COUNCIL REGULATION (EC) No 1493/1999
of 17 May 1999
on the common organisation of the market in wine
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European Community, and in particular Articles 36 and 37 thereof,
Having regard to the proposal from the Commission(1),
Having regard to the opinion of the European Parliament(2),
Having regard to the opinion of the Economic and Social Committee(3),
Having regard to the opinion of the Committee of the Regions(4),
Whereas:
(1) the operation and development of the common market in agricultural products should be accompanied by the establishment of a common agricultural policy to include in particular a common organisation of agricultural markets which may take various forms depending on the product;
(2) the aim of the common agricultural policy is to attain the objectives set out in Article 33 of the Treaty and in particular, in the wine sector, to stabilise markets and ensure a fair standard of living for the agricultural community concerned; these objectives may be attained by adjusting resources to needs, in particular through the pursuit of a policy for the adaptation of wine-growing potential and a quality policy;
(3) the existing framework of the common organisation of the market in wine was established by Regulation (CEE) No 822/87(5), as last amended by Regulation (EC) No 1627/98(6); in the light of experience it would be appropriate to replace it in order to address the current situation in the wine sector, which is typified by the fact that, while structural surpluses are less frequent, surpluses on a multiannual basis are still possible, however, in particular owing to the sector's inherent potential for dramatic fluctuations in production from one harvest to the next;
(4) the implementation of the Uruguay Round agreements in 1995 has resulted both in a more open Community market in which traditional intervention measures have now lost much of their potential impact, and in less scope for subsidised exports, which means that Community producers need to improve their competitive performance; the majority of exports are already being effected without subsidy;
(5) the most significant market problem currently facing certain parts of the Community wine sector is their limited ability to adapt sufficiently rapidly to competitive changes on both the internal and external market; the existing common organisation of the market has failed to offer solutions for wine-growing areas where production is clearly unable to find a remunerative market; there has been insufficient flexibility for those areas with expanding markets to allow scope for development;
(6) in 1994 the Commission presented a proposal for the reform of the common organisation of the market in wine which was not, however, adopted; the market situation has changed since that proposal was made;
(7) there should therefore be a reform of the common organisation of the market in wine to guarantee the necessary flexibility to adapt smoothly to new developments with the following broad aims: maintaining improved balance between supply and demand on the Community market; enabling the sector to become more competitive in the longer term; eliminating the availablility of intervention as an artificial outlet for surplus production; supporting the wine market and hence facilitating the continuation of supplies of wine distillates to those parts of the potable alcohol sector which traditionally use that alcohol; accommodating regional diversity; and formalising the potential role of producer organisations and sectoral organisations;
(8) Regulation (EEC) No 822/87 was supplemented and implemented by Regulations (EEC) No 346/79(7), (EEC) No 351/79(8), as last amended by Regulation (EEC) No 1029/91(9), (EEC) No 460/79(10), as last amended by Regulation (EEC) No 3805/85(11), (EEC) No 465/80(12), as last amended by Regulation (EEC) No 1597/83(13), (EEC) No 457/80(14), (EEC) No 458/80(15), as last amended by Regulation (EEC) No 596/91(16), (EEC) No 1873/84(17), as last amended by Regulation (EC) No 2612/97(18), (EEC) No 895/85(19), as last amended by Regulation (EEC) No 3768/85(20), (EEC) No 823/87(21), as last amended by Regulation (EC) No1426/96(22), (EEC) No 1442/88(23), as last amended by Regulation (EC) No 859/199(24), (EEC) No 3877/88(25), (EEC) No 4252/88(26), as last amended by Regulation (EC) No 1629/98(27), (EEC) No 2046/89(28), as last amended by Regulation (EC) No 2468/96(29), (EEC) No 2048/89(30), (EEC) No 2389/89(31), as last amended by Regulation (EC) No 2088/97(32), (EEC) No 2390/89(33), as last amended by Regulation (EC) No 2611/97(34), (EEC) No 2391/89(35), (EEC) No 2392/89(36), as last amended by Regulation (EC) No 1427/96(37), (EEC) No 3677/89(38), as last amended by Regulation (EC) No 2796/94(39), (EEC) No 3895/91(40), (EEC) No 2332/92(41), as last amended by Regulation (EC) No 1692/98 and (EEC) No 2333/92(42), as last amended by Regulation (EC) No 1429/96(43); those Regulations have been substantially amended several times; since further amendments are to be made, they should be recast in the interest of clarity, in a single text;
(9) Regulation (EEC) No 822/87 made provision for the Council to lay down general rules for its application; this created a complex structure of layers of legislation; the aforementioned Regulations contained a large amount of technical detail which required frequent amendment; this Regulation should therefore, in general, contain all the necessary guidance for its application; the Council should confer all necessary implementing powers on the Commission in accordance with Article 211 of the Treaty;
(10) the rules governing the common organisation of the market in wine are extremely complex; in some cases they do not take sufficient account of regional diversity; as far as possible the rules should therefore be simplified and policy developed and implemented as close as possible to the producer within a Community framework;
(11) to capitalise on and consolidate the improved market balance, and to better align supply on demand for different types of product, there should be a framework of measures on the management of wine-growing potential, to include restrictions on planting in the medium term, premiums for the permanent abandonment of wine-growing and support for the restructuring and conversion of vineyards;
(12) structural measures not directly related to the production of wine should fall within the scope of Council Regulation (EC) No 1257/1999 of 17 May 1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund (EAGGF) and amending and repeating certain Regulations(44); measures related to promotion make an important contribution to the sector's competitive performance and notably the promotion of Community wine on third-country markets should be stimulated; however, in order to ensure consistency with the general promotion policy of the Community, measures related to the wine sector should fall within the scope of horizontal rules on this matter; for this purpose, the Commission has submitted a proposal for a Regulation on measures to promote and provide information on agricultural products in third countries(45);
(13) market balance has improved, albeit in a relatively slow and difficult manner; whereas the existing restrictions on planting have shown themselves to be the essential component in this achievement; in the light of experience it does not seem possible to use any other measures to capitalise on and consolidate the improved market balance; it therefore seems necessary to control the use of producers' property in this manner in accordance with the general interest;
(14) existing restrictions on planting should therefore remain in place for a period limited in the medium term so as to allow the full range of structural measures to take effect, and thus any planting of vines for wine production should be prohibited until 31 July 2010 unless otherwise permitted under this Regulation;
(15) the existing permission for new planting of areas intended for graft nurseries, land consolidation and compulsory purchase as well as wine-growing experiments has shown itself not to unduly disturb the wine market and should therefore be continued subject to the necessary controls; for similar reasons, it should also be possible to plant vines, the production of which is intended for consumption by the wine-grower's family;
(16) the existing permission for new planting to produce a quality wine produced in specified regions (quality wine psr) and table wine described by reference to a geographical indications has proved to be a useful component of the quality policy which is designed to better align supply on demand; however, once a reserve system of planting rights is fully functional, this latter system should fulfil this objective; the existing permission should therefore be continued, subject to the necessary checks, for a transitional period until 31 July 2003, by which time the reserve system should be fully functional;
(17) the existing permission to replant vines is necessary to allow the normal renewal of exhausted vineyards; the existing system should therefore be maintained subject to the necessary checks; for greater flexibility the system should also permit, subject to the necessary checks, the acquisition and use of replanting rights before the related grubbing-up takes place; replanting rights acquired under prior Community or national legislation should be respected; furthermore, it should be possible to transfer replanting rights to another holding, subject to strict controls, provided that this transfer is in pursuit of quality or conerns the areas intended for graft nurseries or is connected with the transfer of part of the holding; in order to ensure the smooth running of the common organisation of the market, these transfers should be maintained within the same Member State;
(18) in order to improve the management of wine-growing potential and to promote the efficient use of planting rights and thus to further mitigate the effect of the restrictions on planting, a system of national or regional reserves should be set up:
(19) Member States should be given broad discretion in the management of the reserves, subject to the necessary controls, so as to permit them to better align the use of the rights to plant such reserves on local needs; this should include the opportunity to purchase planting rights, to fund the reserve and to sell planting rights from the reserve; to this end, Member States should be allowed not to apply the reserve system, provided that they can prove that they already have an efficient system of managing planting rights;
(20) the grant of specific benefits to young wine producers may facilitate not only their establishment but also the structural adjustment of their holdings after their initial establishment; such producers should therefore be eligible for the grant of rights from the reserves free of charge;
(21) to ensure that resources are used in the most efficient manner and to better align supply on demand, planting rights should be used by their holders within a reasonable time, or failing that, should be allocated or reallocated to the reserves; rights allocated to the reserves should be granted within a reasonable time for the same reasons;
(22) in the light of the improved market balance and the expanding world market, there may be justification for increasing planting rights which should be allocated to the Member States concerned and, in part, to a Community reserve for allocation which is dependent on additional market demand; this increase should be reduced by the extent to which new planting rights have been authorised for quality wines psr and table wines designated with a geographical indication;
(23) notwithstanding the existing restrictions on planting, areas have been planted in breach of those restrictions; the existing sanctions, which are designed to ensure that the products of such areas do not disrupt the wine market, have proved to be difficult to enforce; areas planted illegally should therefore be grubbed up; this requirement should be imposed in respect of all illegal planting which takes place after the proposal for this Regulation has been published, from which time producers should have been aware of the proposal to introduce the requirement;
(24) without prejudice to any existing national measures, for reasons of legal certainty it is not possible to impose at Community level the grubbing-up requirement on areas planted in breach of restrictions before the proposal for this Regulation has been published; for better control of wine-growing potential, during a fixed period Member States should therefore be able to regularise the position of such areas, subject to the necessary controls; a different treatment may be provided for as far as regularisation is concerned, depending on the details of the planting in question, in particular where such planting is liable to lead to an increase in production; the producer involved may be subject to appropriate administrative penalties should such a risk occur;
(25) Member States should be able to take account of local conditions and therefore be able to impose stricter rules in respect of new planting, replanting and grafting-on, where necessary;
(26) there are wine-growing areas whose production is not aligned on demand; to encourage a better alignment of the sector as a whole, the permanent abandonment of wine-growing in such areas should be encouraged; a premium should therefore be granted to this end; the management of such a premium should be left to Member States to administer, whithin a Community framework and subject to the necessary controls, so as better to target the premium on the regions concerned; in particular Member States should therefore be able to designate the regions concerned and set the levels of the premium, using objective criteria and whitin an overall ceiling;
(27) production in those Member States whose wine production is below 25000 hectolitres per year does not seriously affect the market balance; those Member States should therefore be exempt from the restrictions on planting but should not have access to the premium for permanent abandonment of wine-growing;
(28) there are other wine-growing areas where production is not aligned on demand, but where production could be better aligned through restructuring of vineyards by varietal conversion, relocation of vineyards or improvement of vineyard management techniques; there should therefore be support to this end subject to the necessary controls;
(29) to ensure that such restructuring and conversion are carried out in a controlled fashion, they should be planned; plans should be drawn up at a level as close as possible to the producer to ensure that regional diversity is taken into account; nevertheless, in order to ensure that the plans are in conformity with Community law, Member States should remain responsible in the last resort for those plans;
(30) restructuring and conversion have two main financial impacts on the producer, namely loss of earnings during the period of conversion and the costs of implementing those measures; the support should therefore cover both of these impacts; in the restructuring process there is a place for additional national measures within specified limits;
(31) it is desirable for a better management of wine-growing potential for an inventory of such potential to be compiled at Member State or at regional level; to encourage Member States to compile the inventory, access to the regularisation of unlawfully planted areas, the increase in planting rights and support for restructuring and conversion should be limited to those who have compiled the inventory; in the case of regional inventories, those regions which compiled the inventory should not be excluded from eligibility for the restructuring and conversion measures because other regions have not compiled an inventory; however, all the regional inventories must be completed by 31 December 2001;
(32) the classification of vine varieties for wine production is a task best carried out as close as possible to the producer; Member States should therefore take over this task from the Community;
(33) Council Regulation (EEC) No 2392/86 of 24 July 1986 establishing a Community vineyard register(46), as last amended by Regulation (EC) No 1631/98(47), should remain in force to enable those Member States who are still in the process of compiling it to complete the task; however, provision should be made for its subsequent amendment or repeal;
(34) in order to preserve market balance, provision should be made for aid for the private storage of table wine and types of grape must; the measure should be as flexible and responsive to market movements as possible; to this end, it should therefore be possible in particular to terminate its application at short notice;
(35) in order to eliminate the availability of intervention as an artificial outlet for surplus production there should be changes to the distillation system; there should therefore be the following forms of distillation: compulsory distillation of by-products of wine-making, compulsory distillation of wine produced from grapes not classified solely as wine grape varieties, a distillation measure to support the wine market by promoting continuity of supplies of wine distillates in parts of the potable alcohol sector which traditionally use that alcohol, and a crisis distillation measure; other forms of distillation should be abandoned; these measures should be as flexible as possible to respond to market needs and specific regional conditions;
(36) in view of the poor quality of wine obtained from overpressing, this practice should be prohibited and provision should be made, in order to prevent it, for the compulsory distillation of marc and lees; however, derogations from this obligation may be envisaged in order to take account of conditions of production in certain wine-growing regions; in addition, since the production and market structures in wine-growing zone A and in the German part of wine-growing zone B are able to ensure that the aims of the measure are achieved, producers in these regions should not be obliged to distill by-products of wine-making but to withdraw such by-products under supervision;
(37) the production of wine obtained from grapes not classified solely as wine-grapes varieties should be directed in the first instance towards traditional uses in the spirits sector and other traditional outlets; provisions should be made for the compulsory distillation of such wine produced in excess of the normal quantities directed towards such uses;
(38) certain parts of the potable alcohol sector constitute an important traditional outlet for wine distillates and other wine-based products; there should therefore be Community support for distillation of table wine and wine suitable for yielding table wine to supply this market, in the form of a primary aid paid for distillation of such wines and a secondary aid for storage of the resulting distillate;
(39) in order to deal with exceptional cases of market disturbance and serious quality problems, there should be a crisis distillation measure; the level and format of aid should be determined by the Commission to take account of specific situations, including cases where a noticeable fall in the market price for a category of wine has been noted; the measure should be voluntary for producers; if this measure is applied for three years in succession in respect of a particular category of wine (in a particular zone), the Commission should submit to the European Parliament and the Council a report and, where appropriate, proposals;
(40) the disposal of alcohol obtained by distillation should be carried out in such a manner as to afford greater transparency and control and to avoid disturbance of traditional markets for alcohol;
(41) the increase in the natural alcoholic strength by volume is not at present carried out under the same economic conditions by all Community producers on account of the various oenological practices allowed by this Regulation; in order to eliminate such discrimination, encouragement should be given to the use of vine products for enrichment, thereby increasing their outlets and helping to avoid wine surpluses; in order to achieve this, the prices of the various products for enrichment should be aligned; this result may be achieved by means of a system of aid for concentrated grape must and rectified concentrated grape must coming from certain regions and used for enrichment;
(42) it remains necessary, in order to achieve a more stable balance between production and use, to increase the use of vine products; intervention appears to be justified further back than table wine production, by encouraging the use of must for certain purposes other than wine-making by means of aid to ensure that Community wine products may maintain their traditional market outlets; the measure should be applied so as to avoid distortions of competition, taking into account traditional production methods;
(43) producers who have not fulfilled their obligations under compulsory distillation measures should not be allowed to benefit from any other intervention measures;
(44) provision should also be made for possible measures in the case of high prices on the Community market;
(45) given the special features of the market in wine, the formation of producers' organisations is likely to contribute to the attainment of the objectives of the common organisation of the market; Member States may recognise such organisations; the latter must be formed on a voluntary basis and must prove their utility through the scope and efficiency of the services offered by producer organisations to their members;
(46) in order to improve the operation of the market for quality wines psr and table wines with a geographical indication, Member States should be able to implement decisions taken by sectoral organisations; the scope of such decisions should exclude certain concerted practices; the Commission should ensure that such decisions conform with Community law; the sectoral organisations should perform certain tasks, taking into account consumers' interests;
(47) for health reasons and in pursuit of quality, authorised oenological processes and practices should be laid down at Community level, these being the only ones permitted for use in the manufacture of products covered by this Regulation; for similar reasons, only wine grape varieties should be used to produce wines for human consumption;
(48) in view of the fact that production conditions, in particular soil, terrain and climate, vary considerably from one Community wine-growing area to another, it is essential that such variations are taken into account with regard to oenological practices and processes; for reasons of simplicity and to facilitate the modifications based on experience and technological progress, certain technical limits and conditions connected with these practices and processes should be defined in the detailed rules of implementation; nevertheless, the limits concerning the levels of sulphur dioxide, sorbic acid and potassium sorbate should be laid down in this Regulation in view of their importance for health;
(49) provision should be made for authorised methods of analysis for wine-sector products;
(50) the description, designation and presentation of products covered by this Regulation can have significant effects on their marketability; this Regulation should therefore lay down rules in this connection which take into account the legitimate interests of consumers and producers and promote the smooth operation of the internal market and the production of quality products; the fundamental principles of these rules should provide for the obligatory use of certain terms so as to identify the product and provide consumers with certain important items of information and the optional use of other information on the basis of Community rules or subject to rules concerning the prevention of fraudulent practices;
(51) the rules concerning in particular designation should include provisions on the prevention of fraudulent practices, penalties at Community level to be applied in the event of improper labelling, use of languages, in particular when different alphabets are involved, and the use of brand names, especially when these could cause confusion amongst consumers;
(52) in view of the differences between products covered by this Regulation and their markets, and the expectations of consumers and traditional practices, the rules should be differentiated according to the products concerned, in particular as far as sparkling wine is concerned and according to their origin;
(53) rules should also be applied to the labelling of imported products, in particular to clarify their origin and to avoid any confusion with Community products;
(54) the right to use geographical indications and other traditional terms is a valuable one; the rules should therefore govern this right and provide for protection for these terms; to promote fair competition and so as not to mislead consumers, this protection may need to affect products not covered by this Regulation, including those not found in Annex I to the Treaty;
(55) bearing in mind the interests of consumers and the desirability of obtaining equivalent treatment for quality wine psr in third countries, provisions should be made so that reciprocal arrangements can be established whereby wines imported for direct human consumption and bearing a geographical description and marketed in the Community may enjoy these protection and control arrangements;
(56) in order to take account of the obligations arising, in particular, from Articles 23 and 24 of the Agreement on Trade-Related Aspects of Intellectual Property Righs, which forms an integral part of the Agreement establishing the World Trade Organisation approved by Decision 94/800/EC(48), provision should be made for the parties concerned to prevent, under certain conditions, the unlawful use of geographical designations protected by a third-country member of the WTO;
(57) the development of a policy of encouraging quality production in agriculture and especially in wine growing is bound to contribute to the improvement of conditions on the market and, as result, to an increase in outlets; the adoption of additional common rules which concern the production and control of quality wines psr falls within the framework of this policy and can contribute towards the attainment of those objectives;
(58) in order to maintain a minimum quality standard for quality wines psr, to avoid an uncontrollable expansion in the production of such wines, and to harmonise the provisions of the Member States so as to establish conditions of fair competition in the Community, a framework of Community rules should be adopted, governing the production and control of quality wines psr, with which the specific provisions adopted by the Member States will have to comply;
(59) taking into account traditional conditions of production, the nature and scope of the factors which enable each of the quality wines psr to be distinguished must be listed and defined; a common move to harmonise quality requirements should nevertheless be made; these factors should be: the demarcation of the area of production, vine varieties, cultivation methods, wine-making methods, minimum natural alcoholic strength by volume, yield per hectare and analysis and assessment of organoleptic characteristics; particular rules should be laid down for quality liqueur wines psr and quality sparkling wines psr given the particular nature of those products;
(60) experience has shown the need to draw up precise rules for reclassifying quality wines psr as table wines and to specify the cases in which the producer has the option of not requesting that a product appearing in his harvest or production declaration as a product suitable for yielding a quality wine psr be classified as a quality wine psr;
(61) in order to preserve the particular quality characteristics of quality wines psr, Member States should be allowed to apply additional or more stringent rules governing the production and movement of quality wines psr, in accordance with fair and traditional practices;
(62) the creation of a single Community market for wine involves the introduction of a single trading system at the external frontiers of the Community; a trading system including import duties and export refunds, in addition to the external market measures, should, in principle, stabilise the Community market; the trading system should be based on the undertakings accepted under the Uruguay Round of multilateral trade negotiations;
(63) in order to monitor the volume of trade in wine with third countries, provision should be made for a system of import and export licences for certain products, which includes the lodging of a security to guarantee that the transactions for which such licences are granted are effected;
(64) in order to prevent or counteract adverse effects on the Community market which could result from imports of certain agricultural products, imports of one or more such products should be subject to payment of an additional import duty, if certain conditions are fulfilled;
(65) it is appropriate, under certain conditions, to confer on the Commission the power to open and administer tariff quotas resulting from international agreements concluded in accordance with the Treaty or from other acts of the Council;
(66) provisions for granting a refund on exports to third countries, based on the difference between prices within the Community and on the world market, and falling within the WTO Agreement on Agriculture(49), should serve to safeguard Community participation in international trade in wine; these refunds should be subject to limits in terms of quantity and value;
(67) compliance with the value limits should, when refunds are fixed, be ensured through the monitoring of payments under the rules relating to the European Agricultural Guidance and Guarantee Fund; monitoring can be facilitated by the compulsory advance fixing of refunds, while allowing the possibility, in the case of differentiated refunds, of changing the specified destination within a geographical area to which a single refund rate applies; in the case of a change of destination, the refund applicable to the actual destination should be paid, with a ceiling on the amount applicable to the destination fixed in advance;
(68) ensuring compliance with the quantity limits calls for the introduction of a reliable and effective system of monitoring; to that end, the granting of refunds should be made subject to an export licence; refunds should be granted up to the limits available, depending on the particular situation of each product concerned; exceptions to that rule should only be permitted in the case of food-aid operations, which are exempt from any limit; monitoring of the quantities exported with refunds during the marketing years as referred to in the WTO Agreement on Agriculture should be carried out on the basis of export licences issued for each marketing year;
(69) in addition to the system described above, and to the extent necessary for its proper working, provision should be made for regulation or, when the situation on the market so requires, prohibiting the use of inward-processing arrangements;
(70) the customs duty system makes it possible to dispense with all other protective measures at the external frontiers of the Community; however, the internal market and duty mechanism could, in exceptional circumstances, prove defective; in such cases, so as not to leave the Community market without defence against any disturbances which may arise therefrom, the Community should be able to take all necessary measures without delay; those measures should be in accordance with the obligations derived from the relevant WTO agreements;
(71) products imported from third countries should be subject to rules on certain product specifications which ensure a measure of balance with Community definitions of wines; they should also comply with any rules laid down in their country of origin and be accompanied by an analysis report in appropriate circumstances;
(72) it should be provided that all the products covered by this Regulation should be furnished with an accompanying document when circulating within the Community;
(73) the establishment of a single market would be jeopardised by the granting of certain aids; the provisions of the Treaty which allow the assessment of aids granted by Member States and the prohibition of those which are incompatible with the common market should therefore apply in the common market organisation for wine; the provisions on premiums for the permanent abandonment of wine-growing should not of themselves preclude the granting of national aid for the same ends;
(74) given the necessary complexity of the rules in the wine sector, Member States' authorities should be responsible for ensuring compliance; the Commission should itself be able to monitor and ensure such compliance through its own inspectors collaborating with Member States' authorities;
(75) it is necessary that, as the common market in wine develops, the Member States and the Commission should keep each other supplied with the information necessary for applying this Regulation; producers of grapes for wine-making, must and wine should make a harvest declaration since this information is necessary; Member States should be able to request further information from producers; the Commission should be permitted to use external assistance when assessing any data;
(76) in order to facilitate implementation of the proposed measures, a procedure should be provided for establishing close cooperation between Member States and the Commission within a management committee;
(77) expenditure incurred by the Member States as a result of the obligations arising out of the application of this Regulation should be financed by the Community in accordance with Council Regulation (EC) No 1258/1999 on the financing of the common agricultural policy(50);
(78) the common organisation of the market in wine should take appropriate account, at the same time, of the objectives set out in Articles 33 and 131 of the Treaty;
(79) the common organisation of the market in wine should also be applied in the light of the agreements concluded under Article 300(2) of the Treaty, in particular those forming a part of the Agreement establishing the World Trade Organisation, notably that on technical barriers to trade;(51)
(80) the change from the arrangements in Regulation (EC) No 822/87 and the other Regulations in the wine sector to those in this Regulation could give rise to difficulties which are not dealt with in this Regulation; in order to deal with that eventuality, provision should be made for the Commission to adopt the necessary transitional measures; the Commission should also be authorised to solve specific practical problems,
HAS ADOPTED THIS REGULATION:
TITLE I
SCOPE
Article 1
1. The common organisation of the market in wine shall comprise rules governing wine-production potential, market mechanisms, producer organisations and sectoral organisations, oenological practices and processes, description, designation, presentation and protection, quality wine psr, and trade with third countries.
2. It shall apply to the following products:
>TABLE>
3. Definitions of the terms used in this Regulation for products shall be set out in Annex I, terms concerning alcoholic strengths in Annex II and wine-growing zones in Annex III. Detailed rules for the implementation of those Annexes may be adopted in accordance with the procedure laid down in Article 75.
4. The wine production year for the products covered by this Regulation (hereinafter referred to as the "wine year") shall begin on 1 August each year and end on 31 July of the following year.
TITLE II
PRODUCTION POTENTIAL
CHAPTER I
PLANTING OF VINES
Article 2
1. Planting with vines of wine grape varieties classified pursuant to Article 19(1) shall be prohibited until 31 July 2010 unless carried out pursuant to:
(a) a new planting right, as referred to in Article 3;
(b) a replanting right, as referred to in Article 4; or
(c) a planting right granted from a reserve, as referred to in Article 5 or in Article 6(1) in the case of the application of Article 5(8).
Until the same date, grafting of wine grape varieties on to varieties other than wine grape varieties shall also be prohibited.
2. Grapes obtained from areas:
(a) where vines have been planted before 1 September 1998, and
(b) whose production, according to Articles 6(3) or 7(4) of Regulation (EEC) No 822/87, could only be disposed of by distillation,
may not be used for producing wine which is to be marketed. Products made from such grapes may be put into circulation only for the purposes of distillation. However, these products may not be used in the preparation of alcohol having an actual alcoholic strength by volume of 80 % vol or less.
3. Where a Member State has compiled the inventory of wine production potential in accordance with Article 16, it may derogate from paragraph 2 of this Article. Such a derogation shall be granted by 31 July 2002 and shall involve permission being granted for the areas concerned to produce wine which is to be marketed.
The derogation shall be granted:
(a) where the producer concerned had previously grubbed up other vines on an equivalent area in terms of pure crop except in cases where the grower concerned has received a premium for grubbing-up under Community or national legislation in respect of the area concerned; and/or
(b) by permitting the use of replanting rights where a producer has obtained them within a period to be fixed subsequent to the planting of the area concerned; Member States may also use the newly created planting rights for this purpose under Article 6(1); and/or
(c) where the Member State can prove (to the satisfaction of the Commission) that it has unclaimed replanting rights which would still be valid if they had been applied for; such rights may be used and reallocated to producers for an area equivalent in pure crop; and/or
(d) where the producer concerned had undertaken to grub up an area equivalent in terms of pure crop, within a period of three years, where that area has been entered in the Vineyard Register of the Member State concerned.
4. Where paragraph 3(a) or (c) is applied, Member States shall impose an appropriate administrative penalty on the producers concerned.
5. Paragraph 3(c) may only be used in respect of an area no greater than the limit of 1,2 % of the area under vines.
6. Where paragraph 3(b) is applied:
(a) where the grower obtains the rights from a reserve, these may only be obtained under Article 5(3)(b) and he shall pay 150 % of the price normally charged by Member States under that provision, or
(b) where the grower purchases a replanting right, this shall cover the area concerned, plus 50 %, which latter amount shall be transferred to the reserve or the reserves in accordance with Article 5 or added to the volume of newly created planting rights in Article 6(1) where Article 5(8) is applied.
7. Areas planted with vines of wine grape varieties classified pursuant to Article 19(1):
(a) planted from 1 September 1998 whose production according to Articles 6(3) or 7(4) of Regulation (EEC) No 822/87 could only be disposed of by distillation, or
(b) planted in breach of the prohibition on plantings in paragraph 1,
shall be grubbed up. The expenses of such grubbing up shall be borne by the producer concerned. Member States shall take the measures necessary to ensure that this paragraph is applied.
Article 3
1. Member States may grant new planting rights to producers in respect of areas:
(a) intended for new planting carried out under measures for land consolidation or measures concerning compulsory purchases in the public interest adopted under national legislation,
(b) intended for wine-growing experiments, or
(c) intended for graft nurseries.
Member States may also grant new planting rights in respect of areas whose wine or vine products are intended solely for the consumption of the vine grower's family.
2. Member States may also grant new planting rights no later than 31 July 2003 for areas for the production of a quality wine prs or a table wine described by means of a geographical indication where it has been recognised that, owing to its quality, the production of the wine in question is far below demand.
3. New planting rights shall be used by the producer to whom they were granted, in respect of the areas and for the purposes for which they were granted.
4. New planting rights shall be used before the end of the second wine year after the one in which they were granted. New planting rights other than those referred to in paragraph 1 not so used during this period shall be allocated to a reserve in accordance with Article 5(2)(a).
5. New planting rights other than those referred to in paragraph 1 may only be granted to producers within the quantities set out in Article 6(1). To this end:
(a) prior to the allocation of the newly created planting rights referred to in Article 6 to a reserve or reserves, Member States shall ensure that the grant of new planting rights does not reduce the volume of the newly created planting rights in Article 6(1) to a value less than zero; and
(b) once a Member State has allocated the newly created planting rights referred to in Article 6 to a reserve or reserves, the subsequent granting of a new planting right shall mean that a planting right corresponding to an equal area in terms of pure crop allocated to the reserve or reserves related to the region in question shall be extinguished. Should sufficient planting rights not be available in the reserve or reserves concerned, the grant of new planting rights may not take place.
Article 4
1. Replanting rights shall be:
(a) replanting rights granted under paragraph 2; or
(b) similar rights acquired under prior Community or national legislation.
2. Member States shall grant replanting rights to producers who have grubbed up an area of vines. Member States may grant replanting rights to producers who untertake to grub up an area of vines, before the end of the third year after which the area was planted. The replanting rights shall be for an area equivalent in terms of pure crop to that from which vines have been or are to be grubbed up.
3. Replanting rights shall be exercised on the holding in respect of which they were granted. Member States may further stipulate that such replanting rights may be exercised only on the area where the grubbing-up was carried out.
4. By way of derogation from paragraph 3, replanting rights may be transferred, in whole or in part, to another holding in the same Member State where:
(a) part of the holding concerned is transferred to that other holding. In this case, the right may be used on an area on the latter holding no greater than the area transferred; or
(b) areas on that other holding are intended for:
(i) the production of quality wines psr or table wines which are described by means of a geographical indication, or
(ii) for the cultivation of graft nurseries.
The rights may only be used in respect of the areas and for the purposes for which they were granted.
Member States shall ensure that the application of these derogations shall not lead to an overall increase in production potential on their territory, in particular when transfers are made from non-irrigated to irrigated areas.
5. Replanting rights acquired under this Regulation shall be used before the end of the fifth wine year after the end of the one during which the grubbing-up took place. By way of derogation, this period may be extended by Member States to up to eight wine years. Replanting rights not used during this period shall be allocated to a reserve pursuant to Article 5(2)(a).
Article 5
1. In order to improve the management of production potential, at a national and/or regional level, Member States shall create a national reserve, and/or as the case may be, regional reserves, of planting rights.
2. The following shall be allocated to the reserve or reserves:
(a) new planting rights, replanting rights and planting rights granted from the reserve which are not used within the time limits laid down respectively in Article 3(4), Article 4(5) and paragraph 6 of this Article;
(b) replanting rights allocated to the reserve by producers who hold such rights, where necessary in return for a payment from national funds, the amount of which, and any other detail of which, shall be determined by the Member States taking into account the legitimate interests of the parties;
(c) newly created planting rights, as referred to in Article 6.
3. Member States may grant the rights allocated to the reserve:
(a) without payment, to producers who are under 40 years of age, who possess adequate occupational skill and competence, who are setting up for the first time on a wine-producing holding and who are established as the head of the holding; or
(b) against payment into national and, if appropriate, regional funds, to producers who intend to use the rights to plant vineyards whose production has an assured outlet. The Member States shall define the criteria for setting the amounts of the payment which may vary depending on the final intended product of the vineyards concerned.
4. Member States shall ensure that the location where planting rights granted from a reserve are used, the varieties used and the cultivation techniques used guarantee that the subsequent production is adapted to market demand and that the yields concerned are typical of the average in the region where such rights are used, in particular, where planting rights originating in non-irrigated areas are used in irrigated areas.
5. Planting rights allocated to a reserve may be granted from it no later than the end of the fifth wine year following the one during which they were allocated to it. Planting rights not granted by that time shall be extinguished.
6. Planting rights granted from a reserve shall be used before the end of the second wine year after the one in which they were granted. Planting rights granted from a reserve not so used during this period shall be allocated to a reserve under paragraph 2(a).
7. When a Member State creates regional reserves, it may lay down rules permitting the transfer of planting rights between regional reserves. If regional and national reserves coexist in the same Member State, transfers between such transfers may also be permitted.
The transfers referred to in this paragraph may be subject to a reduction coefficient.
8. By way of derogation fram paragraphs 1 to 7, a competent authority of a Member State may choose not to implement the reserve system provided that the Member State can prove that an effective system for managing planting rights exists throughout its territory. That system may, where necessary, derogate from the relevant provisions of this Chapter. Where a Member State has such a system, replanting rights as referred to in the first sentence of Article 4(5) shall be extended by five wine years. The second sentence of Article 4(5) shall remain applicable.
Article 6
1. The newly created planting rights, including the new planting rights granted by the Member States under Article 3(2), shall be allocated as follows:
(a) Germany: 1534 ha
Greece: 1098 ha
Spain: 17355 ha
France: 13565 ha
Italy: 12933 ha
Luxembourg: 18 ha
Austria: 737 ha
Portugal: 3760 ha
(b) Community reserve: 17000 ha.
2. The newly created planting rights may only be allocated to a reserve or used under Article 2(3)(b) where the Member State has compiled the inventory of production potential in accordance with Article 16.
3. The allocation of the newly created planting rights referred to in paragraph 1 to a reserve or their use under Article 2(3)(b) may only take place once.
Article 7
1. The following definitions shall apply to this Chapter:
(a) grubbing-up means the complete elimination of all vine stocks on a plot planted with vines;
(b) planting means the definitive establishment of vine plants or parts of vine plants, whether or not grafted, with a view to producing grapes or to establishing a graft nursery;
(c) planting rights means the right to plant vines under a new planting right, a replanting right, a planting right granted from a reserve or a newly created planting right in accordance with the conditions laid down respectively in Articles 3, 4, 5 and 6;
(d) replanting right means the right to plant vines for an area equivalent in terms of pure crop to that from which vines have been grubbed up or are to be grubbet up in accordance with the conditions laid down in Article 4 and Article 5(8);
(e) grafting-on (surgreffage) means the grafting of a vine which has already been the subject of a previous grafting.
2. Detailed rules for the application of this Chapter shall be adopted in accordance with the procedure laid down in Article 75.
These rules may in particular include:
- the provisions governing the distillation of the products referred to in Article 2(7),
- provisions to avoid excessive administrative charges when applying the provisions of this Chapter,
- recognition referred to in Article 3(2)
- the coexistence of vines pursuant to Article 4(2),
- the application of the reduction coefficient referred to in Article 5(7),
- the operation of the Community reserve referred to in Article 6(1). In particular the rules may provide in the period up to 31 December 2003 for the allocation of newly created planting rights from the Community reserve to Member States for use in regions where it can be shown that there is additional need which could be met by the allocation of those newly created planting rights,
- provisions to ensure that the new planting rights granted in accordance with Article 3(1) do not undermine the ban on new plantings in Article 2(1).
3. By 31 December 2003, and at three-yearly intervals from the date, the Commission shall submit a report to the European Parliament and the Council on the operation of this Chapter. The report may be accompanied, if appropriate, by proposals for the grant of further newly created planting rights.
CHAPTER II
ABANDONMENT PREMIUMS
Article 8
1. A premium may be granted in return for the permanent abandonment of vine-growing on a particular area.
The premium may be granted, subject to the provisions of this Chapter, to producers of cultivated vine-growing areas for the production of wine grapes. The area concerned shall not be less than 10 acres.
2. Member States may designate in which areas, if any, the premium may the granted. They may also subject the designation to conditions, including those intended to ensure a balance between production and ecology in the regions concerned.
3. The grant of the premium shall cause the producer to forfeit any replanting rights in respect of the area for which the premium is granted.
4. Member States shall fix the level of the premium per hectare, taking into account:
(a) the agricultural yield or production capacity of the holding,
(b) the method of production,
(c) the area concerned in comparison with the area of the holding,
(d) the type of wine produced,
e) the existence of associated cultivation.
5. The level of the premium shall not exceed levels to be laid down.
Article 9
The following shall not qualify for the premium:
(a) cultivated wine-growing areas in respect of which infringements of Community or national provisions regarding planting have been recorded during a period to be determined which shall not exceed 10 wine years;
(b) wine-growing areas which are no longer tended;
(c) wine-growing areas which were planted during a period to be determined which shall not exceed to wine years;
(d) wine-growing areas which have received financing for their restructuring and conversion during a period to be determined which shall not exceed to wine years.
Article 10
Detailed rules for the application of this Chapter shall be adopted in accordance with the procedure laid down in Article 75.
These rules may in particular include:
(a) the dates for the submission of applications and for the execution of grubbing-up;
(b) conditions for the grant of payments;
(c) the maximum levels of the premium referred to in Article 8(5);
(d) environmental considerations;
(e) laying down the periods referred to in Article 9.
CHAPTER III
RESTRUCTURING AND CONVERSION
Article 11
1. A system for the restructuring and conversion of vineyards is hereby established.
2. The objective of the system shall be the adaptation of production to market demand.
3. The system shall cover one or more of the following measures:
(a) varietal conversion, including by means of grafting-on;
(b) relocation of vineyards;
(c) improvements to vineyard management techniques related to the objective of the system.
The system shall not cover the normal renewal of vineyards which have come to the end of their natural life.
4. Only in those regions of a Member State in respect of which the Member State has compiled the inventory of production potential in accordance with Article 16 shall there be access to the system.
Article 12
Member States shall be responsible for restructuring and conversion plans, including, where appropriate, the approval of plans. Plans shall comply with the rules laid down in this Chapter and implementing legislation.
Article 13
1. Support for restructuring and conversion shall only be granted in relation to plans which have been drawn up and, where necessary, approved by Member States. Support shall take the following forms:
(a) compensation of producers for the loss of revenue due to implementation of the plan, and
(b) contribution to the costs of restructuring and conversion.
2. The compensation of producers for loss of revenue may take either of the following forms:
(a) permission for the coexistence of both old and new vines for a fixed period which shall not exceed three years, notwithstanding the provisions of Chapter I of this Title; or
(b) financial compensation, which shall be funded by the Community.
3. The Community contribution to the costs of restructuring and conversion shall not exceed 50 % of those costs. However, in regions classified as Objective 1 in accordance with Council Regulation (EC) No 1260/1999 of 21 June 1999 laying down general provisions on the Structural Funds(52), the Community contribution shall not exceed 75 %. Without prejudice to Article 14(4), Member States may not contribute to the cost in either case.
Article 14
1. The Commission shall make initial allocations to Member States per year on the basis of objective criteria taking into account particular situations and needs, and efforts to be undertaken in the light of the objective of the scheme.
2. Initial allocations shall be adapted in view of real expenditure and on the basis of revised expenditure forecasts submitted by the Member States taking into account the objetive of the scheme and subject to funds available.
3. Financial allocation between Member State shall take due account of the proportion of the Community vineyard area in the Member State concerned.
4. Where a financial allocation in respect of a certain number of hectares has been made to a Member State, that Member State may use that financial allocation in respect of a greater number of hectares than that allocated. In this context, the Member State may use national funds to increase the reduced amount per hectare up to the level of the original ceiling per hectare of the Community allocation.
Article 15
Detailed rules for the implementation of this Chapter shall be adopted according to the procedure laid down in Article 75.
These rules may in particular include:
(a) a minimum size for the vineyard concerned;
(b) provisions governing the use of replanting rights arising from the implementation of plans;
(c) provisions aiming to prevent an increase in production potential arising out of this Chapter;
(d) maximum amounts of support per hectare.
CHAPTER IV
INFORMATION AND GENERAL PROVISIONS
Article 16
1. The inventory of production potential shall contain the following information:
(a) the areas under vines classified as varieties for the production of wine pursuant to Article 19(1) on the territory of the Member State concerned:
(b) the varieties concerned;
(c) the total stock of existing planting rights;
(d) any national or regional provisions adopted pursuant to this Title.
2. A Member State may provide that the inventory may be drawn up on a regional basis. However, in this case, all regional inventories shall be drawn up by 31 December 2001. In accordance with the provisions of this Regulation, failure by a region to draw up the inventory shall not prevent the application of this Title in other regions of that Member State.
Article 17
1. The Commission may assess:
(a) the production of wine-sector products;
(b) the industrial use of these products;
(c) the consumption trends for wine and other wine-sector products which are consumable without further processing;
(d) any other factor which needs to be known for the purposes of managing the market or a system for adjusting supply.
2. When making these assessments, the Commission may use external assistance.
3. The Commission shall fund an independent study on the use of interspecific varieties. On the basis of this study it shall present by 31 December 2003 a report to the European Parliament and the Council accompanied, if appropriate, by proposals.
Article 18
1. Producers of grapes for wine-making and producers of must and wine shall declare each year the quantities produced from the last harvest. Member States may also require merchants of grapes for wine-making to declare each year the quantities marketed from the last harvest.
2. Producers of must and wine, and merchants other than retailers, shall declare each year their stocks of must and wine, whether from the current year's harvest or from the harvest of preceding years. Must and wine imported from third countries shall be stated separately.
Article 19
1. Member States shall classify vine varieties for the production of wine. All classified varieties shall belong to the specifies Vitis vinifera or come from a cross between this species and other species of the genus Vitis. The following varieties may not be included in the classification:
- Noah
- Othello
- Isabelle
- Jacquez
- Clinton
- Herbemont.
2. In their classification, Member States shall indicate the vine varieties suitable for the production of each of the quality wines psr produced in their territory. These varieties shall be of the species Vitis vinifera.
3. Only those vine varieties which are shown in the classification may be planted, replanted or grafted within the Community for the purpose of wine production. This restriction shall not apply to vines used for scientific research and experiments.
4. Areas planted with vine varieties for the purpose of wine production not entered in the classification shall be grubbed up, save where the production of those areas is intended exclusively for the consumption of the wine producer' family. Member States shall take the measures necessary to monitor this exception.
5. Where varieties are deleted from the classification, grubbing-up shall take place within 15 years of their deletion.
Article 20
The rules governing the Community vineyard register shall be those set out in Regulation (EEC) No 2392/86.
Article 21
Chapters I and II of this Title shall not apply in Member States where wine production does not exceed 25000 hectolitres per wine year. This production shall be calculated on the basis of the average production during the last five wine years.
Article 22
Member States may adopt more restrictive national rules in respect of the new planting or replanting of vines or grafting-on. They may require that the applications and information provided for in this Title be supplemented by other information necessary for monitoring the development of production potential.
Article 23
1. Detailed rules for the application of this Chapter shall be adopted in accordance with the procedure laid down in Article 75.
They may in particular deal with:
(a) the format and level of detail of the information required for the inventory referred to in Article 16;
(b) the management of the classification of vine varieties referred to in Article 19;
(c) the destination of products from grape varieties which do not figure in this classification.
2. Provisions for an accompanying document for vine vegetative multiplication materials and detailed rules for its application, including those concerned with control, may be adopted in accordance with the procedure laid down in Article 75.
3. Regulation (EEC) No 2392/86 may be amended or repealed in accordance with the procedure laid down in Article 75.
4. In accordance with the procedure laid down in Article 75, it shall be decided whether a Member State has compiled the inventory referred to in Article 16, and whether that decision should be revoked in appropriate circumstances, including where the Member State has failed to update the inventory as necessary.
TITLE III
MARKET MECHANISMS
CHAPTER I
PRIVATE STORAGE AID
Article 24
1. Aid shall be granted to producers for the private storage of:
(a) table wine;
(b) grape must, concentrated grape must and rectified concentrated grape must.
2. The aid shall be granted subject to the conclusion with intervention agencies, between 16 December and 15 February of the following year and on conditions to be determined, of a long-term storage contract.
3. Long-term storage contracts shall be concluded for a period which ends:
(a) at the earliest, for table wines, on 1 September following the date of conclusion, and for grape musts, concentrated grape musts and rectified concentrated grape musts, on 1 August following the date of conclusion;
(b) at the latest, on 30 November following the date of conclusion.
Article 25
1. The conclusion of storage contracts shall be subject to conditions relating in particular to the quality of the products in question.
2. For table wines, storage contracts shall contain provisions for the termination of aid payments and of the producer's corresponding obligations in respect of all or part of the quantities stored if market prices for the type of table wine concerned rise above a level to be fixed.
3. The amount of private storage aid may cover only technical storage costs and interest charges, both of which shall be fixed at a standard rate.
4. For concentrated grape musts, this amounts may be adjusted by a coefficient corresponding to the degree of concentration.
Article 26
1. Detailed rules for the application of this Chapter shall be adopted in accordance with the procedure laid down in Article 75.
These rules may in particular provide:
- for the fixing of the level, rate and coefficient referred to in Article 25,
- that long-term storage contracts for table wine may only be concluded for specific table wines,
- that grape musts which are the subject of a long-term storage contract may be converted, wholly or partially, into concentrated grape must or rectified concentrated grape must during the period of the contract,
- for rules concerning the application of the provision for the termination of aid payments as referred to in Article 25(2),
- that grape musts and concentrated grape musts intended for the manufacture of grape juice may not be the subject of a long-term storage contract,
- for the effective duration of contracts.
2. Under the procedure laid down in Article 75, it may be provided:
- that the private storage aid scheme shall not be applied if it is apparent from the market situation that the scheme is not justified,
- that the possibility of concluding further long-term storage contracts may be suspended at any time if this is justified by the market situation and in particular the rate at which contracts have already been concluded.
CHAPTER II
DISTILLATION
Article 27
1. The overpressing of grapes, whether or not crushed, and the pressing of wine lees shall be prohibited. The refermentation of grape marc for purposes other than distillation shall be prohibited.
2. Filtering and centrifuging of wine lees shall not be considered as pressing where:
(a) the products obtained are of sound, genuine and merchantable quality,
(b) the lees are not reduced to the dry state.
3. Any natural or legal person or group of persons, with the exception of the persons and groups referred to in paragraph 7, having made wine, shall be required to deliver for distillation all the by-products of that winemaking.
4. The quantity of alcohol contained in the by-products must be at least equal to 10 % in relation to the volume of alcohol contained in the wine produced if the wine has been made directly from grapes. Save in the case of derogations for technically justified cases, it may not be less than 5 % where the wine has been made by vinification of grape musts, partially fermented grape musts or new wines in fermentation. Should the relevant percentage not be reached, those subject to the obligation shall deliver a quantity of wine from their own production, thus ensuring attainment of that percentage.
Derogations may be made from paragraph 3 and the first subparagraph of this paragraph for categories of producers to be determined, for certain production regions and for wines subject to the distillation referred to in Article 28.
5. The delivery obligation set out in paragraph 3 may instead be satisfied by delivery of wine to a vinegar manufacturer.
6. Any natural or legal persons or groups of persons, with the exception of the persons and groups referred to in paragraph 7, who hold by-products of any processing of grapes other than vinification shall be required to deliver them for distillation.
7. Any natural or legal persons or groups of persons who process grapes harvested in wine-growing zone A or in the German part of wine-growing zone B, or on areas planted with vines in Austria shall be required to withdraw the by-products of such processing under supervision and subject to conditions to be determined.
8. Those subject to the obligations referred to in paragraph 3 or to that referred to in paragraph 6 may discharge that obligation by the withdrawal of the by-products of vinification under supervision and subject to conditions to be determined.
9. The buying-in price of grape marc, wine lees and of wine delivered for distillation under this Article shall be EUR 0,995 per % vol/h.
10. The price paid by the distiller may not be lower than the buying-in price.
11. The distiller may either:
(a) receive aid in respect of the product to be distilled, provided that the product obtained by distillation has an alcoholic strength of at least 52 % vol; or
(b) deliver the product obtained by distillation to the intervention agency; provided that it has an alcoholic strength of at least 92 % vol.
If wine has been processed into wine fortified for distillation before delivery to the distiller, the aid referred to in (a) shall be paid to the manufacturer of the fortified wine and the product of the distillation may not be delivered to the intervention agency.
12. It may be decided that delivery of the alcohol to the intervention agency may be replaced by delivery to an operator who has submitted a tender in the framework of sales organised for the disposal of the products of distillation which has been accepted under the procedure referred to in Article 31(1).
13. Paragraphs 1 to 12 shall not apply to grape juice or concentrated grape juice or grape must or concentrated grape must intended for the preparation of grape juice.
Article 28
1. Where wine is produced from a grape variety listed in the classification for the same administrative unit as both a wine grape variety and a variety for use for another purpose, any wine which is produced in excess of the normal quantity and which is not exported during the wine year concerned shall be distilled by a date to be determined. Except by derogation, it may not be moved except to a distillery.
2. The quantity of wine normally produced shall be determined from:
(a) the quantities produced during a reference period to be determined;
(b) the quantities of wine put to traditional uses.
3. The buying-in price of wine delivered for distillation under this Article shall be EUR 1,34 per % vol; it may vary during a given wine year provided that the average for that wine year remains EUR 1,34 per % vol.
4. The price paid by the distiller may not be lower than the buying-in price.
5. The distiller may either:
(a) receive aid in respect of the product to be distilled, provided that the product obtained by distillation has an alcoholic strength of at least 52 % vol; or
(b) deliver the product obtained by distillation to the intervention agency, provided that it has an alcoholic strength of at least 92 % vol.
If wine has been processed into wine fortified for distillation before delivery to the distiller, the aid referred to in (a) shall be paid to the manufacturer of the fortified wine and the product of the distillation may not be delivered to the intervention agency.
6. It may be decided that delivery of the alcohol to the intervention agency may be replaced by delivery to an operator who has submitted a tender in the framework of sales organised for the disposal of the products of distillation which has been accepted under the procedure referred to in Article 31(1).
7. This Article shall apply notwithstanding Article 1(2).
Article 29
1. The Community may provide support for the distillation of table wines and wines suitable for yielding table wines in order to support the wine market and, as a consequence, facilitate the continuation of supplies of wine distillate to those parts of the potable alcohol sector, where the use of such alcohol is traditional.
2. The support shall take the form of a primary aid and a secondary aid paid to distillers.
3. The primary aid shall be paid on the basis of the volume of table wine and wine suitable for yielding table wine which is destilled.
4. The primary aid shall be implemented on the basis of a system of contracts concluded between distillers and wine producers. A minimum price to be paid by distillers to wine producers shall be determined; it may vary during a given wine year provided that the average for that wine year remains at least EUR 2,488 per % vol.
5. The level of primary aid shall reflect:
(a) the need for the average minimum price to be paid by distillers to wine producers in a given wine year to respect the level referred to in paragraph 4;
(b) the need to maintain supplies to traditional outlets in the potable alcohol sector at competitive prices.
6. The secondary aid shall take the form of a payment to cover reasonable storage costs of the resultant product. It shall serve to facilitate the operation of the primary aid system.
Article 30
1. There may be a crisis distillation measure if there is an exceptional case of market disturbance caused by serious surpluses and/or problems of quality.
2. The measure shall have as its objectives:the elimination of specific pockets of surplus;
(a) the elimination of specific pockets of surplus;
(b) the assurance of supply continuity from one harvest to another.
3. The measure shall be voluntary on the part of producers.
4. The measure may be limited to certain categories of wine or certain areas of production. The measure may be applied to quality wine psr only at the request of the Member State concerned.
5. A criterion for introducing the measure may be a demonstrable deterioration, over time, in the market price for a category of wine or for wines from certain areas of production.
6. Should the Community use this measure for three years in succession, for a particular type of wine (in a particular area), the Commission shall draw up a report to the European Parliament and the Council on the persistent crisis including, if appropriate, proposals.
Article 31
1. Alcohol taken over by the intervention agency shall be disposed of either by public auction or by a tendering process. When disposing of such alcohol, as far as possible, the authorities shall avoid affecting the market outlets for alcohol traditionally dependent on the existence of such outlets. It may not be disposed of into the sector of alcohol destined for comestible use.
2. However, it may be decided that if the supply of the part of that sector where the use of wine alcohol is compulsory is not assured by means of the operation of Articles 27, 28 and 29, such alcohol may be disposed of into that sector.
Article 32
1. For the wines made by producers who have increased the alcoholic strength by adding sucrose or must having benefited from the aid referred to in Article 34, the buying-in price fixed for each distillation, with the exception of that referred to in Article 27, shall be reduced within each wine-growing area by a similar flat-rate amount calculated on the basis of the level of the aid referred to in Article 34 and the increase in the alcoholic strength prescribed for the wine-growing area concerned.
2. At the request of the producer concerned, the reduction shall apply only within the limits of the quantities subject to the increased alcoholic strength referred to in paragraph 1.
Article 33
1. Detailed rules for the application of this Chapter shall be adopted in accordance with the procedure laid down in Article 75.
These rules may in particular include:
(a) the derogations referred to in this Chapter;
(b) in respect of Articles 27 and 28, the conditions under which distillation is to be carried out, the assessment of the volume of alcohol contained in the wine produced, the conditions under which products may be delivered to the intervention agency, and the buying-in prices of the products of distillation which can be taken over by the intervention agencies or the criteria for fixing these prices;
(c) the minimums standards to be met by marc and lees;
(d) the conditions under which withdrawal under supervision as referred to in Article 27(7) may be carried out;
(e) the quantities of wine normally produced as mentioned in Article 28(2);
(f) the detailed mechanism for applying the measure referred to in Article 30, including the products covered by it, and the flow of the products of the products of distillation in particular to avoid any disturbance of the market in alcohol and spirituous beverages;
(g) the provision for the modulation of the buying-in price referred to in Article 28(3);
(h) the determination of the minimum price referred to in Article 29(4).
2. The amount of the aids referred to in Articles 27 and 28 which will enable the products obtained to be disposed of, the amount of the aids referred to in Article 29 and rules defining the circumstances which may lead to a triggering of the measure referred to in Article 30 and the level and form of the Community financial support for that measure shall be set by the procedure laid down in Article 75.
CHAPTER III
AIDS FOR SPECIFIC USES
Article 34
1. Aid is hereby established for the use of:
(a) concentrated grape musts;
(b) rectified concentrated grape musts,
produced in the Community, when they are used in order to increase alcoholic strengths of the wine products for which such increases are authorised within the meaning of this Regulation.
2. The grant of aid may be reserved for products coming from wine-growing zone C III if the trade patterns in must and coupage wines cannot be guaranteed without this measure.
3. The amount of aid shall be fixed in euro per % vol potential alcoholic strength and per hectolitre of concentrated grape must or rectified concentrated grape must, taking into account the difference between the cost of enrichment by means of these products and by means of sucrose.
Article 35
1. Aid is hereby established for the use of:
(a) grape musts and concentrated grape musts produced within the Community for the purpose of manufacturing grape juice or manufacturing other comestible products from such grape juice;
(b) grape musts and concentrated grape musts produced in zone C III for the purpose of manufacturing, in the United Kingdom and in Ireland, products falling within CN code 2206 00 in respect of which, pursuant to Annex VII, paragraph 2 of point C, the use of a composite name including the word "wine" may be allowed by these Member States;
(c) concentrated grape musts produced within the Community as the main element in a set of products marketed in the United Kingdom and Ireland with clear instructions for the consumer to obtain from it a beverage in imitation of wine (home-made wine).
2. By way of derogation from paragraph 1(b), where the geographical restriction related to the production of grape musts and concentrated grape musts referred to in that point gives rise to distortion of competition, it may be decided to extend the granting of the aid to grape musts and concentrated grape musts produced in regions of the Community other than zone C III:
3. The aids referred to in paragraph 1 shall be reserved for the use of products coming from vine varieties which are classified exclusively as wine grapes or as both a wine grape variety and variety for use for another purpose and may equally be granted to grapes of Community origin coming from the same varieties.
4. The amounts of aid must be fixed so that the supply costs for grape musts and concentrated grape musts originating in the Community are such that they may maintain their traditional market outlets.
5. A part to be determined of the aid provided for in paragraph 1(a) shall be set aside for the organisation of campaigns to promote the consumption of grape juice. The aid may, for the purposes of organising such campaigns, be fixed at a higher level than that resulting from the application of paragraph 4.
Article 36
Detailed rules for the application of this Chapter shall be adopted in accordance with the procedure laid down in Article 75.
These rules shall in particular include:
(a) the conditions for granting the aid referred to in Article 34(1);
(b) the measures necessary to ensure control of the use of the products referred to in Article 35(1);
(c) the amount of the aid referred to in Articles 34 and 35, which shall be fixed before the start of each wine year;
(d) the decision referred to in Article 35(2).
CHAPTER IV
GENERAL PROVISIONS
Article 37
Producers subject to the obligations referred to in Articles 27 and 28 shall be entitled to benefit from intervention measures under this Title provided that they have complied with the above obligations for a reference period to be determined. That period, and the detailed rules for the implementation of this Article, shall be adopted in accordance with the procedure laid down in Article 75.
Article 38
1. Where excessively high prices for a type of wine are recorded on the Community market and the situation is likely to continue, thereby disturbing that market, the necessary measures may be taken by the Commission.
2. To the extent necessary to support the market in table wines, interventions measures may be adopted in respect of the products listed in Article 1(2)(b) other than table wine in accordance with the procedure laid down in Article 75.
TITLE IV
PRODUCER ORGANISATIONS AND SECTORAL ORGANISATIONS
CHAPTER I
PRODUCER ORGANISATIONS
Article 39
1. "Producer organisation", if recognised under this Regulation, means any legal entity:
(a) which is formed on the own initiative of producers of products covered by this Regulation;
(b) which has in particular the aim of:
(i) ensuring that production is planned and adjusted to demand, particularly in terms of quality and quantity;
(ii) promoting concentration of supply and the placing on the market of the products produced by its members;
(iii) reducing production costs and stabilising producer prices;
(iv) promoting the use of environmentally sound cultivation practices, production techniques and waste-management practices in particular to protect the quality of water, soil and landscape and preserve and/or encourage biodiversity.
2. Producer organisations recognised under this Regulation shall be required to be able to impose appropriate penalties on their members for infringement of obligations under the rules of association
3. Member States may recognise as producer organisations for the purposes of this Regulation, all producer groups applying for such recognition, on condition that:
(a) they meet the requirements laid down in paragraphs 1 and 2 and provide the relevant evidence, including proof that they have a minimum number of members and cover a minimum volume of marketable production;
(b) there is sufficient evidence that they can carry out their activities properly, both over time and in terms of effectiveness;
(c) they effectively enable their members to obtain technical assistance in using environmentally sound cultivation practices.
Article 40
1. Member States shall:
(a) decide whether to grant recognition to a producer organisation within three months of the lodging of an application with all supporting documents;
(b) carry out checks at regular intervals to ascertain that producer organisations comply with the terms and conditions for recognition, impose in the event of non-compliance the penalties to apply to such organisations and decide, where necessary, to withdraw recognition;
(c) notify the Commission, within two months, of every decision to grant or withdraw recognition.
2. The Commission shall check that Article 39 and paragraph 1(b) of this Article are complied with by carrying out checks and in the light of such checks shall, where appropriate, call on Member States to withdraw recognition.
CHAPTER II
SECTORAL ORGANISATIONS
Article 41
1. In order to improve the operation of the market in quality wines psr and table wines described by means of a geographical indication, producer Member States, particularly in implementing decisions taken by sectoral organisations, may lay down marketing rules to regulate supply on first marketing, provided that such rules relate to the retention and/or gradual release of produce, to the exclusion of any other concerted practice such as:
- price fixing, even for guidance or by way of recommendation,
- rendering unavailable an excessive proportion of the vintage that would normally be available and, in general, any abnormal operation to curtail supply,
- refusing to issue the national and/or Community attestations needed for the circulation and marketing of wine products where such marketing is in accordance with those rules.
2. The rules referred to in paragraph 1 must be brought to the attention of operators, in extenso, by publication in an official publication of the Member State concerned.
3. Every year Member States which have availed themselves of the possibilities offered by paragraph 1 shall report to the Commission on decisions adopted the previous year by virtue of those possibilities. The Commission shall examine whether they comply with Community law, in particular the rules on free movement (Articles 28 to 31 of the Treaty), and competition (Articles 81 to 86 of the Treaty) and the principle of non-discrimination (Article 34(3) of the Treaty).
4. The organisations referred to in paragraph 1 shall carry out several of the following measures in one or more regions of the Community, taking account of the interests of consumers:
(i) improving knowledge and the transparency of production and the market;
(ii) helping to coordinate better the way products are placed on the market, in particular by means of research and market studies;
(iii) drawing up standard forms of contract compatible with Community rules;
(iv) exploiting more fully the potential of production;
(v) providing the information and carrying out the research necessary to adjust production towards products more suited to market requirements and consumer tastes and expectations, in particular with regard to product quality and protection of the environment;
(vi) seeking ways of restricting the use of plant-health products and other inputs and ensuring product quality and soil and water conservation;
(vii) developing methods and instruments for improving product quality at all stages of production, vinification and marketing:
(viii) exploiting the potential of and protecting organic farming as well as designations of origin, quality labels and geographical indications;
(ix) promoting, in particular, integrated production or other environmentally sound production methods.
TITLE V
OENOLOGICAL PRACTICES AND PROCESSES, DESCRIPTION, DESIGNATION, PRESENTATION AND PROTECTION
CHAPTER I
OENOLOGICAL PRACTICES AND PROCESSES
Article 42
1. Authorised Community oenological practices and processes are established for the production of the products covered by this Regulation other than grape juice and concentrated grape juice and grape must and concentrated grape must intended for the preparation of grape juice.
2. Authorised oenological practices and processes may only be used for the purposes of ensuring proper vinification, proper preservation or a proper refinement of the product.
3. Authorised oenological practices and processes shall exclude the addition of water, except where required by specific technical necessity, as well as the addition of alcohol, except for fresh grape must with fermentation arrested by the addition of alcohol, liqueur wine, sparkling wine, wine fortified for distillation and, in conditions to be determined, semi-sparkling wine.
4. Member States may, in respect of oenological practices and processes, impose stricter conditions to ensure the preservation of the essential characteristics of quality wines psr, table wines which are described by a geographical indication and are produced in their territory, sparkling wines and liqueur wines. They shall communicate these conditions to the Commission, which shall bring them to the attention of the other Member States.
5. Except where otherwise decided, only grapes belonging to varieties listed in the classification established in accordance with Article 19 as wine grape varieties, or products derived therefrom, may be used in the Community for the manufacture of:
(a) grape must with fermentation arrested by the addition of alcohol;
(b) concentrated grape must;
(c) rectified concentrated grape must;
(d) wine suitable for yielding table wine;
(e) table wine;
(f) quality wines psr;
(g) liqueur wine;
(h) grape must in fermentation, extracted from raisined grapes;
(i) wine from over-ripened grapes.
6. Coupage of a wine suitable for yielding a white table wine or of a white table wine with a wine suitable for yielding a red table wine or with a red table wine may not yield a table wine.
However, this provision shall not prevent, in certain cases to be determined, such a coupage as referred to in the first subparagraph, provided that the resultant product has the characteristics of a red table wine.
By way of derogation from the first subparagraph, such a coupage shall be permitted until 31 July 2005, in areas where such a practice was traditional, in accordance with detailed rules to be laid down.
Article 43
1. The authorised oenological practices and processes are set out in Annex IV and Annex V.
2. In particular:
- authorised oenological practices and processes concerning enrichment, acidification, deacidification and sweetening, and rules concerning sulphur dioxide content and maximum volatile acid content, are set out in Annex V, points A to G,
- authorised oenological practices and processes and rules concerning the production of sparkling wine and quality sparkling wine are set out in points H and I of Annex V,
- authorised oenological practices and processes and rules concerning the production of liqueur wine are set out in point J of Annex V.
Article 44
1. Of the products falling within CN codes 2204 10, 2204 21 and 2204 29, only liqueur wines, sparkling wines, aerated sparkling wines, semi-sparkling wines, aerated semi-sparkling wines, quality wines psr, table wines and where appropriate, notwithstanding Article 45, legally imported wines may be offered or delivered for direct human consumption within the Community.
2. Except for bottled wine in respect of which there is evidence that bottling was performed prior to 1 September 1971, wine other than quality wine psr obtained from the vine varieties referred to in Article 42(5) but not corresponding to the definitions contained in items 12 to 18 of Annex I may be used only for consumption by individual wine-producers' families, for the production of wine vinegar or for distillation.
3. In years when climatic conditions have been unfavourable, it may be decided that products from wine-growing zones A and B which do not possess the minimum natural alcoholic strength by volume laid down for the wine-growing zone in question may be used in the Community for the production of sparkling wine and aerated sparkling wine, provided that such wines have an actual alcholic strength by volume of not less than 8,5 % vol, or for the production of aerated semi-sparkling wine. In that event, they shall be enriched subject to the limits referred to in paragraph 5 of point D of Annex V.
4. Without prejudice to any more restrictive provisions which Member States apply with respect to this preparation in their territory of products not falling within CN codes 2204 10, 2204 21 and 2204 29, fresh grape must with fermentation arrested by the addition of alcohol may be used only in the preparation of such products.
5. Grape juice and concentrated grape juice originating in the Community may not be made into wine or added to wine. These products shall be subject to control with respect to their use. They may not undergo alcoholic fermentation in the territory of the Community.
6. The provisions of paragraphs 4 and 5 shall not apply to products intended for the production, in the United Kingdom and Ireland, of products falling within CN code 2206 00 for which, pursuant to Annex VII, paragraph 2 of point C, Member States may allow the use of a composite name including the word "wine".
7. Wine suitable for yielding table wine which does not reach the minimum actual alcoholic strength by volume for table wines may not be put into circulation except for the production of sparkling wine, vinegar making, distillation and other industrial uses. The enrichment of such wine and coupage thereof with a table wine in order to bring its actual alcoholic strength by volume up to the level laid down for a table wine may take place only on the premises of the wine-maker or on his behalf.
8. With the exception of alcohol, spirits and piquette, neither wine nor any other beverage intended for direct human consumption may be made from wine lees or grape marc.
9. Piquette, where its production is authorised by the Member State concerned, may be used only for distillation or for consumption in the families of individual wine-growers.
10. Wine fortified for distillation may only be used for distillation.
11. Grape must in fermentation, extracted from raisined grapes, may be put on the market only for the manufacture of liqueur wines only in the wine-growing regions where this usage was traditional on 1 January 1985, and wine of overripe grapes.
12. Fresh grapes, grape must, grape must in fermentation, concentrated grape must, rectified concentrated grape must, grape must with fermentation arrested by the additional of alcohol, grape juice and concentrated grape juice originating in third countries may not be turned into wine or added to wine in the territory of the Community.
13. The products referred to in paragraph 12 may not undergo alcoholic fermentation within the territory of the Community. This provision shall not apply to products intended for the production in the United Kingdom and Ireland of products falling within CN code 2206 00 for which, pursuant to Annex VII, paragraph 2 of point C, Member States may allow the use of a composite name including the word "wine".
14. Coupage of a wine originating in a third country with a Community wine and coupage in the geographical territory of the Community between wines originating in third countries shall be prohibited.
15. The Council may derogate from paragraph 12, the first sentence of paragraph 13 and paragraph 14, in accordance with the international obligations of the Community.
Article 45
1. Except by way of derogation, the following products may not be offered or disposed of for direct human consumption:
(a) products falling within CN codes 2204 30 10, 2204 21, 2204 29 and 2204 10, whether imported or not, which have undergone oenological practices not authorised by Community rules or, where this is permitted, by national rules;
(b) products as referred to in Article 1(2)(a), (b) and (c) which are not of sound and fair merchantable quality;
(c) products as referred to in Article 1(2) which do not comply with the definitions shown in Annex I.
2. The derogations referred to in paragraph 1 for imported products shall be adopted in accordance with the procedure laid down in Article 133 of the Treaty.
Article 46
1. Detailed rules for the application of this Chapter, and Annexes IV and V, shall be adopted in accordance with the procedure laid down in Article 75.
These rules shall, in particular, provide for:
(a) in respect of point A of Annex V, transitional measures concerning wines produced before 1 September 1986 and amendments to the lists of wines in paragraph 2;
(b) in respect of Annexes IV and V, the limits and certain conditions for the use of the oenological practices and processes referred to in those Annexes, with the exception of limits and conditions fixed in those Annexes;
(c) the decisions, exceptions, derogations, conditions and lists referred to in this Chapter and Annex V;
(d) the application of points C to G of Annex V to products harvested in Community regions not included within the wine-growing zones specified in Annex III;
(e) in respect of point J of Annex V, the lists referred to in paragraphs 2(b) and 6 thereof, the derogations referred to in paragraph 4(b) and the declaration and registration procedure referred to in paragraph 6.
2. The following rules shall be adopted according to the procedure laid down in Article 75:
(a) the rules governing the comparison between certain oenological practices and processes applied in third countries and those referred to in Article 43(1) and Annex IV;
(b) provisions regulating the blending and coupage of musts and wines;
(c) the purity and identification specification of substances used in oenological practices;
(d) administrative rules for carrying out the oenological practices and processes authorised; these rules may provide that certain oenological practices and processes may only be carried out under the supervision of a person recognised by the Member State who possesses sufficient knowledge to guarantee the quality, hygiene and healthiness of the product;
(e) the conditions governing holding and circulation, the use of products as referred to in Article 45 or lists of products excepted from the requirements of that Article, and the establishment of criteria for the purpose of avoiding hardship in individual cases, the conditions under which Member States may authorise the holding, circulation and use of products not complying with the provisions of this Regulation other than those referred to in Article 45(1), or with provisions adopted pursuant to this Regulation;
(f) the general rules for the experimental use of otherwise unauthorised oenological practices and processes.
3. The methods of analysis for determining the composition of the products covered by this Regulation and the rules whereby it may be established whether these products have undergone processes contrary to authorised oenological practices shall be adopted in accordance with the procedure laid down in Article 75.
Using the same procedure there shall be adopted, if required, maximum figures for substances whose presence indicates that certain oenological practices have been used, and comparative analysis tables.
However, where no provision is made for Community methods of analysis or for the rules referred to in the first subparagraph for the detection and quantification of substances sought in the product in question, the methods of analysis to be used shall be:
(a) those recognised by the General Assembly of the International Vine and Wine Office (IWO) and published by that Office, or
(b) where an appropriate method of analysis does not appear among those referred to in point (a), a method of analysis complying with the standards recommended by the International Organisation for Standardisation (ISO), or
(c) in the absence of either of the methods referred to in points (a) and (b) and by reason of its accuracy, repeatability and reproducibility:
(i) a method of analysis allowed by the Member State concerned, or
(ii) if necessary, any other appropriate method of analysis.
Automatic methods of analysis used instead of a Community method of analysis shall be considered equivalent to the Community methods of analysis referred to in the first subparagraph, provided it is established, under the procedure laid down in Article 75, that the results obtained are, as to their accuracy, repeatability and reproducibility, at least equal to the results obtained by the corresponding Community method.
CHAPTER II
DISCRIPTION, DESIGNATION, PRESENTATION AND PROTECTION OF CERTAIN PRODUCTS
Article 47
1. Rules relating to the description, designation and presentation of certain products covered by this Regulation, and the protection of certain particulars and terms are set out in this Chapter and in Annexes VII and VIII. The rules shall take into account, in particular, the following objectives:
(a) the protection of the legitimate interests of consumers;
(b) the protection of the legitimate interests of producers;
(c) the smooth operation of the internal market:
(d) the promotion of the production of quality products.
2. The rules mentioned in paragraph 1 shall include, in particular, provisions:
(a) making the use of certain terms compulsory;
(b) permitting the use of certain terms, subject to conditions;
(c) permitting the use of other terms, including information which may be useful for consumers;
(d) governing protection and control arrangements for certain terms;
(e) governing the use of geographical indications and traditional terms;
(f) governing the labelling of products which are imported or, where authorised under this Regulation, made from those products, in order to ensure that the consumers are aware of the nature of the product concerned and that the latter is not labelled as a Community product or as the product of a Member State.
3. The rules referred to in paragraph 1 shall apply to the description of the products there indicated:
(a) on labels;
(b) in registers and in the accompanying and other documents prescribed by Community legilsation, hereinafter called "official documents", other than customs documents;
(c) in commercial documents, particularly in invoices and delivery notes;
(d) in advertising material in so far as special provision is made for such purpose in this Regulation.
4. The rules referred to in paragraph 1 shall apply to the presentation of the products there indicated in respect of:
(a) containers, including the closure;
(b) labelling;
(c) packaging.
5. The rules referred to in paragraph 1 shall apply to products held for sale and to products put on the market.
Article 48
The description and presentation of the products referred to in this Regulation, and any form of advertising for such products, must not be incorrect or likely to cause confusion or to mislead the persons to whom they are addressed, particularly as regards:
- the information provided for in Article 47. This shall apply even if the information is used in translation or with a reference to the actual provenance or with additions such as "kind", "type", "style", "imitation", "brand" or the like;
- the characteristics of the products, and in particular, their nature, composition, alcoholic strength by volume, colour, origin or provenance, quality, the vine variety, vintage year or nominal volume of the containers,
- the identity and status of the natural or legal persons or group of persons who have been or are involved in the production or distribution of the product in question, in particular the bottler.
Article 49
1. Products whose description or presentation does not conform to the provisions of this Regulation or the detailed rules adopted for its implementation may not be held for sale or put on the market in the Community or exported.
However, in the case of products intended for export, derogations from the provisions of this Regulation may:
- be authorised by the Member States where the legislation of the importing third country so requires,
- be provided for in the implementing provisions in cases not covered by the first indent.
2. The Member State on whose territory the product whose description or presentation does not conform to the provisions referred to in paragraph 1 is located shall take the necessary steps to impose penalties in respect of infringements committed, according to their gravity.
The Member State may, however, grant an authorisation for the product to be held for sale, put on the market in the Community or exported, provided that its description or presentation is changed to conform to the provisions referred to in paragraph 1.
Article 50
1. Member States shall take all necessary measures to enable interested parties to prevent, on the terms set out in Articles 23 and 24 of the Agreement on Trade-Related Aspects of Intellectual Property Rights, the use in the Community of a geographical indication attached to the products referred to in Article 1(2)(b) for products not originating in the place indicated by the geographical indication in question, even where the true origin of the goods is indicated or the geographical indication is used in translation or accompanied by expressions such as "kind", "type", "style", "imitation" or the like.
2. For the purposes of this Article, "geographical indications" is taken to mean indications which identify a product as originating in the territory of a third country which is a member of the World Trade Organisation or in a region or locality within that territory, in cases where a certain quality, reputation or other given characteristic of the product may be attributed essentially to that geographical place of origin.
3. Paragraphs 1 and 2 shall apply notwithstanding other specific provisions in Community legislation laying down rules for the designation and presentation of the products covered by this Regulation.
Article 51
1. For the purposes of applying this Title, a "geographical unit which is smaller than the Member State", shall be taken to mean the name of:
- a small locality or group of such localities,
- a local administrative area or part thereof,
- a wine-growing subregion or part thereof,
- a region other than a specified region.
2. The use of a geographical indication to designate table wines resulting from the coupage of wines from grapes harvested in different wine-growing areas shall be permitted if at least 85 % of the table wine resulting from the coupage originates in the wine-growing area whose name it bears.
However, the use, to describe white table wines, of a geographical indication relating to a wine-growing area situated within wine-growing zone A or wine-growing zone B shall be permitted only if the products comprising the blend are from the wine-growing zones in question or if the wine in question is a blend of table wines from wine-growing zone A and table wines from wine-growing zone B.
3. Member States may make the use of a geographical indication for designating a table wine conditional, in particular, on the wine having been produced wholly from certain clearly specified vine varieties and coming exclusively from the territory, precisely demarcated, whose name it bears.
Article 52
1. If a Member State uses the name of a specified region to designate a quality wine psr or, where appropriate, a wine intended for processing into such a quality wine psr, that name may not be used to designate products of the wine sector not produced in that region and/or products not designated by the name in accordance with the provisions of the relevant Community and national rules. This shall also apply if a Member State has used the name of a local administrative area or part thereof or a small locality solely to designate a quality wine psr or, where appropriate, a wine intended for processing into such a quality wine psr.
Without prejudice to the Community provisions concerning specific types of quality wine psr, Member States may, in the case of certain conditions of production which they shall determine, authorise the name of a specified region to be accompanied by details relating to the method of manufacture or the type or by the name of a vine variety or a synonym thereof.
Notwithstanding the first subparagraph, the Council, acting by a qualified majority on a proposal from the Commission may decide, until 31 August 2001, to allow certain geographical names traditionally used to designate a table wine and which have become the name of a given region to continue to be used also to designate table wines for a maximum of three wine years.
2. The following names and terms:
- the name of a vine variety,
- a traditional specific term referred to in the fourth sub-indent, second indent, of point A 2(c) of Annex VII, or in the second indent of point D 2(c) of Annex VIII, or
- an additional traditional term referred to in the fifth indent of point B 1(b) of Annex VII, provided that it is attributed by a Member State for the description of a wine under Community provisions,
may be used for the description, presentation and advertising of a beverage other than a wine or grape must only if there is no risk of confusion as to the nature, origin or source and composition of such beverage.
3. The use of a name or a term as referred to in point 2 or of the words "Hock", "Claret", "Liebfrauenmilch" and "Liebfraumilch",even when accompanied by a word such as "kind", "type", "style", "imitation" or other similar expression, shall be prohibited with respect to the description and presentation of:
- an item covered by CN code 2206, except where the item in question actually comes from the place so designated,
- an item marketed with clear instructions for the consumer to obtain from it a beverage in imitation of wine (home-made wine); however, the name of a vine variety may be used if the item in question is actually obtained from such variety unless that name gives rise to confusion with the name of a specific region or geographically unit used to describe a quality wine psr.
4. The names:
- of a given region,
- of a geographical unit smaller than the given region, provided that that name has been attributed by a Member State for the description of a wine by virtue of Community provisions,
may only be used for the description, presentation or advertising of a beverage other than wine or grape must on condition:
(a) in respect of products covered by CN codes 2009, 2202, 2205, 2206, 2207, 2208 and 2209, and in respect of products made from a raw material for producing wine, that the above names and terms are recognised in the Member State of origin of the product and that that recognition complies with Community law;
(b) in respect of beverages other than those referred to in point (a), that there is no risk of confusion as to the nature, origin or source and composition of such bevarage.
However, even if the recognition referred to in point (a) has not taken place, those names may continue to be used until 31 December 2000 provided that there is compliance with point (b).
Article 53
1. The detailed rules for the implementation of this Chapter and Annexes VII and VIII shall be adopted in accordance with the procedure laid down in Article 75. The rules shall govern in particular the derogations, conditions and authorisations provided for in those Annexes.
2. The following provisions shall be adopted in accordance with the procedure laid down in Article 75:
(a) the indications, signs and other marks referred to in the introductory part of Annex VII, or in paragraph 2 of point A of Annex VIII;
(b) the list of traditional specific terms referred to in the fourth sub-indent of the second indent of paragraph 2(c) of point A of Annex VII, or referred to in the second indent of paragraph 2(c) of point B of Annex VIII;
(c) the conditions for using the geographical indications referred to in paragraph 2 of point A of Annex VII;
(d) the particulars referred to in paragraph 4 of point A of Annex VII;
(e) the conditions for using the particulars referred to in paragraph 1 of point B of Annex VII, and the circumstances for using the particulars referred to in paragraph 3 of point B of Annex VII;
(f) the particulars referred to in paragraph 2 of point B of Annex VII, and the conditions under which they are used;
(g) the extent to which and the conditions under which the provisions of Annex VII are applied to products covered by this Regulation which are not referred to in paragraph 1 of point A of Annex VII or in Annex VIII, in particular grape must, partially fermented grape must, concentrated grape must, new wine still in fermentation and wine of overripe grapes, produced in the Community;
(h) the conditions under which products are packed and transported in containers and their use and making, including in respect of containers for making and storing sparkling wine;
(i) the giving, where appropriate, of the names of geographical units referred to in the second indent of paragraph 1 of point E of Annex VIII;
(j) the compulsory and optional particulars to be included in registers and in official and commercial documents;
(k) the detailed arrangements referred to respectively in paragraphs 2 and 5 of point G of Annex VIII;
(l) the detailed arrangements and derogating provisions referred to in paragraph 6 of point I of Annex VIII.
TITLE VI
QUALITY WINE PRODUCED IN SPECIFIED REGIONS
Article 54
1. Quality wines produced in specified regions ("quality wines psr") shall mean wines which comply with the provisions of this Title and the Community and national provisions adopted in this connection.
2. "Quality wines psr shall cover the following categories:"
(a) "quality liqueur wines produced in specific regions", hereinafter called "quality liqueur wines psr", which comply with the definition of liqueur wine;
(b) "quality sparkling wines produced in specific regions", hereinafter called "quality sparkling wines psr", which comply with the definition of sparkling wine, including quality sparkling wines of the aromatic type;
(c) "quality semi-sparkling wines produced in specified regions", hereinafter called "quality semi-sparkling wines psr", which comply with the definition of semi-sparkling wine;
(d) quality wines psr other than those mentioned in subparagraphs (a), (b) and (c).
3. Products suitable for yielding a quality wine psr shall be defined as being:
(a) fresh grapes;
(b) grape must;
(c) grape must in fermentation;
(d) new wines still in fermentation;
(e) wine.
4. Member States shall forward to the Commission the list of quality wines psr which they have recognised, stating, for each of these quality wines psr, details of the national provisions governing the production and manufacture of those quality wines psr.
5. The Commission shall publish the list in the "C" Series of the Official Journal of the European Communities.
Article 55
1. The provisions covering the production of quality wines psr shall, in addition to any national rules adopted pursuant to Article 57(1), and regard being had to the traditional conditions of production in so far as these are not such as to prejudice the policy of encouraging quality production and the smooth operation of a single market, be based on the following factors:
(a) demarcation of the area of production;
(b) vine varieties;
(c) cultivation methods;
(d) wine-making methods;
(e) minimum natural alcoholic strength by volume;
(f) yield per hectare;
(g) analysis and assessment of organoleptic characteristics.
2. The provisions referred to in paragraph 1 are set out in Annex VI at points A to J.
3. The provisions of point K of Annex VI shall apply in respect of quality sparkling wine psr only. The provisions of point L of Annex VI shall apply to quality liqueur wine psr only.
Article 56
1. Member States shall draw up the rules in accordance with which, at the production stage:
(a) a producer may:
(i) not request classification as a quality wine psr of a product which appears in his harvest or production declaration as a product suitable for yielding quality wine psr; or
(ii) downgrade a quality wine psr, in particular to a table wine;
(b) the competent body to be designated by the Member States may downgrade a quality wine psr.
2. The downgrading af a quality wine psr at the marketing stage shall be effected:
(a) by the competent body of the Member State in whose territory the wine is located:
(i) where the wine originates in that Member State, or
(ii) where small quantities to be determined are concerned;
(b) by the competent body of the Member State of origin of the wine in cases not referred to in (a).
3. The downgrading referred to in paragraph 2 shall be decided on in particular where the competent body has established that:
(a) the wine has undergone a change during storage or transport which has caused the properties of the quality wine psr in question to deteriorate or alter,
(b) the wine has undergone a prohibited treatment or is not legally described as a quality wine psr.
Article 57
1. In addition to the factors listed in Article 55, producer Member States may, taking into account fair and traditional practices, determine such other conditions of production and characteristics as shall be obligatory for quality wines psr.
2. In addition to the other provisions laid down in this Regulation, producer Member States may, taking into account fair and traditional practices, lay down additional or more stringent characteristics or conditions of production, manufacture and movement in respect of the quality wines psr produced in their territory.
Article 58
Detailed rules for the application of this Title and Annex VI shall be adopted in accordance with the procedure laid down in Article 75.
These rules may include:
(a) the decisions, exceptions, derogations and lists referred to in this Title and in Annex VI;
(b) the definition of areas in the immediate proximity of a specified region, account being taken in particular of the geographical situation and administrative structures;
(c) the use to be made of downgraded quality wines psr and the conditions governing such use;
(d) appropriate provisions relating to the systematic and general application of organoleptic tests, the use to be made of wines which do not satisfy the requirements of the tests and the conditions governing such use.
(e) the determination of the small quantities referred to in Article 56(2)(a)(ii).
TITLE VII
TRADE WITH THIRD COUNTRIES
Article 59
1. Import into the Community of any of the products listed in Article 1(2)(a) and (b) shall be subject to presentation of an import licence. Imports into the Community of any other products listed in Article 1(2) and exports from the Community of any products listed in Article 1(2) may be subject to presentation of an import or export license.
2. Licences shall be issued by Member States to any applicant, irrespective of his place of establishment in the Community and without prejudice to measures taken for the application of Articles 62 and 63.
Licences shall be valid throughout the Community.
Such licences shall be issued subject to the lodging of a security guaranteeing that the products are imported or exported during the term of validity of the licence; save in cases of force majeure, the security shall be forfeited in whole or in part if import or export is not carried out, or is carried out only partially, within that period.
3. The following shall be adopted in accordance with the procedure laid down in Article 75:
(a) the list of products in respect of which import or export licences are required;
(b) the term of validity of the licence and other detailed rules for the application of this Article.
Article 60
1. Unless this Regulation provides otherwise, the rates of duty in the Common Custom Tariff shall apply to the products listed in Article 1(2).
2. For juice and musts falling within CN code 2009 60 and 2204 30 for which the application of the Common Customs Tariff duties depends on the import price of the product, the actual amount of this price shall be verified either by checking every consignment or be using a flat-rate import value calculated by the Commission on the basis of price quotations for the same products in the countries of origin.
Should the declared entry price of the consignment be higher than the flat-rate import value, if such applies, increased by a margin adopted in accordance with paragraph 3 that may not exceed the flat-rate value by more than 10 %, a security must be lodged equal to the import duties determined on the basis of the flat-rate import value.
If, in the case referred to in the second subparagraph, the entry price of the consignment is not declared, the application of Common Customs Tariff shall be dependent on the flat-rate import value or on the application, under conditions to be determined in accordance with paragraph 3, of the relevant provisions of customs legislation.
3. In the event that derogations in Article 44(15) are applied to imported products, importers shall lodge a security for those products with the designated customs authorities at the time of release for free circulation. The security shall be equal to an amount to be specified. The security shall be released on presentation by the importer of proof, to the satisfaction of the customs authorities of the Member State of release for free circulation, that the musts were made into grape juice, used in other products outside the wine sector or, if vinified, have been appropriately labelled.
4. Detailed rules of application for this Article shall be adopted using the procedure laid down in Article 75. These rules shall in particular cover the setting of criteria for determining which control method is to be applied and what factors are to enter into the calculation of flat-rate import values, the level of security referred to in paragraph 3 and the rules governing the release of this security.
Article 61
1. In order to prevent or counteract adverse effects on the market in the Community which may result from imports of certain products listed in Article 1(2), imports of one or more such products at the rate of duty laid down in the Common Customs Tariff shall be subject to payment of an additional import duty if the conditions set out in Article 5 of the Agreement on Agriculture concluded in accordance with Article 300 of the Treaty in the framework of the Uruguay Round of multilateral trade negotiations have been fulfilled, unless the imports are unlikely to disturb the Community market, or where the effects would be disproportionate to the intended objective.
2. The trigger prices below which an additional import duty may be imposed shall be those forwarded by the Community to the World Trade Organisation.
The trigger volumes which must be exceeded for an additional import duty to be imposed shall be determined in particular on the basis of Community imports over the three years preceding the year in which the adverse effects referred to in paragraph 1 have occured or are likely to occur.
3. The import prices to be taken into account for the imposition of an additional import duty shall be determined on the basis of the cif import prices of the shipment concerned.
The cif import prices shall be verified for this purpose on the basis of representative prices for the product in question on the world market, or on the Community import market for the product.
4. The Commision shall adopt detailed rules for the application of this Article in accordance with the procedure laid down in the Article 75. Such detailed rules shall specify in particular:
(a) the products to which additional import duties shall be applied, in accordance with Article 5 of the Agreement on Agriculture;
(b) the other criteria necessary for application of paragraph 1 in accordance with Article 5 of the said Agreement.
Article 62
1. Tariff quotas for the products covered by this Regulation resulting from agreements concluded in accordance with Article 300 of the Treaty or from any other act of the Council shall be opened and administered by the Commission in accordance with detailed rules adopted under the procedure laid down in Article 75.
2. Quotas shall be administered by applying one of the following methods or a combination of them:
(a) a method based on the chronological order in which applications are lodged ("first come, first served principle");
(b) a method of distribution in proportion to the quantities requested when the applications were lodged (using the "simultaneous examination" method);
(c) a method based on taking traditional trade patterns into account (using the "traditional importers/new arrivals" method).
Other appropriate methods may be adopted. They shall avoid any discrimination between the operators concerned.
3. The method of administration adopted shall, where appropriate, give due weight to the supply requirements of the Community market and the need to safeguard the equilibrium of that market, while at the same time possibly drawing on the methods which have been applied in the past to quotas corresponding to those referred to in paragraph 1, without prejudice to the rights resulting from agreements concluded as part of the Uruguay Round of trade negotiations.
4. The detailed rules referred to in paragraph 1 shall provide for annual quotas, if necessary, suitably phased in over the year and shall determine the administrative method to be used and, where appropriate, shall include:
(a) guarantees covering the nature, provenance and origin of the product;
(b) recognition of the document used for verifying the guarantees referred to in (a);
(c) the conditions under which import licences are issued and their term of validity.
Article 63
1. To the extent necessary to enable the export of:
(a) products listed in Article 1(2)(a), (b) and (c);
(b) sugars falling within CN code 1701, glucose and glucose syrup falling within CN codes 1702 30 91, 1702 30 99 1702 40 90 and 1702 90 50, including in the form of products falling within CN codes 1702 30 51 and 1702 30 59, incorporated into products falling with CN codes 2009 60 11, 2009 60 71, 2009 60 79 and 2204 30 99,
on the basis of prices for those products in international trade and within the limits resulting from agreements concluded in accordance with Article 300 of the Treaty, the difference between those prices and prices in the Community may be covered by export refunds.
2. For the allocation of the quantities which may be exported with refunds, the method shall be established which:
(a) is the best suited to the nature of the product and to the situation on the market in question, enabling the most efficient use possible to be made of the available resources, and having regard to the efficiency and structure of Community exports without, however, creating discrimination between large and small operators;
(b) is the least cumbersome administratively for operators, having regard to management imperatives;
(c) precludes discrimination between the operators concerned.
3. Refunds shall be the same for the whole Community. They may vary according to destination where the situation on the international market or the specific requirements of certain markets make this necessary.
The refunds referred to in paragraph 1(a) shall be fixed in accordance with the procedure laid down in Article 75. They shall be fixed at regular intervals.
Refunds fixed at regular intervals may, where necessary, be adjusted in the intervening period by the Commission at the request of a Member State or on its own initiative.
The provisions of Article 64 regarding the products referred to therein shall apply on a supplementary basis.
4. Refunds shall be granted only on application and on presentation of the relevant export licence.
5. The refund applicable to exports of products listed in Article 1 shall be that applicable on the day of application for the licence and, in the case of a differentiated refund, that applicable on the same day:
(a) for the destination indicated on the licence or, if appropriate,
(b) for the actual destination, if it differs from that indicated on the licence. In that case the amount applicable may not exceed the amount applicable to the destination indicated on the licence.
Appropriate measures may be taken to preclude abuse of the flexibility provided for in this paragraph.
6. Paragraphs 4 and 5 may be waived in the case of products listed in Article 1 on which refunds are paid under food-aid operations, in accordance with the procedure laid down in Article 75.
7. Compliance with the limits on volumes arising from agreement concluded in accordance with Article 300 of the Treaty shall be ensured on the basis of the export certificates issued for the reference periods provided for therein and applicable to the products concerned.
With regard to compliance with the obligations arising under agreements concluded in the framework of the Uruguay Round of trade negotiations, the ending of a reference period shall not affect the validity of export licences.
8. Detailed rules for the application of this Article, including provisions on redistribution of unallocated or unused exportable quantities, shall be adopted in accordance with the procedure laid down in Article 75.
Article 64
1. This Article shall apply to the refunds referred to in Article 63(1).
2. The amount of the refund for products referred to in Article 63(1)(b) shall be:
(a) in the case of raw sugar and white sugar, the amount of refund for export of these products unprocessed as fixed in accordance with Article 17 of Council Regulation (EEC) No 1785/81 of 30 June 1981 on the common organisation of the market in the sugar sector(53), and with the provisions adopted for its application;
(b) in the case of glucose and glucose syrup, the amount of the refund for export of these products unprocessed as fixed for each of these products in accordance with Article 13 of Council Regulation (EEC) No 1766/92 of 30 June 1992 on the common organisation of the market in cereals(54), and with the provisions adopted for its application.
To qualify for the refund, processed products must, on export, be accompanied by a declaration from the applicant indicating the amounts of raw sugar, white sugar, glucose and glucose syrup used in their manufacture.
The accuracy of this declaration shall be subject to checks by the competent authorities of the Member State concerned.
3. The following shall be taken into account when refunds are being fixed:
(a) the existing situation and likely trends with regard to:
(i) prices and availability of the products listed in Article 63(1) on the Community market;
(ii) world market prices for those products;
(b) the most advantageous marketing and transport costs from the Community markets to the ports or other export points of the Community as well as the costs of shipment to the country of destination;
(c) the objectives of the common organisation of the market in wine, which are to ensure balance on the markets and natural development in respect of prices and trade;
(d) limits arising out of agreements concluded in accordance with Article 300 of the Treaty;
(e) the need to avoid disturbances on the Community market;
(f) the economic aspect of the proposed exports.
4. Community market prices referred to in Article 63(1) shall be determined on the basis of the most advantageous export prices.
The following shall be taken into account when the prices in international trade referred to in Article 63(1) are being determined:
(a) prices recorded on third-country markets;
(b) the most advantageous prices in third countries of destination for imports from third countries;
(c) producer prices recorded in exporting third countries, account being taken, where appropriate, of subsidies granted by those countries;
(d) free-at-Community-frontier offer prices.
5. Without prejudice to the third subparagraph of Article 63(3), the intervals at which the list of products for which a refund is actually granted is to be fixed and the amount of that refund shall be determined in accordance with the procedure laid down in Article 75.
6. The refund shall be paid on proof that the products:
(a) are of Community origin,
(b) have been exported from the Community, and
(c) in the case of a differentiated refund, have reached the destination indicated on the licence or another destination for which the refund was fixed, without prejudice to Article 63(5)(b). However, exceptions may be made to this rule in accordance with the procedure laid down in Article 75, provided that conditions are laid down which offer equivalent guarantees.
Additional provisions may be adopted in accordance with the procedure laid down in Article 75.
7. Without prejudice to paragraph 6(a), in the absence of a derogation granted in accordance with the procedure laid down in Article 75, no export refund shall be granted on products imported from third countries and re-exported to third countries.
Article 65
1. To the extent necessary for the proper working of the common organisation of the market in wine, the Council, acting by a qualified majority on a proposal form the Commission, may in particular cases prohibit the use of inward-processing arrangements wholly or partially in respect of the products listed in Article 1.
2. By way of derogation from paragraph 1, if the situation referred to in that paragraph occurs with particular urgency and if the Community market is, or is likely to be, disturbed by outward or inward-processing arrangements, the Commission shall, at the request of a Member State or on its own initative, decide on the necessary measures; the Council and the Member States shall be notified of such measures, the period of validity of which may not exceed six months and which shall apply immediately. If the Commission receives a request from a Member State, it shall take a decision thereon within one week of receipt of the request.
3. The Commissions' decision may be referred to the Council by any Member State within one week following the day of notification. The Council, acting by a qualified majority, may confirm, amend or annul the Commission's decision. If the Council has not reached a decision within three months, the Commission's decision shall be deemed to have been repealed.
Article 66
1. The general rules for the interpretation of the Combined Nomenclature and the special rules for its application shall apply to the classification of products covered by this Regulation; the tariff nomenclature resulting from the application of this Regulation shall be incorporated in the Common Customs Tariff.
2. Save as otherwise provided for this Regulation or pursuant to a provision thereof, the following shall be prohibited:
(a) the levying of any charge having equivalent effect to a customs duty;
(b) the application of any quantitative restriction or measure having equivalent effect.
Article 67
1. The import of the products covered by this Regulation to which alcohol has been added with the exception of those products equivalent to products originating in the Community in respect of which such a mixture is permitted, shall be prohibited.
2. Detailed rules for the application of this Article, and in particular the conditions for the equivalence of products, and derogations from paragraph 1 shall be adopted in accordance with the procedure laid down in Article 75.
Article 68
1. The products referred to in Article 1(2)(a) and (b) may be imported only if the following conditions are fulfilled:
(a) in respect of all the products:
(i) if they correspond to the provisions governing production, marketing and, where appropriate, delivery for direct human consumption in the third countries in which they originate, and evidence of compliance with this conditon is furnished in the form of a certificate issued by a competent body, included on a list to be determined, in the third country in which the product originates;
(ii) where they are intended for direct human consumption, if they are accompanied by an analysis report drawn up by a body or department desingated by the third country in which the product originates;
(b) in respect of wines intended for direct human consumption other than liqueur wines and sparkling wines:
(i) if they have an actual alcoholic strength by volume of not less than 9 % vol and a total alcoholic strength by volume not exceeding 15 % vol;
(ii) if they have a total acidity content expressed as tartaric acid of not less than 3,5 or 46,6 milliequivalents per litre.
2. Provisions may be made under the procedure laid down in Article 75 for:
(a) the definition of the characteristics which liqueur wines and sparkling wines shall prossess and derogation from paragraph 1(b),
(b) dispensing with the certificate and the analysis report provided for in paragraph 1(a) in the case of certain products as referred to in paragraph 1 which are transported in limited quantities and put up in small containers,
(c) waiving wholly or in part the requirment for the particulars contained in the certificate or the analysis report provided for in paragraph 1(a) in the case of certain wines accompanied by a certificate of designation of origin or by a certificate of origin.
3. Detailed rules for the application of this Article shall be adopted in accordance with the procedure laid down in Article 75.
Article 69
1. If, by reason of imports or exports, the Community market in one or more of the products listed in Article 1(2) is affected by, or is threatened with, serious disturbance likely to jeopardise the achievement of the objectives set out in Article 33 of the Treaty, appropriate measures may be applied in trade with third countries until such disturbance has ceased.
In order to assess whether the situation justifies the application of such measures, the following in particular must be taken into account:
(a) the quantities in respect of which import licences have been issued or applied for and the market situation of the wine sector in the Community;
(b) where appropriate, the scale of intervention.
The Council, acting by a qualified majority on a proposal from the Commission, shall adopt general rules for the application of this paragraph and define the cases in which and the limits within which Member States may take interim protective measures.
2. If the situation referred to in paragraph 1 arises, the Commission shall, at the request of a Member State or on its own initiative, decide on the necessary measures; the Member States shall be notified of such measures, which shall be immediately applicable. If the Commission receives a request from a Member State, it shall take a decision thereon within three working days of receipt of the request.
3. Measures decided on by the Commission may be referred to the Council by any Member State within three working days of the day of notification. The Council shall meet without delay. It may, acting by a qualified majority, amend or annul the measures in question.
4. This Article shall be applied having regard to the obligations arising from the international agreements concluded in accordance with Article 300(2) of the Treaty.
TITLE VIII
GENERAL, TRANSITIONAL AND FINAL PROVISIONS
Article 70
1. The products covered by this Regulation may be put into circulation within the Community only with an officially checked accompanying document.
2. Natural or legal persons or groups of persons who hold such products in the exercise of their trade, in particular producers, bottlers and processors, as well as merchants to be determined, shall be obliged to keep goods inwards and outwards registers in respect of those products.
3. Detailed rules for the application of this Article, and in particular the nature and form of the document referred to in paragraph 1, and the derogations from this Article, shall be adopted in accordance with the procedure laid down in Article 75.
Article 71
1. Save as otherwise provided in this Regulation, Articles 87, 88 and 89 of the Treaty shall apply to the production of and trade in the products covered by this Regulation.
2. Chapter II of Title II shall not impede the granting of national aid designated to achieve objectives similar to those sought by that Chapter. Paragraph 1 shall nevertheless apply to such aids.
Article 72
1. Member States shall designate one or more authorities which shall be responsible for ensuring compliance with Community rules in the wine sector. They shall also designate the laboratories authorised to carry out official analyses in the wine sector.
2. Member States shall inform the Commission of the names and addresses of these authorities and laboratories. The Commission shall forward this information to the other Member State.
3. The Commission shall set up a body of specific officials to collaborate with the competent authorities of the Member States in on-the-spot checks in order to ensure the uniform application of the rules in the wine sector.
4. Detailed rules for the application of this Article shall be adopted in accordance with the procedure laid down in Article 75.
These rules may in particular include provisions:
(a) to ensure uniform application of Community provisions in the wine sector, in particular as regards controls;
(b) governing relation between the designated authorities;
(c) governing the specific financial procedures for the improvement of controls;
(d) governing administrative sanctions, and
(e) governing the powers and obligations of the designed inspectors.
Article 73
Member States and the Commission shall communicate to each other the information necessary for implementing this Regulation. Detailed rules governing such communication, including the nature and format of the information to be transmitted, and time limits for its communication as well as distribution of the information gathered shall be adopted in accordance with the procedure laid down in Article 75.
Article 74
A Management Committee for Wine (herainafter called "the Committee") is hereby set up consisting of representatives of Member States and chaired by a representative of the Commission.
Article 75
1. Where the procedure laid down in this Article is to be followed, the Chairman shall refer the matter to the Committee, either on his own initiative or at the request of the representative of a Member State.
2. The representative of the Commission shall submit to the Committee a draft of the measures to be taken. The Committee shall deliver its opinion on the draft within a time limit which the Chairman may lay down according to the urgency of the matter. The opinion shall be delivered by the majority provided for in Article 205(2) of the Treaty in the case of decisions which the Council is required to adopt on a proposal from the Commission. The votes of the representatives of the Member States within the Committee shall be weighted in the manner set out in that Article. The Chairman shall not vote.
The Commission shall adopt measures which shall apply immediately. However, if these measures are not in accordance with the opinion of the Committee, they shall forthwith be communicated by the Commission to the Council. In that event the Commission may defer application of the measures which it has decided for a period of not more than one month from the date of such communication.
The Council, acting by a qualified majority, may take a different decision within the time limit referred to in the second paragraph.
Article 76
The Committee may examine any other question raised by the Chairman, either on his own initiative or at the request of the representative of a Member State.
Article 77
1. This Regulation shall be so applied that appropriate account is taken, at the same time, of the objectives set out in Article 33 and 131 of the Treaty.
2. This Regulation shall be applied having regard to the obligations arising from the international agreements concluded in accordance with Article 300(2) of the Treaty.
Article 78
1. Regulation (EC) No 1258/1999 and the provisions adopted in implementation thereof shall apply to the products covered by this Regulation.
2. The premium referred to in Chapter II of Title II, the support referred to in Chapter III of that Title, the aid referred to in Chapter I of Title III, the buying-in and support referred to in Chapter II of that Title and the aids referred to in Chapter III of that Title and the refunds referred to in Title VII shall be regarded as intervention designed to stabilise agricultural markets within the meaning of Article 2(2) of Regulation (EC) No 1258/1999.
3. Notwithstanding any more restrictive provisions, the Community support which may be granted under Title III and the refunds which may be granted under Title VII may only be granted in respect of products produced in the Community from grapes harvested in the Community.
Article 79
With a view to preventing surpluses of table wine and wines suitable for yielding table wine, the Member States may set a limit for crop yields expressed as an amount of hectolitres per hectare, the overshoot of which shall result in the producers' ineligibility for benefits under this Regulation.
Article 80
In accordance with the procedure laid down in Article 75, measures shall be adopted:
(a) to facilitate the transition from the arrangements provided for in the Regulations referred to in Article 81 and those established by this Regulation;
(b) where required, to resolve specific practical problems. Such measures, if duly justified, may derogate from certain provisions of this Regulation.
Article 81
Regulations (EEC) No 346/79, (EEC) No 351/79, (EEC) No 460/79, (EEC) No 456/80, (EEC) No 457/80, (EEC) No 458/80, (EEC) No 1873/84, (EEC) No 895/85, (EEC) No 822/87, (EEC) No 823/87, (EEC) No 1442/88, (EEC) No 3877/88, (EEC) No 4252/88, (EEC) No 2046/89, (EEC) No 2048/89, (EEC) No 2389/89, (EEC) No 2390/89, (EEC) No 2391/89, (EEC) No 2392/89, (EEC) No 3677/89, (EEC) No 3895/91, (EEC) No 2332/92 and (EEC) No 2333/92 are hereby repealed.
Article 82
This Regulation shall enter into force on the seventh day following its publication in the Official Journal of the European Communities.
It shall apply from 1 August 2000.
This Regulation shall be binding in its entirety and directly applicable in all Member States.
Done at Brussels, 17 May 1999.