Ref. Ares(2016)3146580 - 01/07/2016
Ref. Ares(2017)2872363 - 08/06/2017
EUROPEAN COMMISSION
MAAC 2016-025
Directorate-General for Trade
Directorate G - Trade Strategy and Analysis, Market Access
Market Access, Industry, Energy and Raw Materials
Brussels, 1 July 2016
All redactions marked with "*" are made under Art. 4.1(a)
All redactions marked with "* * " are made under Art. 4.2.
DRAFT MINUTES
MARKET ACCESS ADVISORY COMMITTEE
Conference Centre Albert Borschette, room 2A
Tuesday 21 June 2016, 14:30 – 17:30
1. APPROVAL OF THE DRAFT AGENDA (MAAC 2016 – 022)
Following issues were requested to be added to the agenda:
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: Issues related to customs procedures in Russia and in Egypt (raised by DE)
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: EU funded project on Market Access Barriers in India
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: Blocked imports of fox-derived products at Indian customs
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2.
ANNOUNCEMENTS FROM THE CHAIR
The
Chair recalled the upcoming WTO Trade Policy Review of China on 20 and 22 July
2016 and indicated the deadline of 24 June to send input to DG Trade.
3. CHINA: NEW FOOD SAFETY IMPORT CERTIFICATE
The
COM explained the background of this issue: the Chinese administration informed all
exporting countries in a letter dated 25 April that they will require official certification for all
foods, including pasta or pastries etc. This would create an immense burden. The COM
provided the state of play of the actions taken: the EU Ambassador wrote to the Chinese
AQSIQ Minister, signalling his grave concerns; EU Delegation and ten MS met with the
AQSIQ administration on 16 June. COM noted that the Chinese side signalled openness to
discuss the issue in detail and suggested that the EU should organise a seminar with industry
and MS, preferably before end July. COM indicated that this event is now being organised
and that the issue will also be raised in a bilateral meeting in the margins of the SPS
Committee in Geneva on 1 July.
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, welcomed and supported the activities taken so far and underlined the urgency of
finding a viable solution. COM asked the participants whether they can estimate how many
consignments would require official certificates. Data available in trade statistics list the
value and weight of exports but not the number of consignments shipped.
4. PRESENTATION OF THE COMMISSION REPORT ON TRADE AND INVESTMENT BARRIERS
AND PROTECTIONISM
The
COM announced that the Report had been published on the same day. The COM
explained that this report merges two previous reports that complemented each other, namely
Commission européenne, B-1049 Bruxelles / Europese Commissie, B-1049 Brussel - Belgium. Telephone: (32-2) 299 11 11.
the Commission’s “Trade and Investment Barriers Report” (TIBR) and DG Trade’s
“protectionism”. COM noted that the Report covers an 18 months period.
The COM explained the three main chapters and stressed that it includes a section on the
Market Access Strategy. This section in particular refers to the need of an “enhanced
partnership” with the MS and the stakeholders for the implementation of trade agreements, as
called upon in the new Communication on “Trade for All”. The Chair informed that a point
on this topic is planned for discussion in a next MAAC.
MS welcomed the report and stressed the importance of continuing the exercise, in particular
in regard to the listing of protectionism trends.
5. KEY BARRIERS EXERCISE
Malaysia: presentation of the final Key Barriers list
COM recalled the key barriers discussed during the MAAC meeting of April: Investment,
Public procurement, Services, and a number of SPS barriers in the agro-food sector.
Taking into account the comments provided by MS and Industry since then, the COM has
envisaged to adding two more barriers on the list:
- Automotive: restrictive import licensing system of "Approved Permits". They act as de
facto quota and are administered in a non-transparent manner;
- Wines and spirits (to be confirmed): potential discrimination on excise taxes in favour of
the locally produced Compound Hard Liquor and no respect of the OIV definition of wines.
This barrier is still in “tbc” mode pending some details requested from FR and Industry.
supported the addition of the barrier on wines and spirits and indicated that
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the issue related to labelling was of less concerns.
confirmed that they will send their answer to the COM's query soon and stressed the
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importance of the question of discriminatory excise taxes as many Asian countries tend to
use this tool to discriminate against EU imports.
,
,
and
supported the addition of the 2 new barriers.
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mentioned difficulties in getting halal certification of meat export to Malaysia (in
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reference to key barrier Nr 5 of the list).
thanked the COM for introducing the barrier on automotives.
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In conclusion COM (Chair) recalled that the COM was still waiting for feedback from MS
and Industry on alcohol taxation, in particular on the issue of "likeness".
6. DEBRIEFING OF THE TBT COMMITTEE, 15-16 JUNE 2016, GENEVA
COM informed about the new cases discussed in the TBT Committee in June:
Egypt: registration of importers, which is a combination of two decrees (G/TBT/N/EGY/114
and G/TBT/N/EGY/115);
China's new standards for furniture: EU raised the issue related to the testing methods which
in EU's view are not mature. COM noted that the standards are not yet in force and some
limits of the earlier version would not to be made mandatory.
Kenia's and Eastern African Community standards on alcoholic beverages: COM reported
that Kenia indicated that they were open to discuss bilaterally, but meanwhile, the measure
will continue to apply.
Taiwan’s new organic agricultural act which implies the need for the recognition of organics,
to sign an agreement within one year: Taiwan indicated that the Organic Agriculture Act
continues to be in draft state and that it would only enter into application after a period of one
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or more years. In the meantime, EU organic products continue to be recognised under
existing legislation.
MS and
BU took the floor and requested an update on cases of their particular concerns:
- Thai issue related to alcoholic drinks (THA/437) (
,
). The COM
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informed that this case could not be discussed bilaterally. At the TBT Committee, the EU
reiterated its concerns on this measure and asked in particular, whether Thailand had the
intention to review and amend the Thai regulation, in order to clarify it. The EU also asked
for information on graphic health warnings. Thailand in its reply at the TBT Committee
could not confirm whether the legislation will be amended and just confirmed that the
measure had been implemented since April 2015, and was currently enforced. Thailand
reiterated that, in case of doubts, exporters are welcome to send an example of alcoholic
drinks labels to the Department of Disease Control at the Ministry of Public Health, for their
advice and consultation.
- Thailand-Milk Code draft Act (THA/471) (supporting statement):
The EU joined other
Members to express concern on the draft act on Controlling the Marketing of Infant and
young Child Food and related products, as regards certain definitions which would deviate
from Codex standards. The EU submitted comments to Thailand on this issue in February
2016.
-India, alcoholic drinks (IND/51) (FR):
The COM raised this trade concern at the TBT
Committee and signalled several inconsistencies of the Indian measure on alcoholic
beverages standards with current international practices (oenological practices and
definitions as set by the International Organisation of Vine and Wine (OIV) and Codex. The
EU has expectation that India aligns its draft with those practices and standards (for instance,
as regards maximum alcohol content for wines and beer, as well as spirits, labelling
provisions, the list of additives permitted in the production of alcoholic beverages. The EU
also asked for a reasonable transition period for manufacturers to comply with the new
provisions. India clarified both at the TBT Committee and at the bilateral meeting that the
measure is still under consideration and that the numerous comments from Members will be
taken into account, with the aim to finalise it within this year. The list of food additives
permitted in alcoholic beverages has been recently adopted by the competent Indian
authorities and will be appropriately notified to WTO.
- Indonesia-SNI Standards (
): The EU raised this concern at the bilateral
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meeting with Indonesia, stressing in particular, the recent proliferation of mandatory
standards for a broad range of products (such as baby clothing, toys, ceramics, and more
recently biscuits) whose compliance would be verified though burdensome third party audits.
Indonesia pointed that there is a list of SNI standards in the Ministry of Industry's website.
-Russia's new rules for imports of cement
): COM informed that this issue could not be
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raised bilaterally, as Russia was not available for a bilateral meeting on the margins of the
TBT Committee. COM informed that the issues were raised by the EU at the plenary of the
TBT Committee. Russia answered there that the measure was needed in view of the sharp
increase of low-quality cement in Russia. Russia indicated that the certification bodies and
the certificates issued are available on the Internet. Russia stated that 230 certificates were
already issued, including for companies from other WTO Members.
- China IT banking/insurance measures (
): COM informed that China indicated at the
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plenary session that the process for the finalisation of the measures on IT for insurance will
be transparent and concerns will be addressed; at the bilateral meeting, China questioned that
the draft measure on ‘IT for insurance security requirements‘ would actually fall within the
scope of the TBT Agreement, indicating that it had been notified ‘for the sake of
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transparency’. On the IT for banking security requirements, the EU requested an update.
China indicated that the revision of the suspended requirements is on-going, no fixed
timeline is available. China did not provide any update on the other IT measures (OSCCA
certification, MLPS)
- China Infant Formula Registration Regulation (
** ,
): COM reported
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having raised the issue together with Korea, with the support of
and
. The
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EU raised the issues of the limitation to a maximum of 9 recipes per manufacturing
company, as well as the apparent entry into force of a modified measure on 1.10.2016. China
indicated that the modified measure recently published at the website of the CFDA would
indeed enter into application on 1.10.2016. Nevertheless China agreed to convey our concern
for the need for an adequate transition.
asked about United Arab Emirate’s control scheme to restrict the use of hazardous
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materials in electronic and electrical devices. COM replied that the EU reiterated its
concerns. However, no progress was achieved due to the absence of the UAE at the meeting.
COM noted that this issue should be followed-up through other channels.
7. EARLY WARNING CASES
7.1. Tunisia: New Law 2016-16 – implementation of the “new approach”
expressed concerns about Tunisia's new Law 2016-16 which modifies the Law Nr 38 and
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delays the timeframe for the implementation of the EU’s
"new approach" to the Tunisian law
system. Pending this implementation, the current regulatory regime requires obligatory
certification of EU products when entering the Tunisian market.
COM explained that
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.
7.2. Canada: new pricing policy applied by LCBO (Liquor Control Board of Ontario)
, supported by
,
and
, expressed concerns about Ontario's intended new
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pricing policy managed by LCBO (Liquor Control Board of Ontario) introducing flexible
mark-ups.
stressed that this would breach the transparent and predictable system with is
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currently in place and lead to discrimination between imported and local products and
exclude certain brands from the market. The issue raises WTO compatibility questions.
COM confirmed that the COM has been made aware of this measure recently, and thanked
for the details provided. COM indicated that this issue will be on the agenda of next
EU/Canada Wines and Spirits Committee; COM will ask Canada to clarify the case.
(supported by
and
) stressed that Canadian measures were
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also affecting beers.
also expressed their concerns about problems related to limits of
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importation of MPCs, due to the change of class pricing in Ontario.
fears that provision
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agreed in CETA could be undermined by this measure.
8. MARKET ACCESS CASES
8.1. Ecuador: excessive registration requirements for imported food products
raised this issue, which relates to Ecuador's Resolution ARCSA - D-067-2015-GGG -
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RO 21 establishing the requirements for registering an imported product which entered into
force in December 2015.
explained that although it slightly relaxed the registration
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procedures, importers are still asked to provide a very long list of documents which is not
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standard international practice.
stressed that in practice this means that it takes
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approximately two years to register one brand while registration procedures for locally
produced spirits take on average two weeks.
The
COM thanked the * for the details provided in written, which the COM took into
account for the discussion in the TBT committee and assured that the COM will keep the
pressure, also through the EU Delegation but admitted that the progress is limited.
8.2. Chile: limitation on fishing vessels operations in Chile
asked for an update on this issue which relates to Chile's application of an outright
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prohibition on the landing, transhipment and transit of swordfish by foreign vessels,
including EU vessels in Chilean harbours. The
COM indicated that the COM and the
Chilean authorities have engaged in a constructive dialogue to solve this matter. The COM
further explained that Chile was invited to become a member of the Inter American Tropical
Tuna Commission, which is also responsible for the conservation of swordfish, in order to
solve the swordfish irritant. The COM stressed to the Chilean authorities that a positive
solution of this matter is also conducive for the successful conclusion of the modernisation of
the Association Agreement.
8.3. Cameroun: minimum threshold for levying taxes on certain wine imports
This item was on the agenda of the MAAC meeting in April. At
’s request, the
COM
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provided an update on the actions undertaken and noted that the current situation remains
unclear and that there was no clear information on the renewal or not of the Cameroonian
Decision 4941.
The Chair also indicated that the Decision 4941 was being reviewed internally on the basis of
information available, with regard to its compatibility with WTO rules and the EU-
Cameroon EPA. If warranted, the COM will then consider appropriate follow up action, such
as a letter to the Ministry of Finance in Cameroon.
9. AOB
9.1. India: blocked imports of fox-derived products
informed that Indian customs is blocking European imports of tanned skins containing
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arctic fox fur (vulpes lagopus).
is of view that the Indian Wildlife Protection Act 1972,
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which prohibits trade of four other fox species and the non-endangered species of red fox,
might be the reason for the import restriction.
COM informed that the EU Delegation in New Delhi is looking at the issue and would come
back with more information.
9.2. Issues related to customs procedures in Russia and in Egypt
complained about difficulties faced by
exporters at the customs in Russia and
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Egypt, due to refusal of EU documents and non-acceptance of preferential documents.
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will provide detailed information in written.
9.3. EU funded project on Market Access Barriers in India
referred to the presentation of the launch of the EU funded project on MA barriers in India
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in the previous MAAC and complained about the fact that
could not send any experts for
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that project as they had already been chosen and the budget for the study was exhausted. *
mentioned that a written note will be addressed to DG Trade.
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FOLLOW-UP ACTIONS:
Malaysia’s Key Barriers list:
and
BU to provide feedback on alcohol taxation, in
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particular on the issue of "likeness".
FOR MEMBER STATES ONLY
10. APPROVAL OF THE DRAFT MINUTES OF THE MAAC MEETING OF 26 MAY 2016 (MAAC
2016-021)
The minutes of the MAAC meeting in May 2016 were distributed on 15 June 2016. Revised
minutes were sent on 16 June following comments from
. The minutes were adopted.
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DG TRADE, Unit G.3
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