2003R1786 — EN — 01.05.2004 — 001.001 — 1
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►B COUNCIL REGULATION (EC) No 1786/2003
of 29 September 2003
on the common organisation of the market in dried fodder
(OJ L 270, 21.10.2003, p. 114)
Amended by:
Official Journal
No page date
►M1 Council Regulation (EC) No 583/2004 of 22 March 2004 L 91 1 30.3.2004
Corrected by:
►C1 Corrigendum, OJ L 94, 31.3.2004, p. 71 (1786/2003)
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COUNCIL REGULATION (EC) No 1786/2003
of 29 September 2003
on the common organisation of the market in dried fodder
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European Community, and
in particular Articles 36 and the third subparagraph of Article 37(2)
thereof,
Having regard to the proposal from the Commission,Having regard to the opinion of the European Parliament (
1),
Having regard to the opinion of the European Economic and Social
Committee (2),
Having regard to the Opinion of the Committee of the Regions (3),
Whereas:
(1) Council Regulation (EC) No 603/95 of 21 February 1995 of the
common organisation of the market in dried fodder (4) estab-
lishes a common organisation of that market with aid granted attwo flat rates, one for dehydrated fodder and one for sun-dried
fodder.
(2) Regulation (EC) No 603/95 has been substantially amendedseveral times. As a consequence of further amendments it should
be repealed and replaced in the interests of clarity.
(3) The main part of fodder production under the scheme establishedby Regulation (EC) No 603/95 relies on the use of fossil fuel fordehydrating and, in some Member States, on the use of irriga-tion. Due to concerns about its effects on the environment, thescheme should be amended.
(4) Council Regulation (EC) No 1782/2003 of 29 September 2003establishing common rules for direct support schemes under thecommon agricultural policy and establishing support schemes for
farmers (
5).
(5) Following these elements, the two aid rates set by Regulation(EC) No 603/95 should be reduced to a single rate applicable to
both dehydrated and sun-dried fodder.
(6) Since production in southern countries begins in April, the
marketing year for dried fodder on which aid is granted should
be from 1 April to 31 March.
(7) To guarantee budget neutrality for dried fodder there should be aceiling for the volume of Community production. To that end amaximum guaranteed quantity should be set covering both dehy-drated and sun-dried fodder.
(8) That quantity should be divided among the Member States onthe basis of the historical quantities recognised for the purposesof Regulation (EC) No 603/95.
(9) To secure respect for the guaranteed maximum quantity anddiscourage excess production throughout the Community, theaid should be reduced if that quantity is exceeded. That reduc-
tion should be applied in each Member State which has
exceeded its guaranteed national quantity, in proportion to theexcess recorded for it.2003R1786 — EN — 01.05.2004 — 001.001 — 2
(1) Opinion delivered on 5 June 2003 (not yet published in the Official Journal).
(2) OJ C 208, 3.9.2003, p. 41.
(3) Opinion delivered on 2 July 2003 (not yet published in the Official Journal).
(4) OJ L 63, 21.3.1995, p. 1. Regulation as last amended by Regulation (EC)
No 806/2003 (OJ L 122, 16.5.2003, p. 1).
(5) See page 1 of this Official Journal.
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(10) The aid amount finally due cannot be paid until it is known
whether the guaranteed maximum quantity has been exceeded.
An advance on the aid should therefore be paid once the driedfodder has left the processor.
(11) Minimum quality requirements for entitlement to the aid shouldbe set.
(12) To encourage a steady flow of green fodder to processors, elig-ibility for the aid should in certain cases require conclusion of acontract between producers and processing undertakings.
(13) To promote transparency of the production chain and facilitateessential checking, certain particulars in contracts should bemade compulsory.
(14) To receive the aid, processors should therefore be required tokeep stock records providing necessary information for checkingentitlement and to furnish any other supporting document
needed.
(15) Where there is no contract between the producers and theprocessing undertakings, the latter should have to provide other
information allowing entitlement to be checked.
(16) It should be ensured that, where a contract is a special-order one
for processing of fodder delivered by the grower, the aid is
passed back to him.
(17) The proper working of a single market in dried fodder would bejeopardised by the granting of national aid. Therefore, the provi-sions of the Treaty governing State aid should apply to theproducts covered by this common market organisation.
(18) In view of simplification, the committee assisting the Commis-sion should be the Management Committee for Cereals.
(19) The measures necessary for the implementation of this Regula-tion should be adopted in accordance with Council Decision1999/468/EC of 28 June 1999 laying down the procedures for
the exercise of implementing powers conferred on the Commis-
sion (
1).
(20) The internal market and the custom duties could, in exceptional
circumstances, prove inadequate, In such cases, so as not to
leave the Community market without defence against distur-bances that might ensue, the Community should be able to takeall necessary measures without delay. All such measures shouldbe in conformity with the Community's international obligations.
(21) In order to take account of possible evolution of the dried fodderproduction, the Commission should, on the basis of an evalua-
tion of the common market organisation for dried fodder,
present a report to the Council on the sector dealing in particularwith the development of areas of leguminous and other greenfodder, the production of dried fodder and the savings of fossilfuels achieved. The report should be accompanied, if needed,by appropriate proposals.
(22) Expenditure incurred by the Member States as a result of theobligations arising from the application of this Regulation should
be financed by the Community in accordance with Council
Regulation (EC) No 1258/1999 of 17 May 1999 on the financingof the common agricultural policy (
2).
(23) Due to the application of the single payment scheme from 1January 2005, this scheme should apply from 1 April 2005,2003R1786 — EN — 01.05.2004 — 001.001 — 3
(1) OJ L 184, 17.7.1999, p. 23.
(2) OJ L 160, 26.6.1999, p. 103.
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HAS ADOPTED THIS REGULATION:
CHAPTER I
INTRODUCTORY PROVISIONS
Article 1
The common organisation of the market in dried fodder shall be estab-
lished and cover the following products:
CN code Description
(a) ex 1214 10 00 Meal and pellets of lucerne artificially heat-dried
Meal and pellets of lucerne otherwise dried and
ground
ex 1214 90 91 and
ex 1214 90 99Lucerne, sainfoin, clover, lupins, vetches and similar
fodder products, artificially heat-dried, except hay
and fodder kale and products containing hay
Lucerne, sainfoin, clover, lupins, vetches, honey
lotus, chickling pea and birdsfoot, otherwise dried
and ground
(b) ex 2309 90 99 Protein concentrates obtained from lucerne juice and
grass juice
Dehydrated products obtained exclusively from solid
residues and juice resulting from preparation of the
abovementioned concentrates
Article 2
The marketing year for the products listed in Article 1 shall begin on 1
April and end on 31 March of the following year.
Article 3
This Regulation shall apply without prejudice to the measures provided
for by Council Regulation (EC) No 1782/2003.
CHAPTER II
AID
Article 4
1. Aid shall be granted for the products listed in Article 1.2. Without prejudice to Article 6, the aid shall be set at EUR 33/t.
Article 5
1. A maximum guaranteed quantity (MGQ) per marketing year of
4 855 900 tonnes of dehydrated and/or sun-dried fodder for which the
aid provided for in Article 4(2) may be granted is hereby established.
2. The maximum guaranteed quantity provided for in paragraph 1
shall be divided among the Member States as follows:
Guaranteed national quantities (tonnes)
Belgo-Luxembourg Economic Union (BLEU) 8 000
Czech Republic 27 942
Denmark 334 000Germany 421 000
Greece 37 5002003R1786 — EN — 01.05.2004 — 001.001 — 4
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Spain 1 325 000
France 1 605 000
Ireland 5 000
Italy 685 000
Lithuania 650
Hungary 49 593
Netherlands 285 000
Austria 4 400
Poland 13 538
Portugal 30 000
Slovakia 13 100
Finland 3 000
Sweden 11 000
United Kingdom 102 000
Article 6
Where during a marketing year the volume of dried fodder for which
aid as provided for in Article 4(2) is claimed exceeds the guaranteedmaximum quantity set out in Article 5(1), the aid to be paid in that
marketing year shall be reduced in each Member State in which
production exceeds the guaranteed national quantity by a percentageproportionate to that excess.
The reduction shall be set, in accordance with the procedure referred to
in Article 18(2), at a level ensuring that budget expenditure expressedin euros does not exceed that what would been attained if the guaran-
teed maximum quantity had not been exceeded.
Article 7
1. Processing undertakings who apply for aid under this Regulation
shall be entitled to an advance payment of EUR 19,80 per tonne, orEUR 26,40 per tonne if they have lodged a security of EUR 6,60 pertonne.
Member States shall make the necessary checks to verify entitlement to
the aid. Once entitlement has been established the advance shall be
paid.
However, the advance may be paid before entitlement has been estab-
lished provided the processor lodges a security equal to the amount ofthe advance plus 10 %. This security shall also serve as security for thepurposes of the first subparagraph. It shall be reduced to the levelspecified in the first subparagraph as soon as entitlement to aid has
been established and shall be released in full when the balance of the
aid is paid.
2. Before an advance can be paid the dried fodder must have left the
processing undertaking.
3. Where an advance has been paid, the balance amounting to the
difference between the amount of the advance and the total aid due to
the processing undertaking shall be paid subject to application of
Article 6.
4. Where the advance exceeds the total to which the processing
undertaking is entitled following the application of Article 6, theprocessor shall reimburse the excess to the competent authority of theMember State on request.2003R1786 — EN — 01.05.2004 — 001.001 — 5
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Article 8
At the latest by 31 May of each year, Member States shall notify the
Commission of the quantities of dried fodder that in the previousmarketing year were eligible for aid as provided for in Article 4(2).
Article 9
The aid provided for in Article 4(2) shall be paid on application from
the party concerned, in respect of dried fodder that has left the proces-
sing plant and meets the following requirements:
(a) its maximum moisture content is from 11 % to 14 % which may
vary depending on the presentation of the product;
(b) its minimum total crude protein content in the dry matter not less
than:
(i) 15 % for the products referred to in point (a) and the second
indent of point (b) in Article 1;
(ii) 45 % for the products referred to in the first indent of point (b)
in Article 1;
(c) it is of sound and fair merchantable quality.
Further requirements, in particular on carotene and fibre content, may
be adopted in accordance with the procedure referred to in Article18(2).
Article 10
Aid as provided for in Article 4(2) shall only be granted to undertak-
ings processing the products listed in Article 1 which comply with the
following conditions:
(a) they keep stock records containing at least the following informa-
tion:
(i) the quantities of green fodder and, where applicable, sun-dried
fodder processed; however, where the particular circumstancesof the undertaking so require, quantities may be estimated onthe basis of areas sown;
(ii) the quantities of dried fodder produced and the quantities, with
their quality, that leave the processor;
(b) they provide any other supporting documents needed for verifying
entitlement to the aid;
(c) they fall into at least one of the following categories:
(i) processors who have concluded contracts with producers of
fodder for drying;
(ii) undertakings which have processed its own crop or, in the case
of a group, that of its members;
(iii) undertakings which have obtained their supplies from natural
or legal persons providing certain guarantees to be determinedand having concluded contracts with producers of fodder fordrying; such buyers shall be approved, on terms defined inaccordance with the procedure referred to in Article 18(2), bythe competent authority of the Member State in which the
fodder is harvested.
Article 11
Undertakings processing their own crops or those of their members
shall each year submit to the competent body of their Member State,before a date to be set, a declaration of the areas from which the foddercrop is to be processed.2003R1786 — EN — 01.05.2004 — 001.001 — 6
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Article 12
1. A contract as referred to in point (c) of Article 10 shall state not
only the price to be paid to the grower of the green fodder or, if appro-priate, sun-dried fodder but also at least the following:
(a) the area from which the crop is to be delivered to the processor;
(b) the delivery and payment terms.
2. Where a contract as referred to in point (c)(i) of Article 10 is a
special-order contract for processing of fodder delivered by a producer,it shall specify at least the area from which the crop is to be deliveredand include a clause containing an obligation for the processing under-
takings to pay the producer the aid as provided for in Article 4 and
received for the quantity processed under the contract.
Article 13
1. Member States shall introduce inspection systems for verifying
that each processing undertaking has complied with the following:
(a) the conditions laid down in Articles 1 to 12;
(b) the quantities covered by aid applications correspond to the quanti-
ties of dried fodder meeting the minimum quality that leave theprocessing undertakings.
2. Dried fodder shall be weighed on leaving the processing plant and
samples taken.
3. Before adopting provisions for the application of paragraph 1,
Member States shall notify such provisions to the Commission.
CHAPTER III
TRADE WITH THIRD COUNTRIES
Article 14
Unless this Regulation provides otherwise, the Common Customs
Tariff duty rates shall apply to the products listed in Article 1.
Article 15
1. The general rules for the interpretation of the Combined Nomen-
clature and the detailed rules for its application shall apply to the tariffclassification of products listed in Article 1. The tariff nomenclatureresulting from the application of this Regulation shall be incorporatedin the Common Customs Tariff.
2. Unless otherwise provided for in this Regulation or in provisions
adopted pursuant thereto, the following shall be prohibited in tradewith third countries:
(a) the levying of any charge having equivalent effect to a customs
duty;
(b) the application of any quantitative restriction or measure having
equivalent effect.
Article 16
1. If by reason of imports or exports the Community market in one
or more of the products listed in Article 1 is affected by or threatenedwith serious disturbance likely to jeopardise the achievement of theobjectives set out Article 33 of the Treaty, appropriate measures maybe applied to trade with non-WTO member countries until such distur-bance or threat of it ceases.
2. If the situation referred to in paragraph 1 arises, the Commission
shall at a request of a Member State or on its own initiative decideupon the necessary measures. The Member States shall be notified ofsuch measures which shall be immediately applicable. If the Commis-2003R1786 — EN — 01.05.2004 — 001.001 — 7
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sion receives a request from a Member State, it shall take a decision
thereon within three working days following receipt of the request.
3. Measures decided by the Commission may be referred to the
Council by any Member State within three working days of the day
on which they were notified. The Council shall meet without delay. Itmay, acting by qualified majority, amend or repeal the measure inquestion within one month from the date on which it was referred tothe Council.
4. Provisions adopted under this Article shall be applied having
regard to the obligations arising from agreements concluded in accor-
dance with Article 300(2) of the Treaty.
CHAPTER IV
GENERAL PROVISIONS
Article 17
Unless this Regulation provides otherwise, Articles 87, 88 and 89 of
the Treaty shall apply to production of and trade in the products listedin Article 1 of this Regulation.
Article 18
1. The Commission shall be assisted by the Management Committee
for Cereals instituted by Article 25 of Council Regulation (EC) No
1784/2003 of 29 September 2003 on the common organisation of themarket in cereals (
1), hereinafter referred to as ‘the Committee’.
2. Where reference is made to this paragraph, Articles 4 and 7 of
Decision 1999/468/EC shall apply.
The period laid down in Article 4(3) of Decision 1999/468/EC shall be
set at one month.
3. The Committee shall adopt its Rules of Procedure.
Article 19
The Committee may consider any question raised by its chairman,
either on his own initiative or at the request of a representative of aMember State.
Article 20
Detailed rules for the application for this Regulation shall be adopted
in accordance with the procedure referred to in Article 18(2), in parti-cular on:
(a) granting of the aid provided for in Article 4 and the advance
provided for in Article 7;
(b) verification and establishment of entitlement to the aid, including
any necessary controls, all of which may make use of certainelements of the integrated system;
(c) release of the securities indicated in Article 7(1);
(d) criteria for determining the quality standards referred to in Article
9;
(e) conditions to be fulfilled by the undertakings as set out in point
(c)(ii) in Article 10 and Article 11;
(f) control measure to be carried out referred to in Article 13(2);
(g) criteria to be fulfilled for the conclusion of contracts as referred to
in Article 10 and information which they must contain, in additionto the criteria laid down in Article 12;2003R1786 — EN — 01.05.2004 — 001.001 — 8
(1) See page 78 of this Official Journal.
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(h) application of the maximum guaranteed quantity (MGQ) as referred
to in Article 5(1).
Article 21
Transitional measures may be adopted in accordance with the proce-
dure referred to in Article 18(2).
Article 22
Member States shall notify the Commission of the measures they take
in order to apply this Regulation.
Article 23
Before 30 September 2008 the Commission shall, on the basis of an
evaluation of the common market organisation for dried fodder, present
a report to the Council on this sector dealing in particular with the
development of areas of leguminous and other green fodder, theproduction of dried fodder and the savings of fossil fuels achieved.The report shall be accompanied, if needed, by appropriate proposals.
Article 24
Regulation (EC) No 1258/1999 and the provisions adopted in imple-
mentation thereof shall apply to the expenditure incurred by theMember States in carrying out obligations under this Regulation.
Article 25
Regulation (EC) No 603/95 is hereby repealed.References made to the repealed Regulation shall be construed as refer-
ences to this Regulation and shall be read in accordance with the
correlation table in Annex.
Article 26
This Regulation shall enter into force on the seventh day following that
of its publication in the Official Journal of the European Union .
It shall apply from 1 April 2005.
This Regulation shall be binding in its entirety and directly applicable
in all Member States.2003R1786 — EN — 01.05.2004 — 001.001 — 9
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ANNEX
CORRELATION TABLE
Regulation (EC) No 603/95 This Regulation
Article 1 Article 1
Article 2 Article 2
— Article 3
Article 3 Article 4
Article 4 Article 5
Article 5 Article 6
Article 6 Article 7
Article 7 Article 8
Article 8 Article 9
Article 9 Article 10
Article 10 Article 11
Article 11 Article 12Article 12 Article 13
Article 13 Article 14
Article 14 Article 15
Article 15 Article 16
Article 16 Article 17
Article 17(1)—(4) Article 18
Article 17(5) Article 19
Article 18(a) Article 20
Article 18(b) Article 21
Article 19 Article 22
Article 20 Article 24
Article 21 Article 252003R1786 — EN — 01.05.2004 — 001.001 — 10