LDC

Lon

don

Suga

r G

roup

EPA-EBA SugarEPA-EBA SugarPresentation prepared for the Meeting of LDC Ambassadors on LDC EBA Sugar to be held at ACP House on 26th June 2009.

LDC

Lon

don

Suga

r G

roup

Commission proposal for EPA-EBA sugar Commission proposal for EPA-EBA sugar implementing regulationimplementing regulation

Third draft proposed on 14th May 2009.

A new draft is expected soon.

Implementing rules to cover both EPA and EBA sugar, both raws for refining and direct consumption sugar.

Implementing rules have been discussed with the ACP Sugar Consultative Group.

LDC

Lon

don

Suga

r G

roup

Summary of Commission proposalsSummary of Commission proposals

Detailed rules on the management of export and import licences.

Detailed rules on management of Transitional Safeguard Mechanism for non-LDC sugar.

Detailed rules on Full-time Refiners’ Regime. Pledge to pay EPA-EBA minimum sugar price

CIF EU ports (90% of reference price). Information exchange.

LDC

Lon

don

Suga

r G

roup

EU import and EPA-EBA export EU import and EPA-EBA export licences for preferential sugarlicences for preferential sugar Application procedures Validity of import licences Tolerances Loss of licences Force majeure Transfer of licences Payment and release of

securities

It is important for LDC authorities to maintain effective control of export licences, EUR-1 and “Form A” certificates, etc.

LDC

Lon

don

Suga

r G

roup

Annex I (proposed)Annex I (proposed)Region Third country Order

numberCN Code Regional

Safeguard Threshold

2009/10

Regional Safeguard Threshold

2010/11

Regional Safeguard Threshold

2011/15NON-ACP-LDC Bangladesh, Cambodia, Laos,

Nepal.09.4221 1701 no limit no limit no limit

ACP-LDC Benin, Congo DRC, Ethiopia, Madagascar, Malawi,

Mozambique, Senegal, Sierra Leone, Sudan, Tanzania, Togo,

Zambia.

09.4231 1701 no limit no limit no limit

CEMAC-NON-LDC Congo (Brazza). 09.4241 1701 10,186.1 10,186.1 10,186.1 ECOWAS-NON-LDC Côte d'Ivoire. 09.4242 1701 10,186.1 10,186.1 10,186.1

SADC-NON-LDC Swaziland. 09.4243 1701 166,081.2 174,631.9 192,954.5 EAC-NON-LDC Kenya. 09.4244 1701 12,907.9 13,572.4 14,996.5 ESA-NON-LDC Mauritius, Zimbabwe. 09.4245 1701 544,711.6 572,755.9 632,850.9

PACIFIC-NON-LDC Fiji. 09.4246 1701 181,570.5 190,918.6 210,950.3 CARIFORUM-NON-LDC Barbados, Belize, Dominican

Republic, Guyana, Jamaica, Trinidad and Tobago.

09.4247 1701 454,356.6 477,749.0 527,875.6

• LDC Ambassadors are invited to submit a list of countries likely to be exporting sugar to the EU as from 1st October 2009.

• The list as proposed above was based on those countries which exported sugar to the EU this year and last year (2007/08 and 08/09).

• Important to note that this list can be amended at very short notice should any country not listed wish to export.

• Such a list would be an anti-fraud measure.

LDC

Lon

don

Suga

r G

roup

Transitional Safeguard MechanismTransitional Safeguard Mechanism

Does not apply to LDCs – only applies to ACP non-LDCs.

If total imports exceed 3.5 million tonnes and non-LDC imports exceed 1.6 million tonnes, then non-LDC imports are stopped for the remainder of the EU marketing year.

LDC

Lon

don

Suga

r G

roup

Transitional Safeguard MechanismTransitional Safeguard Mechanism

LDC imports will be monitored against the 25% safeguard provision.

EU sugar refiners’ regimeEU sugar refiners’ regimeFu

ll-tim

e re

finer

Non

-full-

time

refin

er

LDC

Lon

don

Suga

r G

roup

EU import licence validity (proposed)EU import licence validity (proposed)

Import licence validity

Sugar for refining (licences issued between 1st October and 31st December (*))

Sugar for refining (licences issued between 1st January and 30th September)

Sugar not for refining

EPA-EBA From date of issue until the end of the marketing year

Current month plus three

Current month plus three

Other TRQs From date of issue until the end of the marketing year

From date of issue until the end of the marketing year

Current month plus three

(*) Or the date on which applications for sugar for refining licences exceed the TSN.

LDC

Lon

don

Suga

r G

roup

Information exchangeInformation exchange

Information on sugar production, exports and consumption requested by the Commission.

Envisaged that the EPA-EBA London Sugar Group will provide this information.

LDC

Lon

don

Suga

r G

roup

Commission forecast of EU sugar Commission forecast of EU sugar balance in 2009/10balance in 2009/10

LDC

Lon

don

Suga

r G

roup

Commission forecast of new sugar Commission forecast of new sugar trade flowstrade flows

LDC

Lon

don

Suga

r G

roup

EU sugar price monitoringEU sugar price monitoring

LDC

Lon

don

Suga

r G

roup

Thank you!Thank you!

Any questions?