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"B COMMISSION REGULATION (EC) No 1623/2000
of 25 July 2000
laying down detailed rules for implementing Regulation (EC) No 1493/1999 on the common organisation of the
market in wine with regard to market mechanisms
(OJ L 194, 31.7.2000, p. 45)
Amended by:
Official Journal
No page date
"M1 Commission Regulation (EC) No 2409/2000 of 30 October 2000 L 278 3 31.10.20002000R1623 — EN — 01.08.2000 — 000.001 — 1
COMMISSION REGULATION (EC) No 1623/2000
of 25 July 2000
laying down detailed rules for implementing Regulation (EC)
No 1493/1999 on the common organisation of the market in wine with
regard to market mechanisms
THE COMMISSION OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Community,
Having regard to Council Regulation (EC) No 1493/1999 on the common
organisation of the market in wine (1), and in particular Articles 24, 25, 26,
33, 34, 35, 36 and 80 thereof,
Whereas:
(1) Title III of Regulation (EC) No 1493/1999 lays down general rules on
market mechanisms and refers for the rest to detailed implementingrules to be adopted by the Commission.
(2) Until now, those rules have been contained in a large number of
Community regulations. In the interests of both economic operators inthe Community and the authorities responsible for applying Commu-
nity rules, all these provisions should be brought together in a single
Regulation.
(3) This Regulation must include the current rules and adapt them to the
new requirements of Regulation (EC) No 1493/1999. They must also
be simplified and made more coherent and certain gaps must be filledin to ensure that the Community rules in this area are complete. Inaddition, some rules should be made more specific to ensure greater
legal certainty when they are applied.
(4) Article 35(1)(a) of Regulation (EC) No 1493/1999 introduces an aid
scheme for the use of grape must and concentrated grape must made
from grapes produced in the Community for the purpose of
manufacturing grape juice or other comestible products made withthis juice.
(5) Such other comestible products should be specified.
(6) The economic aim of the aid scheme is to encourage the use of raw
materials of Community origin rather than imported raw materials in
the manufacture of grape juice or other comestible products made with
this juice. The aid should accordingly be granted to the users of the rawmaterials, i.e. the processors.
(7) It should be stipulated that the aid is granted only for raw materials
with the quality characteristics required for processing into grape juice.It should accordingly be specified in particular that the grapes andgrape must covered by a statement must have a density at 20 °C of
between 1.055 and 1.100 grams per cubic centimetre.
(8) Application of the aid scheme calls for an administrative system to
monitor both the origin of products eligible for the aid and their
intended use.
(9) To ensure that the aid scheme and the checks operate properly, the
processors concerned should be required to submit a written statement
containing the information needed to enable the operations to be
monitored.
(10) However, to avoid excessive administration for both the processors and
the authorities concerned, no prior written statement should be
required from processors using only a small quantity of grapes orgrape must each wine year. That quantity should be fixed. Theprocessors concerned must nevertheless inform the competent au-
thorities of their Member State at the beginning of each wine year of
their intention to process a certain quantity of grapes or grape must.
(11) When the processor is not the user of the product concerned,
particularly where the inspecting authority concerned is in a different!B
(1) OJ L 179, 14.7.1999, p. 1.2000R1623 — EN — 01.08.2000 — 000.001 — 2
Member State than the processor, it is not always easy for that
authority to know whether a statement relates to grape must which hasnot received aid under this Regulation or to grape juice for which anaid application has already been submitted. The transport document
accompanying the product concerned should therefore indicate
whether an aid application has been submitted.
(12) In order for the aid scheme to significantly increase the use of
Community raw materials, it should be stipulated that aid applicationsmust be submitted for a fixed minimum quantity for each product.
(13) Under Article 35(5) of Regulation (EC) No 1493/1999, part of the aid
is to be used to organise campaigns to promote the consumption of
grape juice. The percentage of the aid earmarked for this purposeshould be sufficient to generate adequate funds to finance effectivepromotion campaigns.
(14) Processing is carried out by both occasional processors and undertak-
ings working continuously. The detailed rules for applying the aid
scheme must take account of that difference in structures.
(15) In order to allow the competent authorities of the Member States to
conduct the necessary checks, the obligations of processors as regards
stock accounts should be specified.
(16) In order to avoid unwarranted expenditure and facilitate checks, a
maximum ratio should be specified between the raw materials usedand the grape juice obtained, based on normal processing techniques.
(17) For commercial reasons, some operators store the grape juice obtained
for a long time before putting it up for consumption. This being the
case, a system of advances should be introduced so that the aid can be
paid in advance to operators against a suitable security to protect thecompetent authorities against the risk of undue payment. The timelimit for the payment of advances should therefore be specified,
together with detailed rules for the release of securities.
(18) To qualify for the aid, the parties concerned must submit an application
together with certain supporting documents. To ensure that the systemoperates in the same way in all the Member States, time limits shouldbe laid down for the submission of applications and for payment of the
aid to processors.
(19) Under Article 44(5) of Regulation (EC) No 1493/1999, grape juice
may not be turned into wine or added to wine. In order to ensurecompliance with that provision, the obligations and special checksdevolving on processors and bottlers of grape juice should be
specified.
(20) Article 34 of Regulation (EC) No 1493/1999 introduces an aid scheme
for concentrated must and rectified concentrated must produced in theCommunity and used to increase the alcoholic strength of wines.
(21) Under Article 36 of Regulation (EC) No 1493/1999, detailed rules may
be laid down, in particular to stipulate the conditions for granting the
aid. On that basis, rules should be laid down for applying the measurein the case of small producers. It should also be stipulated that onlyproducers who have fulfilled their Community obligations during a
specified period are to be eligible under this measure.
(22) The competent authorities must be informed of enrichment operations
involving the addition of concentrated grape must and rectifiedconcentrated grape must and of the quantities of those products whichare held. Since the quantities of those products which are or have been
used for enrichment must be recorded in the registers provided for in
Article 70(2) of Regulation (EC) No 1493/1999, there is no need torequire additional documents to be presented in order for the aid to bereceived.
(23) To ensure uniform application of the aid scheme concerned, the
method for establishing the potential alcoholic strength of musts
should be harmonised at Community level.
(24) The cost price of grape must used to produce concentrated grape must
and rectified concentrated grape must depends on its potential naturalalcoholic strength. To take account of this fact and to avoid disrupting
the existing pattern of trade, the aid should be differentiated so that a
higher amount can be granted for concentrated grape must and!B2000R1623 — EN — 01.08.2000 — 000.001 — 3
rectified concentrated grape must from the southernmost regions of the
Community, which traditionally produce must with the highestpotential natural alcoholic strength.
(25) Article 35(1)(b) and (c) of Regulation (EC) No 1493/1999 introduces
an aid scheme for the use of grape musts and concentrated grape mustsproduced in wine-growing zones C III (a) and C III (b) to preparecertain products falling within CN code 2206 00 in the United
Kingdom and Ireland and for the use of concentrated grape musts
produced in the Community to manufacture certain products marketedin the United Kingdom and in Ireland with instructions for using them
to obtain a beverage in imitation of wine.
(26) Products fa lling within CN code 2206 00 as referred to in
Article 35(1)(c) of Regulation (EC) No 1493/1999 are currently
produced exclusively from concentrated grape must. At this stage,
therefore, aid should be fixed for the use of concentrated grape mustalone.
(27) Application of the aid scheme calls for an administrative system to
monitor both the origin of products eligible for the aid and theirintended use.
(28) To ensure that the aid scheme and the checks operate properly, the
operators concerned should be required to submit written applicationsgiving the information needed to identify the product and enable theoperations to be checked.
(29) In order for the aid scheme to significantly increase the use of
Community products, it should be stipulated that applications must be
submitted for a fixed minimum quantity.
(30) Aid is to be granted only for products having the minimum quality
characteristics required for use for the purposes referred to in
Article 35(1)(b) and (c) of Regulation (EC) No 1493/1999.
(31) In order to enable the competent authorities of the Member States to
conduct the necessary checks, the obligations of processors as regards
stock accounts should be specified.
(32) Entitlement to aid is acquired when the processing operations are
completed. To allow for technical losses, the quantity actually used
should be allowed to be up to 10 % less than the quantity stated in the
application.
(33) For technical reasons, operators lay in their stocks a long time before
manufacturing the marketed products. This being the case, a system ofadvances should be introduced so that the aid can be paid in advance tooperators against a suitable security to protect the competent
authorities against the risk of undue payment. The time limit for the
payment of advances should therefore be specified, together withdetailed rules for the release of securities.
(34) Under Chapter I of Title III of Regulation (EC) No 1493/1999, private
storage aid may be granted for table wine, grape must, concentratedgrape must and rectified concentrated grape must. opened segmentUnder Article 24(2) of that Regulation, the grant of aid is subject to the
conclusion of storage contracts. Detailed rules should be laid down
covering the conclusion, content, period of validity and effects of suchcontracts.
(35) The term ‘producer’ should be defined and, in view of the obligations
imposed upon such persons, it should be stipulated that producers mustbe the owners of the products covered by the storage contract.
(36) An effective check must be kept on the products covered by storage
contracts. To that end, the intervention agency of a Member Stateshould be allowed to conclude contracts only for quantities stored on
the territory of that Member State, and it should be informed of any
change in the product or the place of storage.
(37) For the sake of uniformity, contracts should be concluded on the same
terms throughout the Community and be sufficiently precise to enable
the product concerned to be identified.
(38) Experience of the various schemes for the private storage of
agricultural products has shown that it is necessary to specify the
extent to which Council Regulation (EEC, Euratom) No 1182/71 is!B2000R1623 — EN — 01.08.2000 — 000.001 — 4
applicable for determining periods, dates and time limits relating to
those schemes, and that the dates on which contractual storage periodsbegin and end should be stated precisely.
(39) Under Article 3(4) of Regulation (EEC, Euratom) No 1182/71, where
the last day of a period is a public holiday, Sunday or Saturday, theperiod expires at the end of the last hour of the following working day.
It may not be in the interest of operators for this provision to be applied
in the case of storage contracts, since it could result in unequaltreatment where the last days of storage are carried over. A derogationmust therefore be provided for when the final day of storage under
contract is determined.
(40) In order to ensure that the system of contracts has an effect on market
prices, contracts should be concluded only for significant quantities.
(41) Storage aid should be restricted to products which have an effect on
market prices. Accordingly, only products in bulk should qualify for
aid. For the same reason, contracts should cover only products of
sufficiently high quality. In the case of table wine, contracts shouldrelate to wines at an advanced stage of preparation, but it must be
possible during the contract period to carry out any oenological
processes needed to ensure the preservation of the product.
(42) To encourage improvement in quality, the minimum alcoholic strength
of wine and must eligible for storage measures should be fixed. To the
same end, it should be possible to lay down more stringent conditionsfor table wine covered by storage contracts, based on the quality of the
harvest.
(43) In order to avoid abuse of the system, table wines which have been
stored under contract may not subsequently be recognised as quality
wines psr.
(44) In order to prevent products covered by a contract from affecting the
market situation, marketing and certain actions preparatory thereto
should be prohibited during the contractual storage period.
(45) Under the third indent of Article 26(1) of Regulation (EC)
No 1493/1999, rules may be adopted allowing grape must coveredby a long-term contract to be processed into concentrated grape mustor rectified concentrated grape must during the period of validity of
the contract. Since such processing is a normal operation, it should be
permitted permanently.
(46) Intervention agencies should be notified whenever grape must is
processed while under a storage contract, so that they may carry out
the necessary checks.
(47) The processing of grape must into concentrated grape must and
rectified concentrated grape must reduces the volume of product instorage and consequently brings down storage costs. However, sincethe product obtained has a higher value, the reduction in storage costs
is offset by the rise in interest. It is therefore justified, in cases where
the product is processed during storage, for the aid to remain at thelevel calculated on the basis of the quantity of grape must under
contract prior to processing throughout the period of validity of the
contract. Moreover, the products obtained must have the characteristicsrequired by the Community rules.
(48) The amount of private storage aid should take into account technical
storage costs and interest. Technical storage costs can differ accordingto the type of product, while the amount of the interest depends on the
value of the product. Accordingly, for ease of administration, the
amount of aid per hectolitre per day should be fixed for separategroups of table wines and musts. Under Article 25(4) of Regulation(EC) No 1493/1999, the amount of aid for concentrated grape must
should be 1,5 times higher than for grape must. However, the amounts
fixed in this Regulation may be amended to take account of substantialfluctuations in market prices or interest rates.
(49) It must also be possible to shorten the storage period in cases where the
products are intended for export once removed from storage. Proof thatthe products have been exported should be supplied in the same way as
for refunds, in accordance with Commission Regulation (EC)!B2000R1623 — EN — 01.08.2000 — 000.001 — 5
No 800/1999 of 15 April 1999 laying down common detailed rules for
the application of the system of export refunds on agriculturalproducts (
1).
(50) To ensure that this system is effective while at the same time taking
into account the administrative requirements of the interventionagencies, a time limit should be laid down for payment of the aid.
However, in the case of long-term contracts, in order to help meet the
cash-flow requirements of the producers concerned, the Member Statesshould be authorised to introduce an advance payment schemeinvolving the lodging of adequate securities.
(51) When a storage contract for table wine expires, producers may, on
request, conclude a new contract using simplified formalities provided
the conditions for the conclusion of a new contract for the same
product are satisfied.
(52) The market for must and concentrated must for grape juice production
is expanding and, in order to promote the use of vine products for
purposes other than wine-making, permission should be granted formust and concentrated must covered by storage contracts and intended
for grape-juice production to be sold from the fifth month of the
contract onwards on simple notification by the producer to theintervention agency. This same possibility should apply to promoteexport of these products.
(53) The products which may be obtained by distillation should be
specified, and in particular the minimum quality requirements for
neutral alcohol should be laid down. In setting these requirements,
technological progress should be taken into account, as should theneed to ensure that the alcohol produced can be sold normally on themarkets for the different uses.
(54) The checks on products intended for distillation should be intensified.(55) In the case of voluntary distillation under Articles 29 and 30 of
Regulation (EC) No 1493/1999, producers should be required toconclude delivery contracts with distillers, to be approved by theintervention agency, so that operations can be supervised and both
parties’ compliance with their obligations can be checked. Under such
a system the quantitative effects of distillation operations on themarket could be more closely monitored. However, the contractssystem needs to be adjusted to take account of the fact that some
producers wish to entrust distillation to a jobbing distiller while others
have distillation plant themselves.
(56) Specific rules are needed to ensure that wine delivered for one of the
optional distillation operations comes from the producers’ ownproduction. To that end, such producers should be required to provideproof that they have actually produced and hold the wine to be
delivered. Rules are also needed to ensure that the essential elements
of distillation contracts are adequately checked.
(57) Experience shows that a certain tolerance should be allowed in the
quantity and actual alcoholic strength by volume of the wine coveredby delivery contracts.
(58) Time limits should be set for payment of aid to distillers by the
intervention agencies. It should also be possible for the aid to be paidto distillers in advance. A system of securities is needed to ensure that
the intervention agency is not exposed to unjustified risks.
(59) In the case of distillation under Articles 27 and 28 of Regulation (EC)
No 1493/1999, experience has shown that it is not always easy for
producers to calculate exactly the quantities of products they arerequired to deliver to meet their obligation. Where producers havedelivered almost all the quantities required by the expiry of the period
for delivery and have only to make some minor adjustments, the
penalty imposed should not be out of proportion to the infringementcommitted. Such producers should therefore be deemed to havefulfilled their obligations within the time limits, provided they deliver
the quantities outstanding in due course.
(60) Distillation under Articles 27 and 28 of Regulation (EC) No 1493/1999
plays a vital role in achieving balance on the market in table wine and!B
(1) OJ L 102, 17.4.1999, p. 11.2000R1623 — EN — 01.08.2000 — 000.001 — 6
indirectly helps to adjust wine-growing potential to requirements.
Compulsory distillation must therefore be enforced very strictly and allpersons subject to the obligation to distil must actually deliver therequired quantities for distillation. In some cases exclusion from
intervention measures has not been a sufficient incentive to ensure that
persons subject to compulsory distillation fulfil their obligations.Additional Community measures are therefore needed for producerswho fail to fulfil their obligations within the time allowed but who do
fulfil them before another date to be specified.
(61) The various wine distillation operations may yield neutral alcohol as
defined in the Annex to this Regulation, on the basis of criteria relating
to its composition. Community methods of analysis should be adoptedto ensure that these criteria are complied with.
(62) These methods must be compulsory for all commercial transactions
and verification procedures. In view of the trade’ s limited facilities, asmall number of usual procedures should be allowed so that therequisite factors can be determined rapidly and with reasonable
accuracy.
(63) The Community methods of analysis should be generally recognised
methods and should be uniformly applied.
(64) In order to ensure that the results obtained by applying the analytical
methods referred to in Regulation (EC) No 1493/1999 are comparable,
the terms relating to the repeatability and reproducibility of results
obtained using these methods should be defined.
(65) The buying-in price of wine deliveries should apply ex distiller’s
premises. In certain cases, transport is provided by the distiller for
practical reasons. In order not to disturb this practice, which is oftennecessary, the transport costs should be deducted from the buying-inprice in such cases.
(66) The obligation to distil represents a considerable constraint for isolated
producers who make only a small quantity of wine. The costs such
producers would incur in transporting their grape marc and wine lees
for distillation would be out of all proportion to the return which theycould hope to obtain on the alcohol distilled from them. They shouldtherefore be permitted not to make delivery.
(67) For that part of their wine production actually delivered for distillation
under Article 28 of Regulation (EC) No 1493/1999, producers shouldbe required to deliver only by-products of wine-making for distillation
under Article 27 of that Regulation.
(68) The obligation to distil by-products is a disproportionate constraint for
some producers of small quantities in certain wine-growing areas. At
the request of their Member State, such producers should be allowed to
have their by-products withdrawn under supervision instead ofdelivering them for distillation.
(69) Producers who deliver their marc for the manufacture of oenocyanin
generally supply unfermented grape marc. The process by whichoenocyanin is extracted from such marc makes the marc unsuitable for
fermentation and distillation thereafter. Those producers should
therefore be exempted from the obligation to distil in proportion tothe quantity of grape marc they supply for such manufacture.
(70) When wine delivered for distillation is used to manufacture wine
vinegar, the volume of alcohol delivered to intervention agencies islikely to be reduced. Producers should therefore be released from their
obligation to distil where they deliver to the vinegar industry the wine
which would otherwise be necessary to make up the quantity forcompulsory distillation.
(71) Where the by-products of wine-making are withdrawn under super-
vision under Article 27(7) and (8) of Regulation (EC) No 1493/1999,all such by-products must have been withdrawn by the end of the wineyear in which they were produced. To this end, an appropriate
monitoring system is needed, which will not result in dispropor-
tionately high administrative costs, particularly in Member Stateswhose wine production is very low.
(72) Administration of the proof that marc, wine lees and wine have been
delivered to a distiller should distinguish between whether the distiller!B2000R1623 — EN — 01.08.2000 — 000.001 — 7
is established in the same Member State as the producer or in another
Member State.
(73) Under Article 27(11) and Article 28(5) of Regulation (EC)
No 1493/1999, distillers may opt either to receive aid for the product
to be distilled or to deliver the product obtained by distillation to theintervention agency. The amount of aid should be fixed on the basis ofthe market price for the various products which may be obtained by
distillation.
(74) To qualify for the aid, the parties concerned must submit an application
together with certain supporting documents. The type and number of
documents required must reflect the differences between wine and
wine lees on the one hand and grape marc on the other. To ensure thatthe system operates uniformly in all Member States, applicationsshould be lodged and aid paid to distillers within time limits to be laid
down. Some proportional allowance should be made for distillers who,
although they have met their principal obligations, are late infurnishing proof thereof.
(75) When fixing the price to be paid by the intervention agencies for the
products delivered to them, account should be taken of the average costof transporting and distilling the products concerned.
(76) A single standard price should be fixed for products delivered to
intervention agencies in connection with distillation under Article 27
of Regulation (EC) No 1493/1999, irrespective of the origin of the rawmaterials.
(77) In some regions of the Community, the relation between the quantities
of marc and those of wine and wine lees is such that the averagedistillation costs differ from those used to calculate the standard price.
This situation makes it, or can make it, economically impossible in
some of these regions to achieve the objective sought through thecompulsory distillation of the by-products of wine-making. Pricesdifferentiated according to the raw material of the product obtained by
distillation should therefore be fixed at the same time as the standard
price, while leaving it to the Member States to decide whether suchdifferentiated prices should be applied in regions where application ofthe standard price would lead to the difficulties referred to above.
(78) Recourse to this option must not increase the expenditure incurred by
the intervention agency and, hence, by the EAGGF . The pricesdifferentiated according to the origin of the alcohol should therefore be
correlated with the standard price in such a way that the weighted
average of the former does not exceed the standard price.
(79) In the absence of an organised Community market in ethyl alcohol, the
intervention agencies responsible for marketing the alcohol which they
are obliged to take over following distillation under Articles 27 and 28of Regulation (EC) No 1493/1999 must resell it at less than thebuying-in price. The difference between the buying-in price and the
selling price for such alcohol should be borne, at a standard rate, by the
European Agricultural Guidance and Guarantee Fund (EAGGF)Guarantee Section.
(80) Article 29 of Regulation (EC) No 1493/1999 provides for distillation
to support the wine market and, as a consequence, to facilitate thecontinuation of supplies of wine distillate to parts of the potablealcohol sector. To take end-of-the-year surpluses into account, the
measure should come into effect from 1 September each marketing
year.
(81) Since the Commission is responsible for organising the sale of certain
wine alcohols, it needs more detailed knowledge of the transactions
carried out on the alcohol market. The information that the MemberStates send the Commission about alcohol from compulsorydistillation should therefore be extended to cover alcohol from
voluntary distillation held by the intervention agencies.
(82) The required characteristics of products that may be delivered for
distillation should be specified in greater detail.
(83) Products entering distilleries should be physically checked using
procedures that ensure adequate representativeness.!B2000R1623 — EN — 01.08.2000 — 000.001 — 8
(84) The consequences to be incurred by producers who fail to comply with
their obligations must be specified. However, the Commission shouldadopt rules on the entitlement to aid of distillers who fail to complywith certain administrative time limits, in particular to take account of
the proportionality principle.
(85) Rules are needed to cover cases of force majeure which may prevent
distillation from taking place as planned.
(86) To ensure that distillation operations are adequately supervised,
distillers should be subject to a system of approval.
(87) To take account of the actual situation on the market in wine for
distillation, both distillers and makers of fortified wine should beallowed to fortify such wine for distillation and the overall
arrangements should be adjusted accordingly.
(88) Member States should be able to restrict the places at which wine may
be fortified for distillation so as to ensure the most appropriate form of
supervision.
(89) Detailed rules are needed for payment of the buying-in price for the
wine, payment of aid to makers of fortified wine, payment of the aid in
advance, and the lodging and release of securities.
(90) Since the addition of an indicator to wine for distillation is an effective
method of supervision, it should be stipulated that the presence of such
an indicator may not prevent free movement of such wine or ofproducts obtained therefrom.
(91) To take account of the way in which products are transported to
distilleries in some Member States, particularly where small quantitiesare involved, Member States should be authorised to allow them to be
transported in bulk.
(92) In the case provided for in Article 32 of Regulation (EC)
No 1493/1999, for some types of distillation the buying-in price for
wine should be reduced where producers have increased the alcoholic
strength by adding sucrose or concentrated grape must for which theyhave either received or applied for aid under Article 34 of thatRegulation.
(93) It is very difficult to link the increase in alcoholic strength obtained by
each producer to the wine delivered for distillation. Determining
exactly the economic advantage accruing to each producer would
therefore require an excessive amount of administrative work liable todelay payment of the aid and affect the whole intervention system. Thebuying-in price should therefore be reduced on the basis of the average
increase in the natural alcoholic strength in each wine-growing zone.
To avoid the excessive amount of administrative work needed to verifythe increase in alcoholic strength for each producer, the buying-inprice for such wine delivered for distillation should be reduced by a
fixed amount for each zone or zone division.
(94) It is only fair that producers should receive the full price if they have
not increased the alcoholic strength of any part of their table wine by
adding either sucrose or concentrated grape must for which they have
received aid under Article 34 of Regulation (EC) No 1493/1999.Moreover, producers who have increased the alcoholic strength of less
of their production than they deliver for distillation should be paid the
full price for the difference between the quantity enriched and thequantity delivered.
(95) The aid for the product obtained by distillation and the price of the
products taken over by the intervention agency in connection withdistillation under Article 28 of Regulation (EC) No 1493/1999 must beadjusted to take account of the reduction in the buying-in price for the
wine.
(96) One feature of the Community market for alcohol is the existence of
stocks resulting from intervention under Articles 27, 28 and 30 of
Regulation (EC) No 1493/1999 (
1).
(97) Specific detailed rules are needed for such tendering procedures to
ensure that all purchasers are treated equally.!B
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(98) These stocks of alcohol may be disposed of by three different types of
tendering procedure, depending on the use and destination for whichthe alcohol is intended and the quantities of alcohol at 100 % vol. to bedisposed of.
(99) Since the aim of tendering procedures is to obtain the most favourable
price, where the Commission decides to sell following a tendering
procedure the sale must be awarded to the tenderer offering the highestprice. Rules are also needed for cases where several tenders for thesame lot offer the same price.
(100) Tenders for up to 5 000 hectolitres should be admissible, on certain
conditions, so that new uses devised for alcohol can be tested at
intermediate industrial scale, thereby helping to develop outlets in thelonger term for significant quantities of Community alcohol withoutdisrupting the market in spirit drinks.
(101) It is necessary to determine which forms of processing into goods
exported under inward processing arrangements may be considered
equivalent to real industrial uses.
(102) In order to ensure that alcohol sold under such tendering procedures is
actually used for purposes not likely to disrupt the market in alcohol,
tenders must give a precise indication of the intended use.
(103) Tenderers should be allowed to submit only one tender per type of
alcohol, type of end use and tendering procedure. The legalconsequences for tenderers who submit more than one tender shouldalso be specified.
(104) In order not to affect competition with products which the alcohol may
replace, the Commission should be free to award no quantities on the
basis of tenders received.
(105) So that sales can be awarded in response to the greatest possible
number of tenders submitted where the proposed prices are deemedsatisfactory and the proposed end uses are suitable for developing new
industrial outlets for the product, it should be possible, within certain
limits, for tenderers who have submitted such tenders to be awarded areplacement lot. Such a procedure is likely to increase sales ofCommunity alcohol and thus reduce stocks which must otherwise be
managed at a high cost to the budget.
(106) Irrespective of the margin of tolerance on the overall quantity of
alcohol put up for sale by tender, the price to be paid before a removalorder is issued should be calculated on the basis of a quantity ofalcohol at 100 % vol., determined to the nearest hectolitre.
(107) Regular tendering procedures should be held for export of the alcohol
awarded to the countries of the Caribbean area for final use in the fuel
sector so as to give these countries greater continuity of supply.Experience shows that this outlet is most unlikely to disrupt the market
and affords a major market opportunity.
(108) The size of the lots put up for sale by tender for export to the
Caribbean countries should be linked to normal sea transport capacity,thereby reducing the cost to the traders concerned of providingperformance guarantees. The time limits laid down for removing the
alcohol awarded should be adjusted accordingly.
(109) Public sales of wine alcohol for use as fuel within the Community
should be subject to certain conditions so as to provide undertakingswith supplies to some extent and take account of the cost of theinvestment in processing plant needed for that particular use, without,
however, preventing the alcohol put up for sale from being physically
moved.
(110) It should be specified that public sales of this type should involve
several lots of alcohol where large quantities are set aside for suchpublic sales and that the alcohol in the vats concerned can no longer be
physically moved until a removal order has been issued for it.
(111) In the case of sale by tender or public sale for use as fuel, since
physical removal and processing of the alcohol must take place over aperiod of several years, the price per hectolitre of alcohol at 100 % vol.offered by the successful tenderer should be adjusted every three
months by applying a coefficient indicated in the relevant notice of
invitation to tender, so that the prices to be paid for the alcohol!B2000R1623 — EN — 01.08.2000 — 000.001 — 10
awarded more closely follow the fluctuation of fuel prices on
international markets.
(112) In view of the size of some of the vats in which part of the alcohol
obtained by compulsory distillation is stored and the considerable
length of time that some of this alcohol remains in storage, it isimpossible in practice to know exactly what quantity of marketablealcohol is contained in certain storage vats.
(113) This being the case, any tendering procedure ultimately found to relate
to a quantity of marketed alcohol amounting to between 99 and 101 %
of the quantity of alcohol originally put up for sale should be deemed
to have been executed.
(114) Tenderers’ statements waiving all claims in respect of the quality and
characteristics of the alcohol awarded to them should not extend to
hidden defects that by their nature could not be detected by thembeforehand and that make the alcohol unfit for the use intended.
(115) Alcohol reserved for certain sales by tender should be denatured where
appropriate to prevent it from being used for other purposes. Thequantity of alcohol awarded in such cases should be denatured by
adding petrol.
(116) A system of securities should be introduced to ensure that tendering
procedures are properly conducted and that the alcohol is in fact used
for the purpose specified in the relevant invitation to tender. Securities
should be set at a level which will prevent any utilisation contrary tothe objectives of the tendering procedure that might cause a
disturbance on the market in alcohol and spirit drinks produced in
the Community in accordance with Article 31 of Regulation (EC)No 1493/1999. The rules laid down in Commission Regulation (EEC)No 2220/85 of 22 July 1985 laying down common detailed rules for
the application of the system of securities for agricultural products,
which also covers wine, should be taken into account. The primaryrequirements of the obligations subject to a security should thereforebe specified.
(117) Losses may occur when alcohol is being transported by land and sea
and processed prior to final use. Account should be taken of therelevant technical standards to evaluate changes in the volume of
alcohol recorded on loading and unloading and a specific tolerance
limit should be set for each category of loss.
(118) An overall tolerance limit should be set for losses of alcohol due to
multiple land and sea transport operations in connection with atendering procedure for the export of alcohol to be processed in thethird countries covered by this Regulation. A higher tolerance limit
should also be set for alcohol losses due to processing operations in
such third countries by comparison with similar operations in theCommunity to take account of operational, climatic and otherconditions and the fact that some equipment is less efficient in some
third countries.
(119) Penalties should be applied for losses exceeding the set tolerance limits
by withholding a standard amount of the performance guarantee
covering the cost price of the alcohol delivered to the interventionagency in connection with distillation under Articles 27, 28 and 30 ofRegulation (EC) No 1493/1999. Part of the performance guarantee
should be released only after the successful tenderer has produced
evidence concerning all the losses relating to the tender concerned sothat the amount of guarantee available is sufficient to penalise suchillegal losses of alcohol.
(120) Some end uses intended for alcohol covered by a tendering procedure
require all or some of the alcohol awarded to be processed into
rectified alcohol. Some of the intended uses for the alcohol sold
require prior rectification or dehydration that also produces foul-tast-ing alcohol unsuitable for the uses initially intended for these tenderingprocedures. This being the case, the conditions on which performance
guarantees can be released should be amended.
(121) The checks made to verify whether the alcohol is used for the purposes
specified in the relevant invitations to tender should include at least
checks equivalent to those applied to the monitoring of Community-
produced alcohol. For the purposes of checks on certain uses or!B2000R1623 — EN — 01.08.2000 — 000.001 — 11
destinations, an international surveillance firm may be used to verify
whether the contract awarded is duly fulfilled. In line with thestrengthening and development of the internal market, physical checksshould be conducted at the place of departure or destination of alcohol
transport operations.
(122) The measures provided for in this Regulation are in accordance with
the opinion of the Management Committee for Wine,
HAS ADOPTED THIS REGULATION:
Article 1
Purpose
Title III of Regulation (EC) No 1493/1999 and this Regulation lay down the
Community rules applicable to market mechanisms in the wine sector.
This Regulation lays down the detailed rules for applying Regulation (EC)
No 1493/1999 in particular regarding aid for the use of grapes, grape must
and concentrated grape must (Title I), private storage aid (Title II) and
distillation (Title III).
Article 2
General provisions
1. Member States may rule that operators starting up their activities for the
first time during a given wine year are entitled to aid under this Regulation
only for products resulting from the processing of their own grape production.
2. Without prejudice to Article 30 of this Regulation, operators who were
subject to the obligations laid down in Articles 27 and 28 of Regulation (EC)No 1493/1999 during the previous wine year shall be eligible for the measuresprovided for in this Regulation only where they provide evidence that they
fulfilled their obligations regarding delivery or withdrawal under supervision
during the wine year concerned.
For the 2000/01 wine year, the obligations referred to in the first subparagraph
shall be those laid down in Articles 35 and 36 of Regulation (EEC) No
822/87.
TITLE I
AID FOR THE USE OF GRAPES, GRAPE MUST, CONCENTRATED
GRAPE MUST OR RECTIFIED CONCENTRATED GRAPE MUST
CHAPTER I
MANUFACTURE OF GRAPE JUICE
Article 3
Purpose of the aid
1. This Chapter lays down the detailed rules for applying the aid scheme
introduced by Article 35(1)(a) of Regulation (EC) No 1493/1999. The aidshall be granted to processors:
(a) who are themselves producers or groups of producers and who process or
have processed on their behalf the grapes they have harvested, and grape
must and concentrated grape must obtained entirely from their own grape
crop, into grape juice or other comestible products manufactured fromsuch grape juice, or
(b) who purchase from producers or groups of producers, either directly or
indirectly, grapes produced in the Community and grape must or
concentrated grape must, for the purpose of processing them into grape
juice or other comestible products manufactured from such grape juice.
The raw materials used must have been obtained exclusively from grapes
produced in the Community.!B
!M1
!B2000R1623 — EN — 01.08.2000 — 000.001 — 12
2. At the time it is used to manufacture comestible products, the grape juice
must comply with Council Directive 93/77/EEC.
Article 4
Amount of the aid
Aid for the use of grapes, grape must and concentrated grape must under
Article 35 of Regulation (EC) No 1493/1999 shall be fixed at the following
rates:
(a) Grapes (per 100 kilograms): EUR 4.952(b) Grape must (per hectolitre): EUR 6.193(c) Concentrated grape must (per hectolitre): EUR 21.655
Article 5
Technical requirements for processing
The products referred to in Article 4(1) of this Regulation must be of sound
and fair merchantable quality and suitable for processing into grape juice. Thegrape must and the must obtained from the grapes used must have a density at
20 °C of between 1.055 and 1.100 grams per cubic centimetre.
Article 6
Administrative rules applicable to processors
1. Processors who undertake processing operations throughout the wine year
and who wish to receive aid under Article 35(1)(a) of Regulation (EC)
No 1493/1999 shall submit a schedule to the competent authority of theMember State in which processing takes place before the beginning of thewine year or, where they are manufacturing grape juice for the first time,
before beginning such manufacture. The schedule shall include at least the
following information:
(a) their name or trade name and address;(b) the following technical information:
(i) the type of raw materials (grapes, grape must or concentrated grape
must),
(ii) the place where the grape must and concentrated grape must intended
for processing is stored,
(iii) the place where processing is to be carried out.
The Member States may require quarterly statements and further information
for inspection purposes.
2. Processors who carry out processing operations on specified dates and
who wish to receive aid under Article 35(1)(a) of Regulation (EC)No 1493/1999 shall submit a written statement to the competent authority,
at least three working days before the beginning of those operations,
containing in particular:
(a) the information required under (a) and (b) in paragraph 1 of this Article,(b) the wine-growing zone in which the raw materials were obtained, in
accordance with the classification in Annex III to Regulation (EC)
No 1493/1999,
(c) the following technical information:
(i) the quantity (in 100 kilograms of grapes or hectolitres of grape must
or concentrated grape must),
(ii) the density, in the case of grape must and concentrated grape must,
(iii) the date of commencement and the probable duration of processing
operations.
The statement shall relate to a minimum quantity of:(a) 1 300 kg for grapes,!B2000R1623 — EN — 01.08.2000 — 000.001 — 13
(b) 10 hectolitres for grape must,
(c) 3 hectolitres for concentrated must.
The Member States may require further information with a view to identifying
the product.
3. Processors who use no more than 50 tonnes of grapes, 800 hl of grape
must or 150 hl of concentrated grape must each wine year to produce grapejuice shall submit a statement to the competent authorities at the beginning of
the wine year containing the information required under (a) and (b) of
paragraph 1 of this Article. They shall not be required to submit the otherstatements referred to in paragraphs 1 and 2 of this Article.
4. The statements and schedules referred to in paragraphs 1, 2 and 3 shall be
submitted in at least two copies, at least one of which shall be returned, duly
stamped by the competent authority, to the processor.
5. Processors shall keep stock accounts showing in particular the following
information taken from accompanying documents or the registers referred toin Article 70 of Regulation (EC) No 1493/1999:
(a) the quantities, density and wine-growing zone of origin of the raw
materials entering their premises each day and, where applicable, the
name and address of the seller(s),
(b) the quantities and density of raw materials used each day,
(c) the quantities of grape juice obtained each day after processing,
(d) the quantities of grape juice leaving their premises each day and the name
and address of the consignee(s).
Where processors themselves carry out one of the operations referred to in
Article 7(1) of this Regulation in their juice-manufacturing premises, possiblymixing the juice with other products, the information referred to in (d) in thepreceding subparagraph shall not be required. In such cases, the stock
accounts shall show in addition the quantities of grape juice packaged each
day.
6. The supporting documents relating to the stock accounts referred to in
paragraph 5 shall be made available to the inspection authorities on theoccasion of any checks.
Article 7
Administrative rules applicable to users
1. For the purposes of this Article, ‘user’ means all operators other than
grape-juice processors who carry out any of the following operations:bottling, packaging or presenting, preparing comestible products by mixinggrape juices with other products or storing with a view to sale to one or more
undertakings responsible for carrying out the operations referred to above.
2. Where processors do not themselves carry out the operations referred to
in paragraph 1, they shall indicate in the accompanying document referred toin Article 70(1) of Regulation (EC) No 1493/1999 whether they have alreadysubmitted or intend to submit an application for aid to manufacture grape
juice under this Regulation.
3. Where processors dispatch the grape juice to a user within the
Community intending to store it prior to bottling or use in the manufactureof other comestible products,
(a) the storage undertaking shall send the document accompanying the grape
juice to the competent authority at the place of unloading not later than
15 days after receiving the product,
(b) the competent authority shall stamp the accompanying document referred
to in point (a) only after verifying that a quantity at least equivalent tothat of the consignment concerned has been dispatched, with anappropriate accompanying document, to a bottler or an undertaking
manufacturing comestible products covered by this Regulation, and has
been received by that user.!B2000R1623 — EN — 01.08.2000 — 000.001 — 14
If the requirements set out in point (b) have been fulfilled and once the
accompanying document has been received, the competent authority at theplace of unloading shall return the copy of the accompanying documentreferred to in point (a), duly stamped, to the processor/consignor of the grape
juice concerned.
4. Where processors dispatch the grape juice to a user within the
Community intending to bottle it, the latter shall forward a copy of the
accompanying document to the competent authority of the place of unloadingnot later than 15 days after receiving the product.
Not later than 30 days after receiving the copy of the accompanying
document, the competent authority at the place of unloading shall return it,duly stamped, to the processor/consignor of the grape juice concerned.
However, where processors or users intending to bottle the juice so request,
the competent authority or authorised department at the place of unloadingshall return the copy of the accompanying document, duly stamped, direct to
them.
5. Where processors dispatch the grape juice to a user within the
Community manufacturing other comestible products made with this juice,
(a) the manufacturer of these products shall send the document accom-
panying the grape juice to the competent authority not later than 15 days
after receiving the product,
(b) the competent authority shall stamp the accompanying document referred
to in point (a) only if it has sufficient assurance that the grape juice is
actually intended for the manufacture of the comestible productsconcerned.
Provided such assurance exists, the competent authority at the place of
unloading shall return the copy of the accompanying document referred to inthis paragraph, duly stamped, to the processor/consignor of the grape juice
concerned not later than 30 days after receiving it.
6. In the cases covered by this Article, users shall keep stock accounts
showing in particular:
(a) the quantities of unpackaged grape juice entering their premises each day
and the name and address of the consignor/processor,
(b) the quantities of unpackaged grape juice leaving their premises each day
and the name and address of the consignee(s).
(c) the quantities of grape juice and/or grape juice mixed with other products
packaged each day, indicating the quantity of grape juice used to
manufacture the products concerned.
7. The supporting documents relating to the stock accounts referred to in
paragraph 7 of this Article shall be made available to the inspection
authorities on the occasion of any checks.
Article 8
Aid applications
1. In order to qualify for the aid, processors covered by Article 6(1) of this
Regulation shall submit one or more applications for aid to the competent
authority, no more than six months after the end of the wine year, together
with:
(a) a copy of the annual or quarterly statements in their possession or a
summary thereof,
(b) a copy or summary of the stock accounts referred to in Article 6(5) of this
Regulation. The Member States may require such copies and summaries
to be stamped by an authority responsible for inspections.
2. In order to qualify for the aid, processors covered by Article 6(2) of this
Regulation shall submit an application for aid to the competent authority nomore than six months after completing the processing operations, togetherwith:
(a) a copy of the statement in their possession,!B2000R1623 — EN — 01.08.2000 — 000.001 — 15
(b) a copy or summary of the stock accounts referred to in Article 6(5). The
Member States may require such copies and summaries to be stamped byan authority responsible for inspections,
(c) a copy of the document accompanying the transport of the raw materials
to the processor’ s premises, or a summary thereof. The Member Statesmay require such copies and summaries to be stamped by an authority
responsible for inspections.
Aid applications shall state the quantity of raw materials actually processed
and the day on which the processing operations were completed.
3. In addition, within six months of the date on which the stamp provided
for in Article 7 of this Regulation is affixed or the date of export of the grapejuice, the processors concerned shall submit, as the case may be:
(a) the copy of the accompanying document stamped by the competent
authority provided for in Article 7,
(b) a copy of the accompanying document bearing a customs stamp
certifying export.
4. All the documents required in order to qualify for the aid must be
submitted no more than six months after submission of the aid application. Ifthey are submitted during the six months following that deadline, the aid shall
be reduced by 30 %. Beyond that date, no aid shall be paid.
Article 9
Conditions for granting the aid
1. Except in cases of force majeure , the aid shall be due only for the quantity
of raw materials actually used, not exceeding the following ratio between the
product used and the grape juice obtained:
(a) 1.3 for grapes, in 100 kg per hectolitre,
(b) 1.05 for must, in hectolitres per hectolitre,
(c) 0.30 for concentrated must, in hectolitres per hectolitre.Where the product obtained is concentrated grape juice, those ratios shall be
multiplied by 5.
2. Except in cases of force majeure , if processors fail to fulfil one of the
obligations devolving on them under this Regulation other than the obligationto process the raw materials covered by their aid applications into grape juice,
the aid to be paid shall be reduced by an amount fixed by the competent
authority depending on the seriousness of the infringement.
3. In cases of force majeure , the competent authority shall determine the
measures which it considers necessary having regard to the circumstancesinvoked.
Article 10
Payment of the aid
The competent authority shall pay the aid for the quantity of raw materials
actually processed no more than three months after receiving all the
supporting documents referred to in Article 8, except:
— in cases of force majeure ,
— where administrative inquiries have been initiated concerning entitlement
to the aid. In such cases, payment shall be made only when the applicant
has been recognised as entitled to the aid.!B2000R1623 — EN — 01.08.2000 — 000.001 — 16
Article 11
Advance payments
1. Processors may request that an amount equal to the aid calculated for the
raw materials be paid to them in advance provided that they provide evidencethat the raw materials have entered their premises and they have lodged asecurity in favour of the intervention agency. That security shall be equal to
120 % of the said amount. In such cases, the supporting documents referred to
in Article 8 need not be submitted at this stage.
Where processors make several applications for aid under this Regulation, the
competent authority or the department authorised for the purpose may allow
them to lodge a single security. In such cases, the security shall correspond to
120 % of all the amounts calculated in accordance with the first subparagraph.
2. Advances as referred to in paragraph 1 shall be paid within three months
of the presentation of proof that the security has been lodged. However, no
advances shall be paid before 1 January of the wine year concerned.
3. After the competent authority or authorised department has checked all
the documents referred to in Article 8 of this Regulation, the security referredto in paragraph 1 shall be released in whole or in part, as the case may be, in
accordance with the procedure laid down in Article 19 of Commission
Regulation (EEC) No 2220/85. Except in cases of force majeure , the security
shall be forfeit where the quantity used is less than 95 % of the quantity forwhich the advance was paid.
Where the quantity used is less than 95 % of the quantity for which the
advance was paid, the processor shall continue to be entitled to aid for thequantity actually processed.
Where the quantity used is between 95 and 99,9 % of the quantity for which
the advance was paid, the security shall be forfeit only for the quantity not
processed during the wine year.
CHAPTER II
AID FOR MUST USED TO INCREASE THE ALCOHOLIC
STRENGTH OF WINE PRODUCTS
Article 12
Purpose of the aid
1. Aid as referred to in Article 34(1) of Regulation (EC) No 1493/1999 shall
be granted to producers of table wines or quality wines produced in specified
regions (quality wines psr) who use concentrated grape must and rectified
concentrated grape must produced in the Community to increase the naturalalcoholic strength by volume of the products referred to in Annex V(C) toRegulation (EC) No 1493/1999.
2. Notwithstanding paragraph 1, in the case of quantities of ten hectolitres
or less per wine year, the Member States may decide to grant the aid toproducers of concentrated grape must and rectified concentrated grape mustwhen the purchasers are individual winegrowers using the product exclusively
for enriching their own production.
The Member States shall adopt detailed rules for applying this measure and
notify the Commission thereof.
Article 13
Amount of the aid
1. The amount of the aid referred to in Article 34(1) of Regulation (EC)
No 1493/1999 shall be fixed as follows, by potential alcoholic strength byvolume (% vol.) per hectolitre, for the following categories of products:
(a) Concentrated grape must from grapes harvested:
— in wine-growing zones C III (a) and C III EUR 1.699/% vol./hl
— elsewhere EUR 1.466/% vol./hl
(b) Rectified concentrated grape must from grapes harvested:
— in wine-growing zones C III (a) and C III EUR 2.206/% vol./hl!B2000R1623 — EN — 01.08.2000 — 000.001 — 17
— elsewhere EUR 1.955/% vol./hl
However, for wine years 2000/01, 2001/2002 and 2002/03 for rectified
concentrated musts obtained from grapes harvested elsewhere than inwine-growing zones C III (a) and C III (b) and produced in establishmentsthat began production of rectified concentrated musts before 1 January 1986
in Spain or before 30 June 1982 elsewhere, the amount shall be that laid down
for products of wine-growing zones C III.
2. The potential alcoholic strength of the products listed in paragraph 1 shall
be determined by applying the figures in the table of equivalence in Annex I
hereto to the readings at 20 °C from a refractometer used in accordance with
the method laid down in Annex XVIII to Regulation (EC) No …./2000establishing a Community code of oenological practices and processes.
Article 14
Aid applications
Producers wishing to receive the aid provided for in Article 34(1) of
Regulation (EC) No 1493/1999 shall submit an application to the competent
intervention agency covering all operations to increase alcoholic strength towhich that Article applies. Applications must reach the intervention agencywithin two months of the date on which the last operation was carried out.
Applications shall be accompanied by the documents relating to the
operations for which aid is requested.
Article 15
Conditions for granting the aid
1. Except in cases of force majeure , no aid shall be payable if the producer
does not carry out the operation referred to in Article 34(1) of Regulation
(EC) No 1493/1999 in accordance with Annex V(C) and (D) to that
Regulation.
2. Except in cases of force majeure , where producers fail to comply with
any of the requirements of this Regulation other than that referred to in
paragraph 1, the aid payable shall be reduced by an amount to be fixed by the
competent authority depending on the seriousness of the infringement.
3. In cases of force majeure , the competent authority shall determine the
measures which it deems necessary in view of the circumstances invoked.
Article 16
Payment of the aid
The intervention agency shall pay the aid to producers before 31 August
following the end of the wine year concerned, except:
(a) in cases of force majeure ,
(b) where administrative inquiries have been initiated concerning entitlement
to the aid. In such cases, payment shall be made only when the applicant
has been recognised as entitled to the aid.
Article 17
Advance payments
1. From 1 January of the wine year concerned, producers may request that
an amount equal to the aid calculated for the products used to increase
alcoholic strength be paid to them in advance provided that they have lodged a
security in favour of the intervention agency. The security shall be equal to120 % of the aid applied for.
Applications shall be accompanied by such of the documents referred to in the
second paragraph of Article 14 as are available. The remaining documents
shall be submitted before the end of the wine year.
2. The intervention agency shall pay advances within three months of
presentation of proof that the security has been lodged.!B2000R1623 — EN — 01.08.2000 — 000.001 — 18
3. After the competent authority or the authorised department has checked
all the documents, and taking account of the amount to be paid, the securityshall be released in whole or in part, as the case may be, in accordance withthe procedure laid down in Article 19 of Commission Regulation (EEC)
No 2220/85.
CHAPTER III
AID FOR THE MANUFACTURE OF CERTAIN PRODUCTS IN THE
UNITED KINGDOM AND IN IRELAND
Article 18
Purpose and amount of the aid
1. Aid as referred to in Article 35(1)(b) and (c) of Regulation (EC)
No 1493/1999 shall be granted:
(a) to manufacturers who use concentrated grape must obtained entirely from
grapes produced within wine-growing zones C III (a) and C III (b) for the
manufacture in the United Kingdom and Ireland of products falling
within CN code 2206 00 for which the use of a composite name includingthe word ‘wine’ may be allowed by these Member States under Annex
VII(C)(3) to Regulation (EC) No 1493/1999, hereinafter called ‘manu-
facturers’. The amount of the aid shall be EUR 0.2379 per kilogram;
(b) to operators who use concentrated grape must obtained entirely from
grapes produced in the Community as the main component in a set of
products which they market in the United Kingdom and Ireland, withclear instructions enabling the consumer to obtain therefrom a beveragein imitation of wine, hereinafter called ‘operators’. The amount of the aid
shall be EUR 0.3103 per kilogram.
2. To be eligible for aid, concentrated grape must shall be of sound, fair and
merchantable quality and suitable for use for the purposes referred to in
Article 35(1)(b) or (c) of Regulation (EC) No 1493/1999.
Article 19
Aid applications
1. Manufacturers and operators wishing to receive aid as provided for in
Article 35(1)(b) or (c) of Regulation (EC) No 1493/1999 shall submit a
written application, between 1 August and 31 July of the wine year concerned,
to the competent authority of the Member State in which the concentratedgrape must is used.
Applications must be made at least seven working days before the
manufacturing operations begin.
However, the period of seven working days may be shortened where the
competent authority so authorises in writing.
2. Aid applications shall cover a minimum quantity of 50 kilograms of
concentrated grape must.
3. Aid applications shall show, in particular:
(a) the name or business name and the address of the manufacturer or
operator;
(b) the wine-growing zone from which the concentrated grape must
originates, as defined in Annex III to Regulation (EC) No 1493/1999;
(c) the following technical information:
(i) the place of storage,
(ii) the quantity (in kilograms or, if the concentrated grape must referred
to in Article 35(1)(c) of Regulation (EC) No 1493/1999 is put up in
containers with contents not exceeding 5 kilograms, the number of
containers),
(iii) the density,
(iv) the prices paid,!B2000R1623 — EN — 01.08.2000 — 000.001 — 19
(v) the place where the operations referred to in Article 35(1)(b) and (c)
of Regulation (EC) No 1493/1999 are carried out.
The Member States may require additional information for the purpose of
identifying the concentrated grape must.
4. A copy of the accompanying document(s) covering transport of the
concentrated grape must to the manufacturer’s or operator’s premises, drawn
up by the competent authority of the Member State, shall be attached to theaid application.
Column 8 of the document shall indicate the wine-growing zone where the
fresh grapes used were harvested.
Article 20
Conditions for granting the aid
1. Manufacturers and operators shall be bound to use the full quantity of
concentrated grape must covered by an aid application for the purposesreferred to in Article 35(1)(b) and (c) of Regulation (EC) No 1493/1999. A
shortfall of 10 % of the quantity of concentrated grape must stated in the
application shall be tolerated.
2. Manufacturers and operators shall keep stock accounts showing in
particular:
(a) the consignments of concentrated grape must purchased and brought each
day into their premises, together with the information indicated in
Article 19(2)(b) and (c) of this Regulation and the name and address ofthe seller(s),
(b) the quantities of concentrated grape must used each day for the purposes
referred to in Article 35(1)(b) and (c) of Regulation (EC) No 1493/1999,
(c) the consignments of finished products mentioned in Article 35(1)(b) and
(c) of Regulation (EC) No 1493/1999 produced and dispatched each dayfrom their premises, together with the name and address of theconsignee(s).
3. Manufacturers and operators shall inform the competent authority in
writing, within one month, of the date when all the concentrated grape mustcovered by an aid application has been used for the purposes referred to inArticle 35(1)(b) and (c) of Regulation (EC) No 1493/1999, allowing for the
shortfall provided for in paragraph 1 of this Article.
4. Except in cases of force majeure , no aid shall be payable where
manufacturers or operators fail to fulfil the requirement set out in paragraph 1of this Article.
5. Except in cases of force majeure , where manufacturers or operators fail to
comply with any of the requirements of this Regulation other than that
referred to in paragraph 1 of this Article, the aid payable shall be reduced byan amount to be fixed by the competent authority depending on theseriousness of the infringement.
6. In cases of force majeure , the competent authority shall determine the
measures which it deems necessary in view of the circumstances invoked.
Article 21
Payment of the aid
The competent authority shall pay aid for the quantity of concentrated grape
must actually used not later than three months after receiving the information
referred to in Article 20(3) of this Regulation.
Article 22
Advance payments
1. Manufacturers and operators as referred to in Article 18 of this
Regulation may apply for an amount equal to the aid to be paid in advance
provided they have lodged a security for 120 % of the said amount in favour
of the competent authority.!B2000R1623 — EN — 01.08.2000 — 000.001 — 20
2. Advance payments as referred to in paragraph 1 shall be paid within three
months of presentation of proof that the security has been lodged, providedthat evidence is supplied that the concentrated grape must has been paid for.
3. After the competent authority has received the information referred to in
Article 20(3) of this Regulation, and taking account of the amount of aid to bepaid, the security referred to in paragraph 1 shall be released in whole or inpart, as the case may be, in accordance with the procedure laid down in
Article 19 of Commission Regulation (EEC) No 2220/85.
TITLE II
PRIV ATE STORAGE AID
Article 23
Purpose
This Title lays down the detailed rules for applying the storage aid scheme
referred to in Chapter I of Title III of Regulation (EC) No 1493/1999.
Article 24
Definitions
For the purposes of this Title, ‘products’ means grape must, concentrated
grape must, rectified concentrated grape must and table wines, irrespective of
the wine year in which they were produced.
Article 25
Amount of the aid
Storage aid shall be payable throughout the Community at the following
standard rates per hectolitre per day:
(a) EUR 0.01837 for grape must;
(b) EUR 0.06152 for concentrated grape must;
(c) EUR 0.06152 for rectified concentrated grape must;
(d) EUR 0.01544 for table wines.
Article 26
Rules applicable to beneficiaries
1. Intervention agencies shall conclude private storage contracts only with
producers.
For the purposes of this Title, ‘producer’ means any natural or legal person or
group of such persons which carries out, or has carried out on their behalf, anyof the following operations:
(a) the processing of fresh grapes into grape must,
(b) the processing of grape must into concentrated grape must or rectified
concentrated grape must,
(c) the processing of fresh grapes, grape must or grape must in fermentation
into table wine.
The organisations referred to in Article 39 of Regulation (EC) No 1493/1999
shall be treated as producers for the quantities obtained by their members. Theindividual members delivering wine covered by a private storage contractshall be responsible for fulfilling the obligations referred to in Article 2 of this
Regulation.
2. Producers may conclude contracts only for products:
— produced by them, or
— produced on their responsibility and which they own, or!B2000R1623 — EN — 01.08.2000 — 000.001 — 21
— in the case of producer organisations as referred to in the third
subparagraph of paragraph 1, produced on the responsibility of theirmembers.
3. The intervention agency of a Member State may conclude contracts only
for products stored on the territory of that Member State.
4. Products may not simultaneously be the subject of both a private storage
contract and the arrangements referred to in Article 5(1) of CouncilRegulation (EEC) No 565/80.
Article 27
Characteristics of products eligible for aid
When contracts are concluded:
(a) the grape musts concerned must have been obtained exclusively from
varieties classified as wine grapes in accordance with Article 19 ofRegulation (EC) No 1493/1999 and may not have a natural alcoholic
strength by volume lower than the minimum natural alcoholic strength
laid down for the wine-growing zone in which they originate,
(b) table wines:
(i) must comply with the minimum quality requirements fixed in Annex
II to this Regulation for the category for which the contract is
concluded;
(ii) must have a reducing sugar content not greater than two grams per
litre, except in the case of table wines from Portugal, which musthave a reducing sugar content not greater than four grams per litre;
(iii) must display a satisfactory 24-hour exposure to air,(iv) must be free of bad tastes.
(c) The radioactivity levels of the products referred to in Article 24 of this
Regulation may not exceed the maximum levels permitted under
Community rules. However, the level of radioactive contamination ofproducts shall be monitored only if the situation so requires and onlyduring the period necessary.
Article 28
Quantities eligible for aid
1. The total quantity of products for which producers conclude storage
contracts may not exceed the quantity stated in their production declarationfor the wine year concerned, submitted in accordance with Article 18(1) of
Regulation (EC) No 1493/1999, plus any quantities they obtained after the
date on which their declaration was submitted and recorded in the registersreferred to in Article 70 of Regulation (EC) No 1493/1999.
2. Contracts shall cover a minimum quantity of 50 hectolitres in the case of
table wine, 30 hectolitres in the case of grape must and 10 hectolitres in thecase of concentrated grape must and rectified concentrated grape must.
Article 29
Conclusion of contracts
1. Producers may conclude contracts provided they supply the following
information for each container in which the product concerned is stored:
(a) details enabling the product to be identified,(b) the following analysis data:
(i) the colour,
(ii) the sulphur dioxide content,(iii) the absence of hybrids, in the case of red products, as demonstrated
by analysis for malvidol diglucoside.!B2000R1623 — EN — 01.08.2000 — 000.001 — 22
For grape must, concentrated grape must and rectified concentrated grape
must, the following information shall also be provided:
(c) the reading obtained at a temperature of 20 °C with a refractometer used
in accordance with the method referred to in the Annex to Commission
Regulation (EEC) No 558/93. A disparity of 0.2 shall be tolerated when
the reading is checked by the authorities.
For table wine, the following analysis data shall also be provided:(d) the total alcoholic strength by volume,
(e) the actual alcoholic strength by volume,
(f) the total acidity, expressed in grams of tartaric acid per litre or in
milliequivalents per litre; however, Member States may waive this
requirement for white wines,
(g) the volatile acid content, expressed in grams of acetic acid per litre or in
milliequivalents per litre; however, Member States may waive thisrequirement for white wines,
(h) the reducing sugar content,
(i) behaviour in air over 24 hours,(j) the absence of bad tastes.The above analysis data shall be established by an official laboratory as
referred to in Article 72 of Regulation (EC) No 1493/1999 within 30 days
before the contract is concluded.
2. The Member States may limit the number of contracts that a producer can
sign each wine year.
3. Contracts for table wines may not be concluded before the date of the
first racking of the wine concerned.
4. Producers wishing to conclude storage contracts for table wines shall,
when submitting their applications, advise the intervention agency of the total
quantity of table wine they have produced during the current wine year.
To that end, they shall submit a copy of the production declaration(s) provided
for in Article 18(2) of Regulation (EC) No 1493/1999 and, where applicable,
of the registers referred to in Article 29 of this Regulation. In cases where the
declaration is not yet available, a provisional attestation may be produced.
5. Without prejudice to Article 25(2) of Regulation (EC) No 1493/1999,
contracts shall contain at least:
(a) the name and address of the producers concerned,(b) the name and address of the intervention agency,(c) the type of product, classified as indicated in Article 25 of this
Regulation,
(d) the quantity,(e) the place of storage,(f) the first day of the storage period,
(g) the amount of aid in euros.
For table wine, contracts shall also include:(h) a statement that the first racking has taken place,
(i) a clause to the effect that the volume may be reduced by a percentage to
be determined by the Commission in accordance with the procedure laiddown in Article 75 of Regulation (EC) No 1493/1999 should the totalvolume covered by contracts significantly exceed the average volumes
covered in the last three wine years; such reduction may not reduce the
quantities in storage below the minimum levels referred to inArticle 28(2). Where this clause is applied, the full amount of the aiddue for the period prior to the reduction shall remain payable.
6. The Member States may require further information with a view to
identifying the product concerned.!B2000R1623 — EN — 01.08.2000 — 000.001 — 23
Article 30
Derogation from Article 2 of this Regulation
The Member States may authorise the conclusion of contracts before
producers have supplied the evidence referred to in Article 2 of thisRegulation provided such contracts include a statement by producerscertifying that they have met the obligations referred to in that Article or
fulfil the requirement referred to in Article 58 of Title III of this Regulation
and that they undertake to deliver the remaining quantities needed to complyfully with their obligations within the time limit laid down by the competent
national authority.
The evidence referred to in the first paragraph shall be supplied before
31 August of the wine year concerned.
Article 31
Beginning of the storage period
1. The first day of the storage period shall be the day following the date on
which the contract is concluded.
2. However, if a contract relates to a storage period beginning after the day
following that on which it is concluded, the first day of the storage period may
not be later than 16 February.
Article 32
End of the storage period
1. Storage contracts for grape musts, concentrated grape musts and rectified
concentrated grape musts shall expire between 1 August and 30 November
following the date of conclusion.
2. Storage contracts for table wines shall expire between 1 September and
30 November following the date of conclusion.
3. To determine the expiry date, producers shall send the intervention
agency a statement specifying the last day of validity of the contract. TheMember States shall lay down the requirements for presenting thesestatements.
In the absence of a statement, contracts shall expire on 30 November.
4. Producers who have not applied for an advance under Article 38 of this
Regulation may sell the grape must or concentrated grape must forexportation or manufacture of grape juice from the first day of the fifth
month of storage.
In such cases, producers shall inform the intervention agency in accordance
with paragraph 3.
The intervention agencies shall ensure that the products are actually used for
the purpose stated.
Article 33
Early termination of the contract at the request of the producer
1. Producers who have not applied for an advance under Article 38 of this
Regulation may terminate storage contracts as of 1 June provided the
Commission so authorises in the light of market trends, information on stocksand harvest forecasts.
2. In addition, where the Commission decides to reduce the quantities
covered by contracts in accordance with Article 29(5)(i) of this Regulation,
producers may unilaterally terminate their contract wholly or in part in the
month following the publication of that decision.!B2000R1623 — EN — 01.08.2000 — 000.001 — 24
Article 34
Detailed implementing rules relating to storage
1. Throughout the storage period and until the last day of validity of the
contract, products in storage:
(a) must comply with the relevant definitions in Annex I to Regulation (EC)
No 1493/1999,
(b) must retain at least the minimum alcoholic strength required for the
category of table wine concerned at the time of conclusion of the
contract,
(c) may not be kept in containers of less than 50 litres capacity,
(d) must remain in bulk, and
(e) in the case of wine, must remain fit for offer or supply for direct human
consumption at the end of the storage period.
2. Without prejudice to Article 6, products under contract may undergo only
such oenological treatments and processes as are necessary for their
preservation. Any variation in volume may not exceed 2 % of the volumeentered in the contract in the case of wine and 3 % in the case of grape must.When there has been a change of vat, these percentages are increased by 1
point. Where these percentages are not exceeded for the contract as a whole,
the full amount of the aid shall remain payable. Otherwise no aid shall be due.
3. Without prejudice to Article 33 of this Regulation, producers may not sell
or in any other way market the product under contract during the period of
validity of the contract.
Notwithstanding the first subparagraph, producers may undertake, while a
contract is still valid, to send table wine covered by it for distillation underTitle III of this Regulation on expiry of the contract.
4. Producers shall inform the intervention agency in advance, within a
period to be laid down by the Member State concerned, of any change duringthe contract period:
(a) in the place of storage, or
(b) in the manner in which the product is put up. In such cases, they shall
indicate the containers in which the product is to be definitively stored.
5. Where producers intend to transport the product under contract to a place
of storage located elsewhere or to premises not belonging to them, the product
may be transported only once the intervention agency, informed pursuant toparagraph 4, has authorised it.
6. Producers who have concluded private storage contracts for grape must
may process all or part of that must into concentrated grape must or rectifiedconcentrated grape must during the period of validity of their contract.
Producers who have concluded private storage contracts for concentrated
grape must may process all or part of that must into rectified concentratedgrape must during the period of validity of their contract.
Producers may have the processing operations referred to in the previous two
subparagraphs carried out by a third party provided that the said producersown the products obtained after processing and that they have presented a
prior declaration. The Member State concerned shall check these operations.
7. The producers concerned shall inform the intervention agency in writing
of the date when the processing referred to in paragraph 6 of this Article is to
commence, the place of storage and how the product is put up.
Such notification must reach the intervention agency at least 15 days before
the date of commencement of the processing operations.
Within one month of the day of completion of the processing operations,
producers shall send the intervention agency an analysis report concerning the
product thus obtained, including as a minimum the data required for the
product concerned under Article 29 of this Regulation.!B2000R1623 — EN — 01.08.2000 — 000.001 — 25
8. Where the processing referred to in paragraph 6 is carried out, the
amount of storage aid for the product under contract shall be equal to:
(a) the amount referred to in Article 25(a) of this Regulation for the
processing referred to in the first subparagraph of paragraph 6,
(b) the amount referred to in Article 25(b) of this Regulation for the
processing referred to in the second subparagraph of paragraph 6.
The aid shall be calculated, for the entire storage period, on the basis of the
quantity of product covered by the contract before processing.
Article 35
Changes in the product during storage
1. Should all or part of the product under contract cease to satisfy the
requirements of Article 34(1) of this Regulation during the period of validityof the contract, the producer shall inform the intervention agency without
delay. Such notification shall be supported by an analysis report. The
intervention agency shall terminate the contract for the quantity concernedwith effect from the date of the analysis report.
2. Should a check carried out by the intervention agency or any other
inspecting agency reveal that all or part of the product under contract has
ceased to satisfy the conditions laid down in Article 34(1) of this Regulationduring the period of validity of the contract, the intervention agency shallterminate the contract for the quantity concerned on the date that it
determines.
Article 36
Conditions for granting the aid
1. Except in cases of force majeure ,
(a) where producers fail to fulfil their obligations under Article 34(1) to (5)
and (7) of this Regulation or refuse to submit to checks, no aid shall bepayable;
(b) where producers fail to fulfil one of their obligations under this
Regulation or under the contract, other than those referred to in (a) above,
the aid shall be reduced by an amount determined by the competentauthority depending on the seriousness of the infringement.
2. In cases where force majeure is recognised, the intervention agency shall
take such action as it considers necessary having regard to the circumstances
involved.
Article 37
Payment of the aid
1. The aid shall be paid not later than three months after the expiry date of a
contract, except:
(a) in cases of force majeure ,
(b) where administrative inquiries have been initiated concerning entitlement
to the aid. In such cases, payment shall be made only when the applicant
has been recognised as entitled to the aid.
2. In cases where a contract has been terminated in accordance with Articles
33 or 36 of this Regulation, the aid payable shall be in proportion to the actualduration of the contract. The aid shall be paid not later than three months after
the day on which the contract is terminated.
Article 38
Advance payments
1. Producers who have concluded long-term storage contracts may request
that an amount equal to the aid calculated when the contract is drawn up be
paid to them in advance provided that they have lodged a security for 120 %of the said amount in favour of the intervention agency.!B2000R1623 — EN — 01.08.2000 — 000.001 — 26
The advance shall be paid not later than three months after the date of
submission of proof that the security has been lodged.
The remaining balance shall be paid not later than three months after the date
of expiry of the contract.
2. Securities as referred to in paragraph 1 shall be lodged in the form of a
guarantee given by an institution meeting criteria laid down by the MemberState to which the intervention agency belongs.
Securities shall be released once the balance of aid has been paid.
Where entitlement to the aid is lost in accordance with Article 36(1)(a) of this
Regulation, the whole security shall be forfeit.
Where the application of Article 36(1)(b) of this Regulation results in an aid
amount that is lower than the sum already paid, the security shall be reducedby 120 % of the amount paid in excess of the aid due. Securities reduced in
this way shall be released not later than three months after the date of expiry
of the contract.
3. The Member States shall make the necessary adjustments where
Article 29(5)(i) is applied.
Article 39
Quality wines
A table wine which has been the subject of a storage contract may not
subsequently be recognised as a quality wine psr or used in making a qualitywine psr, a quality sparkling wine psr, a quality liqueur wine psr or a quality
semi-sparkling wine psr as defined in Article 54(1) of Regulation (EC)
No 1493/1999.
TITLE III
DISTILLATION
Introduction
Article 40
Purpose
This Title lays down the detailed rules applicable to distillation as referred to
in Chapter II of Title III of Regulation (EC) No 1493/1999.
Article 41
Definitions
1. For the purposes of this Title:
(a) ‘producer’ means:
(i) for the purposes of Chapter I of this Title: any natural or legal person
or group of such persons having produced wine from fresh grapes,
grape must or partially fermented grape must or from new wine still
in fermentation, obtained personally or purchased, or any natural orlegal person or group of such persons subject to the obligationsreferred to in Article 27 of Regulation (EC) No 1493/1999;
(ii) for the purposes of Chapters II and III of this Title: any natural or
legal person or group of such persons having produced wine fromfresh grapes, grape must or partially fermented grape must, obtainedpersonally or purchased;
(b) ‘distiller’ means any natural or legal person or group of such persons:
(i) distilling wine, wine fortified for distillation or the by-products of
wine-making or of any other form of processing grapes, and
(ii) approved by the competent authorities in the Member State in whose
territory the distillation premises are located;!B2000R1623 — EN — 01.08.2000 — 000.001 — 27
(c) ‘maker of wine fortified for distillation’ means any natural or legal
person or group of such persons, other than distillers:
(i) processing wine into wine fortified for distillation, and(ii) approved by the competent authorities in the Member State in whose
territory the premises are located;
(d) ‘competent intervention agency’ means:
(i) for the purposes of receiving and approving contracts or declarations
relating to the delivery of wine for distillation and receiving and
approving contracts relating to the delivery of wine for fortification,
the intervention agency designated by the Member State in whoseterritory the wine is located at the time when the contract or
declaration is submitted,
(ii) for the purposes of paying aid to makers of wine fortified for
distillation under Article 69, the intervention agency designated bythe Member State in whose territory the wine is fortified,
(iii) in all other cases, the intervention agency designated by the Member
State in whose territory distillation takes place.
2. For the purposes of this Title, natural or legal persons or groups of such
persons other than makers of wine fortified for distillation shall be deemed to
be distillers if they:
(a) are approved by the competent authorities in the Member State in which
they are established;
(b) buy from a producer as defined in paragraph 1(a) wine or the by-products
of wine-making or of any other form of processing of grapes with a view
to having them distilled on their own account by an approved distiller,and
(c) pay the producer not less for the products purchased than the minimum
buying-in price for the distilled product in question.
Persons or groups deemed to be distillers shall be subject to the same
obligations and enjoy the same rights as distillers.
3. Member States may stipulate, in accordance with rules which they
determine, that for the purposes of concluding contracts and delivering winefor distillation, associations of wine-growers’ cooperatives may on request bedeemed to be producers for those quantities of wine produced and handed
over by member cooperatives. The latter shall in any case continue to hold the
rights and be bound by the obligations laid down in Community rules.
Should an association intend to carry out a distillation operation under this
Title in agreement with the wine-growers’ cooperatives concerned during a
specified wine year, it shall inform the intervention agency thereof in writing.In such cases:
(a) member cooperatives may not individually sign distillation contracts or
make deliveries for the distillation concerned,
(b) the quantities of wine delivered for distillation by the said association
shall be booked to the member cooperatives on whose behalf the deliveryis made.
For the purposes of Article 2 of this Regulation, should one or more member
cooperatives fail to comply with the obligations laid down therein,irrespective of the consequences for the latter, the association shall beexcluded from deliveries for the distillation concerned, up to the limit of the
quantities of wine delivered on behalf of the wine-growers’ cooperatives
which committed the infringement.
Member States availing themselves of the option provided for in this
paragraph shall inform the Commission thereof and shall notify it of the
provisions they have adopted for this purpose. The Commission shall informthe other Member States.!B2000R1623 — EN — 01.08.2000 — 000.001 — 28
Article 42
Approval of distillers
1. The competent authorities of the Member States shall approve the
distillers established in their territory who intend to perform distillationoperations under this Title and shall draw up a list of the approved distillers.However, these authorities may decide not to include on the list approved
distillers who are unable to obtain products of an alcoholic strength of at least
92 % vol. by means of distillation under Chapter I of this Title.
The competent authorities shall be responsible for updating the said list, and
the Member States shall forward any subsequent amendments to it to the
Commission. The Commission shall publish that list and any amendments to
it.
2. The competent authority may withdraw approval, either temporarily or
permanently, from distillers failing to meet their obligations under the
Community rules.
Article 43
Alcohol obtained by distillation
Only the following products may be obtained by distillation under this Title:
(a) neutral alcohol complying with the definition in Annex III to this
Regulation, or
(b) spirits distilled from wine or from grape marc, complying with the
definitions in Article 1(4)(d) or (f) of Council Regulation (EEC)No 1576/89 of 29 May 1989 laying down general rules on the definition,description and presentation of spirit drinks (
1), or
(c) a distillate or raw alcohol with an alcoholic strength of at least 52 % by
volume.
Where the product specified in point (c) in the first subparagraph is obtained,
it may be used only under official supervision for:
(i) the production of an alcoholic beverage,
(ii) processing into one of the products referred to in (a) or (b) above, with
the exception of spirits distilled from grape marc,
(iii) the production of alcohol for industrial purposes.Member States shall take the necessary measures to ensure compliance with
the obligation laid down in the second subparagraph.
Article 44
Analysis method for neutral alcohol
Annex V to this Regulation sets out the Community methods for the analysis
of neutral alcohol as defined in Annex IV hereto.
CHAPTER I
COMPULSORY DISTILLATION
Section I: Distillation of by-products of wine-making
Article 45
Obligation to deliver by-products for distillation
1. Producers required to distil under Article 27 of Regulation (EC)
No 1493/1999 shall discharge their obligations by delivering for distillation,not later than 15 July of the wine year concerned:
(a) all of their marc and wine lees to an approved distiller, and!B
(1) OJ L 160, 27.6.1989, p. 1. Last amended by Regulation (EC) No 3378/94 (OJ L
366, 31.12.1994, p. 1).2000R1623 — EN — 01.08.2000 — 000.001 — 29
(b) where applicable, any wine to an approved distiller or approved maker of
wine fortified for distillation.
Where producers make deliveries to a distiller whose approval has been
withdrawn, the quantities supplied may be counted but there shall be no
entitlement to Community assistance.
2. Producers who have not made wine or processed grapes in any other way
on cooperative premises and who do not produce more than 25 hectolitres ofwine or must during the wine year in question shall be free not to deliver anyquantities.
In the Italian part of wine-growing zones C and the Portuguese wine-growing
zone, persons subject to the obligation referred to in paragraph 1 may be
released from that obligation by making use of the possibility provided for in
Article 27(8) of Regulation (EC) No 1493/1999 provided they have madewine or processed grapes in any other manner using a quantity correspondingto more than 25 hectolitres but not more than 40 hectolitres of wine.
Article 46
Requirements for by-products delivered for distillation
1. Notwithstanding Article 27(4) of Regulation (EC) No 1493/1999, the
amount of alcohol contained in products delivered for distillation by
producers delivering marc for the manufacture of oenocyanin shall be atleast 5 % of the amount of alcohol contained in the wine; or at least 7 % forwhite quality wines psr.
2. For the purpose of determining the amount of alcohol to be delivered for
distillation in the form of the products specified in Article 48 of this
Regulation, the standard natural alcoholic strengths by volume to be applied
in the different wine-growing zones shall be:
(a) 8.5 % for zone B,
(b) 9.0 % for zone C I,(c) 9.5 % for zone C II,
(d) 10.0 % for zone C III,
3. To keep distillation costs within acceptable limits, the minimum average
requirements that wine-making by-products must meet on delivery to thedistillery shall be the following:
(a) grape marc:
(i) in wine-growing zone B: two litres of pure alcohol/100 kilograms,
(ii) in wine-growing zone C: two litres of pure alcohol/100 kilograms
where it is obtained from varieties listed in the classification of vine
varieties for the administrative unit concerned as varieties other than
wine-grape varieties; 2.8 litres of pure alcohol/100 kilograms whereit is obtained from varieties listed in the classification for the
administrative unit concerned solely as wine-grape varieties;
(b) wine lees:
(i) in wine-growing zone B: three litres of pure alcohol/100 kilograms,
45 % moisture content,
(ii) in wine-growing zone C: four litres of pure alcohol/100 kilograms,
45 % moisture content,
4. In the case of producers who deliver wine of their own production to the
vinegar industry, the amount of alcohol, expressed as pure alcohol, contained
in the wine delivered shall be deducted from the amount of alcohol, expressedas pure alcohol, contained in the wine to be delivered for distillation to
discharge the obligation referred to in Article 27(3) of Regulation (EC)
No 1493/1999.
In the case of producers who deliver wine and by-products of their own
production for supervised experiments conducted by the Member States, the
provisions on buying-in prices referred to in Article 47 shall apply, and aidshall be paid to the distiller at a rate of EUR 0.277/% vol./hl.
In the case of experiments, the Member State may not exceed 100 tonnes of
marc and 100 tonnes of wine lees per experiment.!B2000R1623 — EN — 01.08.2000 — 000.001 — 30
Article 47
Buying-in price
1. The buying-in price referred to in Article 27(9) of Regulation (EC)
No 1493/1999 shall apply to bulk merchandise ex distiller’s premises.
2. Distillers shall pay the buying-in price as referred to in paragraph 1 to
producers within three months of the day on which the quantity concerned isdelivered to the distillery.
However, unless the producer objects, distillers may:
(a) pay the producer on account 80 % of the buying-in price, no more than
three months after delivery of the products, or
(b) make the payment on account referred in (a) following delivery of the
products and no later that one month after presentation of the invoice tobe drawn up for them before 31 August following the close of the wine
year concerned.
Distillers shall pay the balance to producers no later than the following
31 October.
Article 48
Aid to be paid to distillers
1. The aid to be paid to distillers for products distilled under Article 27 of
Regulation (EC) No 1493/1999 shall be fixed, per % vol. of alcohol and perhectolitre of product obtained by distillation, as follows:
(a) neutral alcohol:
(i) flat-rate aid EUR 0.6279
(ii) aid for marc EUR 0.8453
(iii) (aid for wine and wine lees EUR 0.4106
(b) Spirits distilled from grape marc EUR 0.3985
and a distillate or raw alcohol with an alcoholic strength of at least 52 %
by volume
(c) Wine spirits EUR 0.2777
(d) Raw alcohol from wine and wine lees EUR 0.2777
Where the distiller provides evidence that the distillate or raw alcohol
obtained by distillation of marc was used otherwise than as spirits distilledfrom marc, a further amount of EUR 0.3139/% vol./hl may be paid.
2. Differentiated aid for alcohol distilled from marc or from wine and wine
lees as referred to in paragraph 1(a):
(a) may be decided on by the Member States where application of the
flat-rate aid referred to at (i) makes it or could make it impossible to have
one or more of the by-products of wine-making distilled in certain
regions of the Community,
(b) must be paid to distillers where one of these raw materials accounts for
more than 60 % of the total quantities they have distilled during a given
wine year.
3. No aid shall be due for quantities of wine delivered for distillation
exceeding the producer’ s obligation as provided for in Article 45(1) of this
Regulation by more than 2 %.
Article 49
Exceptions to the obligation to deliver for distillation
1. The obligations laid down in Article 27 of Regulation (EC) No 1493/1999
shall not apply to:
(a) producers who withdraw by-products of wine-making under supervision
under Article 50(1) of this Regulation,
(b) producers of quality sparkling wines of the aromatic type and quality
sparkling wines and semi-sparkling wines of the aromatic type produced!B2000R1623 — EN — 01.08.2000 — 000.001 — 31
in specified regions who have prepared such wines from grape must or
partially fermented grape must which has been purchased and stabilisedto eliminate the wine lees.
2. Producers who have not made wine or processed grapes in any other way
on cooperative premises and who do not produce more than 25 hectolitres of
wine or must during the wine year in question shall be free not to deliver any
quantities.
3. For that part of their wine production actually delivered to a distillery for
distillation under Article 28 of Regulation (EC) No 1493/1999, producersshall be required to deliver only by-products of wine-making for distillationunder Article 27(3) of that Regulation.
Article 50
Withdrawals
1. Only the following producers may avail themselves of the option referred
to in Article 27(8) of Regulation (EC) No 1493/1999:
(a) those established in production areas where distillation is a dispropor-
tionate constraint. A list of the production areas concerned shall be drawn
up by the competent authorities of the Member States, who shall informthe Commission thereof;
(b) those who have not made wine or processed grapes in any other way on
cooperative premises and who have disproportionate distillation costs on
account of their low volume of production or the special characteristics of
production and the location of the distilleries.
2. For the purposes of Article 27(7) and (8) of Regulation (EC)
No 1493/1999, the by-products shall be withdrawn without delay and nolater than the end of the wine year in which they were obtained. Withdrawal,
together with an indication of the estimated quantities, shall be either entered
in the registers kept in accordance with Article 70 of Regulation (EC)No 1493/1999 or certified by the competent authority.
The withdrawal of the wine lees in question shall be regarded as having taken
place once the lees have been denatured to make their use in winemaking
impossible and where the delivery of the denatured lees to third parties has
been entered in the registers referred to in the first subparagraph. TheMember States shall take the measures necessary to ensure that suchtransactions are checked.
Member States whose wine production exceeds 25 000 hectolitres per year
shall check by sampling at least whether the average minimum alcoholic
strength referred to in Article 51 has been complied with and whether all theby-products have been withdrawn within the time limits set.
Article 51
Requirements for by-products withdrawn
The minimum pure alcoholic strength of the by-products of wine-making
withdrawn under supervision under Article 27(7) and (8) of Regulation (EC)
No 1493/1999 shall be as follows:
(a) grape marc:
(i) 2.1 litres/100 kilograms in the case of quality white wines psr,
(ii) 3 litres/100 kilograms in other cases.
(b) wine lees:
(i) 3.5 litres/100 kilograms in the case of quality white wines psr,(ii) 5 litres/100 kilograms in other cases.!B2000R1623 — EN — 01.08.2000 — 000.001 — 32
Section II: Distillation of wine from dual-purpose grapes
Article 52
Obligation to deliver wine for distillation
Producers required to distil under Article 28 of Regulation (EEC)
No 1493/1999 shall discharge their obligation by delivering their wine toan approved distillery not later than 15 July of the wine year concerned.
In cases covered by Article 71 of this Regulation, the obligation shall be
discharged by delivering the wine to an approved maker of wine fortified fordistillation not later than 15 June of the wine year concerned.
Article 53
Quantity of wine to be delivered
1. In the case of wine covered by Article 28 of Regulation (EC)
No 1493/1999, producers shall be required to deliver a quantity equal to
the quantity which they have produced minus:
(a) the quantity corresponding to that normally produced, calculated as
specified in paragraph 2 of this Article,
(b) any quantity which they can prove has been exported not later than 15 July
of the wine year concerned.
Producers may also deduct a quantity not exceeding 10 hectolitres from the
quantity to be delivered.
2. In the case of wine obtained from grapes of varieties classified as both
wine-grape varieties and varieties for other uses, the total quantity of winenormally produced shall for each administrative unit be the average quantity
produced during the wine years:
— 1974/75 to 1979/80 in the Community of Ten,
— 1978/79 to 1983/84 in Spain and Portugal,
— 1988/89 to 1993/94 in Austria.
However, in the case of wine obtained from grapes of varieties classified in a
given administrative unit as both wine-grape varieties and varieties for theproduction of wine spirits, quantities distilled for purposes other than the
production of wine spirits with a registered designation of origin shall be
deducted from that quantity.
As regards wine as referred to in the first subparagraph, the quantity normally
produced per hectare shall be fixed by the Member States concerned byestablishing the proportion of wine obtained during the same reference periodreferred to in that subparagraph from grapes of varieties classified in a given
administrative unit as both wine-grape varieties and varieties for other
purposes.
3. The total quantity produced by each producer shall be the aggregate of
the quantities of wine covered by Article 53 paragraph 1 and stated in the
production declaration referred to in Article 18 of Regulation (EC)No 1493/1999 and the quantities entered in the register provided for in
Article 70 of that Regulation and obtained by the producer after the date of
submission of the production declaration from grapes, or must produced fromgrapes, of the varieties referred to in Article 28 of that Regulation andappearing in that declaration.
4. From the 1998/99 wine year, notwithstanding the preceding paragraph, as
regards wine obtained from grapes of varieties classified in a givenadministrative unit as both wine-grape varieties and varieties for the
production of wine spirits, the Member States shall be authorised to allow
producers who have received premiums from the 1997/98 wine year for thepermanent abandonment of part of their vine-growing areas as provided for in
Article 8 of Regulation (EC) No 1493/1999 to maintain, for the five wine
years following grubbing, the quantity normally produced at the level it stoodat before grubbing.!B2000R1623 — EN — 01.08.2000 — 000.001 — 33
Article 54
Exceptions to the obligation to deliver for distillation
Where a derogation is granted under Article 28(1) of Regulation (EC)
No 1493/1999, the wine covered by that Article may be moved:
(a) to a customs office for completion of customs export formalities followed
by removal from the customs territory of the Community, or
(b) to the premises of an approved maker of wine fortified for distillation
with a view to fortification.
Article 55
Buying-in price
1. Distillers shall pay the buying-in price specified in Article 28(3) of
Regulation (EC) No 1493/1999 to producers for the quantity delivered withinthree months of the date of delivery to the distillery. This price shall apply tobulk merchandise ex producer’ s premises.
2. In the case of wine as referred to in Article 53 second sub-paragraph, the
buying-in price may, in accordance with Article 28(3) of Regulation (EC)No 1493/1999, be apportioned by France among those subject to thedistillation obligation on the basis of the yield per hectare. The provisions
adopted by that Member State shall ensure that the average price actually paid
for all wine distilled is EUR 1.34/% vol./hl.
Article 56
Aid to be paid to distillers
The amount of the aid referred to in Article 28(5)(a) of Regulation (EC)
No 1493/1999 shall be fixed as follows, per % vol. of alcohol and per
hectolitre of product obtained from distillation:
(a) neutral alcohol EUR 0.7728(b) Wine spirits, raw alcohol and a wine distillate EUR 0.6401
Where the buying-in price is varied as provided for in Article 55(2), the aid
referred to in the first subparagraph shall be varied in the same manner.
No aid shall be due for quantities of wine delivered for distillation exceeding
the producer’ s obligation as provided for in Article 52 of this Regulation bymore than 2 %.
Section III: Common provisions applicable to Sections I and II of this
Chapter
Article 58
Partial deliveries
Producers subject to one of the obligations referred to in Articles 45 and 52 of
this Regulation who have delivered at least 90 % of the quantity of productwhich they are obliged to deliver before 15 July of the current wine year may
discharge their obligation by delivering the remaining quantity before a date,
to be fixed by the competent national authority, which may not be after31 August of the following wine year.
In such cases:(a) the buying-in price for the remaining quantities referred to in the first
subparagraph and the price for the alcohol produced therefrom and
delivered to the intervention agency shall be reduced by an amount equalto the aid for neutral alcohol fixed for the distillation operation in!B
!M1
!B2000R1623 — EN — 01.08.2000 — 000.001 — 34
question in accordance with Article 48(1)(a)(i) and Article 56(a) of this
Regulation,
(b) no aid shall be paid for products of distillation not delivered to
intervention agencies,
(c) the obligation shall be deemed to have been discharged by the date fixed
in accordance with the first subparagraph,
(d) the time limits for distillation, submission of proof of payment of the
price referred to at (a) and delivery of the alcohol to the intervention
agency shall be adjusted by the competent authority to take account of the
extended time limit for delivery.
Article 59
Proof of delivery
As proof of delivery, distillers shall provide producers, before 31 August of
the following wine year, with a certificate stating at least the type, quantity
and alcoholic strength by volume of the products delivered, as well as the
dates of delivery.
However, where producers deliver the products which they are to have
distilled to a distillery located in a Member State other than that in which the
products were obtained, the distiller shall require the intervention agency of
the Member State of distillation to certify that the distillery has taken over theproducts in question on the official document provided for in Article 70 ofRegulation (EC) No 1493/1999 covering transport of the products. The
distiller shall forward a copy of the duly certified document to the producer
within one month of receiving the products to be distilled.
Article 60
Proofs to be supplied by distillers to intervention agencies
1. In order to qualify for aid, distillers shall submit an application to the
intervention agency, no later than 30 November following the wine year
concerned, enclosing for the quantities covered by their application:
a) (i) in the case of wine and wine lees, a summary of the deliveries made
by each producer, stating at least:
— the type, quantity, colour and alcoholic strength by volume,
— the number of the document provided for in Article 70(1) of
Regulation (EC) No 1493/1999, where such a document isrequired for transport of the products to the distiller’s premisesor, otherwise, the reference number of the transport document
used under national rules;
(ii) in the case of grape marc, a list of the names of the producers who
have delivered marc and the quantity of alcohol contained in the
marc delivered for distillation under Article 27 of Regulation (EC)
No 1493/1999;
(b) a declaration, stamped by the competent authority designated by the
Member State, stating at least:
(i) the quantity of products obtained by distillation, broken down by
category as indicated in Article 43 of this Regulation,
(ii) the date on which these products were obtained;
(c) proof that they have paid the producer the minimum buying-in price laid
down for the distillation operation concerned within the time allowed.
However, Member States may provide for simplified arrangements for
presenting evidence of the payment of the minimum buying-in price fordistillation of the by-products of wine-making after obtaining the agreement
of the Commission to such arrangements.
2. Where producers carry out the distillation themselves, the documents
referred to in paragraph 1 shall be replaced by a declaration, stamped by the
competent authority of the Member State, stating at least:
(a) the type, quantity, colour and alcoholic strength by volume of the product
to be distilled,!B2000R1623 — EN — 01.08.2000 — 000.001 — 35
(b) the quantity of products obtained from distillation, broken down by
category as indicated in Article 43 of this Regulation,
(c) the dates on which these products were obtained.
3. Proof that the minimum price has been paid may be replaced by proof
that a security has been lodged in favour of the intervention agency. Thesecurity shall be equal to 120 % of the aid applied for.
In such cases, proof that the distiller has paid the full buying-in price referred
to in Article 27(9) or Article 28(3) of Regulation (EC) No 1493/1999 shall besupplied to the intervention agency no later than the last day of Februaryfollowing the wine year concerned.
4. In cases as referred to in the second subparagraph of Article 47(2) of this
Regulation, proof that the buying-in price has been paid shall be replaced byproof that the payment on account has been made.
5. The intervention agency shall pay the aid to the distiller or, in cases as
referred to in paragraph 2, the producer no more than three months aftersubmission of the application together with the requisite documents.
6. If it is found that the distiller has not paid the buying-in price to the
producer, the intervention agency shall pay the producer an amount equal tothe aid before 1 June following the wine year concerned, where appropriate
through the intervention agency of the producer’ s Member State.
Article 61
Dates of distillation operations
1. Any wine delivered to meet the obligation laid down in Article 27 of
Regulation (EC) No 1493/1999 may not be distilled before 1 January of the
wine year concerned.
2. Not later than the 10th of each month, distillers shall send the
intervention agency a statement of the quantities of products distilled and
products obtained during the previous month, the latter being broken down by
category as indicated in Article 43 of this Regulation.
3. Distillation may not take place after 31 July of the wine year concerned.
Article 62
Delivery of alcohol to the intervention agency
1. Without prejudice to the application of Articles 27(12) and 28(6) of
Regulation (EC) No 1493/1999, distillers may deliver products with analcoholic strength of at least 92 % vol. to the intervention agency until
30 November following the wine year concerned at the latest.
The operations necessary to obtain the product referred to in the first
subparagraph may be carried out either at the premises of the distiller
delivering the said product to the intervention agency or at the premises of a
jobbing distiller.
Except where the second subparagraph of paragraph 2 of this Article is
applied, distillers delivering to the intervention agency may not physically
keep the delivered alcohol on their premises; it must be stored on premisesmanaged by the intervention agency.
2. The price to be paid to distillers for raw alcohol delivered to the
intervention agency shall be fixed in % vol./hl as follows:
(a) distillation under Article 27 of Regulation (EC) No 1493/1999:
(i) standard price: EUR 1.654
(ii) marc alcohol: EUR 1.872
(iii) alcohol distilled from wine and wine lees: EUR 1.437
(b) distillation under Article 28 of Regulation (EC) No 1493/1999:
— price EUR 1.799
Where alcohol is stored on the premises where it has been produced, the above
prices shall be reduced by EUR 0.5/% vol./hl of alcohol.!B2000R1623 — EN — 01.08.2000 — 000.001 — 36
3. Differentiated prices for marc alcohol, wine alcohol and alcohol distilled
from wine lees as referred to in paragraph 2(a):
(a) may be decided on by the Member States where application of the
standard price makes it or could make it impossible to have one or more
of the by-products of wine-making distilled in certain regions of the
Community,
(b) must be paid to distillers where one of these raw materials accounts for
more than 60 % of the total quantities they have distilled during a given
wine year.
4. In the case of distillers who have received aid under Articles 48 and 56 of
this Regulation, the prices referred to in paragraph 2 shall be reduced by anamount equal to the aid.
5. The intervention agency shall pay distillers no more than three months
after the day on which the alcohol is delivered, provided the documents andevidence referred to in Article 60 have been presented.
CHAPTER II
OPTIONAL DISTILLATION
Article 63
Opening of distillation as provided for in Article 29 of Regulation (EC)
No 1493/1999
1. The distillation of table wine and wine suitable for yielding table wine
referred to in Article 29 of Regulation (EC) No 1493/1999 shall be opened on1 September each wine year.
2. The volume of table wine and wine suitable for yielding table wine that
each producer may have distilled shall be limited to 40 % of the highest
volume of such wine produced and declared in the previous three wine years,including the current year if production has already been declared. Where the
above percentage is applied, the quantity of table wine produced shall be that
given as wine in the column headed ‘Table wines’ of the declaration ofquantities produced as referred to in Article 18(1) of Regulation (EC)No 1493/1999.
3. Each producer who has produced table wine or wine suitable for yielding
table wine may conclude a contract or make a declaration as referred to inArticle 65 of this Regulation. The contract shall be accompanied by evidenceof the lodging of security of EUR 5 per hectolitre. Such contracts may not be
transferred.
4. The Member States shall notify the Commission on the 5th and the 20th
days of each month or on the first working day thereafter of the totalquantities covered by contracts concluded for such distillation in the periods
running from the 16th to the 31st days of the previous month and from the 1st
to the 15th day of the current month respectively.
5. The Member States may approve such contracts once ten working days
have elapsed after notifying the Commission pursuant to paragraph 4, unless
the Commission has taken special measures in the meantime.
"M1 Member
States shall notify the Commission of the total volume of contracts approvedat the time of the first notification in accordance with paragraph 4 followingthat approval.
3
6. If the quantities for which contracts have been concluded, notified to theCommission on the day determined in accordance with paragraph 4, exceed ormay exceed the quantities corresponding to available budget resources or areor may be substantially in excess of the absorption capacity of the potable
alcohol sector, the Commission shall set a percentage figure for acceptance of
the quantities covered by the contracts concerned and/or shall suspendnotification of new contracts. In this case, the security referred to in paragraph
3 shall be released for the quantities concluded but not accepted.
The Commission may also set a percentage for acceptance of contracts
concluded or suspend notification of new contracts in cases of abnormaldevelopment of new contracts or where there is a serious risk that the
continuity of traditional supply of products of distillation will be distorted.
7. Contracts concluded and not notified to the Commission in accordance
with paragraph 4 may not be approved.!B2000R1623 — EN — 01.08.2000 — 000.001 — 37
8. The security referred to in paragraph 3 shall be released in proportion to
the quantities supplied when the producer provides evidence of delivery to adistillery.
9. The amounts to be supplied under contract shall be delivered to a
distillery by 30 June of the same wine year at the latest.
Article 64
Amount of aid
1. The aid to be paid to distillers or, in the cases referred to in Article 65(3)
of this Regulation, to producers, for wine distilled to produce potable alcoholunder this Chapter shall be fixed per % vol. of alcohol and per hectolitre of
product obtained by distillation as follows:
(a) primary aid under Article 29(4) of Regulation (EC) No 1493/1999:
— EUR 1.751 per %/vol. and per hectolitre for raw alcohol and spirits
distilled from wine,
— EUR 1.884/ % vol./hl for neutral alcohol.
(b) secondary aid under Article 29(6) of Regulation (EC) No 1493/1999:
EUR 0.0336/hl per day.
2. Distillers wishing to receive secondary aid shall notify the intervention
agency of the quantity and characteristics of the product they wish to storeand the date when storage is scheduled to commence. Such notification must
be made at least 30 days before storage commences.
Unless the intervention agency objects within the above 30-day time limit, the
date when storage is scheduled to commence shall be deemed to be the actual
commencement date.
3. Secondary aid as referred to in (b) of paragraph 1 may be paid only:— for at least 100 hl of alcohol stored in containers of a capacity of at least
100 hl.
— for at most 12 months from 1 December,
— for at least six months.
Distillers may terminate storage of alcohol as of 1 June provided the
Commission so authorises in the light of the situation in the sector.
4. In the case of primary aid, the intervention agency shall pay distillers or,
in the cases referred to in Article 65(2), producers, the aid calculated in
accordance with paragraph 1 of this Article no more than three months after
submission of the proof referred to in Article 65(10) of this Regulation.
The intervention agency shall pay the secondary aid no more than three
months after the end of the storage period.
5. Alcohol for which aid is paid under this Article may not subsequently be
bought in by the public authorities. Should distillers nevertheless wish to selltheir alcohol to the public authorities, they must first reimburse the aid they
have received.
6. Notwithstanding paragraph 5, that paragraph shall not apply to public
authorities who have a programme for the sale of alcohol that does not
interfere with traditional uses, such as an agri-environmental programme forthe sale of alcohol to the fuel sector, as regards quantities of alcohol soldunder such programmes.!B2000R1623 — EN — 01.08.2000 — 000.001 — 38
CHAPTER III
PROVISIONS COMMON TO CHAPTERS I AND II
Section I: General
Article 65
Delivery contracts
1. All producers intending to deliver wine of their own production for
distillation under Articles 29 and 30 of Regulation (EC) No 1493/1999 shall
conclude one or more delivery contracts, hereinafter referred to as ‘contracts’,
with one or more distillers. Distillers shall present such contracts to thecompetent intervention agency for approval before a date to be specified, inaccordance with arrangements established by the Member States.
Along with the contract, evidence shall be presented to the intervention
agency to prove that producers have actually produced and hold the quantityof wine to be delivered. Such evidence may not be required in the Member
States where the authorities already hold relevant such proof under other
arrangements.
Producers subject to the obligations laid down in Articles 27 and 28 of
Regulation (EC) No 1493/1999 shall also provide distillers with proof that
they have fulfilled those obligations during the period set in Article 2(2) ofthis Regulation.
2. Contracts shall include at least the following information about the wine
they cover:
(a) the quantity, which may not be less than 10 hectolitres,
(b) the various characteristics, and in particular colour.
Producers may not deliver the wine for distillation unless their contract has
been approved by the competent intervention agency. The competent authority
may limit the number of contracts that a producer can conclude.
Where distillation is carried out in a Member State other than that in which
the contract is approved, the intervention agency which approved the contract
shall forward a copy thereof to the intervention agency of the Member State of
distillation.
3. Producers as referred to in paragraph 1 of this Article:
a) who themselves possess distillation facilities and who intend to carry out
the distillation covered by this Chapter, or
b) who intend to have their wine distilled on their behalf in the plant of an
approved distiller working under contract, shall submit a declaration of
delivery for distillation, hereinafter referred to as the ‘declaration’, to thecompetent intervention agency for approval before a date to be specified.
Producers subject to the obligations referred to in Articles 27 and 28 of
Regulation (EC) No 1493/1999 shall also provide the competent interventionagency with proof that they have fulfilled those obligations during thereference period set in Article 2(2) of this Regulation.
4. For the purposes of paragraph 3, the contract shall be replaced
(a) in the case referred to in (a) in the first subparagraph of paragraph 3, by
the declaration,
(b) in the case referred to in (b) in the first subparagraph of paragraph 3, by
the declaration accompanied by a contract for delivery for distillation on
the producer’ s behalf concluded between the producer and the distiller.
5. The characteristics of the wine delivered for distillation must be the same
as those indicated in the contract or declaration covered by this Article.
No aid shall be due:
(a) if the quantity of wine actually delivered for distillation is less than 95 %
of that stated in the contract or declaration;
(b) for any quantity of wine in excess of 105 % of that stated in the contract
or declaration;!B2000R1623 — EN — 01.08.2000 — 000.001 — 39
(c) for any quantity of wine over and above the maximum quantity to be
complied with for the distillation operation in question.
6. Distillers shall pay producers the prices fixed per % vol. of alcohol and
per hectolitre under Article 29 or 30 of Regulation (EC) No 1493/1999 for the
wine delivered to them, such prices applying to bulk merchandise ex
producer’ s premises.
7. Distillers shall pay producers the minimum purchase price referred to in
paragraph 6 within three months of delivery of the wine, provided the
producers have supplied the competent authority with the proof referred to in
the third subparagraph of paragraph 1 of this Article within two months ofdelivery. If the said proof is provided more than two months after delivery,distillers shall pay within one month.
8. Distillers shall forward to the intervention agency, within time limits laid
down:
(a) details of the quantity, colour and actual alcoholic strength by volume of
the wine in each delivery from each producer from whom they have
received deliveries of wine, together with the number of the document
provided for in Article 70 of Regulation (EC) No 1493/1999 used for thetransport of the wine to the distiller’s premises,
(b) proof that the total quantity of wine stipulated in the contract or
declaration has been distilled within the time allowed,
(c) proof that they have paid the producer the purchase price referred to in
paragraph 7 of this Article within the time allowed.
In the case referred to in paragraph 9, producers shall be required to supply
only the proof referred to in (b) above.
Not later than the 10th of each month, distillers shall send the intervention
agency a statement of the quantities of products distilled and productsobtained during the previous month, the latter being broken down by categoryas indicated in Article 43 of this Regulation.
9. If distillation is carried out by producers themselves in their capacity as
distillers or by distillers acting on the producer’ s behalf, the informationrequired under paragraph 8 shall be submitted to the competent interventionagency by the producer.
10. Member States shall carry out representative spot checks on the wine
covered by contracts and shall check in particular:
(a) that the producer has actually produced and holds the quantity of wine to
be delivered,
(b) that the wine entered in the contract belongs to the category for which
distillation has been opened.
The check may be made at any time from date of presentation of the contract
up to the date it is approved and the wine enters the distillery. Member Stateswith more effective arrangements for checking point (a) in the first
subparagraph of this paragraph need carry out checks only as products enter
the distillery.
Where the actual alcoholic strength by volume is indicated in the contract, a
discrepancy of 1 % vol shall be permitted between the strength indicated andthat determined when the check is carried out.
Article 65a
Requirements for alcohol obtained by the distillation of certain wines
Only a product with an alcoholic strength of 92 % vol or more may be
obtained by the direct distillation of wines obtained from grapes of varieties
classified for the same administrative unit as both wine-grape varieties and
varieties intended for the production of wine spirits.!B
!M12000R1623 — EN — 01.08.2000 — 000.001 — 40
Article 66
Advance payments
1. Distillers or, in the case referred to in Article 65(3) of this Regulation,
producers, may request that an amount equal to the aid fixed for thedistillation operation concerned be paid them in advance, provided that they
have lodged a security in favour of the intervention agency. That security shall
be equal to 120 % of the said amount.
The amount referred to in the first subparagraph shall be calculated per % vol.
of alcohol indicated for the wine covered by the contract or deliverydeclaration and per hectolitre of that wine, or by hectolitre of pure alcohol inthe case of the secondary aid referred to in Article 64(1)(b) of this Regulation.
The intervention agency shall pay advances no more than three months after
presentation of proof that the security has been lodged, provided the contracthas been approved.
2. The security shall be released by the intervention agency once the proof
referred to in Article 65(8) is presented within the time allowed.
Article 67
EAGGF contribution to the cost of distillation operations
1. The EAGGF Guarantee Section shall finance part of the expenditure
incurred by intervention agencies in taking alcohol over.
The financial contribution shall be equal to the aid fixed under Articles 48
and 56 and Article 68(a) of this Regulation and pursuant to Article 3 ofRegulation (EC) No 1493/1999.
2. Articles 4 and 6 of Regulation (EC) No 1258/1999 (
1) shall apply to the
contribution.
Section II: Fortified wine
Article 68
Processing into fortified wine
1. Wine to be distilled under this Regulation may be fortified. In such cases,
the only product which may be obtained by distilling such fortified wine shallbe wine spirits.
2. Wine shall be fortified for distillation only under official supervision.For this purpose:(a) the document(s) and register(s) required under Article 70 of Regulation
(EC) No 1493/1999 shall show the increase in actual alcoholic strengthby volume, expressed in % vol., by indicating the strength before andafter addition of the distillate to the wine,
(b) a sample of the wine shall be taken under official supervision before it is
fortified so that the actual alcoholic strength by volume may be
determined by an official laboratory or a laboratory working under
official supervision,
(c) two copies of the report on the analysis referred to in (b) shall be sent to
the manufacturer of the fortified wine, who shall transmit one copy to theintervention agency of the Member State in which the wine is fortified.
3. Wine shall be fortified for distillation during the period laid down for the
distillation operation in question.
4. Member States may restrict the number of locations at which wine may
be fortified for distillation, should this be necessary to ensure that the most
effective method of supervision can be used.!B
(1) OJ L 160, 26.6.1999, p. 103.2000R1623 — EN — 01.08.2000 — 000.001 — 41
Article 69
Preparation of fortified wine
1. In cases where the option referred to in Article 68(1) is exercised and
where the wine is not fortified by or on behalf of a distiller, producers shall
conclude a delivery contract with an approved maker of fortified wine and
shall submit it for approval to the competent intervention agency.
However, in the case of producers who are approved as makers of fortified
wine and who intend to fortify the wine for distillation themselves, the
contract referred to in the first subparagraph shall be replaced by a declarationof delivery.
2. Contracts and declarations as referred to in paragraph 1 shall be covered
by rules adopted by the Member States.
3. Makers of fortified wine shall pay producers at least the minimum
buying-in price fixed for distillations as provided for in Articles 27 to 30 of
Regulation (EC) No 1493/1999 for the wine delivered. That price shall apply
to bulk merchandise:
(a) free at maker’s premises in the case of distillation under Article 27(9) of
Regulation (EC) No 1493/1999,
(b) ex producer’ s premises in other cases.Subject to the necessary adjustments, makers of fortified wine for distillation
shall be subject to the same obligations as distillers under this Title.
The aid to be paid to makers of fortified wine shall be fixed per % vol. of
actual alcoholic strength and per hectolitre of wine as follows:
— EUR 0.2657 for distillation as provided for in Article 27 of Regulation
(EC) No 1493/1999;
— EUR 0.6158 for distillation as provided for in Article 28 of Regulation
(EC) No 1493/1999;
— EUR 0.1715 for distillation as provided for in Article 29 of Regulation
(EC) No 1493/1999.
Where the buying-in price is varied as provided for in Article 55(2), the aid
referred to in the second indent of the previous subparagraph shall be varied
in the same manner.
The competent intervention agency shall pay the aid to makers of fortified
wine on condition that they lodge a security equal to 120 % of the aid to be
received. However, no security shall be required where all the requirementsfor payment of the aid have already been met.
Where makers fortify wine in connection with various distillation operations
governed by different provisions of Regulation (EC) No 1493/1999, they maylodge a single security. In such cases, the security shall be equal to 120 % ofall the aid to be paid for fortification in connection with the said distillation
operations.
The intervention agency shall release the security following presentation,
within the time allowed:
(a) of proof that the total quantity of wine fortified for distillation indicated
in the contract or declaration has been distilled within the time allowed,and
(b) of proof that the minimum purchase price referred to in Articles 27, 28,
29 and 30 of Regulation (EC) No 1493/1999 has been paid within thetime allowed.
In cases covered by the second subparagraph of paragraph 1, the producer
shall be required to supply the intervention agency only with the proofreferred to in (a) above.!B
!M1
!B2000R1623 — EN — 01.08.2000 — 000.001 — 42
Article 70
Distillation in another Member State
1. Notwithstanding Article 69(4) of this Regulation, where fortified wine is
distilled in a Member State other than that in which the contract or declarationwas approved, the aid payable for the various distillation operations may bepaid to distillers provided that they submit an application no more than two
months after the deadline specified for carrying out the distillation operation
concerned, to the intervention agency of the Member State in whose territorythe distillation has taken place.
2. Applications as referred to in paragraph 1 shall be accompanied by the
following:
(a) a document, endorsed by the competent authorities of the Member State
in whose territory the wine was fortified, transferring entitlement to theaid from the maker of the fortified wine to the distiller and showing thequantities of fortified wine concerned and the amount of the
corresponding aid,
(b) a copy of the contract or declaration referred to in Article 69(1), approved
by the competent intervention agency,
(c) a copy of the analysis report referred to in Article 68,(d) proof that the minimum purchase price of the wine has been paid to the
producer,
(e) the document required under Article 70 of Regulation (EC) No 1493/1999
for the transport of fortified wine to the distillery, showing the increase inactual alcoholic strength by volume, expressed in % vol., by indicatingthe strength before and after addition of the distillate to the wine,
(f) proof that the fortified wine concerned has been distilled.
3. In cases covered by paragraph 1, makers of fortified wine shall not be
required to lodge the security provided for in Article 69(4).
4. The intervention agency shall pay the aid not later than three months after
the application and the documents listed in paragraph 2 have been submitted.
Article 71
Special rules
1. In cases covered by Article 69(1) of this Regulation, the contract or
declaration of delivery for fortification for distillation shall be submitted tothe competent intervention agency for approval not later than 31 December of
the wine year concerned. The intervention agency shall notify the producer of
the outcome of the approval procedure within 15 days of the date on which thecontract or declaration is submitted.
2. In cases of distillation under Article 27 of Regulation (EC) No 1493/1999,
no wine may be fortified before 1 January of the wine year concerned or
before the relevant contract or declaration has been approved.
3. No later than the 10th of each month, makers of fortified wine for
distillation shall send the intervention agency a statement of the quantities of
wine delivered to them during the previous month.
4. To qualify for the aid, makers of fortified wine shall submit an
application to the competent intervention agency, not later than 30 Novemberfollowing the end of the wine year concerned, enclosing proof that the securityreferred to in Article 69(4) has been lodged.
The aid shall be paid not later than three months after the date of submission
of proof that the security referred to in the previous subparagraph has beenlodged. It may not be paid until the contract or declaration has been approved.
5. Subject to Article 69(4) of this Regulation, the security shall be released
only if the documents referred to in that Article have been supplied to the
competent intervention agency within 12 months of submission of the
application.!B2000R1623 — EN — 01.08.2000 — 000.001 — 43
6. If it is found that a maker of fortified wine has not paid the purchase price
to the producer, the intervention agency shall pay the producer an amountequal to the aid, before 1 June of the wine year following that in which thewine was delivered, where appropriate through the intervention agency of the
producer’ s Member State.
Section III: Administrative provisions
Article 72
Force majeure
1. Where for reasons of force majeure all or part of the product to be
distilled cannot undergo distillation:
(a) if the force majeure affected the product to be distilled while it was
legally at the disposal of the producer, the latter shall inform the
intervention agency of the Member State in which the winery is located
without delay,
(b) in all other cases, the distiller shall inform the intervention agency of the
Member State in which the distillery is located without delay.
In the circumstances referred to in the first subparagraph, as soon as the
intervention agency has been informed, it shall decide on the measures which
it considers necessary in view of the circumstances invoked. In particular, itmay defer the time limits.
2. In the circumstances referred to at (a) in the first subparagraph of
paragraph 1, and where the producer’ s winery and the distillery are located in
two different Member States, the intervention agencies of the two MemberStates concerned shall cooperate by directly exchanging information in order
to implement paragraph 1.
In the circumstances referred to at (b) in the first subparagraph of paragraph
1, as soon as the intervention agency has been informed, it may also authorisedistillers, provided the producer agrees in the case of a jobbing distiller, to
transfer their rights and obligations to another distiller for the quantity of
products not yet distilled.
Article 73
Supervision of distillation operations
1. The characteristics of products delivered for distillation, in particular
quantity, colour and alcoholic strength, shall be checked against:
(a) the document provided for in Article 70 of Regulation (EC) No 1493/1999
under cover of which the products are transported,
(b) an analysis of samples collected under the supervision of an official body
of the Member State in which the distillery is located when the product
enters the distillery. Sampling may take the form of representative spotchecks,
(c) where appropriate, the contracts concluded under this Title.
The analyses shall be performed by approved laboratories as referred to in
Article 72 of Regulation (EC) No 1493/1999, which shall forward the resultsto the intervention agency of the Member State where distillation takes place.
If, under Community rules, no document as referred to in (a) has been drawn
up, the characteristics of the product intended for distillation shall be checked
against the analyses referred to in (b).
A representative of an official body shall check the quantity of product
distilled, the date of distillation and the quantity and characteristics of the
products obtained.
2. The results of the analysis of part of the wine covered by a contract shall
be valid for the full quantity.
3. Member States may also require that an indicator be used. They may not
prevent the movement within their territory of products intended for
distillation or distilled products obtained therefrom on the ground that an
indicator is present.!B2000R1623 — EN — 01.08.2000 — 000.001 — 44
In cases where products covered by this Regulation are delivered for
distillation by more than one producer, Member States may provide that suchproducts are to be transported in bulk. In such cases, checks on thecharacteristics of the products as referred to in Article 65 shall be carried out
in accordance with the detailed rules adopted by the Member State concerned.
4. Member States availing themselves of the option provided for in
paragraph 3 shall inform the Commission thereof and shall notify it of theprovisions they have adopted for this purpose. In the cases referred to in the
first subparagraph of that paragraph, the Commission shall inform the other
Member States.
Article 74
Infringements of this Title
1. Should verification of a file reveal that a producer does not meet the
requirements laid down by the Community rules for the distillation operationin question, for all or part of the products delivered, the competent
intervention agency shall inform the distiller and producer concerned
accordingly.
2. The distiller concerned shall not be required to pay the price referred to,
respectively, in Articles 27, 28, 29 and 30 of Regulation (EC) No 1493/1999
for the quantities of products referred to in paragraph 1.
3. Without prejudice to Article 2 of this Regulation, should a producer or
distiller fail to meet the requirements laid down by the Community rules forthe distillation operation in question, for all or part of the products delivered
for distillation:
(a) no aid shall be due for the quantities concerned,(b) the distiller may not deliver the products obtained by distilling the
quantities concerned to the intervention agency.
If the aid has already been paid, the intervention agency shall recover it from
the distiller.
If the products obtained by distillation have already been delivered, the
intervention agency shall recover an amount equal to the aid specified for the
operation concerned from the distiller.
However, where the various time limits laid down by this Regulation have not
been met, it may be decided to reduce the aid.
4. The intervention agency shall recover from the producer an amount equal
to the aid paid to the distiller in cases where a producer does not meet the
requirements laid down by the Community rules for the distillation operationin question, for one of the following reasons:
(a) failure to present the harvest, production or stock declaration within the
time allowed;
(b) presentation of a harvest, production or stock declaration found by the
competent authority of the Member State to be incomplete or inaccurate,where the missing or incorrect data are essential for application of the
measure concerned;
(c) failure to meet the obligations laid down in Article 37 of Regulation (EC)
No 1493/1999, where the infringement is detected or notified to thedistiller after the latter has paid the minimum price on the basis of
previous declarations.
Article 75
Penalties
1. Except in cases of force majeure ,
(a) where producers fail to fulfil their obligations under this Title or refuse to
submit to checks, no aid shall be payable;
(b) where distillers fail to fulfil one of their obligations other than those
referred to in (a) above, the aid shall be reduced by an amount determined
by the competent authority depending on the seriousness of theinfringement.!B2000R1623 — EN — 01.08.2000 — 000.001 — 45
2. In cases of recognised force majeure , the intervention agency shall take
such action as it considers necessary having regard to the circumstancesinvolved.
3. In cases where a distiller fails to fulfil an obligation within the time
allowed, the aid shall be reduced as follows:
(a) in the case of payment of the purchase price to the producer under
Articles 47(2), 55 and 65(7), the aid shall be reduced by 1 % per day ofdelay for one month. After one month, no aid shall be paid;
(b) in the case of:
(i) presentation of proof that the minimum purchase price has been paid
under Articles 60(1) and 65(8),
(ii) submission of the aid application and the proof of payment under
Articles 60(1) and the second subparagraph of Article 64(2) andArticle 65(8),
(iii) delivery of the alcohol under Article 62(1),
(iv) submission of a statement of the quantities of products distilled and
products obtained under Article 61(2),
(v) submission of a statement of the quantities delivered for fortification
under Article 71(3),
the aid shall be reduced by 0.5 % per day of delay for two months.
After two months, no aid shall be paid.Where an advance on aid has been paid, the corresponding security shall be
released in proportion to the aid actually due. Where no aid is due, thesecurity shall be forfeit.
4. Member States shall notify the Commission of cases where they have
applied paragraph 1 and of the action taken where force majeure has been
invoked.
Section IV: Reduction of the buying-in price for wine provided for in Article
32 of Regulation (EC) No 1493/1999
Article 76
Reduction of the buying-in price for certain enriched wines
1. The buying-in price for wine delivered for distillation under Articles 29
and 30 of Regulation (EC) No 1493/1999 shall be reduced by:
— EUR 0.3626 in Zone A,— EUR 0.3019 in Zone B,— EUR 0.1811 in Zone C.The reduction referred to in the first subparagraph shall not apply to:(a) wine delivered by producers located in regions where alcoholic strength
may be increased only by the addition of must who forego all aid made
available under Article 34 of Regulation (EEC) No 1493/1999 for thewine year concerned. These producers shall present to the distiller a copyof a statement waiving entitlement to the aid concerned, stamped by the
competent authority designated by the Member State;
(b) wine taken into a distillery after the dates laid down for the various
wine-growing zones in Annex V(G)(7) to Regulation (EC) No 1493/1999and delivered by producers who provide the competent authorities with
satisfactory evidence that during the wine year they have neither
increased the alcoholic strength of their table wine by adding sucrose norlodged an application for aid under Article 34 of that Regulation for theirproduction;
(c) wine and categories of wine for which the Member States do not
authorise or have not authorised an increase in alcoholic strength for thewine year concerned.!B2000R1623 — EN — 01.08.2000 — 000.001 — 46
2. An amount equal to the reduction referred to in paragraph 1 shall be paid
for the quantity of wine delivered for distillation as referred to in thatparagraph to producers who apply to the competent authority before 1 August,either directly or through a distiller, and who have neither increased the
alcoholic strength of their table wine production by adding sucrose nor
applied for aid under Article 34 of Regulation (EC) No 1493/1999 for theirproduction during the wine year concerned.
Producers who apply before 1 August and who have increased alcoholic
strength by adding sucrose or have applied for the said aid during the wine
year, but for less of their table wine production than the quantity delivered for
all the relevant distillation operations during the wine year shall receive theamount indicated in the first subparagraph for the difference between thequantity of table wine of which they increased the alcoholic strength and the
quantity they delivered for distillation.
The competent authorities of the Member States may require such producers
to supply any evidence needed to demonstrate the validity of their application.
Article 77
Reduction of the aid referred to in Article 81
Where wine is delivered for distillation as referred to in Article 76 of this
Regulation and where the reduction has been applied to such wine,
(a) the aid to be paid to the distiller,
(b) the price to be paid to the distiller for delivery to the intervention agency
under Article 30 of Regulation (EC) No 1493/1999 and
(c) the EAGGF contribution to expenditure incurred by the intervention
agency in taking over alcohol under Article 30 of Regulation (EC)
No 1493/1999
shall be reduced by an amount equal to the reduction indicated in Article 76.
CHAPTER IV
DISPOSAL OF ALCOHOL OBTAINED BY DISTILLATION UNDER
CHAPTER I OF THIS TITLE AND, WHERE APPLICABLE, AR-
TICLE 30 OF REGULATION (EC) No 1493/1999
Article 78
Purpose and definitions
1. This section lays down detailed rules for disposing of alcohol obtained by
distillation under Articles 27, 28 and 30 of Regulation (EC) No 1493/1999,
hereinafter referred to as ‘alcohol’.
Alcohol may be disposed of either for use in new industrial uses (subsection
I), for use in third countries in the fuel sector only (subsection II), or for use asbio-ethanol in the Community (subsection III).
2. For the purposes of this Section, ‘tendering procedure’ shall mean the
organisation of a competition among interested parties in the form of an
invitation to tender or similar procedure, the contract being awarded to the
party submitting the most advantageous tender complying with the rules laiddown in this Regulation.
Subsection I: Disposal of alcohol for new industrial uses
Article 79
Definition of new industrial uses
Without prejudice to Article 31(2) of Regulation (EC) No 1493/1999, the
Commission may issue invitations to tender for the implementation within theCommunity of small-scale projects relating to new industrial end uses suchas:
(a) the heating of glasshouses,(b) the drying of feedingstuffs,!B2000R1623 — EN — 01.08.2000 — 000.001 — 47
(c) the fuelling of heating systems, including those at cement works,
and processing into goods exported for industrial purposes by operators who
have made use of inward processing arrangements at least once in the
previous two years, other than processing consisting solely of redistillation,
rectification, dehydration, purification or denaturing of the alcohol.
If the intended use of the alcohol is export to third countries in the form of
manufactured goods, proof must be provided that authorisation was granted
during the previous two years to use alcohol from third countries tomanufacture under inward processing arrangements the same goods as thoseexported.
Article 80
Opening tendering procedures
The Commission, acting in accordance with the procedure laid down in
Article 75 of Regulation (EC) No 1493/1999, shall issue an invitation to
tender for the disposal of alcohol obtained by distillation under Articles 27, 28
and 30 of that Regulation for new industrial uses. The quantities of alcoholawarded under such tendering procedures shall not exceed 400 000 hectolitresof alcohol at 100 % vol. per year.
Article 81
Notice of invitation to tender
Notices issuing invitations to tender shall be published in the Official Journal
of the European Communities .
Such notices shall specify:
(a) the special rules applicable to the tendering procedure and the names and
addresses of the intervention agencies concerned,
(b) the quantity of alcohol, expressed in hectolitres of alcohol at 100 % vol.,
covered by the tendering procedure,
(c) one or more vats constituting a lot in a given Member State,
(d) the minimum price which may be offered, differentiated where
appropriate according to the end uses,
(e) the amount of the tendering security required under Article 82(5) and the
performance guarantee required under Article 84(3)(b).
Article 82
Rules applicable to tenders
1. Apart from the information specified in Article 97 of this Regulation,
tenders shall indicate:
(a) the quantity of alcohol to which they relate, broken down by vat and
expressed in hectolitres of alcohol at 100 % vol.,
(b) the number(s) of the vat(s) in which the alcohol concerned is stored, the
vats all being situated in the same Member State,
(c) the precise industrial use of the alcohol,
(d) the type of goods to be exported if the alcohol is intended for export to
third countries in the form of manufactured goods.
2. Tenders may indicate that they are to be considered only if the quantity to
be awarded corresponds to the full quantity indicated in the tender.
3. Tenderers may submit only one tender for each type of alcohol, end use
and tendering procedure. If a tenderer submits more than one tender per typeof alcohol, end use or tendering procedure, none of those tenders shall be
admissible.
4. Tenders must reach the intervention agency of the Member State
concerned not later than 12 noon Brussels time on the closing date set for the
submission of tenders in the notice of invitation to tender. That date must fall
between the 15th and the 25th day after the date of publication of the notice ofinvitation to tender.!B2000R1623 — EN — 01.08.2000 — 000.001 — 48
5. Tenders shall be valid only if proof is provided before the closing date for
the submission of tenders that a tendering security has been lodged with theintervention agency concerned.
6. Not more than two working days after the closing date for submission of
tenders, the intervention agency concerned shall communicate to theCommission a list of the names of the tenderers whose tenders are eligible
for consideration under Article 97 of this Regulation, the prices offered, the
quantities requested, the locations and the types of alcohol concerned and theprecise uses to be made of the alcohol.
Article 83
Award of contracts
1. The Commission, acting in accordance with Article 75 of Regulation
(EC) No 1493/1999, shall decide whether or not to award contracts in the light
of the tenders submitted and, where appropriate, depending on the type of enduse for which the alcohol is intended.
2. The Commission shall draw up a list of the tenders accepted, listing the
prices offered in decreasing order until the contracts awarded cover the entirequantity of alcohol specified in the notice of invitation to tender.
3. Where several admissible tenders relate fully or in part to the same vats,
the Commission shall allocate the quantity of alcohol concerned to thetenderer submitting the tender with the highest absolute value.
When making its decision under paragraph 1 of this Article in cases referred
to in the first subparagraph where some tenders cannot be met, the
Commission may propose to the tenderers concerned that their tenders be
accepted for a replacement quantity of alcohol of the same type. In such cases,the relevant tenders shall be deemed to have been accepted provided that thetenderers in question do not express their objection to such transfer in writing
to the intervention agency concerned within 10 working days from the date of
notification of the Commission decisions referred to in (a) in paragraph 5 ofthis Article.
To that end, the Commission decision shall indicate the vat in which the
replacement quantity of alcohol is stored, in agreement with the interventionagency concerned.
4. Should several tenders propose the same price so that the quantity of
alcohol tendered for exceeds the quantity covered by the tendering procedure,
the intervention agency concerned shall award the quantity in question:
(a) either in proportion to the quantities specified in the tenders concerned,
(b) or by dividing that quantity among the tenderers by agreement with them,
(c) or by drawing lots.
5. The Commission shall:(a) notify the decisions taken under this Article only to those Member States
and intervention agencies holding alcohol for which tenders have beenaccepted,
(b) publish the results of the tendering procedure in a simplified form in the
Official Journal of the European Communities .
Article 84
Statement of award
1. The intervention agency shall notify tenderers in writing, without delay
against a receipt, of the decision taken on their tenders.
2. The intervention agency shall hold a statement of award at the disposal of
each successful tenderer certifying that their tender has been accepted.
Where the Commission proposes substitution under Article 83(3) and the
tenderer does not object, the intervention agency concerned shall issue the
statement of award referred to in the first subparagraph on the working day
following the expiry of the time limit specified in the last sentence of thesecond subparagraph of Article 83(3).
3. Within two weeks following the date of receipt of the notification of
award referred to in paragraph 1 of this Article and, where the second!B2000R1623 — EN — 01.08.2000 — 000.001 — 49
subparagraph of paragraph 2 is applied, within the two weeks following the
date of issue of the statement of award, each successful tenderer shall:
(a) obtain the statement of award referred to in paragraph 2 from the
intervention agency,
(b) provide the intervention agency concerned with proof that a performance
security has been lodged to ensure that the alcohol in question is in factused for the purposes specified in the tender.
Article 85
Removal of the alcohol
1. The alcohol may be removed on presentation of a removal order issued by
the intervention agency once the quantity to be removed has been paid for.
That quantity shall be determined to the nearest hectolitre of alcohol at100 % vol.
2. Ownership of the alcohol covered by a removal order shall be transferred
on the date indicated in the order, which may not be more than five days after
its date of issue, and the quantities concerned shall be deemed to have been
removed on that date. From then on, the purchaser shall be responsible for anytheft, loss or destruction and for the storage costs of any alcohol awaitingremoval.
3. The removal order shall state the date by which the alcohol must be
physically removed from the storehouse of the intervention agency concerned.
4. All the alcohol must have been removed four months after the date of
receipt of the notification of award.
5. The alcohol must be fully used within two years from the date of first
removal.
Subsection II: Disposal of alcohol for use in third countries in the fuel
sector only
Article 86
Rules applicable to tendering procedures covered by this subsection
The Commission, acting in accordance with the procedure laid down in
Article 75 of Regulation (EC) No 1493/1999, shall issue several invitations totender every quarter, each relating to quantities of at least 50 000 hectolitres
of wine alcohol and, taken together, relating to not more than
600 000 hectolitres of alcohol at 100 % vol., for export to certain thirdcountries for final use in the fuel sector only.
The alcohol concerned must:1) be imported into and dehydrated in one of the following third countries:
(a) Costa Rica(b) Guatemala
(c) Honduras, including the Swan Islands
(d) El Salvador(e) Nicaragua(f) Saint Kitts and Nevis(g) Bahamas(h) Dominican Republic(i) Antigua and Barbuda(j) Dominica
(k) British Virgin Islands and Montserrat
(l) Jamaica(m) Saint Lucia(n) Saint Vincent, including the North Grenadines!B2000R1623 — EN — 01.08.2000 — 000.001 — 50
(o) Barbados
(p) Trinidad and Tobago
(q) Belize
(r) Grenada, including the South Grenadines
(s) Aruba(t) Netherlands Antilles (Curaçao, Bonaire, Saint Eustatius, Saba and
the southern part of Saint Martin)
(u) Guyana
(v) United States Virgin Islands
(w) Haiti
2) be used exclusively in the fuel sector in a third country.
Article 87
Notice of invitation to tender
1. Notices issuing invitations to tender shall be published in the Official
Journal of the European Communities .
Such notices shall specify:
(a) the formalities for the submission of tenders,(b) the final use and/or destination for which the alcohol is intended,
(c) the minimum price which may be offered,
(d) the Commission department to which tenders should be sent,
(e) the time limit for removal of the alcohol stipulated in Article 91(10) of
this Regulation,
(f) the formalities for obtaining samples,
(g) the payment terms,(h) whether the alcohol is to be denatured.
2. Each notice of invitation to tender shall relate to a single lot, although the
alcohol constituting the lot may be located in several Member States.
3. Notices of invitation to tender may rule out some of the destinations
listed in point 1 of Article 86.
Article 88
Tenders
1. Tenderers may submit only one tender in response to each invitation to
tender under this subsection; if a tenderer submits more than one, none of
those tenders shall be admissible.
2. To be eligible for consideration, tenders must indicate the final
destination of the alcohol awarded and contain an undertaking by thetenderer to comply with that destination.
3. Tenders must also include proof, dated after the notice of invitation to
tender, that the tenderer has binding commitments to an operator in the fuelsector in one of the third countries listed in Article 86 of this Regulation who
undertakes to dehydrate the awarded alcohol in one of those countries and to
export it exclusively for use in the fuel sector.
4. Tenders must reach the competent Commission department no later than
12 noon Brussels time on the closing date set for the submission of tenders in
the notice of invitation to tender.
5. Tenders shall be valid only if proof has been provided, before the closing
date for the submission of tenders, that a tendering security has been lodgedwith each intervention agency concerned.
The tendering security, amounting to EUR 4 per hectolitre of alcohol at
100 % vol., shall be lodged for the entire quantity put up for sale.!B2000R1623 — EN — 01.08.2000 — 000.001 — 51
6. For the purposes of paragraph 5, the intervention agencies concerned:
(a) shall immediately issue tenderers with a statement certifying that the
tendering security has been lodged for the quantities for which each
intervention agency is responsible,
(b) shall forward a list of the tendering securities checked and accepted to the
Commission not more than two working days after the closing date forsubmission of tenders.
7. For the purposes of the tendering security, the primary requirements
within the meaning of Article 20 of Commission Regulation (EEC)
No 2220/85 shall be that tenders not be withdrawn after the closing date
for their submission and that a security to ensure export and/or a performanceguarantee be lodged.
Article 89
Award of contracts
1. The Commission, acting in accordance with the procedure laid down in
Article 75 of Regulation (EC) No 1493/1999, shall decide as quickly as
possible whether or not to award contracts in the light of the tenders
submitted.
2. Should a contract be awarded, the Commission shall accept the most
favourable tender. If two or more tenders quote the same price, theCommission shall make the award by drawing lots.
3. The Commission shall:(a) inform tenderers in writing against a receipt if their tenders have not been
accepted,
(b) notify the Member States holding the alcohol and the successful tenderer
of its decision to award the alcohol,
(c) publish the results of the tendering procedure in a simplified form in the
Official Journal of the European Communities .
4. The tendering securities required under Article 88(5) of this Regulation
shall be released where tenders are not accepted and once the successful
tenderer has lodged in full both the export security and the performance
guarantee for the tendering procedure concerned.
Article 90
Statement of award
The intervention agency shall hold a statement of award at the disposal of
successful tenderers certifying that their tender has been accepted.
Statements must be issued no more than 20 days after receipt of the
notification from the Commission referred to in Article 89(3) of thisRegulation.
Article 91
Removal of the alcohol
1. The intervention agency holding the alcohol and the successful tenderer
shall agree on a provisional timetable for the removal of the alcohol.
2. Before any alcohol is removed and no later than the day on which the
removal order is issued, successful tenderers shall lodge two securities with
the intervention agency: one to ensure that the alcohol is exported within thetime allowed and the other by way of a performance guarantee.
3. The performance guarantee shall amount to EUR 30 per hectolitre of
alcohol at 100 % vol.
4. The export security shall amount to EUR 3 per hectolitre of alcohol at
100 % vol. and shall be lodged for each quantity of alcohol covered by a
removal order.
5. Before the awarded alcohol is removed, the intervention agency and the
successful tenderer shall take a reference sample and analyse it to verify the
alcoholic strength of the alcohol, expressed in % vol.!B2000R1623 — EN — 01.08.2000 — 000.001 — 52
If the final result of the analyses of this sample reveals a discrepancy between
the alcoholic strength by volume of the alcohol to be removed and theminimum alcoholic strength by volume of the alcohol specified in the noticeof invitation to tender, the following rules shall apply:
(a) the intervention agency shall inform the Commission, the storer and the
successful tenderer thereof on the same day;
(b) the successful tenderer may:
(i) either agree to take over the lot with the characteristics determined
by the analysis, provided the Commission so agrees,
(ii) or refuse to take over the lot concerned.
In either case, the successful tenderer shall inform the intervention agency
and the Commission on the same day, in the manner specified in Annex V to
this Regulation.
Once this requirement has been met, successful tenderers who refuse to take
over the lot concerned shall be immediately released from all obligations
relating to that lot.
6. Where a successful tenderer refuses the merchandise, in accordance with
paragraph 5, the intervention agency concerned shall supply another quantity
of alcohol of the required quality at no additional cost within no more than
eight days.
7. The alcohol may be removed on presentation of a removal order issued by
the intervention agency holding the alcohol once the quantity to be removed
has been paid for. That quantity shall be determined to the nearest hectolitre
of alcohol at 100 % vol.
Each removal order shall cover a quantity of at least 2 500 hectolitres, except
in the case of the last removal in each Member State.
The removal order shall state the date by which the alcohol must be physically
removed from the storehouse of the intervention agency concerned. That datemay be no more than five days later.
8. Ownership of the alcohol covered by a removal order shall be transferred
on the date indicated in the order, which may be no more than five days later,and the corresponding quantities shall be deemed to have been removed onthat date. From then on, the purchaser shall be responsible for any theft, loss
or destruction and for the storage costs of any alcohol awaiting removal.
9. If, by the fault of the intervention agency, the alcohol cannot be physical
removed until more than five working days after the date on which the
successful tenderer agreed to remove the lot, the Member State shall be
required to bear any losses sustained.
10. All the alcohol must have been physically removed from the storehouses
of each intervention agency concerned within six months.
11. The alcohol must be fully used within two years from the date of first
removal.
12. The intervention agency concerned shall release the export security for
each quantity of alcohol for which it receives proof of export within the time
allowed. Notwithstanding Article 23 of Regulation (EEC) No 2220/85, exceptin cases of force majeure , when the time limit for export is exceeded, the
following percentages of the export security of EUR 5 per hectolitre of
alcohol at 100 % vol. shall be forfeit:
(a) 15 % in all cases,(b) 0.33 % of the amount remaining after deduction of the 15 % per day of
delay after the export deadline concerned.
13. The performance guarantee shall be released in accordance with
Article 100(3)(b) of this Regulation.!B2000R1623 — EN — 01.08.2000 — 000.001 — 53
Subsection III: Disposal for use as bio-ethanol in the Community
Article 92
Rules applicable to disposal covered by this subsection
1. Within three months of the decision referred to in Article 89 of this
Regulation, the Commission, acting in accordance with the procedure laid
down in Article 75 of Regulation (EC) No 1493/1999, may start public sales
with a view to disposing of the alcohol.
2. The alcohol shall be awarded to firms established in the European
Community and must be used in the fuel sector.
3. A list of firms approved for such purposes shall be drawn up. The list
shall be published in the ‘C’ series of the Official Journal of the European
Communities and updated regularly.
The Member States shall notify the Commission of the names of the firms
they deem eligible, and which have presented an application with thefollowing supporting documents:
— a declaration by the firm stating that it is capable of using at least
50 000 hl of alcohol a year,
— the location of the firm’ s administrative offices and the plant where the
alcohol is processed,
— a copy of the plans of the plant for producing bio-ethanol for the fuel
sector, and an indication of production capacity and type,
— a copy of the authorisation from the national authorities to operate the
plant,
— certificates from the national authorities attesting that the plant uses only
alcohol as bio-ethanol, and that the bio-ethanol is used only in the fuel
sector,
— the location of the administrative offices of the refining companies
authorised to distribute fuel up to the consumption stage, unless theapproved firm deals with distribution itself.
The Commission shall assess the eligibility of the firm on the basis of the
documents and shall inform the applicant firms of the outcome of thisassessment.
Article 93
Public sale
1. Notices of public sale of alcohol shall be published in the Official Journal
of the European Communities .
Such notices shall specify:(a) the volume of alcohol offered for sale,
(b) the vats and their location,
(c) the sale price,(d) the amount of the performance guarantee; however, firms may choose to
lodge a standing guarantee instead of a guarantee for each sale,
(e) the formalities for obtaining samples,(f) the payment terms.
2. The quantity of alcohol offered for sale shall be split into lots of equal
size. The Commission shall determine the composition of the lots. Unless the
Commission decides otherwise in accordance with the procedure laid down inArticle 75 of Regulation (EC) No 1493/1999, a lot shall be made for eachfirm on the approved list and each firm on the list shall be allocated a lot.
Should a firm not accept the alcohol offered for sale, it must notify the
Commission and the intervention agency thereof no more than 30 days afterthe date of publication of the notice of public sale of alcohol. Alcohol which
has not been accepted shall be released from the prohibition on physical
movement under Article 95(2) of this Regulation from the date on which therefusal was notified and may be sold during a subsequent sale.!B2000R1623 — EN — 01.08.2000 — 000.001 — 54
3. The alcohol shall be sold at the highest price awarded during the most
recent tendering procedure as referred to in subsection II of Chapter III, plusan amount per hectolitre fixed in accordance with the procedure laid down inArticle 75 of Regulation (EC) No 14933/1999.
4. The Commission shall notify the Member States holding the alcohol and
the firms concerned of the award of the alcohol.
5. Except where they have lodged a standing security, within 30 days of the
date of the notification referred to in paragraph 2, purchasing firms shallsupply proof that they have lodged a performance guarantee with the
intervention agency concerned to ensure that the alcohol is used as
bio-ethanol in the fuel sector.
6. All the alcohol must be removed no more than three months after the date
of notification of the Commission’ s decision to award the sale.
Article 94
Removal of the alcohol
Article 91(1), (7), (8) and (11) of this Regulation shall apply to public sales.
Subsection IV: General provisions and control arrangements
Article 95
Rules applicable to alcohol
1. With a view to drawing up notices of invitation to tender and public sale,
the Commission shall request each Member State concerned to inform it of:
(a) the quantity of alcohol, expressed in hectolitres of alcohol at 100 % vol.,
that may be offered for sale,
(b) the type of alcohol concerned,(c) the quality of the lots of alcohol, laying down maximum and minimum
values for the characteristics referred to in Article 96(4)(d)(i) and (ii) of
this Regulation.
No more than 12 days after receiving this request, the Member States
concerned shall inform the Commission of the exact location and references
of the various vats of alcohol meeting the quality requirements and containing
a total quantity of alcohol not less than that referred to in (a) in the firstsubparagraph of this paragraph.
2. Once the information referred to in the second subparagraph of paragraph
1 has been forwarded to the Commission, the alcohol in the vats concerned
may not be moved until a removal order covering it has been issued.
This prohibition shall not relate to alcohol in vats not covered by the notices of
invitation to tender or public sale concerned and not specified in theCommission decision referred to in Articles 83 to 89 of this Regulation.
For logistic reasons in particular, the intervention agencies holding the vats of
alcohol indicated in the communication from the Member States referred to inparagraph 1 of this Article may replace the alcohol concerned with otheralcohol of the same type, provided the Commission agrees, or mix it with
other alcohol delivered to the intervention agency, until a removal order is
issued for the alcohol concerned.
3. Each month the Member States holding alcohol covered by a tendering
procedure or a public sale shall inform the Commission of the progress made
with the physical removal of the alcohol concerned.
Article 96
Rules applicable to lots
1. The alcohol shall be sold in lots.
2. A lot shall consist of a quantity of alcohol of sufficiently uniform quality,
which may be contained in several vats and kept at several locations and in
several Member States.
3. Each lot shall be numbered. The letters ‘EC’shall precede the numbers of
the lots.!B2000R1623 — EN — 01.08.2000 — 000.001 — 55
4. Each lot shall be described. At least the following information shall be
given:
(a) the location of the lot, including a reference identifying each vat
containing the alcohol, and the quantity of alcohol in each vat;
(b) the total quantity, expressed in hectolitres of alcohol at 100 % vol. The
quantity may vary up to 1 %;
(c) the minimum alcoholic strength of the alcohol in each vat, expressed
in % vol.;
(d) if possible, the quality of the lot, specifying upper and lower limits for the
following:
(i) the acidity, expressed in grams of acetic acid per hectolitre of alcohol
at 100 % vol.,
(ii) the methanol content, expressed in grams per hectolitre of alcohol at
100 % vol.;
(e) reference to the intervention measure which gave rise to the production of
the alcohol, specifying the relevant Article of Regulation (EC)
No 1493/1999.
5. Where a tendering procedure concerns more than two lots, only the first
lot or the first two lots, of one million hectolitres of alcohol at 100 % vol.,
shall be described in accordance with paragraph 4.
Article 97
General rules applicable to tenders
1. To be eligible for consideration, tenders must be submitted in writing and
must include, in addition to the specific information referred to in subsections
Io rI I :
(a) the reference number of the notice of invitation to tender,(b) the name and address of the tenderer,(c) the price proposed, expressed in euros per hectolitre of alcohol at
100 % vol.,
(d) an undertaking from tenderers to comply with all the rules applicable to
the tendering procedure concerned,
(e) a statement by tenderers to the effect that:
(i) they waive all claims in respect of the quality and characteristics of
the alcohol awarded to them,
(ii) they agree to submit to any checks made on the destination and use
of the alcohol,
(iii) they accept that it is their responsibility to provide evidence that the
alcohol is used as specified in the notice of invitation to tender.
2. Tenders shall be valid only if:(a) the tenderer is established in the Community,(b) they relate to the entire lot.3. Tenders eligible for consideration may not be withdrawn.
4. Tenders may be rejected if tenderers do not provide all the necessary
guarantees that they will carry out their obligations.
Article 98
Samples
1. On publication of a notice of invitation to tender and until the closing
date for the submission of tenders in response to such invitation, all interested
parties may obtain samples of the alcohol offered for sale, against payment ofEUR 2 per litre. The quantity made available to each interested party must not
exceed five litres per vat. For disposal as referred to in subsection III, the
sample may be obtained, for the same consideration, within 30 days of thenotice of public sale.!B2000R1623 — EN — 01.08.2000 — 000.001 — 56
2. After the closing date for the submission of tenders:
(a) the tenderer or the approved firm referred to in Article 92 may obtain
samples of the alcohol awarded,
(b) tenderers or approved firms referred to in Article 92 to whom a
substitution is proposed under Article 83(3) of this Regulation may obtainsamples of the replacement alcohol proposed.
Such samples may be obtained from the intervention agency against payment
of EUR 10 per litre, quantities not exceeding five litres per vat.
3. The intervention agency of the Member State in whose territory the
alcohol is held shall take the necessary steps to enable interested parties to
avail themselves of the right referred to in paragraph 2.
4. If a successful tenderer or approved firm finds, before the date set in
Article 92, Article 85, Article 91 or Article 94 of this Regulation for removal
of the lot of alcohol concerned, that a quantity of alcohol awarded is
unsuitable for the uses planned owing to hidden defects that by their naturecould not be discovered at the time when it was possible for a check to bemade before the alcohol was awarded, the Commission may indicate a
replacement quantity, in agreement with the relevant intervention agency,
provided the latter confirms the tenderer’s finding. The vat in which thereplacement quantity is stored shall be determined in agreement with theintervention agency concerned. Where tenderers do not object to the transfer
by writing to the intervention agency concerned within ten working days of
the date of notification of the Commission’ s decision indicating thereplacement quantity, they shall be deemed to have agreed to the substitution.
Article 99
Requirements applicable to denaturing and/or marking
1. If alcohol is to be denatured, the operation must take place under the
supervision of the Member States concerned between the time when theremoval order is handed over and the time when the alcohol is physicallyremoved. The cost of such denaturing shall be borne by the successful
tenderer.
2. Denaturing shall involve adding petrol, in the ratio of 1:100, to the
quantity of alcohol at 100 % vol.
3. Denaturing may be carried out in a vat provided for this purpose.
Article 100
Requirements applicable to securities
For the purposes of this Regulation:
1) (a) for the purposes of the tendering security, the primary requirements
within the meaning of Article 20 of Regulation (EEC) No 2220/85
shall be that tenders not be withdrawn after the closing date for theirsubmission and that a performance guarantee be lodged;
(b) for the purposes of the performance guarantee, the primary
requirements within the meaning of Article 20 of Regulation (EEC)No 2220/85 shall be that the alcohol removed be actually used for thepurposes specified under the relevant tendering procedure and that
the entire quantity of alcohol be physically removed from the stores
of each intervention agency concerned within the time allowed.
2) (a) The alcohol awarded must be used entirely for the purposes specified
in the invitation to tender concerned, allowing for any losses of
alcohol during the transport or processing operations required for thefinal use of the alcohol.
Each individual loss of alcohol shall be accepted only if it has been
checked at the final destination and, in the case of alcohol for export,
at the place where it left the customs territory of the Community, andcertified by the competent inspection authority and/or internationalsurveillance firm where such a firm has been appointed under
Article 102, provided that such losses are within the limits specified
in point (b) below.!B2000R1623 — EN — 01.08.2000 — 000.001 — 57
(b) Where alcohol losses during the operations referred to below exceed
the following limits, EUR 96 per hectolitre shall be withheld fromthe performance guarantee, except in cases of force majeure :
(i) 0.05 % of the quantities of alcohol stored per month in the case
of an alcohol loss due to evaporation,
(ii) 0.4 % of the quantities of alcohol removed from storage in the
case of an alcohol loss due to one or more land transportoperations,
(iii) 1 % of the quantities of alcohol removed from storage in the case
of alcohol losses due to one or more land transport operations
combined with one or more sea or inland waterway transport
operations,
(iv) 2 % of the quantities of alcohol removed from storage in the case
of alcohol losses due to land and sea transport required in
connection with a tendering procedure for export of alcohol to
one of the third countries listed in Article 86 of this Regulation,
(v) 0.9 % of the quantities of alcohol rectified in the case of an
alcohol loss due to rectification in the Community,
(vi) 0.9 % of the quantities of alcohol dehydrated in the case of an
alcohol loss due to dehydration in the Community,
(vii)1.2 % of the quantities of alcohol rectified in the case of an
alcohol loss due to rectification in one of the third countrieslisted in Article 86 to this Regulation,
(viii) 1.2 % of the quantities of alcohol dehydrated in the case of an
alcohol loss due to dehydration in one of the third countries
listed in Article 86 to this Regulation.
The fourth and/or fifth percentage may be added to the first two
percentages.
The sixth and/or seventh percentage may be added to the third
percentage.
When applying the abovementioned percentages, the quantities of
alcohol shall be determined on the basis of tonnage certificates orsimilar documents issued by the competent inspection authorities.
(c) In the case of alcohol awarded for a new industrial use which must be
rectified prior to the final use intended, the alcohol removed shall be
deemed to have been used entirely for the specified purpose where at
least 90 % of the total quantities of alcohol removed under atendering procedure is used for those purposes; the successfultenderer shall inform the Commission of the quantity, destination and
use of the products rectified. However, losses may not exceed the
limits specified in point (b).
3) (a) The tendering security shall be released immediately if the tender has
not been accepted or if the successful tenderer has met the
requirements laid down in paragraph 1(a).
(b) The performance guarantee shall be released immediately by each of
the intervention agencies holding alcohol once the successfultenderer provides them each with the proof required in points 2
and 3 and in Title V of Regulation (EEC) No 2220/85, for the
relevant quantity removed.
(c) Notwithstanding Article 27 of Regulation (EEC) No 2220/85, 10 %
of the performance guarantee shall be withheld until the successfultenderer provides each intervention agency concerned with proof that
the relevant quantity of alcohol removed has been used, indicating
any losses of alcohol in connection with the tendering procedureconcerned. If such proof is not produced within 12 months after the
date specified for the final use of the alcohol, EUR 96 per hectolitre
shall be withheld on the quantities of alcohol lost over and above thelimits specified in paragraph 2.!B2000R1623 — EN — 01.08.2000 — 000.001 — 58
Article 101
Control arrangements
1. The Member States concerned shall take the necessary steps to facilitate
operations under this Chapter and to ensure that the applicable Community
rules are complied with. They shall designate one or more bodies to be
responsible for checking compliance with those rules.
The checks shall be at least equivalent to those used to monitor
home-produced alcohol but must include:
(a) physical checks on the quantity of alcohol transported,(b) verification of the use made of the alcohol, by frequent spot checks at
least once per month,
(c) verification of accounts, records, utilisation procedures and stocks.If the alcohol has been denatured checks shall be made at least every two
months.
2. The Member States shall determine which documents, records and other
supporting evidence or information must be supplied by the successful
tenderer. They shall inform the Commission of the checks they introduce to
apply paragraph 1. The Commission shall send the Member State concernedany comments required to ensure that checks are effective.
3. The measures taken by the Member States shall be notified to the
Commission before the checks start.
Article 102
Use of surveillance firms
The notice of invitation to tender may stipulate that an international
surveillance firm is to be used to check on the proper conduct of the tendering
procedure, particularly the final destination and/or end use of the alcohol. The
cost of such services shall be borne by the successful tenderer, as shall thecost of analysis and verification pursuant to Article 99 of this Regulation.
TITLE IV
FINAL PROVISIONS
Article 103
Notifications to the Commission
1. The Member States shall communicate to the Commission:
(a) for distillation under Article 29 of Regulation (EC) No 1493/1999, every
month:
(i) the quantities of wine distilled,
(ii) the quantities of alcohol concerned by secondary aid
(b) every two months, for each type of distillation under Articles 27, 28 and
30 of Regulation (EC) No 1493/1999:
(i) the quantities of wine, wine lees and fortified wine distilled,
(ii) distinguishing where applicable between neutral alcohol, raw alcohol
and spirits:
— quantities produced during the previous period,
— quantities taken over by their intervention agencies under
Community or national rules during the previous period,
— quantities disposed of by those intervention agencies during the
previous period,
— quantities held by those intervention agencies at the end of the
previous period.!B2000R1623 — EN — 01.08.2000 — 000.001 — 59
In the case of quantities disposed of by the intervention agencies, the
Member States concerned shall also communicate the selling pricescharged and indicate whether the products have been consigned withinthe Community or exported;
(c) ten days before the end of every quarter, the outcome of applications
invoking force majeure and the steps taken in those instances by the
competent authorities in the cases referred to in:
(i) Article 9,
(ii) Article 10,
(iii) Article 11(3),(iv) Article 15,(v) Article 16,(vi) Article 20(4), (5) and (6),(vii)Article 36,
(viii) Article 37,
(ix) Article 72,(x) Article 75(1),(xi) Article 100(2)(b);
(d) not later than 31 December of the current wine year, for private storage
aid under Chapter I of Title III of Regulation (EC) No 1493/1999 andTitle II of this Regulation:
— the quantities of grape must processed into concentrated grape must
or rectified concentrated grape must during the period of validity of
the contract, and the quantities obtained thereby;
(e) not later than 5 March of the current wine year:
— for private storage aid under Chapter I of Title III of Regulation (EC)
No 1493/1999 and Title II of this Regulation:
— the quantities of products under contract on 16 February;
— for aid under Article 34 of Regulation (EC) No 1493/1999 and
Chapter II of Title I of this Regulation:
— the number of producers who have received aid,— the quantities of wine enriched,— the quantities of concentrated grape must and rectified
concentrated grape must used for enrichment expressed in
degrees of potential alcoholic strength by vol. per hectolitre;
(f) for the previous wine year, not later than 30 April:
(i) for aid under Article 35(1)(a) of Regulation (EC) No 1493/1999 and
Chapter I of Title I of this Regulation:
— the quantities of raw materials covered by aid applications,
broken down by type of raw material and by wine-growing zone
of origin;
— the quantities of raw materials for which aid has been granted,
broken down by type of raw material and by wine-growing zoneof origin;
(ii) in the case of aid as referred to in Article 35(1)(b) and (c) of
Regulation (EC) No 1493/1999 and Chapter II of Title I of this
Regulation:
— the quantities of grape must and concentrated grape must
covered by aid applications, broken down by wine-growing zone
of origin;
— the quantities of grape must and concentrated grape must in
receipt of aid, broken down by wine-growing zone of origin;
— the prices paid by manufacturers and operators for the grape
must and concentrated grape must;!B2000R1623 — EN — 01.08.2000 — 000.001 — 60
(iii) cases where distillers or fortifiers of wine for distillation have not
fulfilled their obligations and the action taken in consequence.
Article 104
Dates and time limits
The periods, dates and time limits referred to in this Regulation shall be
determined in accordance with Regulation (EEC, Euratom) No 1182/71.
However, Article 3(4) of that Regulation shall not apply when determining theduration of storage periods under Title II of this Regulation.
Article 105
Repeal
Regulations (EEC) No 2682/77, No 1059/83, No 3461/85, No 441/88,
No 2598/88, No 2640/88, No 2641/88, No 2721/88, No 2728/88, No 3105/88,No 1238/92, No 377/93 and No 2192/93 are hereby repealed.
Article 106
Entry into force
This Regulation shall enter into force on the twentieth day following its
publication in the Official Journal of the European Communities .
It shall apply from 1 August 2000.However, the following Regulations shall continue to apply until 31 August
2000 to products from the 1999/2000 wine year:
— Regulation (EEC) No 1059/83,
— Regulation (EEC) No 2640/88,
— Regulation (EEC) No 2641/88,— Regulation (EEC) No 2721/88,— Regulation (EEC) No 2728/88,— Regulation (EEC) No 3105/88.
This Regulation shall be binding in its entirety and directly applicable in all
Member States.!B2000R1623 — EN — 01.08.2000 — 000.001 — 61
ANNEX I
Table of equivalence between the potential alcoholic strength and the readings at
20 °C from a refractometer used in accordance with the method laid down in
Annex XVIII to Regulation (EC) No 1622/2000 establishing a Community code of
oenological practices and processes
(Article 13 of this Regulation)
Refractomete, reading
% (p/p)Potential alcoholic strenghth
(% vol)
Concentrated must Rectified concentrated must
50,9 34,62
51,0 34,6951,1 34,7651,2 34,8251,3 34,8951,4 34,9651,5 35,0651,6 35,1651,7 35,2551,8 35,3551,9 35,45 39,0752,0 35,55 39,1752,1 35,63 39,2652,2 35,70 39,3552,3 35,77 39,4552,4 35,85 39,5452,5 35,95 39,6352,6 36,05 39,7352,7 36,14 39,8352,8 36,23 39,9352,9 36,32 40,0253,0 36,41 40,1253,1 36,49 40,2253,2 36,56 40,3053,3 36,63 40,4053,4 36,71 40,5053,5 36,81 40,5953,6 36,91 40,6953,7 37,01 40,7953,8 37,11 40,8953,9 37,20 40,9954,0 37,30 41,0954,1 37,38 41,1854,2 37,45 41,2854,3 37,53 41,3754,4 37,60 41,4754,5 37,69 41,5654,6 37,78 41,6654,7 37,87 41,7654,8 37,94 41,8654,9 38,02 41,95!
B2000R1623 — EN — 01.08.2000 — 000.001 — 62
Refractomete, reading
% (p/p)Potential alcoholic strenghth
(% vol)
Concentrated must Rectified concentrated must
55,0 38,09 42,04
55,1 38,16 42,1455,2 38,26 42,2355,3 38,36 42,3355,4 38,46 42,4455,5 38,56 42,5455,6 38,66 42,6455,7 38,76 42,7455,8 38,86 42,8355,9 38,95 42.9356,0 39,06 43.0456,1 39,12 43.1356,2 39,19 43.2356,3 39,26 43.3256,4 39,32 43.4256,5 39,42 43.5256,6 39,52 43.6256,7 39,62 43.7256,8 39,72 43.8156,9 39,82 43.9257,0 39,92 44.0257,1 39,99 44.1257,2 40,07 44.2257,3 40,14 44.3157,4 40,21 44.4157,5 40,31 44.5157,6 40,41 44.6157,7 40,51 44.7157,8 40,60 44.8157,9 40,69 44.9158,0 40,78 45.0158,1 40,85 45.1158,2 40,93 45.2158,3 40,99 45.3058,4 41,08 45.4058,5 41,17 45.5058,6 41,27 45.6158,7 41,37 45.7158,8 41,47 45.8058,9 41,57 45.9159,0 41,67 46,0159,1 41,77 46.1159,2 41,87 46.2259,3 41,97 46.3259,4 42,06 46,4359,5 42,14 46.53
59,6 42,23 46.64
59,7 42,31 46.74!
B2000R1623 — EN — 01.08.2000 — 000.001 — 63
Refractomete, reading
% (p/p)Potential alcoholic strenghth
(% vol)
Concentrated must Rectified concentrated must
59,8 42,38 46.83
59,9 42,46 46.9360,0 42,53 47.0360,1 42,63 47.1260,2 42,73 47.2360,3 42,83 47.3460,4 42,93 47.4460,5 43,03 47.5560,6 43,12 47.6560,7 43,20 47.7560,8 43,27 47.8560,9 43,35 47,9461,0 43,42 48,0461,1 43,51 48,1461,2 43,60 48,2561,3 43,69 48,3661,4 43,79 48,4661,5 43,89 48,5761,6 43,99 48,6761,7 44,08 48,7961,8 44,18 48,8961,9 44,28 48,9962,0 44,38 49,1062,1 44,48 49,2062,2 44,58 49,3062,3 44,65 49,4062,4 44,73 49,5062,5 44,80 49,6062,6 44,88 49,7162,7 44,97 49,8162,8 45,05 49,9162,9 45,14 50,0263,0 45,24 50,1263,1 45,34 50,2363,2 45,44 50,3463,3 45,54 50,4563,4 45,64 50,5663,5 45,74 50,6763,6 45,84 50,7763,7 45,94 50,8863,8 46,03 50,9963,9 46,11 51,0864,0 46,18 51,1864,1 46,26 51,2964,2 46,33 51,3964,3 46,42 51,49
64,4 46,51 51,60
64,5 46,60 51,71!
B2000R1623 — EN — 01.08.2000 — 000.001 — 64
Refractomete, reading
% (p/p)Potential alcoholic strenghth
(% vol)
Concentrated must Rectified concentrated must
64,6 46,70 51,81
64,7 46,80 51,9264,8 46,90 52,0364,9 46,99 52,1465,0 47,09 52,2565,1 47,21 52,3665,2 47,31 52,4665,3 47,41 52,5765,4 47,51 52,6865,5 47,61 52,7965,6 47,71 52,9065,7 47,82 53,0165,8 47,92 53,1265,9 48,02 53,2266,0 48,12 53,3466,1 48,21 53,4466,2 48,30 53,5466,3 48,40 53,6466,4 48,49 53,7566,5 48,58 53,8666,6 48,67 53,9666,7 48,76 54,0866,8 48,86 54,1866,9 48,95 54,2967,0 49,04 54,4067,1 49,14 54,5167,2 49,23 54,6267,3 49,33 54,7367,4 49,42 54,8367,5 49,52 54,9567,6 49,61 55,0667,7 49,71 55,1767,8 49,81 55,2867,9 49,90 55,4068,0 50,00 55,5068,1 50,10 55,6168,2 50,20 55,7268,3 50,30 55,8368,4 50,40 55,9468,5 50,50 56,0668,6 50,60 56,1668,7 50,70 56,2868,8 50,80 56,3868,9 50,90 56,5069,0 50,99 56,6169,1 51,09 56,72
69,2 51,19 56,83
69,3 51,28 56,94!
B2000R1623 — EN — 01.08.2000 — 000.001 — 65
Refractomete, reading
% (p/p)Potential alcoholic strenghth
(% vol)
Concentrated must Rectified concentrated must
69,4 51,38 57,06
69,5 51,47 57,1769,6 51,57 57,2869,7 51,66 57,3969,8 51,76 57,5169,9 51,86 57,6270,0 51,95 57,7270,1 52,05 57,8470,2 52,14 57,9570,3 52,24 58,0770,4 52,33 58,1870,5 52,43 58,2970,6 52,53 58,4170,7 52,62 58,5270,8 52,72 58,6370,9 52,81 58,7471,0 57,91 58,8671,1 53,01 58,9771,2 53,11 59,0971,3 53,21 59,2071,4 53,31 59,3171,5 53,41 59,4271,6 53,51 59,5371,7 53,61 59,6571,8 53,71 59,7671,9 53,81 59,8872,0 53,91 59,9972,1 54,00 60,1172,2 54,10 60,2272,3 54,20 60,3372,4 54,30 60,4572,5 54,40 60.5672,6 54,50 60.6872,7 54,60 60.7972,8 54,70 60.9172,9 54,80 61.0273,0 54,90 61.1473,1 55,00 61.2573,2 55,10 61.3773,3 55,20 61.4873,4 55,30 61.6073,5 55,40 61.7273,6 55,50 61.8373,7 55,60 61.9473,8 55,70 62.0673,9 55,80 62.18
74,0 55,90 62.28
74,1 56,00 62.41!
B2000R1623 — EN — 01.08.2000 — 000.001 — 66
Refractomete, reading
% (p/p)Potential alcoholic strenghth
(% vol)
Concentrated must Rectified concentrated must
74,2 56,09 62.52
74,3 56,19 62.6474,4 56,29 62.7674,5 56,39 62.8774,6 56,49 62,9974,7 56,59 63.1074,8 56,69 63,2374,9 56,79 63.3375,0 56,89 63.4675,1 63.5875,2 63.6975,3 63.8175,4 63.9375,5 64.0575,6 64.1675,7 64.2875,8 64.4175,9 64.5476,0 64.6676,1 64.7876,2 64.8976,3 65,0276,4 65,1376,5 65,2576,6 65,3776,7 65,4976,8 65,6176,9 65,7477,0 65,8777,1 65,9977,2 66,0977,3 66,2177,4 66,3177,5 66,4577,6 66,5877,7 66,7177,8 66,8277,9 66,9478,0 67,0678,1 67,1978,2 67,2978,3 67,4178,4 67,5278,5 67,6578,6 67,7778,7 67,89
78,8 68,02
78,9 68,14!
B2000R1623 — EN — 01.08.2000 — 000.001 — 67
Refractomete, reading
% (p/p)Potential alcoholic strenghth
(% vol)
Concentrated must Rectified concentrated must
79,0 68,26
79,1 68,3879,2 68,5179,3 68,6279,4 68,7579,5 68,8779,6 69,0079,7 69,1279,8 69,2479,9 69,35!
B2000R1623 — EN — 01.08.2000 — 000.001 — 68
ANNEX II
Minimum quality requirements for table wines provided for in Article 27(b)(i) of
this Regulation
I.White wines
(a) Minimum actual alcoholic strength: 10.5 % vol.
(b) Maximum volatile acidity: 9 milliequivalents per litre(c) Maximum sulphur dioxide content: 155 milligrams per litre
II. Red wines
(a) Minimum actual alcoholic strength: 10.5 % vol.
(b) Maximum volatile acidity: 11 milliequivalents per litre(c) Maximum sulphur dioxide content: 115 milligrams per litre
Rosé wines must comply with the requirements laid down above for red wines, except
as regards their sulphur dioxide content, which must comply with the maximum levelsfixed for white wines.
However, red table wines from the Portugieser vine varieties and white table wines from
the Sylvaner, Müller-Thurgau and Riesling vine varieties shall not be required tocomply with points (a) and (c) above.!
B2000R1623 — EN — 01.08.2000 — 000.001 — 69
ANNEX III
Definition of neutral alcohol referred to in Article 43 of this Regulation
1. Organoleptic characteristics No extraneous flavour
detectable in the raw
material
2. Minimum alcoholic strength by volume: 96 % vol.
3. Maximum values of residue elements:
— Total acidity
expressed in g of acetic acid per hl of alcohol at
100 % vol.1.5
— Esters
expressed in g of ethyl acetate per hl of alcohol at
100 % vol.1.3
— Aldehydes
expressed in g of acetaldehyde per hl of alcohol at
100 % vol.0.5
— Higher alcohols
expressed in g of 2-methylpropanol-1 per hl of
alcohol at 100 % vol.0.5
— Methanol
expressed in g per hl of alcohol at 100 % vol.50
— Dry extract
expressed in g per hl of alcohol at 100 % vol.1.5
— V olatile bases containing nitrogen
expressed in g of nitrogen per hl of alcohol at
100 % vol.0.1
— Furfural Not detectable!B2000R1623 — EN — 01.08.2000 — 000.001 — 70
ANNEX IV
Community analysis method for neutral alcohol
For the purposes of this Annex:
(a) the repeatability limit is the value below which the absolute difference between two
single test results obtained under the same conditions (same operator, same
apparatus, same laboratory and a short interval of time) may be expected to lie witha specified probability;
(b) the reproducibility limit is the value below which the absolute difference between
two single test results obtained under different conditions (different operators,different apparatus and/or different laboratories and/or different time) may beexpected to lie with a specified probability.
The term ‘single test result’ means the value obtained when the standardised test
method is applied fully once to a single sample. Unless otherwise stated, the probabilityshall be 95 %.!
B2000R1623 — EN — 01.08.2000 — 000.001 — 71
ANNEX V
Notification of refusal or acceptance of lots in connection with tendering
procedures for the export of wine alcohol
— Name of successful tenderer:
— Date of award:
— Date of refusal or acceptance of the lot by the successful tenderer:
Lot numberQuantity in hectoli-
tresLocation of the alco-
holReason for refusing
or accepting to take
over the lot!B2000R1623 — EN — 01.08.2000 — 000.001 — 72