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I Information

Commission

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COMMUNITY GUIDELINES FOR STATE AID IN THE AGRICULTURE AND FORESTRY SECTOR 2007 TO 2013

(2006/C 319/01)

I.   INTRODUCTION

II.   SCOPE AND DEFINITIONS

III.   GENERAL PRINCIPLES

IV.   RURAL DEVELOPMENT MEASURES

IV.A.   Aids for Investment in Agricultural Holdings

IV.A.1.   Analysis

IV.A.2.   Policy on investment aid in agricultural holdings

IV.B.   Aids for investments in connection with the processing and marketing of agricultural products

IV.B.1.   Analysis

IV.B.2.   Policy on aid to companies active in the processing and marketing of agricultural products

IV.C.   Environmental and animal welfare aid

IV.C.1.   General Principles

IV.C.2.   Aid for Agri-environmental or animal welfare commitments

IV.C.2.a.   Analysis

IV.C.2.b.   Policy on aid for agri-environmental and animal welfare commitments

IV.C.3.   Natura 2 000 payments and payments linked to directive 2000/60/ec

IV.C.3.a.   Analysis

IV.C.3.b.   Policy

IV.C.4.   Other aid in favour of environmental protection

IV.D.   Aid to Compensate for Handicaps in certain areas

IV.D.1.   Analysis

IV.D.2.   Policy

IV.E.   Aid for meeting standards

IV.E.1.   Analysis

IV.E.2.   Policy

IV.F.   Aid for the setting up of young farmers

IV.F.1.   Analysis

IV.F.2.   Policy

IV.G.   Aid for Early Retirement or for the cessation of farming activities

IV.G.1.   Analysis

IV.G.2.   Policy

IV.H.   Aid for Producer Groups

IV.H.1.   Analysis

IV.H.2.   Policy

IV.I.   Aid for land reparcelling

IV.I.1.   Analysis

IV.I.2.   Policy

IV.J.   Aid to encourage the production and marketing of quality agricultural products

IV.J.1.   Analysis

IV.J.2.   Policy

IV.K.   Provision of technical support in the agricultural sector

IV.K.1.   Analysis

IV.K.2.   Policy

IV.L   Aids in the livestock sector

IV.L.1.   Analysis

IV.L.2.   Policy

IV.M.   Aids for the outermost regions and the aegean islands

IV.M.1.   Analysis

IV.M.2.   Policy

V.   RISK AND CRISIS MANAGEMENT

V.A.   General

V.B.   Aids to Compensate for Damage to Agricultural production or the Means of Agricultural Production

V.B.1.   General

V.B.2.   Aid to make good the damage caused by natural disasters or exceptional occurrences

V.B.3.   Aid to compensate farmers for losses caused by adverse weather conditions

V.B.3.1.   Analysis

V.B.3.2.   Policy

V.B.4.   Aid for combating animal and plant diseases

V.B.4.1.   Analysis

V.B.4.2.   Policy

V.B.5.   Aid towards the payment of insurance premia

V.B.5.1.   Analysis

V.B.5.2.   Policy

V.C.   Aid for Closing Production, Processing and Marketing Capacity

V.C.1.   Analysis

V.C.2.   Policy

V.D.   Aid for Rescue and restructuring firms in difficulty

VI.   OTHER TYPES OF AID

VI.A.   Aids for Employment

VI.A.1.   Analysis

VI.A.2.   Policy

VI.B.   Aid for Research and Development

VI.C.   Horizontal aid instruments applicable to the Agriculture sector

VI.D.   Aid for Advertising of Agricultural Products

VI.D.1.   Analysis

VI.D.2.   Policy

VI.E.   Aid in the form of Subsidised Short-term loans

VI.E.1.   Analysis

VI.E.2.   Policy

VI.F.   Aids linked to tax exemptions under directive 2003/96/EC

VI.F.1   Analysis

VI.F.2   Policy

VII.   AIDS FOR THE FOREST SECTOR

VII.A.   Introduction

VII.B.   Analysis

VII.C.   Policy concerning forestry

VIII.   PROCEDURAL MATTERS

VIII.A.   Notification

VIII.B.   Duration of schemes

VIII.C.   Annual reports

VIII.D.   Application to new aids

VIII.E   Existing State aid measures in acordance with 2003 act of accession

VIII.F.   Proposals for appropriate measures

VIII.G.   Expiry

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(1)OJ L 270, 21.10.2003, p. 1. Regulation as last amended by Regulation (EC) No 1405/2006 (OJ L 265, 26.9.2006, p. 1).

(2)OJ L 277 21.10.2005, p. 1. Regulation as amended by Regulation (EC) No 1463/2006 (OJ L 277, 9.10.2006, p. 1).

(3)  State aids in the fisheries and aquaculture sector are examined within the framework of the Guidelines for the examination of State aids to fisheries and aquaculture (OJ C 229, 14.9.2004, p. 5) and Council Regulation (EC) No 2369/2002 of 20 December 2002 amending Regulation (EC) No 2792/1999 laying down the detailed rules and arrangements regarding Community structural assistance in the fisheries (OJ L 358, 31.12.2002, p. 49).

(4)  For the purpose of these provisions, products to imitate or substitute for milk and/or milk products means products which could be confused with milk and/or milk products but whose composition differs from such products in that they contain fat and/or protein of non-milk origin with o without protein derived from milk (‘Products other than milk products’ as referred to in Article 3(2) of Council Regulation (EEC) No 1898/87 on the protection of designations used in the marketing of milk and milk products (OJ L 182, 3.7.1987, p. 36.)).

(5)OJ L 17, 21.1.2000, p. 22. Regulation as amended by the 2003 Act of Accession.

(6)  Guidelines on national regional aid for 2007-2013 (OJ C 54, 4.3.2006, p. 13), Commission Regulation (EC) No 70/2001 of 12 January 2001 on the application of Articles 87 and 88 of the EC Treaty to State aid to small and medium-sized enterprises (OJ L 10, 13.1.2001, p 33), Commission Regulation (EC) No 69/2001 of 12 January 2001 on the application of Articles 87 and 88 of the EC Treaty to de minimis (OJ L 10, 13.1.2001, p. 30). Regulation as last amended by Regulation (EC) No 1040/2006 (OJ L 187, 8.7.2006, p. 8).

(7)OJ L 10, 13.1.2001, p. 33. Regulation as last amended by Regulation (EC) No 1857/2006 (OJ L 358, 16.12.2006, p. 3)

(8)  Judgement of the European Court of Justice in Case 177/78 Pigs and Bacon Commission v. McCarren [1979] ECR 2161.

(9)OJ L 10, 13.1.2001, p. 30.

(10)OJ L 302, 1.11.2006, p. 29.

(11)OJ C 54, 4.3.2006, p. 13.

(12)OJ L 214, 4.8.2006, p. 7.

(13)OJ L 184, 27.7.1993, p. 1. Regulation as last amended by Regulation (EC) No 1782/2003 (OJ L 270, 21.10.2003, p. 1).

(14)OJ L 375, 31.12.1991, p. 1. Directive as amended by Regulation (EC) No 1882/2003 of the European Parliament and of the Council (OJ L 284, 31.10.2003, p. 1).

(15)OJ L 124, 20.5.2003, p. 36.

(16)OJ C 70, 19.3.2002, p. 8.

(17)OJ C 229, 14.9.2004, p. 5.

(18)OJ C 232, 12.8.2000, p. 19.

(19)OJ C 37, 3.2.2001, p. 3.

(20)OJ L 103, 25.4.1979, p. 1.

(21)OJ L 206, 22.7.1992, p. 7.

(22)OJ L 327, 22.12.2000, p. 1. Directive as amended by Decision No 2455/2001/EC of the European Parlament and of the Council (OJ L 331, 15.12.2001, p. 1).

(23)OJ L 160, 26.6.1999, p. 80. Regulation as last amended by Regulation (EC) No 1698/2005 (OJ L 271, 21.10.2005, p. 1).

(24)OJ L 270, 21.10.2003, p. 70

(25)OJ L 42, 14.2.2006, p. 1.

(26)OJ L 224, 18.8.1990, p. 19. Decision as last amended by Decision 2006/782/EC (OJ L 328, 24.11.2006, p. 57).

(27)  COM(2005) 74.

(28)  Council document 11120/05 of 15 September 2005.

(29)  Commission Regulation (EC) No 1860/2004 of 6 October 2004 on the application of Articles 87 and 88 of the EC Treaty to de minimis aid in the agriculture and fisheries sectors (OJ L 325, 28.10.2004, p. 4).

(30)  See judgment of 11 November 2004 in Case C-73/03 Spain v Commission, paragraph 37; Judgement of 23 February 2006 in Case C-346/03 and C-529/03 Giuseppe Atzeni and others, paragraph 79.

(31)  In cases where animal or plant diseases have been shown to result from adverse weather conditions, the Commission will evaluate the aid measure in accordance with the provisions of sub-chapter V.B.3 above and these requirements will not apply.

(32)  Article 174(2) EC. As far as State aid is concerned, see in particular section 5 of the ‘Community guidelines for State aid in the agriculture sector’, and the ‘Community guidelines on State aid for environmental protection’ (OJ C 37, 3.2.2001, p. 3).

(33)OJ L 147, 31.5.2001, p. 1. Regulation as last amended by Commission Regulation (EC) No 1041/2006 (OJ L 187, 8.7.2006, p. 10).

(34)OJ L 273, 10.10.2002, p. 1. Regulation as last amended by Commission Regulation (EC) No 208/2006 (OJ L 36, 8.2.2006, p. 25).

(35)OJ L 257, 10.10.1996, p. 26. Directive as last amended by Regulation (EC) No 166/2006 of the European Parliament and of the Council (OJ L 33, 4.2.2006, p. 1).

(36)OJ C 244, 1.10.2004, p. 2.

(37)OJ L 337, 13.12.2002, p. 3. Regulation as amended by Regulation (EC) No 1040/2006 (OJ L 187, 8.7.2006, p. 8).

(38)OJ C 45, 17.2.1996, p. 5, as subsequently amended as regards its application in the agricultural sector, OJ C 48, 13.2.1998, p. 2; to be replaced by a new framework from 1.1.2007 onwards.

(39)OJ L 10, 13.1.2001, p. 20. Regulation as last amended by Regulation (EC) No 1040/2006 (OJ L 187, 8.7.2006, p. 8).

(40)OJ C 235, 21.8.2001, p. 3.

(41)OJ C 71, 11.3.2000, p. 14.

(42)OJ C 297, 29.11.2005, p. 4.

(43)OJ L 312, 29.11.2005, p. 67.

(44)OJ L 195, 29.7.1980, p. 35. Directive as last amended by Directive 2005/81/EC (OJ L 312, 29.1.2005, p. 47.

(45)OJ C 209, 10.7.1997, p. 3.

(46)OJ C 384, 10.12.1998, p. 3.

(47)  Bulletin EC 9-1984.

(48)  Commission Decision 2000/628/EC of 11 April 2000 on the aid granted by Italy to Centrale Latte di Roma (OJ L 265, 19.10.2000, p. 26, paragraphs 113-115).

(49)OJ L 93, 31.3.2006, p. 12.

(50)OJ L 179, 14.7.1999, p. 1. Regulation as last amended by Regulation (EC) No 2165/2005 (OJ L 345, 28.12.2005, p. 1).

(51)OJ L 109, 6.5.2000, p. 29. Directive as last amended by Directive 2003/89/EC (OJ L 308, 25.11.2003, p. 15).

(52)OJ L 327, 21.12.1999, p. 7. Regulation as amended by Regulation (EC) No 2060/2004 (OJ L 357, 2.12.2004, p. 3.

(53)  See Commission on State aids: subsidised short-term loans in agriculture (crédits de gestion), OJ C 44, 16.2.1996, p. 2.

(54)OJ L 283, 31.10.2003, p. 51. Directive as last amended by Directive 2004/75/EC (OJ L 157, 30.4.2004, p. 100).

(55)  For the purpose of these Guidelines, the term forestry follows the definition By Eurostat (production of standing timber as well as extraction and gathering of wild growing forest materials including products which undergo little processing, such as wood for fuel of industrial use).

(56)OJ C 45, 17.2.1996, p. 5.

(57)  See footnote 36.

(58)  See footnote 19.

(59)OJ L 83, 27.3.1999, p. 1. Regulation as amended by the 2003 Act of Accession.

(60)OJ L 142, 14.5.1998, p. 1.

(61)OJ L 140, 30.4.2004, p. 1. Regulation as amended by Regulation (EC) No 1627/2006 (OJ L 302, 1.11.2006, p. 10).

(62)OJ C 252, 12.9.2001, p. 5.

(63)OJ C 324, 24.12.2002, p. 2.

(64)  See footnote53.

(65)OJ L 236, 23.9.2003, p. 797.

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