Community law: application to the Canary Islands (amend. Regulation (EEC) No 1911/91)

PURPOSE : to suspend the phasing-out of tax on certain sensitive products in the Canary Islands until 30.06.2000. COMMUNITY MEASURE : Council Regulation 2674/1999/EC amending Regulation 1911/91/EEC on the application of the provisions of Community law to the Canary Islands. CONTENT : this Regulation aims to suspend the phasing-out of the APIM ('arbitrio sobre la produccion y sobre las importaciones' - a temporary tax intended to enable local production to adjust to the requirements of the single market through a system of exemptions from the common customs tariff) for a very limited number of sensitive products until 30.06.2000. The APIM Regulation (1911/91/EEC) provides that the Spanish authorities gradually reduce this tax until it is finally phased out on 31.12.2000. However, the impact on certain sectors of phasing-out this tax (e.g.: the complete disappearance of jobs in the textile industry) has encouraged the Spanish authorities to ask for an extension of the APIM for certain products. The delay in the phasing-out of the tax will essentially affect products from the following sectors : miscellaneous foodstuffs ; tobacco ; chemicals ; paper ; textiles ; metalworking industries and other manufactured goods. It is worth noting that the Commission will examine, before 31.12.2000, the impact of suspending the phasing out of the tax on the sectors concerned and will, if necessary, present to the Council a proposal concerning the measures to be taken under the Treaty to avoid jeopardising the existence of certain local production activities that are particularly vulnerable, whilst still ultimately achieving the objective of eliminating the tax. ENTRY INTO FORCE : 18.12.1999.�