1998R2848 — EN — 23.08.2002 — 010.001 — 1
This document is meant purely as a documentation tool and the institutions do not assume any liability for its contents
►B COMMISSIONREGULATION(EC)No2848/98
of22December 1998
layingdowndetailedrulesfortheapplicationofCouncilRegulation(EEC)No2075/92asregards
thepremiumscheme, productionquotasandthespecific aidtobegrantedtoproducergroupsin
therawtobaccosector
(OJ L 358, 31.12.1998, p. 17)
Amended by:
Official Journal
No page date
►M1Commission Regulation (EC) No 731/1999 of 7 April 1999 L 93 20 8.4.1999
►M2Commission Regulation (EC) No 2162/1999 of 12 October 1999 L 265 13 13.10.1999
►M3Commission Regulation (EC) No 510/1999 of 8 March 1999 L 60 54 9.3.1999
►M4Commission Regulation (EC) No 1373/1999 of 25 June 1999 L 162 47 26.6.1999
►M5Commission Regulation (EC) No 2637/1999 of 14 December 1999 L 323 8 15.12.1999
►M6Commission Regulation (EC) No 531/2000 of 10 March 2000 L 64 13 11.3.2000
►M7Commission Regulation (EC) No 909/2000 of 2 May 2000 L 105 18 3.5.2000
►M8Commission Regulation (EC) No 1249/2000 of 15 June 2000 L 142 3 16.6.2000
►M9Commission Regulation (EC) No 385/2001 of 26 February 2001 L 57 18 27.2.2001
►M10Commission Regulation (EC) No 1441/2001 of 16 July 2001 L 193 5 17.7.2001
►M11Commission Regulation (EC) No 486/2002 of 18 March 2002 L 76 9 19.3.2002
►M12Commission Regulation (EC) No 1005/2002 of 12 June 2002 L 153 3 13.6.2002
►M13Commission Regulation (EC) No 1501/2002 of 22 August 2002 L 227 16 23.8.2002
▼B
COMMISSIONREGULATION(EC)No2848/98
of22December 1998
laying down detailed rules for the application of Council Regula-
tion (EEC) No 2075/92 as regards the premium scheme,production quotas and the specific aid to be granted to producer
groupsintherawtobaccosector
THE COMMISSION OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Community,
Having regard to Council Regulation (EEC) No 2075/92 of 30 June
1992 on the common organisation of the market in raw tobacco(1), as
last amended by Regulation (EC) No 1636/98(2), and in particular Arti-
cles7, 9(5), 11, 14a and 17(5) and 27 thereof,
WhereasRegulation (EC) No 1636/98 introduced a fundamental reform
of the raw tobacco sector to improve its economic position; whereasthisreform entailed a variation of Community aid in line with productquality, greater flexibility and simplicity in the quota system, stricter
control proceduresand improved obs ervance of public health and
environmental protection requirements;
Whereas, detailed implementing rules must be adopted following this
reform; whereas, in order to simplify agricultural legislation, Commis-
sion Regulations (EEC) No 3478/92(
3), aslas t amended by Regulation
(EC) No 1578/98(4), (EEC) No 84/93(5), aslas t amended by Regula-
tion (EC) No 621/96(6) and (EC) No 1066/95(7), aslas t amended by
Regulation (EC) No 1578/98, should be replaced by a single Regula-tion;
Whereas, with regard to the conditions for recognition of producer
groups, the minimum size should be fixed as a percentage, representingthe relationship between the quantities in the quota statements and theMember State's guarantee threshold; whereas, for the purpose of recog-
nising producer groups, Member States should be able to increase the
percentage of quota statements in their territory and lay downminimum recognition conditionsconcerning the number of producers ;
Whereasthe requirementsfor the recognition of producer groups
should be laid down in order that they may qualify for that specific aid;
Whereas, in order to respect market structures, it should be laid down
that a producer may be a member of one group only; whereas, to facil-
itate the transition, producers who are members of more than one groupshould be given the opportunity of withdrawing from memberships by31 January 1999;
Whereas, in line with the intentions of Article 12 of Regulation (EEC)
No 2075/92 and in particular to prevent distortion of competition andmonitoring difficulties, producer groups should be debarred from enga-ging in first processing;
Whereas to ensure uniformity of administrative procedures, rules
should be laid down on applications for and the grant and withdrawalof recognition and the monitoring of the recognition requirements;
Whereas a mechanism should be introduced for the approval of proces-
sing undertakings authorised to sign cultivation contracts, suchapproval should be withdrawn where the rules are not observed andthe special conditions governing the processing of tobacco in aMember State should be laid down;1998R2848 — EN — 23.08.2002 — 010.001 — 2
(1) OJ L 215, 30. 7. 1992, p. 70.
(2) OJ L 210, 20. 7. 1998, p. 23.
(3) OJ L 351, 2. 12. 1992, p. 17.
(4) OJ L 206, 23. 7. 1998, p. 19.
(5) OJ L 12, 20. 1. 1993, p. 5.
(6) OJ L 89, 10. 4. 1996, p. 8.
(7) OJ L 108, 13. 5. 1995, p. 5.
▼B
Whereas the recognised production areas should be fixed for each
group of varietiesof tobacco on the bas isof the traditional productionareas for the purposes of granting the premium; whereas, in view of the
relatively small area of French communes, those areas should be based
on cantonsrather than communesin France; whereasMember Statesshould be permitted to limit production areas in order, in particular, toimprove quality;
Whereasthe main pointswhich mus t be included in cultivation
contracts must be specified; whereas contracts must be limited to oneharvest so that account can be taken of future changes in the market;whereas sufficiently early final dates for the conclusion and registration
of contractss hould be fixed to enable them to guarantee, from the very
beginning of the year of harvest, both stable outlets to producers for thecoming harvest and regular supplies to processors;
Whereas, when a cultivation contract is concluded with a producer
group, the essential details of each individual producer must also benotified to permit effective management and control;
Whereas an optional auction system for cultivation contracts should be
established for use by the Member States so that contract prices canreflect market conditions;
Whereas raw tobacco eligible for the premium must be of sound and
fair merchantable quality and free of certain characteristics whichprevent normal marketing;
Whereasthe premium compris esa fixed part, a variable part and a
specific aid and the relation between the different parts of the premiummay vary according to variety and producer Member State; whereasthefixed part must be paid for the quantity of leaf tobacco delivered by
producers to first processors irrespective of variations in quality,
provided that the minimum quality requirementsare fulfilled; whereas ,to encourage improvement of the quality and value of Communityproduction, the variable part of the premium should be paid by theproducer group to itsmembersafter comparing the market pricesobtained for each batch delivered by individual membersof the group;
whereas, to ensure that this system is effective, a variable premium
equal to zero should be attributed to batches sold for a price betweenthe minimum price and the minimum price plus50 % for each group ofvarieties;
Whereas the premium should be adjusted where the moisture content of
tobacco delivered differsby up to 4 % from the mois ture content fixedfor each group of varieties on the basis of reasonable quality require-ments and in order to simplify checks on delivery, sampling levels
and frequency together with the method for calculating the adjusted
weight for determining the moisture content should be fixed;
Whereas the period of delivery of the tobacco to processors should be
limited (but vary as necessary by group of varieties) in order to prevent
fraudulent carry-over from one harvest to another;
Whereasthe conditionsgoverning the payment of premiumsand
purchase prices should be laid down in order to prevent fraud; whereas,however, it is the responsibility of the Member States to determinefurther management and control arrangementspurs uant to Article17(1) of Regulation (EEC) No 2075/92;
Whereaspremiumsmay be paid only after a check on deliveries , to
guarantee that the operationsconcerned have actually been carried outand that the quota arrangementshave been complied with; whereas ,however, the payment of advancesto producersof 50 % of the
premium due should be provided for on condition that an adequate
security is lodged; whereas, to make it possible for advances to bepaid to groups which cannot bear the costs of lodging securities, itshould be permitted to use the specific aid to cover those costs;
WhereasRegulation (EEC) No 2075/92 providesfor Member Statesto
pay the premium direct to producersand that producersmay carry overtheir surplus production to the next harvest, up to a maximum of 10 %of the quota allocated to them;1998R2848 — EN — 23.08.2002 — 010.001 — 3
▼B
WhereasArticle 9 of Regulation (EEC) No 2075/92 introducesa quota
system for the different groups of varieties of tobacco; whereas thetime limitsfor allocation of quotasmus t be fixed early enough to
enable producers to take the greatest possible account thereof when
producing tobacco;
Whereasunder Article 9(3) of Regulation (EEC) No 2075/92, produc-
tion quotas are to be assigned to producers in proportion to the averagequantity of tobacco delivered for processing over the three yearspreceding that of the most recent harvest and the quotas thus assignedare to be valid for three years; whereas allocation of a certain quantity,giving entitlement to the premium for a given harvest, does not imply
acquisition of any right in subsequent years;
Whereas national quota reserves should be set up in each Member State
in order to increase the flexibility of the quota allocation arrangements,
to encourage producersto s witch to other cropsand to facilitate the
restructuring of agricultural holdings in the Member States; whereasthese national reserves should be made up of quotas released by alinear reduction in all the quotasallocated to producersand by MemberStatesbeing able to apply a linear reduction to the quantitiesentered on
production quota statements that have been transferred permanently,
together with quotasthat have not been covered by cultivationcontractsconcluded, including quantitiesentered on production quotastatements that have been transferred temporarily;
Whereasa procedure s hould be laid down for calculating the quota for
producers who have started growing tobacco or who have increasedtheir quota;
Whereas provisions are needed to take account of cases where tobacco
is processed in Member States other than the Member State in which ithas been produced; whereas in such cases the quantity of raw tobaccoin question should be taken over in the Member State where it wasproduced, for the benefit of producersin that Member State;
Whereas production quota statements should be issued to producers on
the basis of their tobacco deliveries from the harvests in the reference
years; whereas Member States must be able to increase the quantities
to be taken into account for certain producersoperating in s pecialcircumstances;
Whereas the threshold quantities applicable for a harvest may exceed
those fixed for the previous harvest for certain groups of varieties whilefalling short of those fixed for others; whereas the additional quantitiesshould be distributed among the parties concerned on the basis ofobjective criteria, taking account of certain prioritiesto be determinedby the Member Statesin the light of their s ituation;
Whereas the transfer of production quotas within a single group of
varieties, on either an annual or a permanent basis, should be permittedand a right of priority should be established between producers to
encourage the transfer of quotas between producers who are members
of the same producer group; whereas account should not be taken whencalculating the quota of each producer of quantitiesdelivered aspart ofan annual transfer;
Whereasaccount s hould be taken of the fact that a production unit can
be jointly exploited by membersof one family, particularly with regardto minimum quantitiesper production quota s tatement and fraudprevention;
Whereasvoluntary exchangesof production quotasbetween producers
can facilitate rationalisation of production;
Whereas provision should be made for any disputes to be resolved
through joint committees;
Whereas a quota buy-back scheme should be set up with a corre-
sponding reduction of the guarantee thresholds in order to facilitatethe voluntary departure from the sector of individual producers;whereasthe amountsto which producerswhos e quotasare boughtback will be entitled should be fixed, without prejudice to future1998R2848 — EN — 23.08.2002 — 010.001 — 4
▼B
amendments; whereas, in order to maintain production as far as
possible in the same production sector, a right of priority should beestablished between producers for the purchase of quotas offered under
the buy-back scheme;
Whereas, for the purposes of sound management, transparency and
verification, producerswho are not membersof a producer groupmust deliver all tobacco of a given group of varieties from the sameharvest to a single processor, payments to producer groups andpayment of the purchase price to producers by first processors must
be made solely by bank or postal transfer to a single account linked
to payment of the individual producers, and the production quota allo-cated to each producer must be made public;
WhereasArticle 4a(5) of Regulation (EEC) No 2075/92 providesfor
specific aid not exceeding 2 % of the total premium to be paid toproducer groupsand that maximum percentage s hould be maintained
in order to ensure that producer groups correctly carry out the tasks
entrusted to them, particularly the measures to improve respect for theenvironment;
Whereas, pursuant to Article 17(1) of Regulation (EEC) No 2075/92,
Member States must decide on the measures needed to ensure compli-ance with the Community provisions on raw tobacco; whereas,
however, the control measures must satisfy certain requirements to
ensure that their application is broadly uniform in all Member States,based on the integrated administration and control system provided forin Council Regulation (EEC) No 3508/92 of 27 November 1992 estab-lishing an integrated administration and control system for certain
Community aid schemes(
1), aslas t amended by Regulation (EC) No
820/97(2), and Commission Regulation (EEC) No 3887/92 of 23
December 1992 laying down detailed rulesfor applying the integratedadministration and control system for certain Community aidschemes(
3), aslas t amended by Regulation (EC) No 1078/98(4);
Whereasin s everal Member Stateschecksare carried out at the place
to which tobacco isdelivered rather than that where it isproces s ed;
whereas such checks are considered to be inadequate; whereas theplacesto which tobacco mus t be delivered and the checksto be carriedout should be specified;
Whereas compliance with the provisions on Community aid must be
effectively monitored; whereas, in this connection, detailed criteria
and technical rules should be laid down for carrying out administrative
and on-the-spot checks; whereas, in the light of the experience gainedin carrying out on-the-spot checks, the minimum inspection ratesshould be determined using risk analysis and the factors to be takeninto consideration should be specified;
Whereas, in accordance with points (a) and (c) of Article 5 of Regula-
tion (EEC) No 2075/92, the grant of the premium iss ubject to the
condition that the leaf tobacco comesfrom a s pecified production areaand is delivered on the basis of a cultivation contract; whereas theseconditionsmay be eas ily circumvented if there isno check to verifythat the area declared on the contract hasactually been cultivated withthe variety indicated; whereasa minimum number of checksby the
Member Stateson cultivated areasand the cons equenceswhen irregu-
larities are discovered both need to be established; whereas, whilecomplying with the principle of proportionality, those consequencesmust be sufficiently dissuasive to prevent false declarations;
Whereas, with a view to the prevention of fraud, the leaf tobacco must
be placed under supervision the moment the producer delivers it to the
first-processing undertaking; whereas the tobacco must remain under
supervision until processing and market preparation have taken place;whereas it is also necessary to check any leaf tobacco imported from1998R2848 — EN — 23.08.2002 — 010.001 — 5
(1) OJ L 355, 5. 12. 1992, p. 1.
(2) OJ L 117, 7. 5. 1997, p. 1.
(3) OJ L 391, 31. 12. 1992, p. 36.
(4) OJ L 212, 30. 7. 1998, p. 23.
▼B
third countries that undergoes first processing and market preparation
in an undertaking also processing leaf tobacco of Community origin;
Whereas the data and documents of processors and producers must be
accessible in a usable form for the checks to be carried out;
Whereas the consequences of any irregularities found should be deter-
mined; whereas such consequences must be sufficiently deterrent toprevent any illegal use of Community aid, while complying with theprinciple of proportionality;
Whereasthe meas uresprovided for in thisRegulation are in accor-
dance with the opinion of the Management Committee for Tobacco,
HAS ADOPTED THIS REGULATION:
TITLE I
Definitions
Article 1
For the purposes of this Regulation:
— ‘delivery’ meansany operation taking place on a given day which
involves a producer handing over raw tobacco to a processingundertaking under a cultivation contract,
— ‘producer group’ meansa producer group recognis ed in accordance
with Article 4,
— ‘temporary transfer’ means the transfer of the quantities entered on
production quota statements for a maximum period of one year
which may not be renewed during the three-year quota allocation
period,
— ‘permanent transfer’ means the transfer of the quantities entered on
production quota statements for a period of more than one year
during the three-year quota allocation period,
— ‘first purchaser’ means the undertaking responsible for first proces-
sing that first signs the cultivation contract,
— ‘batch’ meanspart or all of the tobacco of which a delivery has
been made by a producer, divided to form one or more distinctpartsby quality grade, whether in fact handed over s eparately ornot, having a well-defined weight and moisture content andnumbered to identify the purchase price paid and the individualproducer,
— ‘control certificate’ means the document issued by the competent
control body certifying that the quantity of tobacco concerned hasbeen taken over by the first processor, that this quantity has beendelivered under the quota statements allocated to the producers
and that the operationshave been carried out in accordance with
the rules.
TITLE II
Producer groups
CHAPTER I
Recognition
Article 2
1. Member States shall recognise producer groups on application
from them.
2. Producer groups may not carry out first processing of tobacco.
3. Tobacco producersmay not belong to more than one group.1998R2848 — EN — 23.08.2002 — 010.001 — 6
▼B
Article 3
1. Producer groups must satisfy the following requirements:
(a) they shall be set up on the initiative of their members;
(b) they shall be set up with the aim of adapting collectively the
production of the producer membersto meet the requirementsof
the market;
(c) they shall adopt, and shall ensure that their members apply,
common rulesfor the production and the placing of their products
on the market, in particular asregardsproduct quality and the us eof cultivation practices, and, where appropriate, shall purchaseseed, fertilisers and other means of production;
(d) their operation shall be regulated by articles of association
restricting their activities exclusively to raw tobacco. Under thearticles of association, producer members shall be at least obliged:
— to market the entire production intended for marketing through
the group,
— to comply with the common production rules;
(e) they must have quota statements relating to a quantity expressed in
tonnesequal to or greater than the percentage s pecified in Annex Iof the guarantee threshold for the Member State in which the groupis established.
Member Statesmay fix a higher percentage and lay down
minimum conditionsregarding the number of producers ;
in the island production areas a producer group which does not
achieve the required percentage may be recognised provided that
at least 70 % of the total number of producers in that area are
members;
(f) their articles of association shall contain provisions to ensure that
the members of the group who wish to withdraw from membershipmay do so:
— after they have been membersof the group for a minimum of
one year following itsrecognition,
and
— on condition that they notify the group in writing by 31 October
at the latest of their withdrawal with effect from the followingharvest. These provisions shall apply without prejudice tonational lawsor regulationsdes igned to protect the group or
its creditors, in specified cases, against any financial conse-
quenceswhich might res ult from the withdrawal of a memberor to preclude withdrawal of a member in the course of thefinancial year;
(g) both the form in which they are set up and the entire range of their
activities shall preclude any discrimination which runs counter tothe operation of the common market and the attainment of thegeneral objectivesof the Treaty and, in particular, any dis crimina-
tion connected with the nationality or place of establishment:
— of producersor groupsliable to become membersof groups ,
or
— of their economic partners.
However, producer groupsmay res trict their activitiesto certain
production areas. However, in such cases, individual producersgrowing tobacco both inside and outside the production areasconcerned may become membersof that producer group for theirentire production provided most of their crop is harvested withinthe production areascovered by the group;1998R2848 — EN — 23.08.2002 — 010.001 — 7
▼M12
▼B
▼M2
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(h) they shall have legal personality or sufficient legal capacity to
exercise rights and be subject to obligations in accordance withnational law;
(i) they shall keep accounts enabling the competent authority to make
a full inspection of the use made by the group of the specific aid;
(j) they shall not hold a dominant position in the Community unless
this is necessary for the pursuit of the objectives laid down in
Article 38 of the Treaty;
(k) their articles of association shall in addition make it compulsory for
their membersto comply with the conditionslaid down in s ubpar-
agraphs(c) and (d) at the lates t from the date:
— on which recognition takeseffect
or
— on which they become membersif thisislater than the date of
recognition.
2. Marketing through the group within the meaning of paragraph
1(d) shall cover at least the following operations:
— the conclus ion by the group in itsown name and on itsbehalf of
cultivation contractsfor the whole of the production of themembersof the group,
— the supply of the whole of the production of the members of the
group, prepared in accordance with common standards for delivery
to the processors.
Article 4
1. The Member States shall be competent to recognise producer
groupswhich have a regis tered headquarterson their territory.
2. The Member State concerned shall decide on applications for
recognition within 60 days of the date of submission of an applicationon condition that the requirementsof Article 3 are met.
3. The Member State shall determine the date on which recognition
takeseffect. Thismay not precede the date on which the group actuallybeginsto operate.
Article 5
1. Each producer group shall update the information relevant to
recognition annually before 15 November and shall notify the MemberState of any change made since the previous period.
2. Producer groupsmeeting the conditionsfor recognition on 15
November may continue to be recognised in respect of the following
year'sharves t.
3. Producer groupswhich no longer meet the conditionsfor recogni-
tion on 15 November may, before the final date for the conclusion of
cultivation contractsreferred to in Article 10(1), apply for recognition
in accordance with Article 4 in order to continue to be recognised inrespect of that year's harvest.
CHAPTER II
Withdrawal of recognition
Article 6
1. Recognition of a producer group shall be withdrawn by the
Member State concerned:
(a) if the specific aid is used for purposes other than those laid down
in Article 40(2);
(b) if the conditionsfor recognition are no longer fulfilled;
(c) if recognition isbas ed on erroneousinformation;
(d) if the group obtained recognition by improper means;1998R2848 — EN — 23.08.2002 — 010.001 — 8
▼B
(e) if the Commission decides that Article 85(1) of the Treaty applies
to the agreements, decisions and concerted practices.
(f) if the provisions of Article 51 are found to be applicable.
2. Recognition shall be withdrawn by the Member State with effect
from the date on which the conditionsfor recognition are no longermet, without prejudice to Article 5(2) and (3).
Aid paid after that date shall be recovered, together with interest from
the date of the payment of the aid to the date of itsrecovery. Theinterest rate to be applied shall be that in force for analogous recovery
operationsunder national law.
3. In cases where recognition has been withdrawn because of serious
infringements, the aid to be recovered shall be increased by 30 %.
In such cases, and in cases where Article 51 has been applied, recogni-
tion may not be restored within 12 months of the date of withdrawal.
4. After recognition hasbeen withdrawn, the producer group mus t
reapply for recognition.
TITLE III
Firstprocessors
Article 7
1. The Member State in whose territory the first processor is based
shall be responsible for approving first processors authorised to signcultivation contracts.
2. The Member State concerned shall decide on the application for
approval, in accordance with Article 6(2) of Regulation (EEC) No
2075/92 and other conditionswhich it hasits elf laid down, within 60
days of the date of submission of the application and shall fix thedate from which approval takeseffect if the application isaccepted.Approval of a first processor may not predate the date of submissionof the application.
3. Approval of a first processor shall be withdrawn by the Member
State with effect from the following harvest from the date on which
one or more of the termsof approval are no longer met, or in thecase provided for in Article 53.
TITLE IV
Premium scheme
CHAPTER I
Production areas
Article 8
For each group of varieties, the production areas referred to in Article
5(a) of Regulation (EEC) No 2075/92 shall be as laid down in Annex
II hereto.
Member States may specify more restricted production areas, especially
in the interests of quality. Restricted production areas may not exceedthe area of the administrative unit or, in France, the canton.
CHAPTER II
Cultivation contracts
Article 9
1. Cultivation contractsasreferred to in Article 5(c) of Regulation
(EEC) No 2075/92 shall be concluded between a first processor, onthe one hand, and a producer group or individual producer who doesnot belong to a group, on the other.1998R2848 — EN — 23.08.2002 — 010.001 — 9
▼B
2. Cultivation contracts shall be concluded by group of varieties.
They shall commit the first processor to taking delivery of the quantityof leaf tobacco provided for in the contract and the individual producer
who isnot a member of a group or the producer group to deliver that
quantity to the first processor, to the extent that their actual productionso allows.
3. Cultivation contracts must include at least the following details:
(a) the partiesto the contract;
(b) the reference to the quota statement of the producer;
(c) the group of varietiesof tobacco covered by the contract and,
where appropriate, the variety of tobacco;
(d) the maximum quantity to be delivered;
(e) the exact location where the tobacco isproduced (the production
area asreferred to in Article 1, province, municipality, identifica-
tion of the parcel under the integrated control system referred toin Article 43);
(f) the area of the parcel concerned, excluding service roads and
enclosures;
(g) the purchase price according to quality grade, excluding the
premium, any service charges and taxes;
(h) the minimum quality requirementsagreed per quality grade, with a
minimum of three grades, and an undertaking by the grower to
deliver to the processor raw tobacco meeting at least these qualityrequirements;
(i) a commitment by the first processor to pay the producer the
purchase price according to quality grade;
(j) the time limit for payment of the purchase price, which may not
exceed 30 daysfrom the date of delivery;
(k) a clause providing for contracts to be auctioned if the Member
State concerned decidesto apply Article 12;
(l) an undertaking by the producer to replant the tobacco on the parcel
concerned by 15 June of the harvest year: However, if replanting is
delayed, the producer group or individual producer not belonging
to a producer group must inform the processor and the competentauthority of the Member State thereof by registered letter beforethat date, giving the reason for the delay and giving details of anychange of parcel.
If the Member State hasdecided to pay premiumsto producersthrough
the first processors in accordance with the second indent of Article 6(4)
of Regulation (EEC) No 2075/92, the cultivation contract must also
include an undertaking by the processor to pay the producer, in addi-tion to the price, an amount equal to the premium for the quantitycovered by the contract and actually delivered.
4. Contracts shall be valid for one harvest only.
5. Under Article 10(2) of Regulation (EEC) No 2075/92, the parties
to a cultivation contract may, by meansof a written amendment,
increase the quantities initially specified in the contract, where thefollowing conditionsare met:
(a) the amendment specifies the producer's surplus production for each
group of varietiesat the placesand from the harves t covered by thecontract, up to a maximum of 10 % of the quota allocated to theproducer for that harvest;
(b) the amendment is submitted for registration to the competent
authority not later than the tenth day following the date laid downin Article 16(1) of thisRegulation.
The amendment referred to in the first subparagraph shall be registered
by the competent authority once it hasbeen verified that the producerdid not carry over surpluses in the previous harvest.1998R2848 — EN — 23.08.2002 — 010.001 — 10
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Article 10
1. Cultivation contracts shall be concluded, except in cases of force
majeure , by 30 May of the harvest year.
2. Except in cases of force majeure , cultivation contractsonce
concluded must be submitted for registration to the competent bodyno later than 10 daysafter the deadline laid down for concluding them.
3. If the period for the conclusion of contracts provided for in para-
graph 1 or for the submission of cultivation contracts provided for in
paragraph 2 isexceeded by a maximum of 15 days , the premium to
be reimbursed shall be reduced by 20 %.
4. The competent body shall be that of the Member State in which
processing is to take place. Where processing is to take place in aMember State other than that in which the tobacco wasgrown, thecompetent body of the Member State in which processing is to takeplace shall immediately send a copy of the registered contract to thecompetent body of the producer Member State.
If that body does not itself carry out checks on the premium system, it
shall send a copy of the registered contract to the control agency.
Article 11
Where a cultivation contract is concluded between a processor and a
producer group, it shall be accompanied by a list containing the namesof the producersconcerned, their res pective areasin accordance withArticle 9(3)(e) and (f) and detailsof their quotas .
Article 12
1. The Member Statess hall decide, before 31 January of the year of
harvest, whether to apply an auction scheme to cultivation contracts forone or more groups of varieties signed in their territory. The system
shall cover the contracts of producer groups who wish to participate.
2. The auction scheme for cultivation contracts shall require a clause
to be included in contractsasreferred to in Article 9(1) under which
producers may replace the first purchaser with another first processornot later than 20 daysbefore the date on which delivery of the tobaccocommences.
Such replacement may occur where a first processor that has declared
itself able to fully take over a contract makes one or more formaloffers. The new prices, excluding the premium, any service chargesand taxes, must be at least 10 % higher than the prices indicated in
the contract.
3. Producers who have received formal offers shall inform the first
purchaser by registered letter of the new prices, excluding the
premium, any service charges and taxes.
4. First purchasers shall not be replaced in the contract where they
inform the producer within seven days of receiving the registered letterreferred to in paragraph 3 that they accept the new pricesaris ing fromthe auction procedure. First buyers who do not accept the new prices orwho fail to respond within the time limit laid down shall be replaced in
the contract by the first processor that formally offered the highest
price to the producer.
5. Producers shall inform the first purchaser and the Member State
of thisreplacement before the date on which delivery of the tobaccoisto commence by s ending the latter an updated copy of the originalcontract countersigned by the parties concerned.
6. Where tobacco produced in a Member State is processed in
another Member State, the cultivation contract auction scheme shallapply on the basis of the provisions adopted by the producer's MemberState.1998R2848 — EN — 23.08.2002 — 010.001 — 11
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CHAPTER III
Minimum quality requirements
Article 13
Tobacco delivered to processors must be of sound, fair and merchan-
table quality and free from any of the characteristics given in AnnexIII. The contracting parties may agree on stricter quality requirements.
Article 14
The Member Statesmay provide that dis putesconcerning the quality of
tobacco delivered to the first processor shall be submitted to an arbitra-tion body. The Member Statess hall lay down the rulesgoverning the
membership and the decision-making procedures of such bodies; the
latter must include one or more representatives of producers andprocessors, in equal numbers.
CHAPTER IV
Payment of premiumsand advances
Article 15
1. The detailed rulesfor breakdown of the premium referred to in
Article 4a(1) of Regulation (EEC) No 2075/92, the minimum relation
between the variable part and the premium and the method for calcu-
lating the variable part of the premium shall be as laid down in AnnexV to thisRegulation. The Member Statesmay increas e the relationbetween the variable part and the premium up to a maximum of 45 %.
2. The fixed part of the premium to be paid either to producer
groupsfor dis tribution in full to each member of the group or to indi-vidual producerswho are not membersof a group and the quantity to
be set off against the production quota statement of the party concerned
shall be calculated on the basis of the weight of leaf tobacco of thegroup of varietiesconcerned corres ponding to the minimum qualityrequired and taken over by the first processor.
Where the moisture content differs from the level laid down in Annex
IV for the variety concerned, the weight shall be adjusted for eachpercentage point of difference, within the toleranceslaid down in thatAnnex.
3. The methods for determining moisture content, sampling levels
and frequency and the method for calculating the adjusted weight shallbe ass et out in Annex VI.
4. The variable part of the premium to be paid to producer groups
for redistribution in full to each member shall be calculated for eachbatch delivered on the basis of the purchase price paid for that batchby the first processor.
Article 16
1. Except in cases of force majeure , producersmus t deliver their
entire production to the first processor by 30 April of the yearfollowing the year of harvest for the groups of varieties VI, VII andVIII and by 15 April of the year following the year of harvest for the
other groups of varieties, failing which they shall lose their entitlement
to the premium.
The delivery must be made either directly to the place where the
tobacco will be processed or, if the Member State so authorises, to an
approved purchasing centre. The competent control body shall approve
such purchasing centres, which must have the appropriate facilities,weighing scales and premises.
2. Each producer shall notify the competent control body in writing
by 10 May for the groupsof varietiesVI, VII and VIII and by 25 April1998R2848 — EN — 23.08.2002 — 010.001 — 12
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for other groupsof varietiesof all quantitiesof leaf tobacco not deliv-
ered to a first processor by the dates specified in paragraph 1,indicating the place where the tobacco iss tored. The competent body
shall take the necessary steps to ensure that any tobacco not delivered
to a first processor by the dates specified in paragraph 1 is not thendeclared as part of the subsequent harvest.
Article 17
Individual producerswho are not membersof a group may deliver
tobacco from a given group of varieties from the same harvest to a
single processor only.
Article 18
1. The Member State'scompetent body s hall pay:
— the fixed part of the premium to the producer group or to the indi-
vidual producer who isnot a member of a group,
— the variable part of the premium and the specific aid to the
producer group,
on the basis of a control certificate issued by the competent control
body certifying that the tobacco hasbeen delivered and proof that thepurchase price referred to in Article 9(3)(i) has been paid.
2. Member Statesmus t pay the fixed part of the premium and the
specific aid to producers within 30 days of the date of submission of
the documentsprovided in paragraph 1.
The variable part of the premium must be paid to the producer group
within 30 days following the date of submission of the documentsreferred to in paragraph 1 and of a declaration issued by the group
concerned certifying that deliveriesof each group of varietieshave
been completed.
3. Producer groupss hall pay the fixed and variable partsof the
premium to their members by bank or postal transfer within 30 daysof the date on which they receive the amount in question.
4. Payment to producer groupsof the amountsreferred to in para-
graphs1 and 2, and payment of the purchas e price to producersbyfirst processors may be made only by bank or postal transfer, toaccounts earmarked for such payments the numbers of which shall be
communicated to the competent control body and which, in the case of
a producer group, must be linked to payments to individual producergroup members.
5. Notwithstanding paragraph 1, proof of payment of the purchase
price referred to in Article 9(3)(i) shall not be required where it is
proven that the first processor who signed the contract is the subjectof bankruptcy or similar proceedings or has been legally declared bank-rupt.
6. The purchase price to be used for calculating the variable part of
the premium must be that established for each lot on delivery.
Article 19
1. Member States shall apply a system of advances on premiums for
producersin accordance with paragraphs2 to 8.
2. The advance referred to in paragraph 1 shall be paid, on applica-
tion by the producer or, for the 2000 harvest, the first processor, on thebasis of a statement of eligibility for the advance, prepared by thecompetent control body.1998R2848 — EN — 23.08.2002 — 010.001 — 13
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3. The following documents must accompany producers' applica-
tions for an advance save where a Member State provides otherwiseon the grounds that they are already in its possession:
(a) a copy of the cultivation contract concluded by the producer issued
in hisname;
(b) a copy of the quota statement issued to the producer and covered
by the said cultivation contract;
(c) a written declaration from the producer concerned specifying the
quantitiesof tobacco he isin a pos ition to deliver during the
current harvest.
4. The statement referred to in paragraph 2 shall be issued by the
control body once the documentsreferred to in paragraph 3 are verified
and the written declaration supplied by the producer is substantiated.
Where a first processor is concerned, that statement shall be issued on
the basis of the cultivation contracts concluded by him and of antici-
pated or effected deliveries.
5. Payment of the advance, the maximum amount of which shall be
equal to the fixed part of the premium payable, shall be subject to the
lodging of a security equal to the amount of the advance plus 15 %.
The advance shall be paid from 16 October of the year of the harvest
and must be paid within 30 days of submission of the application
referred to in paragraph 2 and of proof that the security has beenlodged save where the application is submitted before 16 September,in which case the period shall be increased to 77 days.
6. Where the advance isgranted to a producer group or a firs t
processor but has not been paid to the members or producers entitledor reimbursed to the Member State within 30 days of receipt, interestshall be payable on the amount still available at a rate to be determinedby the Member State. The interest shall be calculated from the date the
advance wasreceived, and booked to the European Agricultural
Guidance and Guarantee Fund (EAGGF).
7. The advance paid shall be detected from the amount of the
premium payable under Article 18(1) or 20(1), starting from the first
delivery made.
The security lodged shall be released on presentation of the control
certificate for the quantity of tobacco in question and of proof that the
amount corresponding to the premium has been paid to the producersentitled thereto. Member States shall establish any further conditions,particularly the tobacco delivery periodsor the minimum quantitiesfor which a control certificate may be drawn up.
Once 50 % of the premium due hasbeen paid, 50 % of the s ecurity
shall be released.
The security lodged shall be released when the entire advance paid has
been deducted from the premiumspayable.
8. Where (except in cases of force majeure ) deliveriesare not made
within the time limit laid down in Article 16(1) which would enablefull deduction of the advance paid from the premiumspayable, thesecurity lodged shall be forfeited at a rate equal to the amount of theadvance not recovered.
9. Member Statess hall determine any further conditionsgoverning
the grant of advances, and in particular the final date for lodging appli-cations. Producers may not lodge an application for an advance oncethey have begun making deliveries.1998R2848 — EN — 23.08.2002 — 010.001 — 14
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Article 20
1. For the 1999 and 2000 harvests, Member States may pay the
premium to producers through the first processors. In such cases, theMember State's competent body shall pay to processors:
— the fixed part of the premium for the producer groupsand indivi-
dual producerswho are not membersof a group,
— the variable part of the premium and the specific aid for the
producer groups,
on the basis of the control certificate and proof that the purchase price
referred to in Article 9(3)(i) hasbeen paid.
2. The Member State shall pay the premium to the first processor
within the following time limits:
(a) the fixed part of the premium and the specific aid, within 30 days
of the date of submission of the documents provided for in para-graph 1.
(b) the variable part of the premium, within 30 daysof the date of
submission of a declaration issued by the producer group concernedand the documentsprovided for in paragraph 1.
3. The first processor shall pay the fixed part of the premium and,
where applicable, the variable part of the premium and the specificaid, to the producer concerned within 10 daysof the date on whichthey receive the amountsin ques tion.
4. Payment of the amountsreferred to in paragraph 1 may be made
only by bank or postal transfer, to accounts earmarked for such
paymentsthe numbersof which s hall be communicated to the compe-
tent control body and which, in the case of a producer group, must belinked to paymentsto individual producer group members .
Article 21
1. Premiumss hall be paid or advanced by the Member State in
which the tobacco wasproduced. They s hall be paid to the producerin the currency of the Member State in which the tobacco wasproduced.
2. Where tobacco is processed in a Member State other than that in
which it was produced, the processing Member State shall, after
carrying out the necessary checks, provide the producer Member State
with all the information needed to enable it to pay the premium orrelease the security.
TITLE V
Productionquotas
CHAPTER I
Allocation of quotas
Article 22
1. Member Statess hall allocate production quotasfor each group of
varieties for three consecutive harvests, within the limit of the guar-antee thresholds fixed under Article 9(2) of Regulation (EEC)No 2075/92, to individual producerswho are not membersof a
producer group and to producer groups, in proportion to the average
quantity of tobacco delivered for processing by each individualproducer or each producer group over the three yearspreceding thatof the most recent harvest.
2. Member Statesmay either allocate the production quotasdirectly
among individual producerswho are not membersof a producer groupand producer groups, or require individual producers who are not1998R2848 — EN — 23.08.2002 — 010.001 — 15
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membersof a producer group and producer groupsto s ubmit applica-
tionsfor a production quota.
3. Member States shall issue quota statements to individual produ-
cerswho are not membersof a producer group and to producer
groupsnot later than ►M5the end of February ◄of the year of
harvest.
4. Within 15 daysfollowing the publication in the Official Journal
of the EuropeanCommun ities of the Regulation providing for the
transfer of guarantee threshold quantities from one group of varietiesto another in accordance with Article 9(4) of Regulation (EEC) No2075/92, the quantitiesentered in production quota s tatements
following such transfers shall be allocated fairly among the individual
producerswho are not membersof producer groupsand the producergroups issued production quota statements by the competent bodies ofthe Member States. The quantities shall be allocated on the basis ofobjective published criteria, to be laid down by the Member States aftertaking account of the opinionsof the inter-branch organis ationsrecog-
nised in accordance with Regulation (EEC) No 2077/92. The
competent bodiesof the Member Statess hall correct the quantitiesentered in production quota statements where the individual producerswho are not membersof producer groupsand the producer groupsconcerned are issued production quota statements within the time limit
laid down in paragraph 3.
Article 23
Allocation of a production quota shall not prejudice the allocation of
quotas for subsequent years.
Article 24
1. The quotasfor each producer s hall be equal to the average quan-
tity each producesasa percentage of the total of the average quantitiescalculated in accordance with Article 9 of Regulation (EEC) No 2075/92 and Articles22 and 25 of thisRegulation, s uch percentage being
applied to the specific guarantee threshold of the Member State for
the group of varietiesin ques tion.
2. In the case of producer groups, any members leaving a group
shall maintain entitlement to their own quota as calculated under para-graph 1.
3. The production quotasof producerswho have newly begun to
grow tobacco or who have increased their quota under Article 29(3)must be calculated as follows:
— for the harvests following the allocation under Article 29(3), and
until the next distribution of three-yearly production quotas, theamended quotass hall remain unchanged,
— when quotasare allocated, producerss hall obtain a production
quota in line with paragraph 1.
4. Producers who have increased their quota as the result of a
temporary transfer shall, when quotas are allocated, obtain a productionquota in proportion to the average quantity of tobacco delivered,excluding the production quotasaffected by the trans fer.
5. Producers who have increased their quota as the result of a
permanent transfer shall, when quotas are distributed, obtain a produc-tion quota in proportion to the average quantity of tobacco delivered,
including the production quotasaffected by the trans fer.
6. Producers' percentages shall be expressed to at least four decimal
places. Quotas shall be fixed in kilograms.
Article 25
1. For the purposes of calculating the average quantities delivered
for processing, all the tobacco from a harvest shall be deemed to be1998R2848 — EN — 23.08.2002 — 010.001 — 16
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delivered during the calendar year of the harvest in question. However,
the quantities of tobacco delivered for processing on the basis ofArticle 9(5) shall be deemed to be delivered during the year of the
harvest in which they were entitled to the premium. Only tobacco actu-
ally delivered and giving rise to entitlement to the premium shall betaken into account.
2. Quantitiesof tobacco delivered by producerslocated outs ide the
production areasrecognis ed in accordance with Article 5(a) of Regula-tion (EEC) No 2075/92 shall not be taken into account in thecalculation referred to in paragraph 1.
Article 26
1. Where tobacco produced in one Member State is processed in
another, the quotass hall be allocated in accordance with paragraphs2,3 and 4.
2. The processing Member State shall notify the producer Member
State, for each producer and group of varieties, of the quantities ofraw tobacco from the producer Member State delivered for processingduring the reference yearsto be us ed for calculating the productionquotasunder Article 9(3) of Regulation (EEC) No 2075/92.
3. Thisinformation s hall be forwarded not later than 15 November
of the year preceding the harvest in question.
4. The producer Member State shall allocate the corresponding
quantity of its specific guarantee threshold quantity to producers whodelivered tobacco to processors located in another Member State duringthe reference yearsreferred to in paragraph 2.
When the production quotasare allocated, producerswho delivered
tobacco to processors located in another Member State during the refer-ence years shall be treated in the same way as producers who deliveredtheir production to a processor located in their Member State.
CHAPTER II
Quota statements
Article 27
1. Member States shall issue production quota statements for each
group of varieties, within the limit of their guarantee thresholds, toproducerslocated in a production area recognis ed in accordance withArticle 5(a) of Regulation (EEC) No 2075/92.
The production quota statements shall indicate in particular the holder
of the certificate, the group of varietiesand the quantity of tobacco forwhich they are valid.
2. The Member States shall lay down the procedure for issuing
production quota statements and shall adopt measures to prevent fraudin accordance with Article 17 of Regulation (EEC) No 2075/92.
3. Member States may lay down minimum quantities for the issue of
production quota statements. Those quantities may not exceed 500 kilo-grams.
4. Where producerscan prove that, asa res ult of exceptional
circumstances, one of their harvests in the reference period was abnor-
mally low, the Member State shall, at the request of the partyconcerned, determine the quantity to be taken into account for thatharvest when making out the quota statement; the quantity thus deter-mined may not exceed the quantitiesentered in the quota s tatementsallocated to the producer for the harvest in question.1998R2848 — EN — 23.08.2002 — 010.001 — 17
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CHAPTER III
Amendment of the guarantee threshold
Article 28
1. Where the guarantee threshold fixed for a group of varieties for a
particular harvest and a particular Member State is higher than theguarantee threshold for the previous harvest, the quantity exceedingthat guarantee threshold shall be distributed following objective andconsistent criteria to be adopted and published by the Member State.
Member Statesmay, in particular, s tipulate that the additional quanti-
tiesare to be allocated, asa priority, to producers :
(a) for whom the quantity covered by their quota statement has been
reduced in relation to the previousharves t for another group of
varieties;
(b) who can significantly rationalise their production of tobacco of the
group of varietiesin ques tion if they receive the additional quan-tity.
2. Where the guarantee threshold fixed for a group of varieties for a
harvest and a Member State is lower than the guarantee thresholdapplicable to the previous harvest, that reduction shall be shared among
producersin proportion to the average quantity of tobacco delivered for
processing by each individual producer over the three years precedingthat of the most recent harvest, without prejudice to the introduction ofa quota buy-back programme asprovided for in Article 14 of Regula-tion (EEC) No 2075/92.
CHAPTER IV
National quota reserves
Article 29
1. In order to encourage producersto s witch to other cropsand to
restructure their holdings, the Member States may set up a national
quota reserve for each group of varieties for each harvest.
2. This reserve shall be made up of quotas released by a linear
reduction in all the quotasallocated to individual producersandproducer groupsto be s et by the Member Statesat between 0,5 % and2 % of the guarantee threshold fixed each year for the same group ofvarieties.
In addition, the Member Statesmay make us e of the following:
— a linear reduction to be set by each Member State at up to 2 % of
the quantitiesentered on the s tatementsof production quotasthathave been transferred permanently,
and/or
— production quotasthat have not been covered by a cultivation
contract by the closing date for conclusion of such contracts.
3. The national reserve shall be distributed, in accordance with
Chapter I of thisTitle and the production areasrecognis ed in accor-
dance with Article 5(a) of Regulation (EEC) No 2075/92, among
producers, or those who wish to become producers, on the basis ofobjective criteria determined by each Member State.
Production quotas resulting from application of the first indent of the
second subparagraph of paragraph 2 may be allocated up to the timelimit for the conclusion of cultivation contracts.
4. Where there is provision for a reduction in the threshold guar-
antee for a group of varieties in respect of the following harvest, theCommission may, in accordance with the procedure laid down in1998R2848 — EN — 23.08.2002 — 010.001 — 18
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Article 23 of Regulation (EEC) No 2075/92, authorise interested
Member Statesto bring forward the allocation of quantitiesof up to10 % of the guarantee threshold for the same group of varieties and
that are available in the national reserve for the group of varieties
concerned pursuant to the second indent of the second subparagraphof paragraph 2.
Those quantities shall be allocated by the Member States, in accor-
dance with the criteria applying for the allocation of the national
reserve, in the form of additional production quotas for the sameharvest as that during which those quantities remained unused.
CHAPTER V
T r a n sf e ro fq u o t a s
Article 30
Quotasmay be trans ferred temporarily or permanently.
Article 31
1. Where a tobacco producing holding istrans ferred to a third party
for any reason whatsoever, the new incumbent shall be entitled to the
production quota statement from the date of registration with the
competent authority.
Member States shall fix a time limit or a deadline for the registration
of transfers with the competent authority. Except in the case of atransfer following the death of the incumbent, where the transfer is
submitted to the competent authority for registration after the time limit
fixed by the Member State, entitlement to the production quota state-ment shall take effect from the following harvest.
2. Where part only of a tobacco-producing holding istrans ferred to
a third party, the new incumbent shall be entitled to the productionquota statement in proportion to the agricultural area taken over.However, the partiesconcerned may agree that full entitlement s hould
be held by the person formerly or newly entitled.
3. Without prejudice to paragraph l, producerswho leas e the areas
they farm shall maintain their entitlement to the quota when their leaseterminates.
4. Several membersof one family who jointly farm or have farmed
a tobacco-producing holding must apply for a single production quotastatement to be issued on the basis of the aggregate quantities to whichthey are entitled.
Article 32
1. Subject to authorisation by the Member State concerned, produ-
cersmay exchange among thems elvestheir rightsto a productionquota statement for a group of varieties against a statement for adifferent group of varieties.
2. Exchange of rightsto a production quota s tatement in accordance
with paragraph 1 shall be considered a permanent transfer between the
producersconcerned of the reference quantitieson the bas isof whichthe statement was established.
Article 33
1. Within a single Member State, individual producers may transfer
between themselves, either temporarily or permanently, all or part of
the quantitiesin the production quota s tatementsallocated to them,provided the following conditionsare met:
(a) the quota statement concerned has not yet been covered by a culti-
vation contract;1998R2848 — EN — 23.08.2002 — 010.001 — 19
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(b) the transferee already has a production quota for the group of vari-
etiesin ques tion. The competent authority of the Member Statemay restrict that condition to cases where the transfer relates solely
to part of the quantitiesentered in the production quota s tatement;
(c) the transfer has been the subject of a written agreement between
the partiesconcerned, referring to the s tatement relating to theproduction quota, all or part of which isto be trans ferred;
(d) the agreement referred to in (c) hasbeen s ubmitted to the compe-
tent authority for registration within 30 days of the date of issue ofthe quota statement;
(e) the original of the production quota statement of which all or part
of the quantities are to be transferred must be returned to thecompetent authority when the transfer agreement is submitted;
(f) if the producer transferring a quota statement is a member of a
producer group, the transfer must be authorised by the group where
the transferee is not a member of the same producer group. Author-isation must be granted by the producer group where no member ofthe group has expressed interest in using the quantity covered bythe transfer on the terms offered. Where the transfer takes placebetween producerswho are membersof the s ame producer group,
the group must be notified of the transfer;
(g) permanent transfer shall apply solely to producers furnishing proof
that growing contractshave been concluded in the las t three yearsfor the quotasinvolved in the trans fer.
2. The competent authority of the Member State shall register agree-
mentsasreferred to in paragraph l(c) within ►
M5thirty◄daysof
their submission, after checking that the conditions referred to in para-graph 1(a), (b), (d), (e), (f) and (g) are met. On the same day, thecompetent authority of the Member State shall issue:
— to transferees, an additional production quota statement corre-
sponding to the quantities of production quota that have been
transferred,
— to producerswho have trans ferred only part of the quantities
covered by their quota statement, a replacement production quota
statement corresponding to the quantities which have not been
transferred.
3. Transfers of production quotas as referred to in paragraph 1 may
not involve quantities of less than 100 kg except in the case of produc-
tion quotas of less than 100 kg, which are to be transferred in their
entirety. However, transfers of less than 100 kg must be notified tothe Commission.
CHAPTER VI
Buy-back of quotas
Article 34
1. Under Article 14(1) of Regulation (EEC) No 2075/92 and
excluding sensitive production areas and/or groups of high-quality vari-etiesasdefined in paragraph 2, a quota buy-back programme with
corresponding reduction of the guarantee thresholds referred to in
Article 8 of Regulation (EEC) No 2075/92 shall be introduced to facil-itate the voluntary departure from the sector of individual producers.
2. The Commission shall determine, on the basis of proposals from
the Member States, to be submitted by 30 May of each harvest year,which sensitive production areas and/or groups of high-quality varietiesup to a maximum of 25 % of each Member State'sguarantee thres hold,are to be exempt from application of the previousparagraph.1998R2848 — EN — 23.08.2002 — 010.001 — 20
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3. Paragraph 1 shall apply solely to producers furnishing proof that
growing contractshave been concluded in the las t three yearsfor thequotasinvolved in the buy-back programme.
Article 35
1. Producers who decide to leave the sector under Article 34 must
inform the competent authority of the Member State and, in the caseof individual producerswho are membersof a producer group, theirgroup, in writing of their decision before ►
M131 November ◄of
each harvest year.
2. From ►M131 November ◄to 31 December, the Member State
shall make public the intention to sell so that other producers may buythe quota before it isactually bought back.
Individual producersbelonging to the s ame group asthe producer who
has decided to leave the sector and the group concerned shall havepriority, in that order, over other producersif they wis h to buy the
quotasavailable under the buy-back programme.
3. Once the two-month period laid down in the first subparagraph of
paragraph 2 isover, any quotaswhich have not been bought by produ-
cerss hall be permanently bought back.
4. From the harvest year following the date on which the producer
notifies the decision to leave the sector, the guarantee threshold forthe group of varietiesconcerned s hall be reduced by the quantity
bought back.
Article 36
Producers whose quotas have been bought back for the 1999 harvest
shall be entitled, when the premiums for the 2000, 2001 and 2002harvest years are paid, to receive the following amounts each year:
— Group I quotasEUR 0,67741/kg,
— Group II quotasEUR 0,54187/kg,— Group III quotasEUR 0,54187/kg,— Group IV quotasEUR 0,59591/kg,— Group V quotasEUR 0,54187/kg,— Group VI quotasEUR 0,93854/kg,
— Group VII quotasEUR 0,79635/kg,
— Group VIII quotasEUR 0,56904/kg.
Producers whose quotas have been bought back in respect of the 2000
harvest will be entitled each year on payment of the premiums for the2001, 2002 and 2003 harvests to the amounts indicated in the firstparagraph in respect of the 1999 harvest.
Without prejudice to future amendments, producers whose quotas for
the 2001 and subsequent harvests have been bought back shall beentitled, at the time of payment of the premiumsfor the three cons ecu-
tive harvests following the one in question, to receive each year an
amount equal to a percentage of the premium referred to in Article3(1) of Regulation (EEC) No 2075/92 applicable to the raw tobaccoproduced during the year of the harvest in question.
That percentage shall be:
(%)
Group of varietiesYear
123
Group I quotas25 25 25
Group II quotas25 25 251998R2848 — EN — 23.08.2002 — 010.001 — 21
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(%)
Group of varietiesYear
123
Group III quotas25 25 25
Group IV quotas25 25 25Group V quotas75 75 50Group VI quotas25 25 25
Group VII quotas25 25 25
Group VIII quotas25 25 25
By derogation from the above subparagraph, producers whose quotas
for the 2001 harvest have been bought back and who have held those
quotas since the 2001 harvest only shall be entitled, at the time ofpayment of the premiums for the 2002, 2003 and 2004 harvests, toreceive each year the amount referred to in the first subparagraph forthe 1999 harvest.
CHAPTER VII
Other provisions
Article 37
The Member States may provide that disputes concerning the distribu-
tion or transfer of production quotas shall be submitted to an arbitrationbody. The Member Statess hall lay down the rulesgoverning the
membership and the decision-making procedures of such bodies.
Article 38
1. Member States shall establish a computerised database which
shall contain, for each processor and each producer and producergroup, information identifying their establishments or their holdings,
the quotasor the quantitiesappearing on production quota s tatements
allocated to them and any other information which may be useful formonitoring the quota system.
2. Member States shall ensure that:
— data in the computerised database are preserved,
— the database is used exclusively for the application described in
paragraph 1,
— measures are applied to safeguard the data, in particular against
theft and interference,
— persons covered by the scheme have access to the files relevant to
themselves without excessive expense or delay,
— persons covered by the scheme are able to have information
concerning them changed, where justified, and in particular to
have data which isno longer of interes t periodically deleted.
3. Processors and producers:
— must not hinder in any way the establishment of the computerised
database by duly qualified officials,
— must provide these officials with all the information required
pursuant to this Regulation.
4. Member States shall ensure that, subject to national laws on the
protection of data of a personal nature, the quota of each individualproducer used for the conclusion of cultivation contracts or, whereapplicable, the quota of each producer who isa member of a producergroup, ismade public in s uch a way asto be known to all producers1998R2848 — EN — 23.08.2002 — 010.001 — 22
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concerned in a restricted production area as defined in Article 9 of this
Regulation.
Article 39
Where a production quota coversa producer group which isits elf a
producer, the Member State shall ensure that the quantity in questionisdis tributed fairly between all membersof the group. Member Statesmust also have at their disposal exact data on the production of all theindividual producerss o that the production quotasmay be allocated to
them if necessary.
In that case, Chapter I shall apply mutatis mutandis to distribution
among the membersof the group; however, with the agreement of allthe members, the group may undertake a different distribution with aview to improved organisation of production.
TITLE VI
Specificaid
Article 40
1. The specific aid referred to in Article 4a(5) of Regulation (EC)
No 2075/92 shall be 2 % of the premium.
2. The specific aid may be used by producer groups up to 31 July of
the year following that of harvest in the case of groups of varieties VI,VII and VIII and up to 15 July of the year following that of harvest inthe case of the other groups of varieties and for the following purposesonly:
— the employment of technical staff to assist members in improving
the quality of their production and respect for the environment,
— the supply to members of certified seeds and seedlings and of other
meansof production in order to improve product quality,
— environmental protection measures,— the implementation of infrastructure measures for enhancing the
value of products supplied by the members, in particular tobacco-
grading facilities,
— the employment of administrative staff to administer the premium
and ensure that the group complies with Community rules,
— the reimbursement of the costs incurred in lodging securities under
Article 42.
2a. Any amountsnot us ed in full or in part in accordance with para-
graph 2 must be paid back to the Member State and shall be deducted
from the expenditure financed under the European AgriculturalGuidance and Guarantee Fund.
3. The expenditure referred to in the first, second and third indents
of paragraph 2 must be at least 30 % of the total specific aid for the1999 harvest, 40 % for the 2000 harvest and 50 % for subsequentharvests.
Article 41
If the specific aid is paid by a Member State other than that in which
processing took place, the latter shall forward to the Member Stateresponsible for the payment of the aid, at its request, the proofs andsupporting documents referred to Article 18(1).
Article 42
1. On application, the Member State shall pay the producer group
from the 16 October of the year of the harvest an advance on thespecific aid. The size of the advance shall be established on the basis1998R2848 — EN — 23.08.2002 — 010.001 — 23
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of a maximum of 50 % of the quantity of tobacco covered by cultiva-
tion contractsconcluded by the group at the time of the application.The Member Statess hall lay down the additional conditionsfor
payment of the advance.
2. Payment of the advance on the specific aid shall be subject to the
lodging of a security which shall be at least equal to the advance, plus15 %.
3. The security shall be released upon presentation of the proof
relating to the specific aid, as referred to in Article 18(1) of this Regu-lation.
TITLE VII
Checksandpenalties
CHAPTER I
Checks
Article 43
For the purpose of checking compliance with this Regulation, the
following Articles of Commission Regulation (EEC) No 3887/92 shallapply:
— Article 6(1) for effective verification of compliance with the condi-
tionsfor granting aid,
— Article 11 for additional national penaltiesand cas esof force
majeure ,
— Article 7a for the inspection report,
— Article 7b for the on-the-spot check,
— Article 15 for wrongly-made payments.
Article 44
1. The Member States shall set up inspection arrangements to ensure
effective verification of compliance with thisRegulation and withRegulation (EEC) No 2075/92 and shall adopt all the additionalmeasures necessary for the application of those Regulations.
The arrangements shall comprise the following:
(a) administrative checks;
(b) on-the-spot checks;
(c) checkson deliveriesof leaf tobacco;
(d) checks during first processing and market preparation of the
tobacco.
2. Member States shall provide mutual assistance where necessary
for the purposes of the checks provided for in this Regulation andwhere trade in leaf tobacco takesplace between them.
Article 45
The administrative checks shall include cross-checks:
(a) on declared tobacco parcels against the database provided for in
Article 2 of Regulation (EEC) No 3508/92 to prevent aid beingwrongly paid twice for the same harvest. All declared tobaccoparcelsmus t be checked;
(b) to check compliance with Article 2(3) of thisRegulation.
For the 1999 harvest, these cross-checks may be carried out on a
sample.1998R2848 — EN — 23.08.2002 — 010.001 — 24
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Article 46
1. On-the-spot checks shall be carried out after risk analysis.
Member States shall carry out unannounced on-the-spot checks to
verify:
(a) the information given in the cultivation contractsand in particular
the area, the group of varietiescultivated and the quantitiesoftobacco in store referred to in Article 16(2).
The area shall be determined by any appropriate means prescribed
by the competent authority and ensuring accuracy of measurementequivalent at least to that required for official measurements undernational rules. The competent authority shall determine a level oftolerance, in the light in particular of the measurement method
applied, the precision of the official documents available and the
local situation (for example, the slope or shape of plots).
For each processing undertaking, the checks shall cover at least 5 %
of the individual producerscovered by the contractsregis tered for
each group of varieties; the sample to be inspected must be
selected by the competent authority on the basis, in particular, ofa risk analysis and ensure representative coverage of the differentvolumescovered by contracts . Member Statesmay decide that allor part of the sample shall be checked by remote sensing;
(b) compliance with Articles40(2) and (3) and 18(3) and (4) of this
Regulation.
Such checks shall each year cover at least 30 % of producer groups
in each Member State. In selecting the sample to be inspected, thecompetent authority must ensure, in particular, representativecoverage of the different sizes of producer group.
2. The risk analysis shall take account of:
— the quantitiesof raw tobacco covered by contractsin relation to the
areasdeclared asunder tobacco,
— the results of the checks carried out in previous years,— other factorsto be defined by the Member State.
3. Where on-the-spot checks disclose significant irregularities in a
production zone or part of a production zone, the competent authoritiesshall carry out additional checks in the current year and increase the
percentage of checksthe following year in that production zone or
part of a production zone.
Article 47
1. The competent control body must check all deliveries. Each
delivery must be authorised by the competent control body, whichmust be informed in advance so that it can determine the date ofdelivery. During a check, the competent control body must verify that
it hasauthoris ed the delivery in advance.
2. If delivery isbeing made to an approved purchas ing centre as
provided for in the second subparagraph of Article 16(1), unprocessedtobacco, once checked, may leave the purchasing centre solely for thepurpose of being transferred to the processing plant. After the checks
have been made, the tobacco must be assembled in distinct quantities.
The transfer of these quantities to the processing plant must beauthorised in writing by the competent control body, which must beinformed in advance so that it can accurately identify the means oftransport used, the route, the time of departure and arrival and thequantities of tobacco transported in each separate instance.
3. When the tobacco reaches the processing plant, the competent
control body shall verify that the separate quantities checked in thepurchasing centres are those actually delivered, in particular byweighing them.
The competent control body shall lay down any special conditions it
deems necessary for checking the operations.1998R2848 — EN — 23.08.2002 — 010.001 — 25
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Article 48
1. Checks during first processing and market preparation of the
tobacco shall be carried out after risk analysis. The Member States
shall carry out unannounced checks to verify compliance with Article
7, with the time limit for payment of the purchase price provided forin Article 9(3)(j) and with the time limit for payment of the amountprovided for in Article 20(3).
2. The checks carried out during first processing and market
preparation must enable verification of the quantities of leaf tobacco
in each undertaking being checked, either produced in the Community
or originating in or coming from third countries, placed under supervi-sion and ensure that the tobacco subjected to this supervision is notreleased therefrom before the first processing and market preparationoperationsare completed and that no tobacco iss ubmitted more thanonce for checking. The checkss hall include:
(a) an unannounced check of the processing undertaking's stocks;
(b) a check when the tobacco leavesthe place in which it wasunder
supervision, having undergone first processing and market prepara-tion;
(c) all additional control measures that Member States deem necessary,
in particular to ensure that no premium is paid for raw tobaccooriginating in or coming from third countries.
3. Checks during first processing and market preparation shall cover
at least 5 % of first processors; the sample to be inspected must be
selected by the competent authority on the basis, in particular, of a
risk analysis and ensure representative coverage of the different sizesof undertaking.
4. The risk analysis shall take account of:
— the results of the checks carried out in previous years,
— change compared with the previousyear,
— other factorsto be defined by the Member State.
The checksreferred to in paragraph 2 mus t be undertaken in the place
where the leaf tobacco is processed. Within a time limit to be deter-
mined by the Member State, the undertakingsinvolved s hall notify
their competent bodies, in writing, of the places where processing willtake place. Member Statesmay s tipulate, to that end, the information tobe provided by the first-processing undertakings to the competentbodies.
CHAPTER II
Penalties
Article 49
The provisions of this chapter shall not apply in cases of force majeure .
Article 50
1. If checksreveal that the tobacco wasnot replanted on the parcel
indicated in the cultivation contract until after 15 June of the year ofharvest, the individual producer shall loser:
(a) 50 % of the premium for the current harvest, if replanting was
carried out by 30 June,
(b) all entitlement to the premium for the current harvest, if replanting
was, carried out after 30 June but by 30 July.
Where individual producersfail to grow tobacco or where replanting
takes place after 30 July of the current harvest year, they shall lose allentitlement to the premium for the current harvest and to a productionquota for the following harvest.1998R2848 — EN — 23.08.2002 — 010.001 — 26
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2. Where the area actually cultivated fallss hort of the area declared
by more than 10 %, the premium to be paid to the producer in questionfor the current harvest and the quota for the subsequent harvest shall be
reduced by twice the discrepancy found.
2a. Except where paragraph 2 applies, where the parcel on which
the tobacco isgrown isdifferent from the parcel indicated in the regis -
tered cultivation contract, the premium to be paid to the producer
concerned for the current harvest shall be reduced by 5 %.
2b. Where the penaltiesreferred to in paragraphs1, 2 and 2b are
applied to an individual producer who isa member of a producer
group, the specific aid to the producer group to which that producer
belongss hall be reduced by an amount equal to half the reductionapplied to the producer. Where such penalties are applied for morethan two consecutive years, they shall be doubled from the third year.
3. Where the penaltiesreferred to in paragraphsl and 2 are applied
and the individual producer isa member of a producer group, the
production quotas entered on the quota statement shall be reduced bythe exact quantitiescovered by the penalty relating to the productionquota of the producer to be penalised for the harvest in question, withno possibility of a different allocation between the members of theproducer group.
4. If the checkscannot be carried out for reas onsattributable to the
producer, the area shall be considered uncultivated.
The penaltieslaid down in paragraphsl and 2 s hall not apply to produ-
cers or processors who notify the competent bodies in writing of thesediscrepancies before the checks are undertaken or if farmers can showthat their determination of the area of the parcel concerned, excludingservice roads and enclosures, was accurately based on information
recognised by the competent authority.
5. If the competent control body establishes the presence of tobacco
not notified in accordance with Article 16(2), the quantity to becovered by the quota statement to which the producer is entitled for
the following harvest shall be reduced by twice the quantity not
declared.
Article 51
1. If the producer group hasnot complied with the rulesfor granting
premiums as provided for in Annex V, it shall lose its entitlement toreceive any specific aid for the current harvest. Producer groups foundto be in breach again after a second check shall have their recognitionwithdrawn.
Where clerical errors are found, the specific aid for the current harvest
shall be reduced. Member States shall fix this reduction at between 1 %and 20 % according to the seriousness of the error. The producer group
must rectify the consequences of any errors found.
2. If the producer group doesnot comply with the rulesreferred to
in Article 40(2) and (3), the specific aid shall be reduced by 20 % to50 %, according to the seriousness of the infringement. Producer
groupsfound to be committing a further infringement s hall have their
recognition withdrawn.
If producer membersof a producer group are not paid the full amount
of the fixed part and the variable part of the premium within 30 daysof
the deadline referred to in Article 18(3), the specific aid shall be
reduced by 20 %. The specific aid shall be reduced by an additional20 % for each additional period of 30 days, up to a maximum of 150days.
3. Producer group administrators responsible deliberately or by
serious negligence for the withdrawal of recognition in accordancewith paragraphs1 and 2 may not adminis ter another producer groupor submit an application for recognition during the year of applicationof the penalty.1998R2848 — EN — 23.08.2002 — 010.001 — 27
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4. Recognition shall be withdrawn in accordance with Article 6.
Article 52
If the unprocessed tobacco has not been delivered to the places
provided for in the second subparagraph of Article 16(1) or the trans-porter conveying distinct quantities of tobacco as referred to in Article47(2) from the purchasing centre to the processing plant does not haveauthorisation to effect transport, the processing undertaking which
received the tobacco concerned must pay the Member State a sum of
money equal to the premiumsfor the quantity of tobacco in ques tion.Thisamount s hall be booked to the European Agricultural Guidanceand Guarantee Fund (EAGGF).
Article 53
1. If the time limit for payment of the purchase price provided for in
Article 9(3)(j) and the time limit for payment of the amount providedfor in Article 20(3) are exceeded by 30 days, the first processor'sapproval shall be withdrawn for one year. Approval shall be withdrawnfor a further year up to a maximum of three yearsfor every additional
period of 30 days.
2. Following a period of withdrawal, first processors must submit a
new application for approval.
3. First processors' administrators responsible deliberately or by
serious negligence for withdrawal of approval may not administer
another approved first processor or submit an application for approvalduring the first year in which the penalty is applied.
TITLE VIII
NotificationstotheCommission
Article 54
Each Member State concerned shall immediately notify the Commis-
sion of:
(a) application of the second subparagraph of Article 3(1)(f);
(b) refusal or withdrawal of recognition of a producer group, giving its
reasons for refusing or withdrawing recognition;
(c) the names and addresses of the bodies responsible for the registra-
tion of cultivation contracts and of the first-processing undertakingsapproved by each Member State. The Commission shall publish a
list of those bodies and approved first-processing undertakings in
the ‘C’ series of the Official Journal of the European Communities ;
(d) application of Article 12(1);
(e) application of Article 20(1);
(f) the decisions it intends to take under Article 27(4);
(g) the measures taken under Article 28(1);
(h) the rulesfor making up the national res erve and the objective
criteria for distributing the national reserve adopted under Article
29(2) and (3);
(i) the quantitiespermanently trans ferred by group of varietiesunder
Article 33;
(j) the quantitieswhich have been the s ubject of a quota buy-back
application and the quantitiesbought back by group of varieties
under Article 35;
(k) the national measures taken to apply this Regulation;
(l) other information needed by the Commission for proper administra-
tion of the arrangements;1998R2848 — EN — 23.08.2002 — 010.001 — 28
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m) the objective criteria laid down by the Member State for the
purpose of allocating guarantee threshold quantities transferred toanother group of varietiesin accordance with Article 22(4).
The computer database established under the integrated administration
and control system shall be used for notifying the information specified
in thisArticle.
TITLE IX
Transitionalandfinalprovisions
Article 55
1. For the 2002 harvest, notwithstanding Article 22(3), the Member
States shall issue quota statements to individual producers who are notmembersof a group and to producer groupsby 30 April 2002.
2. For the 2002 harvest, not withstanding Article 10(1), cultivation
contracts must be concluded, except in cases of force majeure ,b y3 0
June 2002.
Article 56
Regulations(EEC) No 3478/92, (EEC) No 84/93 and (EC) No 1066/95
are hereby repealed with effect from the date of entry into application
of thisRegulation.
Article 57
This Regulation shall enter into force on the seventh day following its
publication in the Official Journal of the European Communities .
It shall apply with effect from the 1999 harvest.
ThisRegulation s hall be binding in itsentirety and directly applicable
in all Member States.1998R2848 — EN — 23.08.2002 — 010.001 — 29
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ANNEX I
PERCENTAGES OF THE GUARANTEE THRESHOLD PER MEMBER STATE OR
SPECIFICREGIONFORTHERECOGNITIONOFPRODUCERGROUPS
Member State or specific region of establishment of the producer group Percentage
Germany, Spain (except Castile-Leon, Navarra and the Campezo area inthe Basque Country), France (except Nord-Pas-de-Calais and Picardy),
Italy, Portugal (except the AutonomousRegion of the Azores ), Belgium,
Austria2%
Greece (except Epirus), Autonomous Region of the Azores (Portugal),
Nord-Pas-de-Calais and Picardy (France)1%
Castile-Leon (Spain), Navarra (Spain), the Campezo area in the Basque
Country (Spain), Epirus(Greece)0,3 %1998R2848 — EN — 23.08.2002 — 010.001 — 30
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ANNEX II
RECOGNISEDPRODUCTIONAREAS
Group of varietiesin accor-
dance with the Annex to Regu-
lation (EEC) No 2075/92Member State Production areas
I. Flue cured Germany Schleswig-Holstein, Lower Saxony, Bavaria,
Rheinland-Pfalz, Baden-Württemberg, Hessen,
Saarland, Brandenburg, Mecklemburg-Pomer-
ania, Saxony, Saxony-Anhalt, Thuringia
Greece Thrace, Eastern Macedonia, Central Macedonia,
Western Macedonia, Thessaly, Epirus, Eastern
Sterea Hellas, Peloponnese
France Aquitaine, Midi-Pyrénées, Auvergne, Limousin,
Champagne-Ardenne, Alsace, Lorraine, Rhône-
Alpes, Franche-Comté, Provence-Alpes-Côte
d'Azur, Loire Region, Centre, Poitou-Charentes,
Brittany, Languedoc-Roussillon, Normandy,
Burgundy, Nord-pas-de-Calais, Picardy, Île-de-
France
Italy Friuli, Veneto, Lombardy, Piedmont, Tuscany,
Marche, Umbria, Lazio, Abruzzi, Molise,
Campania, Basilicata, Apulia, Calabria
Spain Extremadura, Andalusia, Castile-Leon, Castile-
La Mancha
Portugal Beiras, Ribatejo Oeste, Alentejo, Autonomous
Region of the Azores
Austria Burgenland, Lower Austria, Upper Austria,
Styria
II. Light air-cured Belgium Flanders, Hainaut, Namur, Luxembourg
Germany Rheinland-Pfalz, Baden-Württemberg, Hessen,
Saarland, Bavaria, Brandenburg, Mecklenburg-
Pomerania, Saxony, Saxony-Anhalt, Thuringia
Greece Eastern Macedonia, Central Macedonia, Western
Macedonia, Thessaly
France Aquitaine, Midi-Pyrénées, Languedoc-Rous-
sillon, Auvergne, Limousin, Poitou-Charentes,
Brittany, Loire Region, Centre, Rhône-Alpes,
Provence-Alpes-Côte d'Azur, Franche-Comté,
Alsace, Lorraine, Champagne-Ardenne, Picardy,
Nord-Pas-de-Calais, Upper Normandy, Lower
Normandy, Burgundy, Réunion, Île-de-France
Italy Veneto, Lombardy, Piedmont, Umbria, Emilia-
Romagna, Lazio, Abruzzi, Molise, Campania,
Basilicata, Apulia, Sicily, Friuli, Tuscany,
Marche
Spain Extremadura, Andalusia, Castile-Leon, Castile-
La Mancha
Portugal Beiras, Ribatejo Oeste, Entre Douro e Minho,
Trás-os-Montes, Autonomous Region of the
Azores
Austria Burgenland, Lower Austria, Upper Austria,
Styria1998R2848 — EN — 23.08.2002 — 010.001 — 31
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Group of varietiesin accor-
dance with the Annex to Regu-
lation (EEC) No 2075/92Member State Production areas
III. Dark air-cured Belgium Flanders, Hainaut, Namur, Luxembourg
Germany Rheinland-Pfalz, Baden-Württemberg, Hessen,
Saarland, Bavaria, Brandenburg, Mecklenburg-
Pomerania, Saxony, Saxony-Anhalt, Thuringia
France Aquitaine, Midi-Pyrénées, Languedoc-Rous-
sillon, Auvergne, Limousin, Poitou-Charentes,
Brittany, Loire Region, Centre, Rhône-Alpes,
Provence-Alpes-Côte d'Azur, Franche-Comté,
Alsace, Lorraine, Champagne-Ardenne, Picardy,
Nord-Pas-de-Calais, Upper Normandy, Lower
Normandy, Burgundy, Réunion
Italy Friuli, Trentino, Veneto, Tuscany, Lazio, Molise,
Campania, Apulia, Sicily
Spain Extremadura, Andalusia, Castile-Leon, Castile-
La Mancha, Valencia (AutonomousCommunity),
Navarre, Rioja, Catalonia, Madrid, Galicia,
Asturia, Cantabria, area of Compezo in the
Basque Country, La Palma (Canary Islands)
Austria Burgenland, Lower Austria, Upper Austria,
Styria
IV. Fire-cured Italy Veneto, Tuscany, Umbria, Lazio, Campania,
Marche
Spain Extremadura, Andalusia
V. Sun-cured Greece Western Macedonia, Thessaly, Epirus, Eastern
Sterea Hellas, Western Sterea Hellas, Pelopon-
nese, Thrace and islands
Italy Lazio, Abruzzi, Molise, Campania, Basilicata,
Apulia, Sicily
VI. Basmas Greece Thrace, Eastern Macedonia, Central Macedonia,
Western Macedonia, Thessaly, Western Sterea
Hellas
VII. Katerini and similar
varietiesGreece Eastern Macedonia, Central Macedonia, Western
Macedonia, Thessaly, Epirus, Eastern Sterea
Hellas, Western Sterea Hellas
Italy Lazio, Abruzzi, Campania, Basilicata, Apulia
VIII. Kaba Koulak classic,
Elassona, Myrodata Agri-
nion, ZichnomyrodataGreece Eastern Macedonia, Central Macedonia, Western
Macedonia, Thessaly, Epirus, Eastern Stera
Hellas, Western Stera Hellas, Peloponnese and
islands, Thrace1998R2848 — EN — 23.08.2002 — 010.001 — 32
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ANNEX III
MINIMUMQUALITYREQUIREMENTS
Tobacco eligible for the prenium referred to in Article 3 of Regulation (EEC)
No 2075/92 must be of sound and fair mechantable quality having regard to
the typical characteristics of the variety concerned and must not contain any of
the following:
(a) piecesof leaf;
(b) leaf badly worn by hail;
(c) leaf with serious damage on more than one third of the surface;
(d) leaf diseased or attacked by insects on more than 25 % of the surface;
(e) leaves marked by pesticides;
(f) leaf which isunripe or dis tinctly green in colour;
(g) leaf damaged by frost;
(h) leaf attacked by mould or rot;
(i) leaf with uncured veins, moist or attacked by rot or with pulpy or promi-
nent stems;
(j) leaf from suckers or side-shoots;
(k) leaf having an unusual odour for the variety in question;
(l) leaf with soil still adhering;
(m) leaf with a moisture content exceeding the tolerances laid down in Annex
IV.1998R2848 — EN — 23.08.2002 — 010.001 — 33
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ANNEX IV
MOISTURECONTENTREFERREDTOINARTICLE15
Group of varietiesMoisture
content
(%)Tolerances
(%)
I. Flue-cured 16 4
II. Lighed air-cured
Germany, France, Belgium, Austria,
Portugal — AutonomousRegion of the
Azores22
4
Other Member Statesand other recog-
nised production areas in Portugal20
6
III. Dark air-cured
Belgium, Germany, France, Austria 26 4
Other Member States22 6
IV. Fire-cured 22 4
V. Sun-cured 16 4
VI. Basmas 16 4
VII. Katerini 16 4
VIII. Kaba Koulak classic, Elassona, Myro-
data Agrinion, Zichnomyrodata16
41998R2848 — EN — 23.08.2002 — 010.001 — 34
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ANNEX V
A.Rulesforbreakdownofthepremium
1. The premium comprises:
— specific aid = 2 % of the premium,
— variable part of the premium = percentage of the premium adjusted by
group of varieties and Member State as shown at section B and in
accordance with Article 15(1),
— fixed part of the premium = difference between the premium after
deduction of the amount withheld for financing the Fund and the
sum of the specific aid and the variable part of the premium.
2. The additional amount laid down in Article 3(2) of Regulation (EEC)
2075/92 isadded to the fixed part of the premium.
B.Relationbetweenthevariablepartandthepremium
1999
I
(Flue-
cured)II
(Light
air-
cured)III
(Dark
air-
cured)IV
(Fire-
cured)V
(Sun-
cured)Other
VI
BasmasVII
KateriniVIII
K.
Koulak
Italy 20 % 20 % 20 % 20 % 25 % 15 %
Greece 20 % 20 % 25 % 15 % 15 % 15 %
Spain 20 % 20 % 20 % 20 %
Portugal 20 % 20 %France 20 % 20 % 20 %Germany 20 % 20 % 20 %
Belgium 20 % 20 %
Austria 20 % 20 % 20 %
2000
I
(Flue-
cured)II
(Light
air-
cured)III
(Dark
air-
cured)IV
(Fire-
cured)V
(Sun-
cured)Other
VI
BasmasVII
KateriniVIII
K.
Koulak
Italy 25 % 25 % 25 % 25 % 35 % 20 %
Greece 25 % 25 % 35 % 20 % 20 % 20 %Spain 25 % 25 % 25 % 25 %Portugal 25 % 25 %
France 25 % 25 % 25 %
Germany 25 % 25 % 25 %Belgium 25 % 25 %Austria 25 % 25 % 25 %1998R2848 — EN — 23.08.2002 — 010.001 — 35
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2001andsubsequentharvests
I
(Flue-
cured)II
(Light
air-
cured)III
(Dark
air-
cured)IV
(Fire-
cured)V
(Sun-
cured)Other
VI
BasmasVII
KateriniVIII
K.
Koulak
Italy 35 % 35 % 40 % 32 % 45 % 30 %
Greece 35 % 35 % 45 % 30 % 30 % 30 %
Spain 35 % 35 % 40 % 32 %Portugal 35 % 35 %France 35 % 35 % 40 %
Germany 35 % 35 % 40 %
Belgium 35 % 40 %Austria 35 % 35 % 40 %
C.Variablepartofthepremium
The variable part of the premium isequal to:
A=summa QL /C2PP ðÞ ½/C138 /C2 QL/C2PP ðÞ :
Where A isthe total amount of the variable premium available to a producer
group for a group of varieties, QL is the quantity delivered by batch and PP
isthe purchas e price for each batch of the producer group member for the
group concerned.
For each group of varieties, the producer group must divide the total avail-
able amount of the variable premium for the group of varietiesconcerned by
the sum of the quantities delivered by batch, multiplied by the purchase
price for each lot. The result of this division must be multiplied by the
product of the quantity of each batch multiplied by itspurchas e price. A
variable premium equal to zero should be attributed to batches sold for a
price between the minimum price and the minimum price plus40 % for
each group of varietiesgrown by the producer group.
However, ►
M7 ◄each Member State may, before 30 July,
set a rate of more than 40 % to add to the minimum price.1998R2848 — EN — 23.08.2002 — 010.001 — 36
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ANNEX VI
COMMUNITY METHODS FORTHE DETER MINATION OF THE
MOISTURECONTENTOFRAWTOBACCO
I. METHODS TO BE USED
A.Beaudessonmethod
1. Apparatus
Beaudesson EM10 drying oven
A warm air electric dryer in which the air is passed over the sample
to be dried by forced convection by meansof a s pecial ventilation
fan. The moisture content is determined by weighing before and after
drying, the balance being calibrated in such a way that the reading
given by the 10 g quantity used corresponds directly to the moisture
content value in %.
2. Procedure
A 10 g quantity isweighted out in a pan with a perforated bas e and
then put into the drying column, where it is supported by a spiral
ring. The oven isturned on for five minutes , during which time the
warm air causes the sample to dry at a temperature of about 100 ºC.
At the end of five minutes, an automatic timer stops the process. The
temperature of the air at the end of the drying process is recorded
from a built-in thermometer. The sample is weighed and its moisture
content is read directly and corrected if necessary by the addition or
subtraction of 10 of a % according to the temperature reading, using
the scale provided with the apparatus.
B.Brabender method
1. Apparatus
Brabender oven
An electric dryer consisting of a thermostated cylindrical chamber,
ventilated by forced convection, into which are simultaneously
placed 10 metal pans, each containing 10 g of tobacco. These pans
are put onto a table, which can be rotated by meansof a central
handwheel into 10 different positions, allowing each of the pans,
after drying, to be placed in a position where it can be weighed
within the apparatus: a system of levers allows each of the pans in
turn to be placed on the arm of a built-in balance, without having to
remove the samples from the chamber. The balance has an optical
read-out scale, and gives a direct reading for the moisture content.
A second balance is attached to the apparatus, being used only to
weigh out the initial quantities.
2. Procedure
The thermostat is set at 110 ºC.
The chamber is set to preheat: minimum period 15 minutes.
10 quantitiesof 10 g are weighed out.
The oven isfilled.
The samples are dried for 50 minutes.
Weights for determination of the gross moisture content are read.
C.Other methods
Member States may use other methods of measurement, based in parti-
cular on the determination of the electrical resistance or dielectric
propertiesof the batch concerned, on condition that the res ultsare cali-
brated on the basis of an examination of a representative sample using
one of the methodsreferred to in A and B.1998R2848 — EN — 23.08.2002 — 010.001 — 37
▼B
II. SAMPLING
The following isthe procedure to be followed for the s ampling of leaf
tobacco for determination of its moisture content using one of the methods
referred to in I.A and B:
1. Selection of samples
Select from each bale a number of leavesproportional to itsweight. The
number of leaves selected should be sufficient to be properly representa-
tive of the bale asa whole.
The sample must include equal quantities of leaf from the outside of the
bale, leaf from the centre and leaf from a position intermediate to these.
2. Homogenisation
All the leaves selected are mixed together in a plastic bag and several
kilogramsof them are chopped up (cutting width 0,4 to 2 mm).
3. Sub-sampling
After chopping, mix the chopped leavesthoroughly and withdraw a
representative sample.
4. Measurement
Measurement must be carried out on the whole of this reduced sample
and precautions should be taken to ensure that:
— no variationsin mois ture content occur (air- and water-tight bag or
container),
— the homogeneity of the sample is not affected by settling of waste.
III. SAMPLING LEVELS AND FREQUENCY AND THE METHOD FOR
CALCULATING THE ADJUSTED WEIGHT
— the number of samples to be taken to determine the moisture content of
the raw tobacco must be equal to at least three per producer per delivery
for each group of varieties. Producers and first processors may request
on delivery for the number of samples taken to be increased,
— the weight of the tobacco delivered per group of varietiesin the cours e
of the same day is to be adjusted according to the average moisture
content measured. If the average moisture content is less than one point
higher or lower than the reference moisture content, the weight of the
tobacco eligible for the premium isnot to be adjus ted,
— the adjusted weight is: the total net weight of the tobacco delivered per
group of varieties in the course of the same day x (100 - average
moisture content)/(100 - reference moisture content for the variety in
question). The average moisture content must be a whole number given
by rounding down for decimalsbetween 0,01 and 0,49 and rounding up
for decimalsbetween 0,50 and 0,99.1998R2848 — EN — 23.08.2002 — 010.001 — 38