The Protocol to the Stabilization and Association Agreement between the European Community and its Member States on the one hand, and the Republic of Serbia on the other hand, with regard to the accession of Croatia to the European Union (hereinafter referred to as the Protocol) was signed, in Brussels, on June 25, 2014.
According to Article 14 of the Protocol, the date of the provisional application is the first day of the second month following the date of signature. Accordingly, the Protocol shall apply from August 1, 2014. After the adoption of the Law on Ratification of the Protocol in the National Assembly of the Republic of Serbia, it will be published in the Official Gazette of the Republic of Serbia.
This protocol provides additional concessions between Serbia and the EU for agricultural products on the basis of quantities that were traditionally implemented in agricultural trade between the Republic of Serbia and the Republic of Croatia, in the period 2009-2011. Further concessions were agreed through preferential quotas. Import quotas are available to all member states not only Croatia and the export quotas of the Republic of Serbia include the EU as a whole.
Pursuant to the provisions of Article 11 of the Protocol, the amount provided for by the agreed quotas for 2014 is calculated proportionally to the basic annual amount, taking into account the time of year that has elapsed up to the date of application of this Protocol.
Notes on the use of quotas:
– In respect of preferential tariffs agreed in the framework of the Stabilization and Association Agreement (hereinafter referred to as SAA), further concessions within the agreed quota were granted for specific tariff codes under the Protocol. Upon fulfillment of the quota, import continues at preferential tariffs applicable for SAA, and the selection of preferential tariffs for the same preferential position can determined by the importer.
– With regard to tariff code 1005 10 15 and 1005 10 18, due to the change in the numerical designation from the period of signing the SAA to the period of implementation of the Protocol to the SAA, which consists in separating the tariff codes depending on the type of hybrid quota, 270 tons quota practically refers to: ex 1005 10 18 (corn seeds, double-cross hybrids and top-cross hybrids).
– The preferential tariff listed in the quota is applied without any further additions (same principle as in CEFTA and other preferential trade agreements). This means that the import of, for example, 70 tons, which is the quota for certain tariff lines in 0402 “Milk and cream, concentrated or containing added sugar or other sweeteners”, the preferential tariff is only 5%.
– For all preferential import quotas, the principle of “first come, first served” shall be applied, except for the allocation of quotas for cigarettes, for which the Government has adopted a special decision.
For the purpose of application of the Protocol, the Government has adopted the following regulations which shall apply from August 1, 2014:
1 Provision on the harmonization of the customs tariff nomenclature for 2014 (“Official Gazette” no. 73/14),
2 Decision on changes and amendments to the decision on the export of sugar to the European Union (“Official Gazette” no. 77/14),
3 Decision on the import of cigarettes from the European Union at a preferential rate (“Official Gazette” no. 79/14),
4 Decision on amendments to the Decision on determining the agricultural and food products for which special duties are paid on importation, and fixing the amount of the specific duties (“Official Gazette” no. 79/14).
