate quotas for which Argentina has negotiating rights. The agreement follows Article XXVIII GATT 1994 negotiations and the joint EU–UK approach to apportioning the 143 EU WTO tariff-rate quotas between the EU27 and the UK.

Committee position. The rapporteur recommends that Parliament give its consent to the conclusion of the agreement, without prejudice to its democratic right of continuous scrutiny.

Key points

  1. Parliament gives its consent to the conclusion of the agreement.
  2. The agreement amends the 2021 EU–Argentina Exchange of Letters on tariff-rate quota concessions.
  3. The EU27 share of an erga omnes tariff-rate quota on skimmed-milk powder is revised to 62 917 tonnes.
  4. The EU27 share of an erga omnes tariff-rate quota on fruit juices is revised to 6 551 tonnes.
  5. Regulation (EU) 2019/216 and Commission Implementing Regulation (EU) 2020/1988 will be amended to reflect the new volumes.
  6. The EU must inform Argentina if negotiations with other WTO Members change the agreed shares.
  7. The original apportionment split the 143 EU agricultural, fish and industrial WTO tariff-rate quotas between the EU27 and the UK, maintaining the existing volume of each quota.
  8. The apportionment methodology is based on trade flows into the EU27 and the UK during 2013 to 2015.
  9. Article 2(b) of Regulation (EU) 2019/216 empowers the Commission to amend apportionment shares based on pertinent information.
  10. Parliament's consent is needed for the Council to conclude the agreement and for it to come into force in due time.

Who is affected

  • EU exporters and importers of skimmed-milk powder and fruit juices, who face revised tariff-rate quota volumes.
  • Argentina, which has negotiating rights on the two tariff-rate quotas and must be informed of changes.
  • The Commission, which will amend the relevant regulations to reflect the new volumes.

Figures and deadlines

  • 62 917 tonnes — revised EU27 share of the erga omnes tariff-rate quota on skimmed-milk powder.
  • 6 551 tonnes — revised EU27 share of the erga omnes tariff-rate quota on fruit juices.
  • 143 — EU agricultural, fish and industrial WTO tariff-rate quotas apportioned between the EU27 and the UK.
  • 3 years from 2013 to 2015 — reference period for the apportionment methodology.
  • 10 May 2021 — date of signature of the EU–Argentina agreement.
  • 13 July 2021 — date the agreement entered into force.

Legal basis: Article 207(4), first subparagraph and Article 218(6), second subparagraph, point (a)(v), of the Treaty on the Functioning of the European Union.