# Regulation (EU) No 228/2013 of the European Parliament and of the CouncilShow full title

Regulation (EU) No 228/2013 of the European Parliament and of the Council of 13 March 2013 laying down specific measures for            agriculture in the outermost regions of the Union and repealing Council Regulation (EC) No 247/2006         

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# Regulation (EU) No 228/2013 of the European Parliament and of the Council

# of 13 March 2013

# laying down specific measures for agriculture in the outermost regions of the Union and repealing Council Regulation (EC)                        No 247/2006                     

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular the first paragraph of Article 42,                           Article 43(2) and Article 349 thereof,                        

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee(1),                        

Acting in accordance with the ordinary legislative procedure(2),                        

Whereas:

(1)Specific measures in the agricultural sector to remedy the difficulties caused by the specific situation facing the Union’s                              outermost regions, as referred to in Article 349 of the Treaty on the Functioning of the European Union (‘the Treaty’), have                              been established by Council Regulation (EC) No 247/2006(3). Those measures have been implemented by means of support programmes for each region, which constitute an essential tool                              for supplying such regions with agricultural products. In view of the need to update the current measures, including as a                              result of the entry into force of the Treaty of Lisbon, it is necessary to repeal Regulation (EC) No 247/2006 and replace                              it with a new Regulation.

(2)The fundamental objectives which the scheme promoting the Union’s outermost regions will help to achieve need to be specified.

(3)It is also necessary to specify the content of the Programmes of Options Specifically Relating to Remoteness and Insularity                              (‘POSEI programmes’) which, in accordance with the principle of subsidiarity, should be established by the Member States concerned                              at the most appropriate geographical level and submitted by the Member States to the Commission for approval.

(4)In order to achieve more effectively the objectives of the scheme promoting the Union’s outermost regions, the POSEI programmes                              should include measures which ensure the supply of agricultural products and the preservation and development of local agricultural                              production. The level of programming for the regions concerned needs to be harmonised and the policy of partnership between                              the Commission and the Member States needs to become systematic.

(5)In keeping with the principle of subsidiarity and in order to ensure flexibility, the two principles which form the basis                              of the programming approach adopted for the scheme promoting the Union’s outermost regions, the authorities appointed by the                              Member State may propose amendments to the programme to bring it into line with the reality of the situation in the outermost                              regions. It should be possible for these authorities to modify the POSEI programmes, in accordance with the principle of administrative                              simplification, provided that they do not thereby jeopardise the effectiveness of the POSEI programmes and the corresponding                              financial resources allocated to them. Also in keeping with this approach, the procedure for amending the programmes should                              be adapted to reflect the level of relevance of each type of amendment.

(6)In order to ensure the supply of essential agricultural products to the outermost regions and to compensate for the additional                              costs caused by their extreme remoteness, it is appropriate to introduce a specific supply arrangement. In fact, the exceptional                              geographical situation of the outermost regions results in additional transport costs for supplying products which are essential                              for human consumption, for processing or as agricultural inputs. In addition, other objective factors linked to these regions’                              extreme remoteness, and in particular their insularity and small surface areas, lead to further constraints on economic operators                              and producers in the outermost regions that severely handicap their activities. Those handicaps can be alleviated by lowering                              the price of those essential products. The specific supply arrangement should, however, under no circumstances damage local                              products and their development.

(7)To that end, notwithstanding Article 28 of the Treaty, imports of certain agricultural products from third countries should                              be exempt from the applicable import duties. To take account of their origin and the customs treatment accorded to them under                              Union law, products which have entered the Union’s customs territory under inward-processing or customs-warehousing arrangements                              should, for the purpose of granting the benefits of the specific supply arrangements, be considered to be direct imports.

(8)In order to achieve in an effective manner the goal of lowering prices in the outermost regions, mitigating the additional                              costs of their extreme remoteness, aid should be granted for the supply of Union products to the outermost regions. Such aid                              should take account of the additional cost of transport to these regions and the cost of exports to third countries and, in                              the case of agricultural inputs and products intended for processing, the additional costs associated with their extreme remoteness,                              and in particular their insularity and small surface areas, their difficult topography and climate and the fact that they                              are scattered islands.

(9)Support for traditional sectors is all the more necessary because it enables them to remain competitive on the Union market                              in the face of competition from third countries. When they draw up their programmes, Member States should, however, also ensure,                              as far as possible, that agricultural activities in the outermost regions are diversified.

(10)In order to avoid speculation which would be harmful to end users in the outermost regions, it is important to specify that                              the specific supply arrangements may only apply to products of sound, fair and marketable quality.

(11)Rules should be established concerning the operation of the scheme, particularly those relating to the creation of a register                              of operators and a system of certificates, based on the licences referred to in Articles 130 and 161 of Council Regulation                              (EC) No 1234/2007 of 22 October 2007 establishing a common organisation of agricultural markets and on specific provisions                              for certain agricultural products (Single CMO Regulation)(4).

(12)Given the requirements relating to the monitoring of transactions benefiting from the specific supply arrangements, administrative                              checks should be conducted on the products concerned at the time of their import or entry into the outermost regions and also                              at the time of their export or dispatch from the same. In addition, in order to achieve the objectives of the arrangements,                              the economic advantages of the specific supply arrangements should be reflected in production costs and should reduce prices                              up to the end user stage. They should therefore be granted only on condition that they are actually passed on, and appropriate                              checks should be carried out.

(13)Since the quantities covered by the specific supply arrangements are limited to the supply requirements of the outermost regions,                              those arrangements should not impair the proper functioning of the internal market. Nor should the economic advantages of                              the specific supply arrangements lead to diversions of trade in the products concerned. The dispatch or export of those products                              from the outermost regions should therefore be prohibited. However, the dispatch or export of those products should be authorised                              if the financial advantage resulting from the specific supply arrangements is reimbursed.

(14)With regard to processed products, trade between the outermost regions should be authorised in order to allow commerce between                              these regions. Account should also be taken of trade flows within the context of regional commerce and traditional exports                              and dispatching with the rest of the Union or third countries in the outermost regions, and exports of processed products                              corresponding to traditional trade for all those regions should be authorised. For the sake of clarity, the reference period                              for defining traditionally exported or dispatched quantities should be specified.

(15)Appropriate measures should be taken to allow for the necessary restructuring of the sugar processing sector in the Azores.                              These measures should take into account the fact that, in order for the sugar sector on the Azores to be viable, a certain                              level of production and processing needs to be ensured. Against this background, the Azores should exceptionally, be permitted                              to dispatch to the rest of the Union quantities of sugar in excess of traditional flows for a limited period of five years,                              subject to progressively reducing annual limits. Because the quantities that may be re-dispatched will be proportional and                              limited to those strictly necessary for ensuring the viability of local sugar production and processing, such temporary dispatching                              of sugar from the Azores will not adversely affect the internal market of the Union.

(16)With regard to out-of-quota sugar to be supplied to the Azores, Madeira and the Canary Islands, the scheme of exemption from                              import duties will continue to apply. In particular, the Azores should also be authorised to benefit from the exemption from                              import duties for raw cane sugar up to their forecast supply balance.

(17)To date, the Canary Islands have been supplied under specific supply arrangements with skimmed milk powder falling within                              CN code 1901 90 99 (skimmed milk powder containing vegetable fat) for industrial processing. The continued supply of this                              product, which has become a traditional component of the local diet, should be permitted.

(18)Given that rice constitutes a staple of the diet of Réunion, that rice processing and polishing industries have been established                              in Réunion for many years and that Réunion does not produce sufficient quantities to meet local requirements, the import of                              this product to the island should continue to be exempt from any form of import tax.

(19)Union policy to assist local production in the outermost regions has involved a multitude of products and measures for their                              production, marketing or processing. Those measures have proved effective and have ensured that agriculture continues and                              develops. The Union should continue to support these lines of production, which are a key element to ensure the environmental,                              social and economic equilibrium of the outermost regions. Experience has shown that, as in the case of rural development policy,                              a closer partnership with local authorities can help to address, in a more targeted way, the particular issues affecting the                              regions concerned. Support to promote local production therefore needs to continue through the POSEI programmes.

(20)In order to support the marketing of products from the outermost regions, aid should be established to assist the commercialisation                              of these products outside of the region in which they are produced, taking account of the high additional costs they face                              as a result of their distance from consumer markets and the need for double storage, factors which result in crucial competitive                              disadvantages for the outermost regions, affecting their ability to compete in the internal market. These factors justify                              the need to review the POSEI scheme in the near future.

(21)The minimum elements which should be provided under the POSEI programmes in order to establish the measures supporting local                              agricultural production, specifically the description of the location, of the strategy proposed, of the objectives and of                              the measures, should be established. The principles underlying the consistency of these measures with other Union policies                              should also be stated, in order to avoid any incompatibility and overlapping of aid.

(22)For the purposes of applying this Regulation, it should also be possible for the POSEI programmes to contain measures for                              financing studies, demonstration projects, training and technical assistance.

(23)Farmers in the outermost regions should be encouraged to continue to supply high-quality products and to prioritise their                              marketing. Use of the logo introduced in this Regulation and of other forms of quality certification introduced by the Union                              may be useful to this end.

(24)The structures of certain farms or processing and marketing firms in the outermost regions are seriously deficient and face                              specific difficulties. Articles 26(2) and 28(2) of Council Regulation (EC) No 1698/2005 of 20 September 2005 on support for                              rural development by the European Agricultural Fund for Rural Development (EAFRD)(5) therefore provide for more favourable support rates for certain types of investment in the outermost regions.

(25)Article 27(1) of Regulation (EC) No 1698/2005 excludes the outermost regions from the restriction to a grant of forestry support                              provided for in that Regulation.

(26)Regulation (EC) No 1698/2005 determines the maximum annual amounts eligible for agri-environmental payments. To take into                              account the specific environmental situation of certain very sensitive pasture areas in the Azores and the preservation of                              the landscape, the biodiversity and the traditional features of agricultural land, in particular the areas of terrace cultivation                              in Madeira and the Canary Islands, as well as the conservation of stone walls in the outermost regions, provision should be                              made for the possibility, in the case of certain specific measures, of increasing those amounts up to twofold.

(27)A derogation may be granted from the Commission’s consistent policy of not authorising State operating aid for the production,                              processing and marketing of agricultural products covered by Annex I to the Treaty, in order to mitigate the specific constraints                              on farming in the outermost regions linked to their extreme remoteness, specifically their isolation, insularity, small surface                              areas, mountainous terrain and climate and their economic dependency on a small number of products. Agricultural production                              plays a vital role in revitalising rural areas and encouraging people to stay in them, and the outermost rural areas are particularly                              affected by population ageing, low population density and, in some cases, depopulation.

(28)The plant health of agricultural crops in the outermost regions is affected by particular problems such as the arrival of                              parasites associated with the increase in the amount of imports, the climate and the inadequacy of the control measures previously                              applied there. Programmes should therefore be implemented to combat harmful organisms, including by sustainable and environmentally                              sound organic methods. The Union’s financial contribution towards such programmes should be defined, taking into account the                              fact that, under the multiannual financial framework, it is envisaged that, with effect from 2014, the financing of these                              programmes will fall under a different budgetary heading.

(29)The maintenance of vineyards, which are the most widespread type of cultivation in the regions of Madeira and the Canary Islands                              and a very important one for the Azores, is an economic, social and environmental imperative. To help support production,                              the abandonment premiums, the market mechanisms and, in the case of the Canary Islands, the planting rights system, provided                              for in Regulation (EC) No 1234/2007 should not be applicable in these regions. Nonetheless, in the Canary Islands, it should                              be possible to apply crisis distillation measures in the event of exceptional market disturbance arising from quality problems.                              Similarly, technical and socio-economic difficulties have prevented complete conversion, within the time limits established,                              of the areas in the regions of Madeira and the Azores under vines of hybrid varieties prohibited by Regulation (EC) No 1234/2007.                              The wine produced by such vineyards is intended solely for traditional local consumption.

(30)The restructuring of the milk sector is not yet complete in the Azores. In line with the high dependence of the Azores on                              milk production, combined with other handicaps connected with their extreme remoteness and the absence of profitable alternative                              lines of production, the derogation from certain provisions of Regulation (EC) No 1234/2007 concerning surplus levies on milk                              and milk products should be maintained.

(31)Given the irreplaceable nature of milk production in the Azores, where it is one of the main driving forces for the economy,                              social stability, the quality of the environment and occupation of the land, the POSEI programmes are the best instruments                              for adopting any necessary measures to maintain this production.

(32)Support for the production of cow’s milk in Madeira and Réunion has not been sufficient to maintain the balance between domestic                              and external supply, chiefly because of the serious structural difficulties affecting the sector and its problems adapting                              to new economic environments. Consequently, authorisation to produce UHT milk reconstituted from milk powder of Union origin                              should continue, in order to cover local consumption more fully, provided that this does not pose an obstacle to the collection                              and marketing of all locally produced milk, or hamper efforts to promote the expansion of local production. In order to inform                              the consumer correctly, it should be made compulsory to indicate on the sales labelling the method by which UHT milk is reconstituted                              using milk powder. This provision should also be applicable in Martinique, French Guiana and Guadeloupe, if France makes a                              request to that effect, stating the wish of local stakeholders to be covered by it and their ability to develop the milk sector.

(33)The need to maintain local milk production by means of incentives justifies not applying Regulation (EC) No 1234/2007 in the                              French overseas departments and Madeira. This exemption should apply to Madeira subject to a limit of 4 000 tonnes.

(34)Trade among outermost regions should be fostered with a view to meeting local consumption needs. The export of surplus production                              from each of the outermost regions — for example, the export of milk, beef and young male bovine animals from the Azores —                              to those regions with shortages should be encouraged with a view to strengthening trade, while avoiding harming the growth                              of local production. The conditions necessary for fair and equitable trade should also be guaranteed.

(35)Traditional livestock farming activities should be supported. In order to meet the local consumption needs of the French overseas                              departments and Madeira, duty-free imports from third countries of male bovine animals intended for fattening should be authorised                              subject to certain conditions and up to a maximum annual limit.

(36)The possibility introduced by Council Regulation (EC) No 73/2009 of 19 January 2009 establishing common rules for direct support                              schemes for farmers under the common agricultural policy and establishing certain support schemes for farmers(6) to enable Portugal to transfer rights to the suckler cow premium from the mainland to the Azores should be renewed and that                              instrument should be adjusted in the light of the support arrangements for the outermost regions.

(37)Tobacco growing is of historical importance in the Canary Islands. From an economic perspective, tobacco preparation continues                              to be one of the chief industrial activities in the region. In social terms, tobacco cultivation is very labour-intensive                              and is carried out by small farms. Since the crop is not sufficiently profitable, however, it is in danger of dying out. Tobacco                              is currently only cultivated on a small area on the island of La Palma for the small-scale manufacture of cigars. Spain should                              therefore be authorised to continue to grant aid, in addition to Union aid, so that this traditional crop can be maintained                              with a view to supporting the artisanal activity associated with it. In addition, to maintain the manufacture of tobacco products,                              imports into the Canary Islands of raw and semi-manufactured tobacco should continue to be exempt from customs duty, up to                              an annual limit of 20 000 tonnes of stripped raw tobacco equivalent.

(38)Implementation of this Regulation should not jeopardise the level of special support from which the outermost regions have                              benefited up to now. The Member States should have at their disposal sums equivalent to the support already granted by the                              Union under Regulation (EC) No 247/2006, in order to implement the appropriate measures.

(39)Given the potential effects that negotiation of future trade agreements and modifications to the common agricultural policy                              may have on the outermost regions, specific regard should be given to the special characteristics of these regions in the                              context of the analyses, studies and assessments carried out in relation to these negotiations and modifications.

(40)Since 2006, requirements in essential products have increased in some outermost regions, particularly in the Azores and in                              the French overseas departments, as a result of the increasing livestock population and demographic pressure. The proportion                              of the budget which Member States may use for the specific supply arrangements for the regions concerned should therefore                              be increased.

(41)The socio-economic fabric of the outermost regions remains very fragile and, for some of them, is often highly dependent on                              the banana sector, which itself clearly suffers from a lack of competitiveness and difficulties responding to changing market                              conditions. The POSEI budget allocated to the banana sector should therefore be increased by a one-off, limited amount to                              be paid to banana producers during the financial year 2013.

(42)In order to ensure the proper functioning of the regime established by this Regulation, the power to adopt acts in accordance                              with Article 290 of the Treaty should be delegated to the Commission, in respect of supplementing or modifying certain non-essential                              elements of this Regulation. It is of particular importance that the Commission carry out appropriate consultations during                              its preparatory work, including at expert level. The Commission, when preparing and drawing up delegated acts, should ensure                              a simultaneous, timely and appropriate transmission of relevant documents to the European Parliament and to the Council.

(43)In order to ensure uniform conditions for the implementation of the POSEI programme in the Member States and to avoid unfair                              competition or discrimination between operators, implementing powers should be conferred on the Commission. Those powers should                              be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011                              laying down the rules and general principles concerning mechanisms for control by Member States of the Commission’s exercise                              of implementing powers(7).

(44)In order to allow for the prompt application of the measures envisaged, this Regulation should enter into force on the day                              following that of its publication in the *Official Journal of the European Union*,

HAVE ADOPTED THIS REGULATION:

## CHAPTER IU.K.**SUBJECT MATTER AND OBJECTIVES**

### Article 1U.K.Subject matter

This Regulation lays down specific measures for agriculture to mitigate the difficulties caused by extreme remoteness, specifically                     remoteness, isolation, small surface areas, terrain, difficult climate and economic dependence on a limited number of products                     of the regions of the Union referred to in Article 349 of the Treaty (‘the outermost regions’).                  

### Article 2U.K.Objectives

1.The specific measures referred to in Article 1 shall help to meet the following objectives:                  

(a)guaranteed supply to the outermost regions of products essential for human consumption or for processing and as agricultural                        inputs by mitigating the additional costs incurred due to their extreme remoteness, without harming local production and the                        growth thereof;                  

(b)securing the long-term future and development of the ‘livestock’ and ‘crop-diversification’ sectors in the outermost regions,                        including the production, processing and sale of local products;                  

(c)maintaining the development and strengthening the competitiveness of traditional agricultural activities in the outermost                        regions, including the production, processing and marketing of local crops and products.                  

2.The objectives set out in paragraph 1 shall be implemented by means of the measures referred to in Chapters III, IV and V.                  

## CHAPTER IIU.K.**POSEI PROGRAMMES**

### Article 3U.K.Establishing the POSEI programmes

1.The measures provided for in Article 1 shall be defined for each outermost region by a Programme of Options Specifically Relating                        to Remoteness and Insularity (POSEI), (‘the POSEI programme’), comprising:                  

(a)specific supply arrangements as provided for in Chapter III; and                  

(b)specific measures to assist local agricultural production as provided for in Chapter IV.                  

2.The POSEI programme shall be established at the geographical level which the Member State concerned deems to be the most appropriate.                        It shall be prepared by the competent authorities designated by the said Member State, which shall submit it to the Commission                        for approval in accordance with Article 6 after the competent authorities and organisations at the appropriate regional level                        have been consulted.                  

3.A single POSEI programme may be submitted for each Member State in respect of its outermost regions.                  

### Article 4U.K.Compatibility and consistency

1.Measures taken under POSEI programmes shall comply with Union law. Such measures shall be consistent with other Union policies                        and with the measures taken under such policies.                  

2.Consistency of the measures taken under POSEI programmes with measures implemented under other instruments of the common agricultural                        policy, and in particular the common organisations of markets, rural development, product quality, animal welfare and the                        protection of the environment, shall be ensured.                  

In particular, no measure under this Regulation shall be financed as:

(a)additional support for premium or aid schemes under a common organisation of the market save in exceptional cases justified                        by objective criteria;                  

(b)support for research projects, measures to support research projects or measures eligible for Union financing under Council                        Decision 2009/470/EC of 25 May 2009 on expenditure in the veterinary field(8);                  

(c)support for measures within the scope of Regulation (EC) No 1698/2005.                  

### Article 5U.K.Content of the POSEI programmes

A POSEI programme shall comprise:

a schedule for the implementation of the measures and a general annual indicative financing table showing the resources to                              be deployed;                           

proof of the compatibility and consistency between the various measures under the programmes and with the criteria and quantitative                              indicators to be used for monitoring and evaluation;                           

the steps taken to ensure that the programmes are implemented effectively and appropriately, including the arrangements for                              publicity, monitoring and evaluation, and a specified set of quantified indicators for use in programme evaluation;                           

the designation of the competent authorities and bodies responsible for implementing the programme and the designation at                              the appropriate levels of authorities or associated bodies and socio-economic partners, and the results of consultations held.                           

### Article 6U.K.Approval and amendments of the POSEI programmes

1.The POSEI programmes are established by Regulation (EC) No 247/2006 and are financed under the financial allocation referred                        to in Article 30(2) and (3).                  

Each programme comprises a forecast supply balance indicating the products, the quantities thereof and the amount of aid for                     supply from the Union together with a draft programme of support for local production.                  

2.Depending on the annual evaluation of the implementation of measures included in the POSEI programmes, the Member States may,                        after consulting the socio-economic partners concerned, submit to the Commission duly substantiated proposals for amendments                        to those measures within the context of the financial allocation referred to in Article 30(2) and (3), to bring them more                        into line with the requirements of the outermost regions and the strategy proposed. The Commission shall adopt implementing                        acts laying down the procedures for assessing whether the amendments proposed comply with Union law and for deciding whether                        to approve them. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article                        34(2).                  

3.The procedures laid down by the implementing acts referred to in paragraph 2 may take account of the following elements: the                        importance of the modifications proposed by the Member States with reference to the introduction of new measures, whether                        the changes to the budget allocated to the measures are substantial, changes in the quantities and in the level of aid for                        products in the forecast supply balances and any amendments to codes and descriptions laid down in Council Regulation (EEC)                        No 2658/87 of 23 July 1987 on the tariff and statistical nomenclature and on the Common Customs Tariff(9).                  

4.The implementing acts referred to in paragraph 2 shall also determine, for each procedure, the frequency with which requests                        for amendments are to be made, as well as the time frames within which the approved amendments are to be implemented.                  

### Article 7U.K.Amendments regarding the financial allocations

By 22 April 2013, Member States shall submit to the Commission the draft amendments to their POSEI programmes to reflect the                     changes introduced by Article 30(5).                  

These amendments shall become applicable one month after their submission if during this period the Commission raises no objections.

The competent authorities shall pay the aid referred to in Article 30(5) not later than 30 June 2013.

### Article 8U.K.Monitoring and follow-up

The Member States shall conduct verifications by means of administrative and on-the-spot checks. The Commission shall adopt                     implementing acts regarding the minimum characteristics of the checks to be carried out by the Member States.                  

The Commission shall also adopt implementing acts regarding the procedures and physical and financial indicators in order                     to ensure that the implementation of the programmes is monitored in an effective manner.                  

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 34(2).

## CHAPTER IIIU.K.**SPECIFIC SUPPLY ARRANGEMENTS**

### Article 9U.K.Forecast supply balance

1.Specific supply arrangements are hereby established for the agricultural products listed in Annex I to the Treaty which are                        essential in the outermost regions for human consumption, for the manufacture of other products or as agricultural inputs.                  

2.The Member State concerned shall establish, at the geographical level which it deems most appropriate, a forecast supply balance                        so as to quantify the annual supply requirements for each outermost region with regard to the products listed in Annex I to                        the Treaty.                  

A separate forecast balance may be drawn up for the requirements of undertakings packaging and processing products intended                     for the local market for traditional consignment to the rest of the Union or for export as part of regional trade, in accordance                     with Article 14(3), or within the context of traditional trade flows.                  

### Article 10U.K.Operation of the specific supply arrangements

1.Within the limit of the quantities determined in the forecast supply balance, no duties shall apply to direct imports from                        third countries into the outermost regions of products covered by the specific supply arrangements.                  

Products which have entered the Union’s customs territory under inward processing or customs warehousing arrangements shall                     be considered to be direct imports from third countries for the purposes of this Chapter.                  

2.In order to ensure coverage of the requirements established in accordance with Article 9(2) in terms of price and quality,                        while taking care to maintain the Union’s share in supplies, aid shall be granted to supply the outermost regions with Union                        products held in public intervention storage or available on the Union market.                  

Such aid shall be determined for each type of product concerned, taking account of the additional cost of transport to the                     outermost regions and the prices applied to exports to third countries and, in the case of products intended for processing                     or agricultural inputs, other additional costs associated with extreme remoteness, and in particular their insularity and                     small surface areas.                  

3.No aid shall be granted for the supply of products which have already benefited from the specific supply arrangements in another                        outermost region.                  

4.Only products of sound, fair and marketable quality shall benefit from the specific supply arrangements. Products from third                        countries shall provide an equivalent level of guarantees to those produced under the Union’s veterinary and plant health                        standards.                  

### Article 11U.K.Implementation

In implementing the specific supply arrangements, account shall be taken, in particular, of the following:

the specific requirements of the outermost regions and, in the case of products intended for processing and agricultural inputs,                              the quality requirements;                           

trade flows with the rest of the Union;

the economic aspect of the proposed aid;

the need to ensure that existing local production is neither destabilised, nor obstructed in its development.

### Article 12U.K.Certificates

1.Exemption from import duties or access to aid within the framework of the specific supply arrangements shall be granted on                        the presentation of a certificate.                  

Certificates shall be issued only to operators entered in a register held by the competent authorities.

Licences and certificates shall not be transferable.

2.No security shall be required when applying for import licences, exemption certificates or aid certificates. However, to the                        extent necessary to ensure the proper application of this Regulation, the competent authority may require a security to be                        lodged equal to the amount of the advantage as referred to in Article 13. In such cases, Article 34(1), (4), (5), (6), (7)                        and (8) of Commission Regulation (EC) No 376/2008 of 23 April 2008 laying down common detailed rules for the application of                        the system of import and export licences and advance fixing certificates for agricultural products(10) shall apply.                  

The Commission shall be empowered to adopt delegated acts, in accordance with Article 33, determining the conditions for recording                     operators in the register and providing for the full exercise by operators of their rights to participate in the specific                     supply arrangements.                  

3.The Commission shall adopt implementing acts regarding the measures necessary to ensure the uniform application by the Member                        States of this Article, specifically relating to the introduction of the system of certificates and the commitment undertaken                        by operators at the time of registration. Those implementing acts shall be adopted in accordance with the examination procedure                        referred to in Article 34(2).                  

### Article 13U.K.Impact of advantage

1.Benefiting from the specific supply arrangements resulting from the exemption of import duty or the awarding of aid shall                        be subject to the condition that the impact of the economic advantage is passed on up to the end user who, as appropriate,                        may be the consumer in the case of products meant for direct consumption, the end processor or packager in the case of products                        meant for the processing or packaging industries, or farmers in the case of products used for animal feed or as agricultural                        inputs.                  

The advantage referred to in the first subparagraph shall be equal to the amount of the exemption from import duties or to                     the amount of the aid.                  

2.In order to ensure that paragraph 1 is applied in a uniform manner, the Commission shall adopt implementing acts regarding                        the application of the rules set out in paragraph 1 and more specifically the conditions for the monitoring by Member States,                        that the advantage has in fact been passed on up to the end user. Those implementing acts shall be adopted in accordance with                        the examination procedure referred to in Article 34(2).                  

### Article 14U.K.Export to third countries and dispatch to the rest of the Union

1.The Commission shall adopt implementing acts establishing the requirements in accordance with which products covered by the                        specific supply arrangements may be exported to third countries or dispatched to the rest of the Union, which shall include                        the payment of import duty or the reimbursement of the aid received, as indicated in Article 10. Those implementing acts shall                        be adopted in accordance with the examination procedure referred to in Article 34(2).                  

Exports to third countries of products covered by the specific supply arrangements shall not be subject to the presentation                     of a certificate.                  

The first subparagraph shall not apply to trade flows between French overseas departments.

2.The first subparagraph of paragraph 1 shall not apply to products processed in the outermost regions from products that have                        benefited from the specific supply arrangements which are:                  

(a)exported to third countries or dispatched to the rest of the Union within the limits of traditional exports and traditional                        dispatches. The Commission shall adopt implementing acts establishing those amounts, on the basis of dispatches or export                        average figures, taking as a reference the verified average figures for the three best years between 2005 and 2012. Those                        implementing acts shall be adopted in accordance with the examination procedure referred to in Article 34(2);                  

(b)exported to third countries as part of regional trade;                  

(c)dispatched between the regions of the Azores, Madeira and the Canary Islands;                  

(d)dispatched between French overseas departments.                  

No export refund shall be granted on the export of products referred to in points (a) and (b) of the first subparagraph.

Exports to third countries of products referred to in points (a) and (b) of the first subparagraph shall not be subject to                     the presentation of a certificate.                  

3.For the purposes of this Chapter, ‘regional trade’ shall be understood as trade, for each outermost region, with third countries                        belonging to the same geographical area as those outermost regions, and with countries with which there are historical trade                        links. The Commission shall adopt implementing acts establishing a list of those countries, taking into account objective                        requests made by the Member States following consultation with the sectors concerned. Those implementing acts shall be adopted                        in accordance with the examination procedure referred to in Article 34(2).                  

4.Products delivered to the French overseas departments, the Azores, Madeira or the Canary Islands which have benefited from                        the specific supply arrangements and are used to supply ships and aircraft shall be deemed to have been consumed locally.                  

5.By way of derogation from paragraph 2, first subparagraph, point (a), the following maximum quantities of sugar (CN code 1701)                        may be dispatched annually from the Azores to the rest of the Union in the following five years:                  

:

3 000 tonnes,

:

2 500 tonnes,

:

2 000 tonnes,

:

1 500 tonnes,

:

1 000 tonnes.

6.Processing operations which may give rise to traditional or regional trade exports or traditional dispatches shall fulfil,                        *mutatis mutandis*, the processing conditions applicable under inward processing arrangements and the procedure for processing under customs                        control provided for in the relevant Union legislation, with the exception of all usual forms of handling.                  

### Article 15U.K.Sugar

1.During the period established in Article 204(2) and (3) of Regulation (EC) No 1234/2007, the non-quota production referred                        to in Article 61 of that Regulation shall be exempt from import duties subject to the forecast supply balance referred to                        in Article 9 of this Regulation in respect of:                  

(a)sugar brought for consumption to Madeira or the Canary Islands in the form of white sugar falling within CN code 1701;                  

(b)sugar refined and consumed in the Azores in the form of raw sugar falling within CN code 1701 12 10 (raw beet sugar).                  

2.In the Azores, for the purpose of refining, the quantities referred to in paragraph 1 may be supplemented, subject to the                        limit of the forecast supply balance, by raw sugar falling within CN code 1701 11 10 (raw cane sugar).                  

When determining the Azores’ raw sugar requirements, account shall be taken of the development of local production of sugar                     beet. The quantities covered by the supply arrangements shall be determined so as to ensure that the total volume of sugar                     refined in the Azores each year does not exceed 10 000 tonnes.                  

### Article 16U.K.Skimmed milk powder

By way of derogation from Article 9 above, the Canary Islands may continue to receive supplies of skimmed milk powder falling                     within CN code 1901 90 99 (skimmed milk powder containing vegetable fat) meant for industrial processing, subject to a limit                     of 800 tonnes per year. Aid granted for supplies of this product from the Union may not exceed EUR 210 per tonne and shall                     be included in the limit laid down in Article 30. This product shall be used for local consumption only.                  

### Article 17U.K.Rice

No customs duties shall be charged in the French overseas department of Réunion on products falling within CN codes 1006 10,                     1006 20 and 1006 40 00 imported for consumption there.                  

### Article 18U.K.Controls and penalties

1.Products which are the subject of specific supply arrangements shall be subject to administrative checks at the time that                        they are imported into or enter the outermost regions, as well as when they are exported or dispatched.                  

The Commission shall adopt implementing acts regarding the minimum characteristics of the checks to be carried out by the                     Member States. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article                     34(2).                  

2.Except in cases of *force majeure* or exceptional climatic conditions, if an operator, as referred to in Article 12, fails to comply with the commitments made                        in accordance with Article 12, the competent authority, without prejudice to any penalties applicable under national law,                        shall:                  

(a)recover the advantage granted to operator;                  

(b)temporarily suspend or revoke the operator’s registration, depending on the seriousness of the non-compliance.                  

3.Except in cases of *force majeure* or exceptional climatic conditions, where operators, as referred to in Article 12, do not carry out the planned import or                        entry, their entitlement to apply for licences or certificates shall be suspended by the competent authority for a period                        of 60 days following expiry of that licence or certificate. After the suspension period, the issue of subsequent licences                        or certificates shall be subject to the lodging of a security equal to the amount of the advantage to be granted during a                        period to be determined by the competent authority.                  

The competent authority shall adopt the measures required to reutilise any quantities of products made available as a result                     of non-execution, partial execution or cancellation of the licenses and certificates issued or recovery of the advantage.                  

## CHAPTER IVU.K.**MEASURES TO ASSIST LOCAL AGRICULTURAL PRODUCTS**

### Article 19U.K.Measures

1.The POSEI programmes consist of specific measures designed to promote local agricultural production under the scope of Part                        Three, Title III of the Treaty, necessary in order to ensure the continuity and development of local agricultural production                        in each outermost region.                  

2.The parts of the programme which include measures to assist local agricultural production and which correspond to the objectives                        set out in Article 2 shall comprise at least the following elements:                  

(a)a quantified description of the current situation of the agricultural production in question, taking into account the results                        of available evaluations, showing disparities, gaps and potential for development, the financial resources deployed and the                        primary results of measures taken previously;                  

(b)a description of the strategy proposed, the priorities selected, its quantified general and operational objectives, and an                        appraisal showing the expected economic, environmental and social impact, including employment effects;                  

(c)a description of the measures envisaged, and in particular aid schemes for implementing them, and, where appropriate, information                        on the need for any studies, demonstration projects, training or technical assistance operations relating to the preparation,                        implementation or adaptation of the measures concerned;                  

(d)a list of the aid constituting direct payments in accordance with Article 2(d) of Regulation (EC) No 73/2009;                  

(e)the aid amount established for each measure and the provisional amount for each action in order to achieve one or more objectives                        for the programme.                  

3.The Commission shall adopt implementing acts concerning requirements for the provision of the aid described in paragraph 2.                        Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 34(2).                  

4.The programme may include measures to support production, processing or sale of agricultural products in the outermost regions.                  

Each measure may include a variety of actions. For each action, the programme shall define at least the following elements:

(a)the beneficiaries;                  

(b)the eligibility conditions;                  

(c)the unit amount of aid.                  

In order to support the marketing of products outside a region in which they are produced, the Commission shall be empowered                     to adopt delegated acts, in accordance with Article 33, regarding the conditions for establishing the amount of aid awarded                     in respect of such marketing and, where appropriate, the conditions for establishing the quantities of products subject to                     this aid.                  

### Article 20U.K.Controls and wrongful payments

1.Verification of measures provided for in this Chapter shall be conducted by administrative and on-the-spot checks.                  

2.In the event of wrongful payments, the beneficiary concerned shall be obliged to reimburse the amounts in question. Article                        80 of Commission Regulation (EC) No 1122/2009 of 30 November 2009 laying down detailed rules for the implementation of Council                        Regulation (EC) No 73/2009 as regards cross-compliance, modulation and the integrated administration and control system, under                        the direct support schemes for farmers provided for that Regulation, as well as for the implementation of Council Regulation                        (EC) No 1234/2007 as regards cross-compliance under the support scheme provided for the wine sector(11) shall apply *mutatis mutandis*.                  

## CHAPTER VU.K.**ACCOMPANYING MEASURES**

### Article 21U.K.Logo

1.A logo shall be introduced with a view to improving awareness and the consumption of quality agricultural products, whether                        processed or not, specific to the outermost regions.                  

2.The conditions for using the logo referred to in paragraph 1 shall be proposed by the trade organisations concerned. The national                        authorities shall forward such proposals, with their opinion thereon, to the Commission.                  

Use of the logo shall be monitored by a public authority or a body approved by the competent national authorities.

3.The Commission shall be empowered to adopt delegated acts, in accordance with Article 33, regarding the conditions for exercising                        the right to use the logo and for reproducing and using it. Those conditions shall be set to improve awareness of high-quality                        agricultural products from the outermost regions and to increase the consumption thereof, regardless of whether those products                        are processed or non-processed.                  

4.The Commission shall adopt implementing acts regarding the detailed rules concerning the use of the logo and the minimum characteristics                        for the checks and monitoring which the Member States shall perform. Those implementing acts shall be adopted in accordance                        with the examination procedure referred to in Article 34(2).                  

### Article 22U.K.Rural development

1.Notwithstanding Article 39(4) of Regulation (EC) No 1698/2005, the maximum annual amounts eligible for Union aid, as set out                        in Annex I to that Regulation, may be increased up to twofold in the case of the measure to protect lakes in the Azores and                        the measure to preserve the landscape, biodiversity and traditional features of agricultural land and the conservation of                        stone walls in the outermost regions.                  

2.A description of the measures planned under paragraph 1 of this Article shall be included, where appropriate, in the programmes                        for these regions referred to in Article 16 of Regulation (EC) No 1698/2005.                  

### Article 23U.K.State aid

1.For the agricultural products covered by Annex I to the Treaty, to which Articles 107, 108 and 109 thereof apply, the Commission                        may authorise, in accordance with Article 108 of the Treaty, operating aid in the sectors producing, processing and marketing                        those products, with a view to alleviating the specific constraints on farming in the outermost regions as a result of their                        isolation, insularity and extreme remoteness.                  

2.Member States may grant additional financing for the implementation of POSEI programmes. In such cases, the Member States                        shall notify the Commission of the State aid and the Commission may approve it in accordance with this Regulation as part                        of those programmes. Aid thus notified shall be regarded as notified within the meaning of the first sentence of Article 108(3)                        of the Treaty.                  

3.France may grant the sugar sector in the French outermost regions aid of up to EUR 90 million per marketing year.                  

France shall inform the Commission within 30 days of the end of each marketing year of the amount of aid actually granted.

4.Without prejudice to paragraphs 1 and 2 of this Article and by way of derogation from the first subparagraph of Article 180                        of Regulation (EC) No 1234/2007 and Article 3 of Council Regulation (EC) No 1184/2006 of 24 July 2006 applying certain rules                        of competition to the production of, and trade in, agricultural products(12), Articles 107, 108 and 109 of the Treaty shall not apply to payments made under Chapter IV of this Regulation, paragraph                        3 of this Article and Articles 24 and 28 of this Regulation by Member States in conformity with this Regulation.                  

### Article 24U.K.Plant health programmes

1.The Member States shall submit programmes to the Commission for the control of organisms harmful to plants or plant products                        in the outermost regions. The programmes shall specify in particular the objectives to be achieved, the measures to be carried                        out, their duration and their cost.                  

The Commission shall evaluate the programmes submitted. The Commission shall adopt implementing acts to approve or not approve                     those programmes. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article                     34(2).                  

2.The Union shall contribute to the financing of the programmes provided for in paragraph 1 on the basis of a technical analysis                        of the regional situations.                  

Such contribution may cover up to 75 % of eligible expenditure. Payment shall be made on the basis of documentation provided                     by Member States. If necessary, checks may be organised by the Commission and conducted on its behalf by the experts referred                     to in Article 21 of Council Directive 2000/29/EC of 8 May 2000 on protective measures against the introduction into the Community                     of organisms harmful to plants or plant products and against their spread within the Community(13).                  

3.The Commission shall adopt implementing acts in respect of each region and programme, on the basis of the criteria fixed in                        paragraph 2 and the programme presented in accordance with paragraph 1, establishing:                  

(a)the financial participation of the Union, as well as the amount of the aid;                  

(b)the measures eligible for Union financing.                  

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 34(2).

### Article 25U.K.Wine

1.Measures referred to in Articles 103v, 103w, 103x and 182a of Regulation (EC) No 1234/2007 shall not apply to the Azores and                        Madeira.                  

2.Notwithstanding the second subparagraph of Article 120a(2) of Regulation (EC) No 1234/2007, grapes from the vine varieties                        referred to in point (b) of that subparagraph, and harvested in the Azores and Madeira, may be used for the production of                        wine which must remain within those regions.                  

Portugal shall gradually cease harvesting the parcels planted using the vine varieties referred to in point (b) of the second                     subparagraph of Article 120a(2) of Regulation (EC) No 1234/2007 with, if necessary, the supports provided for in Article 103q                     of that Regulation.                  

3.By way of derogation from Article 85f of Regulation (EC) No 1234/2007, the transitional planting rights regime shall apply                        to the Canary Islands until 31 December 2012.                  

### Article 26U.K.Milk

1.For the purposes of distributing the surplus levy referred to in Article 79 of Regulation (EC) No 1234/2007, only producers                        who, within the meaning of Article 65(c) of that Regulation, established and producing in the Azores, market quantities exceeding                        their reference quantity increased by the percentage referred to in the third subparagraph of this paragraph shall be deemed                        to have contributed to the overrun.                  

The surplus levy shall be due on quantities exceeding the quota thus increased by the percentage referred to in the third                     subparagraph, after reallocation of the unused quantities within the margin resulting from this increase among all the producers                     within the meaning of Article 65(c) of Regulation (EC) No 1234/2007 established and producing in the Azores, and in proportion                     to the reference quantity available to each producer.                  

The percentage referred to in the first subparagraph shall be equal to the ratio between the quantity of 23 000 tonnes from                     the 2005/2006 marketing year onwards and the total of the reference quantities available on each holding on 31 March 2010.                     It shall apply only to the quota available on 31 March 2010.                  

2.The quantities of milk or milk equivalent marketed which exceed the quota but which comply with the percentage referred to                        in the third subparagraph of paragraph 1, after the reallocation referred to in that same paragraph, shall not be taken into                        account in establishing any overrun by Portugal as calculated in accordance with Article 66 of Regulation (EC) No 1234/2007.                  

3.The surplus levy scheme applicable to producers of milk provided for in Regulation (EC) No 1234/2007 shall not apply in the                        French overseas departments or, within the limit of local production of 4 000 tonnes of milk, in Madeira.                  

4.Notwithstanding Article 114(2) of Regulation (EC) No 1234/2007, the production in Madeira and in the French overseas department                        of Réunion of UHT milk reconstituted from milk powder originating in the Union shall be authorised within the limits of local                        consumption requirements, provided that this measure does not hinder the collection or disposal of locally produced milk.                        If France demonstrates the expediency of such a measure for the French overseas departments of Martinique, Guadeloupe and                        French Guiana, the Commission shall be empowered to adopt, where necessary, delegated acts, in accordance with Article 33,                        in order to extend this measure to those departments. This product shall be used for local consumption only.                  

The method by which the UHT milk thus reconstituted has been obtained shall be clearly indicated on the sales labelling.

### Article 27U.K.Cattle farming

1.Until the local numbers of young male bovines reach a level sufficient to ensure the maintenance and development of local                        beef production in the French overseas departments and Madeira, the possibility shall be introduced of importing bovine animals                        from third countries for fattening and consumption in the French overseas departments and Madeira, without applying import                        duties under the Common Customs Tariff. The Commission shall adopt implementing acts regarding the measures necessary to implement                        this subparagraph and more specifically the means for introducing the exemption from import duties in respect of the young                        male bovines introduced into the French overseas departments and Madeira. Those implementing acts shall be adopted in accordance                        with the examination procedure referred to in Article 34(2).                  

Article 13 and Article 14(1) shall apply to animals qualifying for the exemption referred to in the first subparagraph of                     this paragraph.                  

2.The numbers of animals qualifying for the exemption referred to in paragraph 1 shall be determined in the POSEI programmes,                        if the need to import is justified, in view of developments in local production. Priority for such animals shall be given                        to producers keeping animals for fattening at least 50 % of which are of local origin.                  

The Commission shall be empowered to adopt delegated acts, in accordance with Article 33, laying down the conditions for the                     exemption from import duties. Those conditions shall take into account the specific local features of the beef sector and                     industry.                  

3.Where Article 52 and Article 53(1) of Regulation (EC) No 73/2009 are applied, Portugal may reduce the component of the national                        ceiling corresponding to sheep and goat payments and suckler cow premium rights. In this case, the Commission shall adopt                        implementing acts regarding the relevant amount to be transferred from the ceilings established in accordance with Article                        52 and Article 53(1) of Regulation (EC) No 73/2009 to the financial allocation referred to in the second indent of Article                        30(2) of this Regulation. Those implementing acts shall be adopted in accordance with the examination procedure referred to                        in Article 34(2).                  

### Article 28U.K.State aid for tobacco production

Spain is authorised to award aid concerning the production of tobacco in the Canary Islands. The granting of this aid may                     not result in discrimination between producers in the islands.                  

The amount of the aid may not exceed EUR 2 980,62 per tonne. The additional aid shall be granted for up to 10 tonnes each                     year.                  

### Article 29U.K.Exemption of tobacco from customs duties

1.No customs duties shall be applied to direct imports into the Canary Islands of raw and semi-manufactured tobacco falling,                        respectively, within:                  

(a)CN code 2401; and                  

(b)the following subheadings:                  
          -  (b)2401 10 Tobacco, not stemmed/stripped, 
          -  2401 20 Tobacco, partly or wholly stemmed/stripped, 
          -  ex 2401 20 Outer coverings for cigars presented on supports, in reels for the manufacture of tobacco, 
          -  2401 30 Tobacco waste, 
          -  ex 2402 10 Unfinished cigars without wrapping, 
          -  ex 2403 10 Cigarette rag (finished mixtures of tobacco for the manufacture of cigarettes, cigars, cheroots and cigarillos), 
          -  ex 2403 91 Homogenised or reconstituted tobacco, whether or not put up in sheets or strips, 
          -  ex 2403 99 Expanded tobacco. 

The exemption provided for in the first subparagraph is granted by means of the certificates referred to in Article 12.

This exemption applies to the products referred to in the first subparagraph, meant to be processed in the Canary Islands                     in order to produce manufactured products ready for smoking, subject to an annual import limit of 20 000 tonnes of raw stripped                     tobacco equivalent.                  

2.The Commission shall adopt implementing acts regarding the measures necessary to implement paragraph 1 and more specifically                        the measures for introducing the exemption from import duties in respect of tobacco in the Canary Islands. Those implementing                        acts shall be adopted in accordance with the examination procedure referred to in Article 34(2).                  

## CHAPTER VIU.K.**FINANCIAL PROVISIONS**

### Article 30U.K.Financial resources

1.The measures provided for in this Regulation shall constitute intervention intended to stabilise the agricultural markets                        within the meaning of Article 3(1)(b) of Council Regulation (EC) No 1290/2005 of 21 June 2005 on the financing of the common                        agricultural policy(14), with the exception of the measures provided for in:                  

(a)Article 22; and                  

(b)Article 24, from the date of application of the multiannual financial framework for the years 2014-2020.                  

2.In respect of each financial year, the Union shall finance the measures provided for in Chapters III and IV, up to an annual                        sum equivalent to:                  

:

EUR 278,41 million

:

EUR 106,21 million

:

EUR 268,42 million

3.The sums allocated for each financial year to finance the measures provided for in Chapter III may not exceed the following                        amounts:                  

:

EUR 26,9 million

:

EUR 21,2 million

:

EUR 72,7 million

The Commission shall adopt implementing acts establishing the requirements in accordance with which Member States may amend                     the allocation of resources allocated each year to the various products benefiting from the specific supply arrangements.                     Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 34(2).                  

4.The Commission shall be empowered to adopt delegated acts, in accordance with Article 33, concerning the conditions for determining                        the annual maximum amount which may be allocated to measures for financing studies, demonstration projects, training and technical                        assistance, provided that such allocation is reasonable and proportionate.                  

5.For the financial year 2013, the Union shall grant an additional financing for the banana sector of the outermost regions                        up to the maximum amounts as follows:                  

:

EUR 18,52 million

:

EUR 1,24 million

:

EUR 20,24 million

## CHAPTER VIIU.K.**GENERAL AND FINAL PROVISIONS**

### Article 31U.K.National measures

Member States shall take the measures necessary to ensure compliance with this Regulation, particularly as regards checks                     and administrative penalties, and shall inform the Commission thereof.                  

### Article 32U.K.Communications and reports

1.Member States shall communicate to the Commission not later than 15 February each year the appropriations made available to                        them which they intend to spend in the following year on implementation of the forecast supply balance and for each measure                        promoting local agricultural production included in the POSEI programmes.                  

2.Member States shall submit to the Commission, not later than 30 September each year, a report on the implementation of the                        measures provided for in this Regulation over the previous year.                  

3.By 30 June 2015, and thereafter every five years, the Commission shall submit a general report to the European Parliament                        and to the Council showing the impact of the action taken under this Regulation, including in the banana and milk sectors,                        accompanied, if applicable, by appropriate proposals.                  

4.The Commission shall include a specific chapter in the analyses, studies and assessments it carries out in the context of                        trade agreements and the common agricultural policy for any topic in which the outermost regions have a particular interest.                  

### Article 33U.K.Exercise of the delegation

1.The power to adopt delegated acts shall be conferred on the Commission subject to the conditions laid down in this Article.                  

2.The power to adopt delegated acts referred to in the second subparagraph of Article 12(2), the third subparagraph of Article                        19(4), Article 21(3), the first subparagraph of Article 26(4), the second subparagraph of Article 27(2) and Article 30(4)                        shall be conferred on the Commission for a period of five years from 21 March 2013. The Commission shall draw up a report                        in respect of the delegation of power not later than nine months before the end of the five-year period. The delegation of                        power shall be tacitly extended for periods of an identical duration, unless the European Parliament or the Council opposes                        such extension not later than three months before the end of each period.                  

3.The delegation of power referred to in the second subparagraph of Article 12(2), the third subparagraph of Article 19(4),                        Article 21(3), the first subparagraph of Article 26(4), the second subparagraph of Article 27(2) and Article 30(4) may be                        revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation                        of the power specified in that decision. It shall take effect the day following the publication of the decision to revoke                        in the *Official Journal of the European Union* or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.                  

4.As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the                        Council.                  

5.The delegated acts adopted pursuant to the second subparagraph of Article 12(2), the third subparagraph of Article 19(4),                        Article 21(3), the first subparagraph of Article 26(4), the second subparagraph of Article 27(2) and Article 30(4) shall enter                        into force only if no objection has been expressed by either the European Parliament or the Council within a period of two                        months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the                        European Parliament and the Council have both informed the Commission that they do not intend to raise any objections. That                        period shall be extended by two months at the initiative of the European Parliament or of the Council.                  

### Article 34U.K.Committee procedure

1.The Commission shall be assisted by the Management Committee for Direct Payments established by Article 141 of Regulation                        (EC) No 73/2009, except for the implementation of Article 24 of this Regulation, for which the Commission shall be assisted                        by the Standing Committee on Plant Health established by Council Decision 76/894/EEC(15). Those Committees are committees within the meaning of Regulation (EU) No 182/2011.                  

2.Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.                  

### Article 35U.K.Review

The Commission shall review these arrangements before the end of 2013, in view of their overall effectiveness and the new                     CAP policy framework, and if necessary come forward with appropriate proposals for a revised POSEI scheme.                  

### Article 36U.K.Repeal

Regulation (EC) No 247/2006 is hereby repealed.

References made to the repealed Regulation shall be construed as being made to this Regulation and shall be read in accordance                     with the correlation table set out in the Annex.                  

### Article 37U.K.Entry into force

This Regulation shall enter into force on the day following that of its publication in the *Official Journal of the European Union*.                  

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Strasbourg, 13 March 2013.

*For the European Parliament*                            

*The President*                            

M. Schulz                            

*For the Council*                            

*The President*                            

L. Creighton                            

## ANNEXU.K.

### **Correlation table**

1

OJ C 107, 6.4.2011, p. 33.                           

2

Position of the European Parliament of 5 February 2013 (not yet published in the Official Journal) and decision of the Council                              of 25 February 2013.                           

3

OJ L 42, 14.2.2006, p. 1.                           

4

OJ L 299, 16.11.2007, p. 1.                           

5

OJ L 277, 21.10.2005, p. 1.                           

6

OJ L 30, 31.1.2009, p. 16.                           

7

OJ L 55, 28.2.2011, p. 13.                           

8

OJ L 155, 18.6.2009, p. 30.                           

9

OJ L 256, 7.9.1987, p. 1.                           

10

OJ L 114, 26.4.2008, p. 3.                           

11

OJ L 316, 2.12.2009, p. 65.                           

12

OJ L 214, 4.8.2006, p. 7.                           

13

OJ L 169, 10.7.2000, p. 1.                           

14

OJ L 209, 11.8.2005, p. 1.                           

15

OJ L 340, 9.12.1976, p. 25.