L211/16 Official Journal of the European Communities 7.8.2002 COMMISSION DECISION of 29 July 2002 derogating from Council Decision 2001/822/EC as regards the rules of origin for fishery products from the Falkland Islands (notified under document number C(2002) 2865) (2002/644[EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, Having regard to Council Decision 2001/822/EC of 27 November 2001 on the association of the overseas countries and territories with the European Community ('), and in partic- ular Article 37 of Annex III thereto, Whereas: On 16 April 2002, the United Kingdom submitted a request for a derogation under Article 37 of Annex III to Decision 2001/822/EC from the rule of origin laid down in Article 3(2)(d) of that Annex, which requires, in case of fishery products taken from the sea outside the rele- vant territorial waters by vessels and factory ships from the overseas countries and territories, hereinafter referred to as ‘OCT’, that at least 50 % of the crew, master and officers included, must be OCT, Member State or ACP nationals. The request for a derogation concerned four different categories of fishery products, to be exported from the Falkland Islands over a period of five years, namely, an annual quantity of 10 320 tonnes of various species of frozen fish, 7 100 tonnes of various species of frozen fish fillets, 57 800 tonnes of frozen Loligo squid and 47 200 tonnes of frozen Illex squid. The United Kingdom based its request on the fact that for frozen fish, frozen fish fillets and Loligo squid, it is becoming increasingly difficult for the Falkland Islands to recruit crews for their fishing vessels and factory ships from the OCT, the Community or the ACP States. As regards Illex squid, the United Kingdom indicates that not all specific fishing expertise required is currently available from crew from the OCT, the Community or the ACP States. The lack of crew from the OCT, the Community or the ACP States, stems in particular from the specific geographical situation of the Falkland Islands and cannot be remedied by increasing the presence of Community fishing fleets in the Falkland area. () O] L 314, 30.11.2001, p. 1. (4) As regards frozen fish and frozen fish fillets, the requested derogation is justified under Annex IIl to Decision 2001/822/EC and, specifically, under Article 37(1) thereof, and would not cause serious injury to an established Community industry, provided that the rele- vant fish species are clearly specified, that at least 25 % of the crew are OCT, Member State or ACP nationals, and that certain conditions relating to quantities, surveil- lance and duration are respected. As regards Loligo squid, the requested derogation is justi- fied under Annex Il to Decision 2001/822/EC and, specifically, under Article 37(1) thereof, and, limited in quantities, would not cause serious injury to an estab- lished Community industry, provided that at least 25 % of the crew are OCT, Member State or ACP nationals. However, certain conditions relating to quantities, surveillance and duration should be respected. As regards frozen Illex squid, the requested derogation is justified under Annex III to Decision 2001/822/EC and, specifically, under Article 37(1) thereof, and should allow the Falkland Islands to build up progressively the capacity and specific expertise required for this type of fishing. The derogation, limited in quantities, would not cause serious injury to an established Community industry, provided that certain conditions relating to quantities, surveillance and duration were respected. Granting a derogation would also contribute to support and possibly deepen the long-standing cooperation and joint ventures between Falkland and Community compa- nies, with a positive effect on economic activities and employment in both regions. A derogation should be granted with due regard to specific problems, which the Falkland Islands are facing at this juncture, so as to enable the Falkland Islands to satisfy as far as possible all rules of origin laid down in Article 3(2) of Annex III to Decision 2001/822/EC by stages. The current legal framework of the Falkland Islands maritime registry and its monitoring by the concerned authorities prevent the risk of unfair competition prac- tices associated with flags of convenience which might cause a prejudice to a Community industry.