Council Decision No 940/2014/EU of 17 December 2014 concerning the dock dues in the French outermost regions

What it is

to authorise France to apply exemptions or reductions to the ‘dock dues’ tax for certain products produced locally in the French outermost regions of Guadeloupe, French Guiana, Martinique, Mayotte and Réunion. ROLE OF THE EUROPEAN PARLIAMENT: the Council adopts the act after consulting the European Parliament but without being obliged to follow its opinion. BACKGROUND: in principle, the provisions of the Treaty, which apply to the outermost regions of the Union, of which the French overseas departments (DOM) form part, do not authorise any difference in taxation between local products and those from metropolitan France or the other Member States. However, Article 349 of the treaty envisages the possibility of introducing special measures for those regions because of the existence of permanent handicaps affecting the economic and social situation of the outermost regions. The 'dock dues' tax is an indirect tax applied to deliveries and exports of goods in the French outermost regions. In principle, it is applied in the same way to products produced locally and those that are not (products of metropolitan France, other Member States or non-member countries). The Committee on Regional Development adopted, in the framework of a special legislative procedure (Parliament’s consultation), the report by Iskra MIHAYLOVA (ADLE, BG) on the proposal for a Council decision concerning the dock dues in the French outermost regions. It recommended the European Parliament to approve, unamended, the Commission proposal. The proposal seeks to continue support for competitiveness and social and economic development. The purpose of the proposal is to establish a new legal framework for the dock dues from 1 January 2015 to 31 December 2020, by determining the products to which tax exemptions and reductions may be applied. The proposal also foresees extending Decision 2004/162/EC by a further six months (until 30 June 2015) in order to give France time to transpose the provisions of the new Council Decision into its national law for the period from 1 January 2015 to 31 December 2020. The European Parliament adopted by 594 votes to 99, with 10 abstentions, in the framework of a special legislative procedure (Parliament’s consultation), a legislative resolution on the proposal for a Council decision concerning the dock dues in the French outermost regions. The proposed Decision aims to authorise France, until 31 December 2020, to apply exemptions or reductions to the dock dues for certain products produced in the outermost regions of Guadeloupe, French Guiana, Martinique, Réunion (excluding Saint Martin). PURPOSE: to establish a legal framework for dock dues from 1st January 2015. LEGISLATIVE ACT: Council Decision 940/2014/EU concerning the dock dues in the French outermost regions. CONTENT: this Decision authorises France to apply, from 31 December 2020, to apply exemptions or reductions to the dock dues for certain products produced in the outermost regions of Guadeloupe, French Guiana, Martinique, Mayotte and Réunion (except for Saint Martin). Those exemptions or reductions must be in keeping with the economic and social development strategy of the…

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