WORLD TRADE ORGANIZATION

Transcription

1 WORLD TRADE ORGANIZATION Working Party on State Trading Enterprises G/STR/N/10/COL 8 June 2007 ( ) Original: Spanish STATE TRADING New and Full Notification Pursuant to Article XVII.4(a) of the GATT 1994 and Paragraph 1 of the Understanding on the Interpretation of Article XVII COLOMBIA The following communication, dated 23 May 2007, is being circulated at the request of the delegation of Colombia.

2 Page 2 STATE TRADING I. ENUMERATION OF STATE TRADING ENTERPRISES A. IDENTIFICATION OF STATE TRADING ENTERPRISES 1 Fábrica de Licores y Alcoholes de Antioquia 2, Industria Licorera de Bolívar 3, Industria Licorera de Boyacá 3, Industria Licorera de Caldas 4, Industria Licorera del Cauca 4, Empresa de Licores de Cundinamarca 4, Empresa Licorera del Chocó 4, Industria Licorera del Huila 3, Empresa Licorera del Magdalena 3, Fábrica de Licores del Tolima 4, Industria de Licores del Valle 4, Unidad de Licores del Meta 2, Empresa Licorera de Santander 3, Empresa de Licores del Caquetá 4 and Aguardiente Nariño. 2 B. DESCRIPTION OF PRODUCTS AFFECTED (INCLUDING TARIFF ITEM NUMBER(S) ENCOMPASSED IN PRODUCT DESCRIPTION) FÁBRICA DE LICORES Y ALCOHOLES DE ANTIOQUIA Aguardiente Antioqueño (aguardiente or sugar-cane liquor) Ron Medellín Añejo (aged rum) INDUSTRIA LICORERA DE BOLIVAR Licor Tres Esquinas (rum) INDUSTRIA LICORERA DE BOYACA Aguardiente Onix Aguardiente Líder Ron Boyacá (rum) Ron Tunja (rum) Not all Colombian distillers operate as or are constituted as State industrial and trading enterprises. Some form an integral part of the department or are under concession. 2 Distillery attached to the department. 3 Concessionaire enterprise. 4 State industrial and trading enterprise.

3 Page 3 INDUSTRIA LICORERA DE CALDAS Aguardiente Cristal Aguardiente Amarillo de Manzanares (yellow aguardiente) Aguardiente Cristal sin Azúcar (sugar-free aguardiente) Ron Viejo de Caldas (aged rum) Ron Extraviejo Juan de la Cruz (extra-aged rum) Ron Joven de Caldas (young rum) INDUSTRIA LICORERA DEL CAUCA Aguardiente Caucano Ron Añejo del Cauca (aged rum) EMPRESA DE LICORES DE CUNDINAMARCA Aguardiente Néctar Azul Aguardiente Néctar Tradicional Licor Anisado Néctar Club sin azúcar (sugar-free anise-flavoured liqueur) Ron Blanco Sun Dry (white rum) Ron Santafé (rum) EMPRESA LICORERA DEL CHOCÓ Aguardiente Platino Aguardiente Platino Deluxe sin Azúcar (sugar-free aguardiente) Ron Añejo Citará (aged rum) INDUSTRIA LICORERA DEL HUILA Aguardiente Doble Anís (anise-flavoured aguardiente) Ron San Agustín (rum)

4 Page 4 EMPRESA LICORERA DEL MAGDALENA Ron Caña Negro (sugar-cane rum) FÁBRICA DE LICORES DEL TOLIMA Aguardiente Tapa Roja Licor de Aguardiente Tapa Roja Ice (low-alcohol aguardiente) Ron Viejo San Juan (aged rum) INDUSTRIA DE LICORES DEL VALLE DEL CAUCA Aguardiente Blanco del Valle (white aguardiente) Ron Trapiche Premium (premium rum) The objective of Industria de Licores del Valle is to produce and market alcohol, spirits and beverages in order to transfer significant resources to the department of Cauca Valley for the benefit and support of health, education, sports, culture and recreation. UNIDAD DE LICORES DEL META Aguardiente Llanero Ron San Martín Añejo (aged rum) EMPRESA LICORERA DE SANTANDER Aguardiente Santander EMPRESA DE LICORES DEL CAQUETA Aguardiente Extra del Caquetá (premium aguardiente) Aguardiente Sol Dorado AGUARDIENTE NARIÑO Aguardiente Nariño

5 Page 5 II. REASON AND PURPOSE A. REASON OR PURPOSE FOR ESTABLISHING AND/OR MAINTAINING STATE TRADING ENTERPRISE Colombian distilleries represent a significant source of income for the departmental tax authorities which ensure the sustainability of health services in many regions of the country. Furthermore, the distilleries' profits are transferred to the departments, in some cases in their entirety. In short, the reasons for the existence of the distilleries are as follows: 1. Ease of administration and monitoring of tax payments. 2. Profits go to the departments, not to a private entity. 3. Resources are invested in deprived areas of the country. 4. Departmental distilleries are subject to an additional tax which private enterprises would not be prepared to pay. 5. Job creation. 6. Taxes generated of approximately 1,096 billion Colombian pesos. B. SUMMARY OF LEGAL BASIS FOR GRANTING THE RELEVANT EXCLUSIVE OR SPECIAL RIGHTS OR PRIVILEGES, INCLUDING LEGAL PROVISIONS AND SUMMARY OF STATUTORY OR CONSTITUTIONAL POWERS Under Article 336 of the Political Constitution of Colombia, Article 61 of Law No. 14 of 1983 and Decree No of 1986 and Law No. 788 of 2002, the departments, i.e. the territorial divisions of the country, are independent administrators of the spirits monopoly, with discretion to allocate revenue on the basis of preferential allocation to the education and health services. III. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE The departmental distilleries produce, export and import alcoholic beverages. Individual traders may engage in export and import activities after concluding a contractual agreement with the department concerned. The agreement includes clauses concerning the term of validity and the quantity of spirits that may be distributed, as well as the department's percentage share under the monopoly of the sale of the products. IV. STATISTICAL INFORMATION TABLE I Structure of the Colombian domestic and imported spirits market TABLES II Sales of rum and of aguardiente on the domestic market TABLE III Industria Licorera de Caldas. Exports TABLE IV Fábrica de Licores y Alcoholes de Antioquia. Exports

6 Page 6 TABLE V Empresa de Licores de Cundinamarca. Exports TABLE VI Industria Licorera del Valle. Exports TABLE VII Fábrica de Licores y Alcoholes de Antioquia. Imports 2003 to September TABLE VIII Empresa de Licores de Cundinamarca. Imports 2003 to September TABLE IX Industria Licorera del Valle. Imports 2003 to September 2006.

7 Page 7 TABLE I STRUCTURE OF THE COLOMBIAN SPIRITS MARKET Millions of 750 cc. units PRODUCT WHISKY VODKA GIN BRANDY-COGNAC IMPORTED RUM TEQUILA MISC. SPIRITS AGUARDIENTE DOMESTIC RUM TOTAL SPIRITS Note: Source: Excludes data relating to the informal market and products not considered as distilled spirits pursuant to Decree No. 365/95. Data from the Fondo-Cuenta (account fund for taxes on the consumption of foreign products) and the Asociación Colombiana de Industrias Licoreras, ACIL (Colombian Distillers' Association).

8 Page 8 TABLE II SALES OF RUM ON THE DOMESTIC MARKET Millions of 750 cc. units Description of product DISTILLERY (including HS number) ANTIOQUIA CALDAS CUNDINAMARCA VALLE BOYACA CAQUETA - - HUILA MAGDALENA META /RUM NARIÑO NORTE DE SANTANDER - - PUTUMAYO SANTANDER - - TOLIMA CAUCA CONSORCIO S.M CHOCO TOTAL Source: Calculations: Colombian Distillers' Association (Asociación Colombiana de Industrias Licoreras, ACIL). Ministry of Commerce, Industry and Tourism.

9 Page 9 TABLE II (Cont'd) SALES OF AGUARDIENTE ON THE DOMESTIC MARKET Millions of 750 cc. units Description of product (including HS number) / AGUARDIENTE DISTILLERY ANTIOQUIA CALDAS CUNDINAMARCA META TOLIMA VALLE CAUCA BOYACA CAQUETA HUILA SANTANDER NARIÑO NORTE DE SANTANDER MAGDALENA CHOCO PUTUMAYO TOTAL Source: Calculations: Colombian Distillers' Association (Asociación Colombiana de Industrias Licoreras, ACIL). Ministry of Commerce, Industry and Tourism.

10 Page 10 TABLE III STATISTICAL INFORMATION ON AGUARDIENTE AND RUM EXPORTS STATE TRADING: INDUSTRIA LICORERA DE CALDAS Millions of 750 cc. units Description of product(s) (including HS number(s)) Quantity exported by State trading enterprise procurement US$ (1) representative domestic sales US$ (1) export US$ National production Source: Colombian Distillers' Association (Asociación Colombiana de Industrias Licoreras, ACIL). (1) Domestic (Colombian pesos) annual exchange rate Banco de la República. Calculations: Ministry of Commerce, Industry and Tourism.

11 Page 11 TABLE IV STATISTICAL INFORMATION ON AGUARDIENTE AND RUM EXPORTS STATE TRADING: FÁBRICA DE LICORES DE ANTIOQUIA Millions of 750 cc. units Description of product(s) (including HS number(s)) Quantity exported by State trading enterprise procurement US$ (1) representative domestic sales US$ (1) export US$ National production Source: Colombian Distillers' Association (Asociación Colombiana de Industrias Licorera, ACIL) (1) Domestic (Colombian pesos)/ annual exchange rate Banco de la República Calculations: Ministry of Commerce, Industry and Tourism.

12 Page 12 TABLE V STATISTICAL INFORMATION ON AGUARDIENTE EXPORTS STATE TRADING: EMPRESA DE LICORES DE CUNDINAMARCA Millions of 750 cc. units Description of product(s) (including HS number(s)) Quantity exported by State trading enterprise procurement US$ (1) representative domestic sales US$ (1) export US$ National production Source: Colombian Distillers' Association (Asociación Colombiana de Industrias Licoreras, ACIL). (1) Domestic (Colombian pesos)/ annual exchange rate Banco de la República. Calculations: Ministry of Commerce, Industry and Tourism.

13 Page 13 TABLE VI STATISTICAL INFORMATION ON AGUARDIENTE EXPORTS STATE TRADING: INDUSTRIA LICORERA DEL VALLE Millions of 750 cc. units Description of product(s) (including HS number(s)) Quantity exported by State trading enterprise procurement US$ (1) representative domestic sales US$ (1) export US$ National production (*) Source: Colombian Distillers' Association (Asociación Colombiana de Industrias Licoreras, ACIL). (*) Industria Licorera del Valle exported both aguardiente and rum in 2002; in subsequent years it exported only aguardiente. (1) Domestic (Colombian pesos)/ annual exchange rate - Banco de la República. Calculations: Ministry of Commerce, Industry and Tourism.

14 Page 14 TABLE VII FÁBRICA DE LICORES Y ALCOHOLES DE ANTIOQUIA IMPORTS SEPTEMBER 2006 LITRES Description of product(s) (including HS number(s)) Quantity imported (millions of litres) f.o.b. value (US$ million) import Source: Import declarations, Information Systems Office,,Ministry of Commerce, Industry and Tourism.

15 Page 15 TABLE VIII EMPRESA DE LICORES DE CUNDINAMARCA IMPORTS 2003 SEPTEMBER 2006 LITRES Description of product(s) (including HS number(s)) Quantity imported (millions of litres) f.o.b. value (US$ million) import Source: Import declarations, Information Systems Office, Ministry of Commerce, Industry and Tourism.

16 Page 16 TABLE IX INDUSTRIA DE LICORES DEL VALLE IMPORTS 2003 SEPTEMBER 2006 LITRES Description of product(s) (including HS number(s)) Quantity imported (millions of litres) f.o.b. value (US$ million) import Note: No information available for Source: Import declarations, Information Systems Office, Ministry of Commerce, Industry and Tourism.