Council Decision No 378/2014/EU of 12 June 2014

What it is

to extend for a period of six months the current arrangements on dock dues in the French overseas departments. ROLE OF THE EUROPEAN PARLIAMENT: the Council adopts the act after consulting the European Parliament but without being obliged to follow its opinion. BACKGROUND : Council Decision 2004/162/EC (as amended by Council Decisions 2008/439/EC and 448/2011/EU), authorised France, until 1 July 2014, to apply exemptions or reductions to the ‘dock dues’ tax for certain products produced in the French outermost regions (excluding Saint Martin). The Annex to that Decision contains a list of the products to which tax exemptions and reductions may be applied. The difference between the taxation of locally manufactured products and that of other products may not exceed 10, 20 or 30 percentage points, depending on the product. The French authorities believe that the handicaps suffered by the French outermost regions persist and asked the Commission that a system of differentiated taxation similar to the current system be maintained after 1 July 2014 until 31 December 2020. The Committee on Regional Development adopted, in the framework of a special legislative procedure (Parliament consultation), the report by Danuta Maria HÜBNER (EPP, PL) on the proposal for a Council decision amending the period of application of Council Decision 2004/162/EC concerning the dock dues in the French overseas departments. Council Decision 2004/162/EC of 10 February 2004 (as amended by Council Decisions 2008/439/EC of 9 June 2008 and 448/2011/EU of 19 July 2011), authorises France, until 1 July 2014, to apply exemptions or reductions to the ‘dock dues’ tax for a number of products produced in the French outermost regions (excluding Saint Martin). France requested that a system of differentiated taxation similar to the current system be maintained until 31 December 2020. However, the Commission considered that the analysis of the lists of products to which France wishes to apply a differentiated taxation system is a lengthy process, which cannot be completed before the expiry of Decision 2004/162/EC, i.e., 1 July 2014. Therefore, the Commission proposed that Decision 2004/162/EC should be extended for an additional period of six months in order to allow the Commission to complete its analysis and present a balanced proposal taking account of the various interests at stake. Considering that this measure is justifiable and aims to continue to stimulate economic activity and competitiveness in an outermost region, the committee proposed that this proposal be adopted without amendment. The European Parliament adopted by 591 votes to 57, with 22 abstentions, in the framework of a special legislative procedure (Parliament’s consultation), a legislative resolution on the proposal for a Council decision amending the period of application of Council Decision 2004/162/EC concerning the dock dues in the French overseas departments. Following its Committee on Regional Development, Parliament approved the Commission proposal which aims to extend by six months the current system of dock dues in the French overseas departments. LEGISLATIVE ACT: Council Decision No…

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