21.11.2006 Official Journal of the European Union L 321/11 COMMISSION REGULATION (EC) No 1713/2006 of 20 November 2006 abolishing the prefinancing of export refunds in respect of agricultural products THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, Having regard to Council Regulation (EC) No 1254/1999 of 17 May 1999 on the common organisation of the market in beef and veal (1), and in particular Article 33 thereof, and the corre- sponding provisions of the other Regulations on the common organisation of the market in respect of agricultural products, Having regard to Council Regulation (EC) No 3448/93 of 6 December 1993 laying down the trade arrangements applicable to certain goods resulting from the processing of agricultural products (%), and in particular the first subparagraph of Article 8(3) thereof, Whereas: (1) At the time of the introduction of the system of pre- financing of export refunds, it was considered necessary to follow the principle whereby a balance was ensured between the use of Community basic products with a view to exporting processed products to third countries and the use of basic products from such countries admitted under inward processing arrangements. To this end an amount equal to the export refund was to be paid as soon as the Community basic products, from which processed products or goods intended for export would be obtained, were placed under customs control. (2) At that time it was also considered necessary to provide for the possibility that when products covered by a common market organisation and imported from third countries could, under certain conditions, be brought under a customs warchousing or a free zone procedure, whereby collection of the import duties was suspended, to introduce a provision made for payment of (") OJ L 160, 26.6.1999, p. 21. Regulation as last amended by Regu- lation (EC) No 1913/2005 (O] L 307, 25.11.2005, p. 2). (®» OJ L 318, 20.12.1993, p. 18 Regulation as last amended by Regu- lation (EC) No 2580/2000 (O] L 298, 25.11.2000, p. 5). an amount equal to the export refund as soon as Community products or goods intended for export were brought under such a procedure. (3)  The prefinancing system has since evolved from its initial intention of putting Community goods on an equal price footing with cheaper non-Community goods temporarily imported under the Inward Processing Relief arrangements, into a complex system with different aims whereby the reasons for the introduction of pre- financing are not the prime reasons for its current use. (4 The system of prefinancing is now used primarily to increase control on beef exports, while the need for increased controls, in itself, is not sufficient justification for payment of refunds in advance under the pre- financing arrangements. It is considered not to be appro- priate to use the prefinancing arrangements to achieve these other aims. (5)  The situation in the agricultural product markets concerned has changed; as a consequence there is no continued economic justification to continue the system of prefinancing export refunds. (6)  Commission Regulations (EEC) No 32/82 of 7 January 1982 laying down the conditions for granting special export refunds for beef and veal (3), (EEC) No 1964/82 of 20 July 1982 laying down the conditions for granting special export refunds on certain cuts of boned meat of bovine animals (¥, (EEC) No 2220/85 of 22 July 1985 laying down common detailed rules for the application of the system of securities for agricultural products (°), (EEC) No 2723/87 of 10 September 1987 laying down special detailed rules for the application of the system of export refunds on cereals exported in the form of pasta products falling within heading No 19.03 of the Common Customs Tariff (), (EC) No 3122/94 of 20 December 1994 laying down criteria for risk analysis () OJ L 4, 8.1.1982, p. 11. Regulation as last amended by Regulation (EC) No 744/2000 (OJ L 89, 11.4.2000, p. 3). () OJ L 212, 21.7.1982, p. 48. Regulation as last amended by Regu- lation (EC) No 2772/2000 (O] L 321, 19.12.2000, p. 35). (®) OJ L 205, 3.8.1985, p. 5. Regulation as last amended by Regulation (EC) No 673/2004 (OJ L 105, 14.4.2004, p. 17). (©) OJ L 261, 11.9.1987, p. 11. Regulation as last amended by Regu- lation (EC) No 1054/95 (O] L 107, 12.5.1995, p. 5).