Drug Precursors
- Document symbol
- G/LIC/N/3/EU/13
- Original language
- English
- Published on
- 19/11/2024
Outline of Systems
Q1. Give a brief description of each licensing system as a whole and, with respect to each, reply to the following questions as relevant, placing all of the material with respect to a given system in sequence together, and using cross references as appropriate when elements which have already been described are also present in another system.
This section provides a description on the EU legislation regulating the imports of drug precursors. Drug precursors are chemicals used in the illicit manufacture of drugs such as cocaine, ecstasy and amphetamines. However, these chemicals have primarily large and varied legitimate uses such as in the production of plastics, pharmaceuticals, cosmetics, perfumes, detergents and aromas. A control and monitoring system has been put in place therefore to avoid their 'diversion' to illegal channels. This system implements article 12 of the 1988 United Nations Convention against Illicit Traffic in Narcotic Drugs and Psychotropic Substance.
Purposes and Coverage of Licensing
Q2. Identify each licensing system maintained and state what products, appropriately grouped, are covered.
The EU legislation provides for licensing and registration of operators and users, the obligation to notify suspicious orders and transactions by operators and import (and export) authorisations.
Q3. The system applies to goods originating in and coming from which countries?
The import licensing requirement applies to any natural or legal person engaged in import of Category 1 substances from all third countries and territories.
Q4. Is the licensing intended to restrict the quantity or value of imports, and if not, what are its purposes? Have alternative methods of accomplishing the purposes been considered and if so which? Why have they not been adopted?
The licensing is not intended to restrict the quantity or value of imports. The approval system aims at monitoring trade and authorization of imports of drug precursors.
Q5. Cite the law, regulation and/or administrative order under which the licensing is maintained. Is the licensing statutorily required? Does the legislation leave designation of products to be subjected to licensing to administrative discretion? Is it possible for the government (or the executive branch) to abolish the system without legislative approval?
The legal basis is:
Council Regulation (EC) No. 111/2005 of 22 December 2004 laying down rules for the monitoring of trade between the Community and third countries in drug precursors (OJ L 22, 26.1.2005, p. 1) and its subsequent amendment. A consolidated version of the Regulation can be consulted at the following address: https://eur-lex.europa.eu/legal-content/DE/TXT/PDF/?uri=CELEX:02005R0111-20240603
Commission Delegated Regulation (EU) No. 2015/1011 of 24 April 2015 supplementing Regulation (EC) No. 273/2004 of the European Parliament and of the Council on drug precursors and Council Regulation (EC) No. 111/2005 laying down rules for the monitoring of trade between the Union and third countries in drug precursors and repealing Commission Regulation (EC) No. 1277/2005 (OJ L 162, 27.6.2015, p. 12) and its subsequent amendment. A consolidated version of the Regulation can be consulted at the following address: https://eur-lex.europa.eu/legal-content/EN/TXT/?qid=1566907099640&uri=CELEX:02015R1011-20150627
Commission Implementing Regulation (EU) No. 2015/1013 of 25 June 2015 laying down rules in respect of Regulation (EC) No. 273/2004 of the European Parliament and of the Council on drug precursors and of Council Regulation (EC) No. 111/2005 laying down rules for the monitoring of trade between the Union and third countries in drug precursors (OJ L 162, 27.6.2015, p. 33): http://eur-lex.europa.eu/legal-content/EN/TXT/?qid=1469794642923&uri=CELEX:32015R1013
An import authorization, as defined in Article 20 of Regulation (EC) No 111/2005, is required. The legislation does not leave designation of products to be subjected to licensing to administrative discretion*.* It is not possible to abolish the system without legislative approval.
Procedures
Q6. For products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally):
Q6.I. Is information published, and where, concerning allocation of quotas and formalities of filing applications for licences? If not, how is it brought to the attention of possible importers? Of governments and export promotion bodies of exporting countries and their trade representatives? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?
Q6.II. How is the size of the quotas determined: on a yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for fresh licence on a six-monthly or quarterly basis?
Q6.III. Are licences allotted for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are the names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate.)
Q6.IV. From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?
Q6.V. What are the minimum and maximum lengths of time for processing applications?
Q6.VI. How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?
Q6.VII. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
Q6.VIII. If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and, if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?
Q6.IX. In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?
Q6.X. In cases where imports are allowed on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?
Q6.XI. Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?
Q7. Where there is no quantitative limit on importation of a product or on imports from a particular country:
Q7.a. How far in advance of importation must application for a licence be made? Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence (for example, owing to inadvertency)?
Import authorisations shall be applied for in sufficient time. The issue of a licence is not automatic. EU Member States competent authorities shall decide on the granting of authorisations within 15 working days from the date of receipt of a complete application.
Q7.b. Can a licence be granted immediately on request?
No. The issue of a licence is not automatic.
Q7.c. Are there any limitations as to the period of the year during which application for licence and/or importation may be made? If so, explain.
No.
Q7.d. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
The issuance of import authorizations is exclusively done by Member States competent authorities.
Q8. Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria? Are the reasons for any refusal given to the applicant? Have applicants a right of appeal in the event of refusal to issue a licence and, if so, to what bodies and under what procedures?
Licensing policy follows closely the provisions and spirit of the 1988 United Nations Convention against Illicit Traffic in Narcotic Drugs and Psychotropic Substances. Failure to meet the criteria specified in the regulation will result in an application being refused. The relevant legislation does not explicitly describe the detailed procedures applicable in case of refusal of an application, but they are in line with the overall administrative practices applicable in the EU. Thus, it is ensured that the reasons for a refusal will be given to the applicant. The applicants have the right of appeal in the event of refusal to issue a licence.
Eligibility of Importers to Apply for Licence
Q9. Are all persons, firms and institutions eligible to apply for licences: (If not, is there a system of registration of persons or firms permitted to engage in importation? What persons or firms are eligible? Is there a registration fee? Is there a published list of authorized importers?) a) under restrictive licensing systems? b) under non-restrictive systems?
Any person holding a valid licence can lodge an application.
Documentational and Other Requirements for Application for Licence
Q10. What information is required in applications? Submit a sample form. What documents is the importer required to supply with the application?
The standard model forms that must be used for the authorization are contained in Commission Implementing Regulation (EU) 2015/1013 of 25 June 2015 laying down rules in respect of Regulation (EC) No 273/2004 of the European Parliament and of the Council on drug precursors and of Council Regulation (EC) No 111/2005 laying down rules for the monitoring of trade between the Union and third countries in drug precursors.
Q11. What documents are required upon actual importation?
An import authorisation as presented it Annex I of the Regulation (EU) No 2015/1013
Q12. Is there any licensing fee or administrative charge? If so, what is the amount of the fee or charge?
Certain EU Member States apply authorization fees. The amount depends on each Member State.
Q13. Is there any deposit or advance payment requirement associated with the issue of licences? If so, state the amount or rate, whether it is refundable, the period of retention and the purpose of the requirement.
Neither a deposit nor an advance payment is required.
Conditions of Licensing
Q14. What is the period of validity of a licence? Can the validity of a licence be extended? How?
The maximum time validity of an import authorisation is six months.
Q15. Is there any penalty for the non-utilization of a licence or a portion of a licence?
No penalty for non-utilization.
Q16. Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?
Not transferable.
Q17. Are any other conditions attached to the issue of a licence? a) for products subject to quantitative restriction? b) for products not subject to quantitative restriction?
Other Procedural Requirements
Q18. Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?
Importers also need a permanent "registration" (defined as a "licence" in the legislation).
Q19. Is foreign exchange automatically provided by the banking authorities for goods to be imported? Is a licence required as a condition to obtaining foreign exchange? Is foreign exchange always available to cover licences issued? What formalities must be fulfilled for obtaining the foreign exchange?
No foreign exchange control.