2200/96 - - - I
This document is meant purely as a documentation tool and the institutions do not assume any liability for its con-
tents
COUNCIL REGULATION (EC) No 2200/96
of 28 October 1996
on the common organization of the market in fruit and vegetables
(OJ No L 297, 21. 11. 1996, p. 1)
Amended by:
Official Journal
No page date
Commission Regulation (EC) No 2520/97 of 15 December 1997 L 346 41 17. 12. 1997
Corrected by:
C1 Corrigendum, OJ No L 271, 3. 10. 1997, p. 19 (2200/96)
C2 Corrigendum, OJ No L 191, 7. 7. 1998, p. 71 (2200/96)
C3 Corrigendum, OJ No L 61, 10. 3. 1999, p. 55 (2200/96)
2200/96 - - - I
ICOUNCIL REGULATION (EC) No 2200/96
of 28 October 1996
on the common organization of the market in fruit and vegetables
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the T reaty establishing the EuropeanCommunity, and in particular Articles 42 and 43 thereof,
Having regard to the proposal from the Commission (
1),
Having regard to the opinion of the European Parlia-
ment (2),
Having regard to the opinion of the Economic and Social
Committee (3),
(1) Whereas at the present time various changes are
placing the fruit and vegetable sector in a new situ-
ation to which producers must adjust; whereas, ac-
cordingly, a reorientation of the basic rules of the
market organization for the sector is warranted;whereas, in view of the numerous changes made to
that market organization since it was first adopted, a
new regulation should, for reasons of clarity, be
adopted;
(2) Whereas it is desirable to insert in that new regula-
tion the main provisions of Council Regulation
(EEC) No 3285/83 of 14 November 1983 laying
down general rules for the extension of certain rules
issued by producers’ organizations in the fruit and
vegetables sector (
4), of Council Regulation (EEC)
No 1319/85 of 23 May 1985 on the reinforcement
of supervision of the application of Community rules
on fruit and vegetables (5), of Council Regulation
(EEC) No 2240/88 of 19 July 1988 fixing, for
peaches, lemons and oranges, the rules for applying
Article 16b of Regulation (EEC) No 1035/72 on the
common organization of the market in fruit and
vegetables (6), of Council Regulation (EEC)
No 1121/89 of 27 April 1989 on the introduction of
an intervention threshold for apples and cauli-
flowers (7), and of Council Regulation (EEC)
No 1198/90 of 7 May 1990 establishing a Commun-
ity register of citrus cultivation (8); whereas these
Regulations should therefore be repealed;
(1) OJ No C 52, 21. 2. 1996, p. 1.
(2) OJ No C 96, 1. 4. 1996, p. 269.
(3) OJ No C 82, 19. 3. 1996, p. 21.
(4) OJ No L 325, 22. 11. 1983, p. 8. Regulation as last
amended by Regulation (EEC) No 220/92 (OJ No L 24,1. 2. 1992, p. 7).
(
5) OJ No L 137, 27. 5. 1985, p. 39. Regulation as amended
by Regulation (EEC) No 404/93 (OJ No L 47, 25. 2. 1993,p. 1).
(
6) OJ No L 198, 26. 7. 1988, p. 9. Regulation as last
amended by Regulation (EC) No 1327/95 (OJ No L 128,13. 6. 1995, p. 8).
(
7) OJ No L 118, 29. 4. 1989, p. 21. Regulation as last
amended by Regulation (EC) No 1327/95 (OJ No L 128,13. 6. 1995, p. 8).
(
8) OJ No L 119, 11. 5. 1990, p. 59.
2200/96 - - - I
II(3) Whereas classification using common obligatory
standards for fruit and vegetables both marketed
within the Community and exported to third
countries provides a reference framework that en-
courages fair trading and market transparency and
also eliminates products of unsatisfactory quality
from the market; whereas compliance with these
standards thus also helps to improve the profitability
of production;
(4) Whereas it would be desirable, for reasons of
simplicity, to adopt standards for fruit and veg-
etables having a relatively large impact on the
market which take account of the standards adopted
by the United Nations Economic Commission for
Europe (UN/ECE); whereas it is necessary to set
the terms on which these international standards can
be adjusted to the specific requirements of theCommunity;
(5) Whereas standardization cannot be fully effective
unless it is applied, subject to exemption, at all
marketing stages and on departure from the produc-
tion region; whereas exemption may, nevertheless,
be provided for in the case of certain operations
which either are very marginal and specific or take
place at the start of the distribution chain, or in the
case of products intended for processing; whereas
account should also be taken of the possibility of
shortages and of exceptionally plentiful supply;
whereas in order to guarantee the quality required
by the standards, the holder of the product must be
responsible for compliance, whereas in particular,
consumer requirements as regards the characteristics
of fruit and vegetables mean that the origin of prod-
ucts should be included in the labelling up to and
including the final retail stage;
(6) Whereas the production and marketing of fruit and
vegetables should take full account of environmental
concerns, including cultivation practices, the man-
agement of waste materials and the destruction of
products withdrawn from the market, in particular
as regards the protection of water quality, the main-
tenance of biodiversity and the upkeep of the coun-
tryside;
(7) Whereas producer organizations are the basic el-
ements in the common market organization, the de-
centralized operation of which they ensure at theirlevel; whereas, in the face of ever greater concentra-
tion of demand, the grouping of supply through
these organizations is more than ever an economic
necessity in order to strengthen the position of pro-
ducers in the market; whereas such grouping must
be effected on a voluntary basis and must prove its
utility by the scope and efficiency of the services of-
fered by producer organizations to their members;
whereas the delivery of products to specialist pro-
ducer organizations existing before the entry into
force of this Regulation is not brought into ques-
tion;
2200/96 - - - I
III(8) Whereas a producer organization cannot be recog-
n i z e db yi t sM e m b e rS t a t ea sa b l et oc o n t r i b u t et o
achievement of the objectives of the common
market organization unless its articles of association
impose certain requirements on it and its members;
whereas producer groups wishing to acquire the
status of producer organizations in accordance with
this Regulation should be allowed the benefit of a
transitional period during which national and Com-
munity financial support can be given against certain
commitments by the group;
(9) Whereas a transitional period should be allowed to
producer organizations already recognized under
Regulation (EEC) No 1035/72 (1) which cannot im-
mediately meet the requirements of this Regulation
for recognition; whereas such organizations must be
able to show themselves able to make the necessarychanges;
(10) Whereas in order to give producer organizations
greater responsibility for their financial decisions in
particular and to gear the public resources assigned
to them towards future requirements, terms should
be set for the use of these resources; whereas joint
financing of operational funds set up by producer
organizations presents itself as an appropriate sol-
ution;
(11) Whereas the establishment and proper functioning
of operational funds requires that producer organiz-
ations should take charge of the whole of the rel-
evant fruit and vegetable production of their
members;
(12) Whereas in order to control Community expendi-
ture, there should be a cap on assistance granted to
producer organizations that establish operational
funds;
(13) Whereas in regions where the organization of pro-
duction is weak the grant of additional, national, fi-
nancial contributions should be allowed; whereas in
t h ec a s eo fM e m b e rS t a t e sw h i c ha r ea tap a r t i c u l a r
disadvantage with regard to structures, those con-
tributions should be reimbursable by the Community
via the Community Support Framework;
(1) Regulation (EEC) No 1035/72 of the Council of
18 May 1972 on the common organization of the market infruit and vegetables (OJ No L 118, 20. 5. 1972, p. 1). Re-gulation as last amended by Regulation (EC) No 1363/95(OJ No L 132, 16. 6. 1995, p. 1).
2200/96 - - - I
IV(14) Whereas, in order to further boost the impact of
producer organizations and associations thereof and
ensure the market as much stability as is desirable,
Member States should be allowed on certain condi-
tions to extend to non-member producers in their
region the rules, particularly on production, market-
ing and environmental protection, adopted for its
members by the organization or association for the
region concerned; whereas, where proper justifica-
tion is given, certain costs arising from this exten-
sion of the rules should be chargeable to the pro-
ducers concerned since they will benefit from the
extension;
(15) Whereas interbranch organizations set up on the in-
itiative of individual or already grouped operators
can, if they account for a significant proportion of
the members of the various occupational categoriesof the fruit and vegetable sector, contribute to be-
haviour taking closer account of market realities and
facilitate a commercial approach that will improve
production reporting, that is to say the organization
of production, product presentation and marketing;
whereas since the work of these organizations is
able to contribute in general to attaining the objec-
tives of Article 39 of the T reaty and in particular to
those of this Regulation it should, once the relevant
forms of action are defined, be possible to grant
specific recognition to those organizations which
provide proof of sufficient representativeness and
carry out practical action in regard to the abo-
vementioned objectives; whereas the provisions on
extending the rules adopted by producer organiz-
ations and their associations and on sharing the
costs resulting from such extension should, given the
similarity of the objectives pursued, also apply to in-
terbranch organizations;
(16) Whereas to stabilize prices it is desirable that pro-
ducer organizations should be able to intervene on
the market, in particular by deciding not to put up
for sale particular quantities at particular periods;
whereas these withdrawal operations must not be re-
garded as an alternative outlet to the market itself;
whereas Community financing of withdrawals should
therefore be restricted to a set percentage of pro-
duction and the Community compensation granted
at a reduced level, though use of the operationalfunds for this purpose should be permitted; whereas
for simplicity Community compensation should be at
a single flat rate for each product; whereas, to
achieve a comparable reduction for all products, cer-
tain differentiations are required;
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V(17) Whereas intervention can be fully effective only if
the products withdrawn from the market are not re-
introduced into the normal marketing channel again;
whereas various alternative uses to which they may
be put should be specified so that their destruction
is avoided wherever possible;
(18) Whereas this new way of managing withdrawals will
allow the provisions in force on the implications of
threshold overruns to be repealed immediately;
whereas it is, however, reasonable to retain the un-
derlying principle of those provisions for a transi-
tional period and to give the Commission authority
to take action on the basis of that principle if the
need arises;
(19) Whereas by Regulation (EC) No 3290/94 (1)t h e
Council has adopted the adjustments and transi-
tional arrangements required in the agricultural sec-tor in order to implement the agreements concluded
in the context of the Uruguay Round of multilateral
trade negotiations, in particular the new trading ar-
rangements with third countries in the fruit and veg-
etable sector; whereas the provisions in Annex XIII
to Regulation (EC) No 3290/94 have been inserted
in this Regulation; whereas, however, where prod-
ucts are imported into the Community for industrial
processing, they are not sold on consignment;
whereas verification of the entry price can therefore
be made on other bases than a flat rate value;
whereas the relevant provisions should therefore be
supplemented in this regard;
(20) Whereas the rules of the common market organiz-
ation should be complied with by all operators to
whom they apply, otherwise their impact will be dis-
torted with all the resulting consequences in terms
of both the use of public resources and the interplay
of competition; whereas a special corps of Commun-
ity inspectors should be set up for this sector;
whereas for both budget reasons and effectiveness
the corps should consist of Commission officials and
possibly other staff; whereas it is also necessary to
make provision for Community penalties in order to
ensure that the new rules are uniformly applied
throughout the Community;
(21) Whereas one of the indispensable elements for the
proper management of the common organization of
the market is detailed knowledge of the market;whereas measures should therefore be provided for
to this end;
(1) OJ No L 349, 31. 12. 1994, p. 105. Regulation as amended
by Regulation (EC) No 1193/96 (OJ No L 161, 29. 6. 1996,p. 1).
2200/96 - - - I
VI(22) Whereas the granting of certain aid would compro-
mise the functioning of the single market; whereas,
therefore, the provisions of the T reaty enabling aid
granted by Member States to be examined and en-
abling aid which is incompatible with the common
market to be prohibited, should be extended to
cover the sector referred to in this Regulation;
(23) Whereas the common organization of the market in
that sector must take proper and simultaneous ac-
count of the objectives set out in Articles 39 and
110 of the T reaty;
(24) Whereas, to facilitate the implementation of the
provision of this Regulation, a procedure for close
cooperation between the Member States and the
Commission by means of a management committee
should be set up;
(25) Whereas in order to deal with a particularly unfa-
vourable situation in the hazelnut sector, flat-rate
aid should be granted for hazelnuts harvested in the
1997/1998, 1998/1999 and 1999/2000 marketing
years,
HAS ADOPTED THIS REGULATION:
2200/96 - - - I
1Article 1
1. This Regulation sets up a common organization of the
market in fruit and vegetables.
2. The common organization shall cover the following
products:
CN code Description
0702 00 00 T omatoes, fresh or chilled
0703 Onions, shallots, garlic, leeks and other alliaceous
vegetables, fresh or chilled
0704 Cabbages, cauliflowers, kohlrabi, kale and similar
edible brassicas, fresh or chilled
0705 Lettuce (Lactuca sativa) and chicory (Cichorium
spp.), fresh or chilled
0706 Carrots, turnips, salad beetroot, salsify, celeriac, ra-
dishes and similar edible roots, fresh or chilled
0707 00 Cucumbers and gherkins, fresh or chilled
0708 Leguminous vegetables, shelled or unshelled, fresh
or chilled
ex 0709 Other vegetables, fresh or chilled, excluding vegeta-
bles of subheadings 0709 60 91, 0709 60 95,0709 60 99, 0709 90 31, 0709 90 39 and 0709 90 60
ex 0802 Other nuts, fresh or dried, whether or not shelledor
peeled, excluding areca (or betel) and cola nuts ofsubheading 0802 90 30
0803 00 11 Fresh plantains
ex 0803 00 90 Dried plantains
0804 20 10 Figs, fresh
0804 30 00 Pineapples
0804 40 Avocados
0804 50 00 Guavas, mangos and mangosteens
0805 Citrus fruit, fresh or dried
0806 10 10 Fresh table grapes
0807 Melons (including watermelons) and pawpaws (pa-
payas), fresh
0808 Apples, pears and quinces, fresh
0809 Apricots, cherries, peaches (including nectarines),
plums and sloes, fresh
0810 Other fruit, fresh
0813 50 31 Mixtures exclusively or dried nuts of CN Nos 0801
and 08022200/96
2520/97
2200/96
2520/97
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2CN code Description
0813 50 39
1212 10 10 Carobs
3. The marketing years for the products listed in para-
graph 2 shall be determined, if necessary, in accordance
with the procedure laid down in Article 46.
TITLE I
Classification of products
Article 2
1. Products to be delivered fresh to the consumer may
be classified by reference to a set of standards.
2. The standards for fresh fruit and vegetables contained
in Annex I shall be adopted, by the procedure laid down
in Article 46, for implementing the common organization
of the markets. T o this end, account shall be taken of the
UN/ECE standards recommended by the Economic Com-
mission for Europe’s Working Party on perishable product
standardization and quality.
Until new standards are adopted, the standards drawn up
pursuant to Article 2 of Regulation (EEC) No 1035/72
shall continue to apply.
3. The Commission acting in accordance with the pro-
cedure laid down in Article 46 may add other products to
the list in Annex I.
Article 3
1. The holder of products covered by the quality stan-
dards adopted may not display such products or offer them
for sale, or deliver or market them in any other manner
within the Community than in conformity with those stan-
dards. The holder shall be responsible for observing such
conformity.
However, Member States may exempt the following from
the requirement of complying with the quality standards or
with some of their provisions:
(a) products displayed or offered for sale, sold, delivered
or marketed in any other manner by the grower on
wholesale markets, in particular on producer markets,
situated in the production area;
(b) products shipped from those wholesale markets to
preparation and packaging stations and storage faci-
lities situated in the same production area.
Where the second subparagraph is applied, the Member
State concerned shall inform the Commission and shall no-
tify it of the measures taken.2200/96
2200/96 - - - I
32. The following shall not be required to conform to the
quality standards within a given production area:
(a) products sold or delivered by the grower to prepara-
tion and packaging stations or storage facilities, or
shipped from his holding to such stations;
(b) products shipped from storage facilities to preparation
and packaging stations.
3. The following shall not be required to conform to the
quality standards:
(a) products shipped to processing plants, unless minimum
quality criteria for products intended for industrial pro-
cessing are set in accordance with the procedure laid
down in Article 46;
(b) products transferred by the producer on his holding to
consumers for their personal use;
(c) on a Commission Decision taken at the request of a
Member State using the procedure referred to in Ar-ticle 46 for products of a given region which are sold
by the retail trade of the region for well-established
traditional local consumption.
4. Evidence must be supplied that the products covered
by paragraphs 2 and 3 (a) fulfil the conditions laid down,
in particular with regard to their intended use.
Article 4
Where, following extreme shortage or exceptionally plenti-
ful supply, the supply of products conforming to the qual-
ity standards is insufficient to meet or appreciably exceeds
consumer demand, measures derogating from their applica-
tion for a limited period shall be adopted in compliance
with the Community’s international obligations and in ac-
cordance with the procedure laid down in Article 46.
Article 5
1. The information particulars required by the quality
standards must be shown legibly in an obvious position on
one side of the packaging, either indelibly printed directly
onto the package or on a label which is an integral part of
or firmly affixed to the package.
2. For goods shipped in bulk and loaded directly onto a
means of transport, the particulars referred to in para-
graph 1 shall be given in a document accompanying the
goods or shown on a notice placed in an obvious position
inside the means of transport.2200/96
2200/96 - - - I
4Article 6
At the retail stage, where products are packaged the in-
formation particulars required shall be legible and con-
spicuous.
For pre-packaged products within the meaning of Directive
79/112/EEC (2) ,t h en e tw e i g h ts h a l lb ei n d i c a t e d ,i na d d i -
tion to all the information provided for in the common
quality standards. However, in the case of products nor-
mally sold by number, the requirement to indicate the net
weight shall not apply if the number of items can be clear-
ly seen and easily counted from the outside or, failing that,
if the number is indicated on the label.
Products may be presented unpackaged, provided that the
retailer displays with the goods offered for sale a card
showing prominently and legibly the information particu-
lars specified in the quality standards relating to:
—v a r i e t y ,— origin of the product,
— class.
Article 7
T o establish whether products covered by quality standards
conform to the provisions of Articles 3 to 6, checks shallbe made in accordance with Title VI by sampling at all
marketing stages and during transport by the authorities
appointed by each Member State.
These checks shall preferably be made prior to dispatch
from production areas when the products are being packed
or loaded.
Member States shall communicate to the other Member
States and to the Commission the names of the authorities
which they have appointed to be responsible for checking.
Article 8
1. Products covered by quality standards shall be ac-
cepted for importation from third countries only if they
conform to the quality standards or to standards at least
equivalent to them.
2. Articles 3 to 7 shall apply to products imported into
the Community, after completion of the import formalities
in accordance with current Community rules.
(2) Council Directive 79/112/EEC of 18 December 1978 on
the approximation of the laws of the Member States relat-ing to the labelling, presentation and advertising of foods-tuffs (OJ No L 33, 8. 2. 1979, p. 1). Directive as lastamended by the 1994 Act of Accession.2200/96
2200/96 - - - I
5Article 9
1. Products covered by quality standards shall be ac-
cepted for export to third countries only if they conform to
those standards.
Derogations may, however, be granted in accordance with
the procedure laid down in Article 45 to suit the require-
ments of the intended markets.
2. Products for export to third countries shall be subject
to a Check for compliance with quality standards before
they leave the customs territory of the Community.
Article 10
Measures to ensure uniform application of the provisions
of this Title shall be adopted in accordance with the pro-
cedure laid down in Article 46.
For products intended to be imported into the Community,
such measures may consist in approval of the official in-
spection authorities of the exporting third country.
TITLE II
Producer organizations
Article 11
1. For the purposes of this Regulation, ‘producer organ-
ization’ means any legal entity:
(a) which is formed on the own initiative of growers of the
following categories of product listed in Article 1 (2):
(i) fruit and vegetables
(ii) fruit
(iii) vegetables
(iv) products intended for processing
(v) citrus fruit
(vi) nuts
(vii) mushrooms;
(b) which has in particular the aim of:
(1) ensuring that production is planned and adjusted
to demand, particularly in terms of quality and
quantity;
(2) promoting concentration of supply and the placing
on the market of the products produced by its
members;
(3) reducing production costs and stabilizing producer
prices;
(4) promoting the use of cultivation practices, produc-
tion techniques and environmentally sound waste-
management practices in particular to protect the
quality of water, soil and landscape and preserve
and/or encourage biodiversity;2200/96
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6(c) the rules of association of which require its producer
members, in particular, to:
(1) apply the rules adopted by the producer organiz-
ation relating to production reporting, production
itself, marketing and protection of the environ-
ment;
(2) belong to only one of the producer organizations
referred to in point (a) in respect of a given hold-
ings production of one of the categories of product
listed in point (a);
(3) market their entire production concerned through
the producer organization.
However, where the producer organization so auth-
orizes and in compliance with the terms and condi-
tions it lays down, the producer members may:
— sell not more than 25 % of their production if
they are members of fruit and vegetable pro-ducer organizations as referred to in point (a)
(i) and not more than 20 % of their produc-
tion if they are members of other types of pro-
ducer organization directly on their holdings to
consumers for their personal needs, and fur-
thermore;
— market themselves or through another pro-
ducer organization designated by their own or-
ganization, quantities of products which are
marginal in relation to the volumes marketable
by their organization;
— market through another producer organization
designated by their own organization products
which, because of their characteristics, are not
normally covered by the commercial activities
of the organization concerned;
— in accordance with the procedure laid down in
Article 46 be authorized for certain products
to conclude by way of derogation direct con-
tracts with processing undertakings degressively
and for a transitional period until 31 December
1999;
(4) provide the information requested by the producer
organization for statistical purposes, in particular
on growing areas, quantities cropped, yields and di-
rect sales;
(5) to pay the financial contributions provided for in
its rules of association for the establishment and
replenishment of the operational fund provided forin Article 15;
(d) the rules of association of which provide for:
(1) procedures for determining, adopting and amend-
ing the rules referred to in point (c) (1);2200/96
2200/96 - - - I
7(2) the imposition on members of financial contribu-
tions needed to finance the producer organization;
(3) rules enabling the producer members democrati-
cally to scrutinize their organization and its deci-
sions;
(4) penalties for infringement of obligations under the
rules of association, particularly non-payment of fi-
nancial contributions, or of the rules laid down by
the producer organization;
(5) rules on the admission of new members, particular-
ly a minimum membership period; and
(6) the accounting and budgetary rules necessary for
the operation of the organization;
(e) which has been recognized by the Member State con-
cerned pursuant to paragraph 2.
2. Member States shall recognize as producer organiz-
ations for the purposes of this Regulation all producergroups applying for such recognition, on condition that:
(a) they meet the requirements laid down in paragraph 1
and provide the relevant evidence, including proof that
they have a minimum number of members and cover a
minimum volume of marketable production, to be de-
termined in accordance with the procedure laid down
in Article 45;
(b) there is sufficient evidence that they can carry out
their activities properly, both over time and in terms of
effectiveness;
(c) they effectively enable their members to obtain techni-
cal assistance in using environmentally-sound cultiva-
tion practices;
(d) they effectively provide their members with the techni-
cal means for storing, packaging and marketing their
produce and ensure proper commercial and budgetary
management of their activities.
3. Member States may also recognize as producer organ-
izations for the purposes of this Regulation producer or-
ganizations other than those referred to in paragraph 1 (a)
existing before the entry into force of this Regulation and
recognized under Regulation No 1035/72 before the date
of application of this Regulation.
Where pursuant to the previous subparagraph Member
States recognize those producer organizations, the require-
ments laid down in paragraph 1, except for paragraph 1
(a), and, if appropriate, paragraph 1 (c) (2), and in para-
graph 2 shall apply.2200/96
2200/96 - - - I
8Article 12
1. Member States shall:
(a) decide whether to grant recognition to a producer or-
ganization within three months of the lodging of an
application with all supporting documents;
(b) carry out checks at regular intervals to ascertain that
producer organizations comply with the terms and
conditions for recognition, impose in the event of non-
compliance the penalties to apply to such organizations
and decide, where necessary, to withdraw recognition;
(c) notify the Commission, within two months, of every
decision to grant, refuse or withdraw recognition.
2. The terms and conditions under which and the fre-
quency with which the Member States are to report to the
Commission on the activities of producer organizations
shall be laid down in accordance with the procedure laid
down in Article 46.
The Commission shall check that Articles 11 and para-
graph (1) (b) of this Article are complied with by carrying
out checks in accordance with Title VI and in the light of
such checks shall, where appropriate, call on Member
States to withdraw recognition.
Article 13
1. Producer organizations recognized under Regulation
(EEC) No 1035/72 before the entry into force of this Re-
gulation and which are unable to qualify for recognition
under Article 11 of this Regulation without a transitional
period may continue to operate under the provisions of
Title IV for two years after its entry into force, provided
that they remain in compliance with the requirements of
the said Articles of Regulation (EEC) No 1035/72.
2. The period of two years referred to in paragraph 1
may be extended to five years provided that the producer
organization concerned:
(a) by a set date falling before the end of the two-year
period referred to in paragraph 1, presents to the rel-
evant Member State, which must either accept or re-
ject it, a plan of action with a view to attaining rec-
ognition under Article 11 (2);
(b) can show, when presenting its plan of action, that it
has set up the operational fund referred to in Ar-
ticle 15;
(c) undertakes, on pain of penalties to be determined by
the Member State, to complete the implementation of
its action plan before the end of the five-year period.
3. Producer organizations which no longer meet the
conditions laid down in paragraph 2, whatever the reason
and at whatever moment, shall lose their status as such on
the terms set out in Article 12 (1) (b).2200/96
2200/96 - - - I
9However, the first subparagraph shall apply without preju-
dice to any individual rights which the producer organiz-
ation may have acquired in accordance with Regulation
(EEC) No 1035/72.
Article 14
1. New producer organizations or those which have not
been recognized under Regulation (EEC) No 1035/72 be-
fore the entry into force of this Regulation may be allowed
a transitional period of no more than five years in which
to meet the conditions for recognition laid down in Article
11.
In order to qualify, they shall present a phased recognition
plan to the relevant Member State, acceptance of which
shall signal the start of the five-year period referred to in
the first subparagraph and shall constitute a preliminary
recognition.
2. During the four years following the date of prelimi-
nary recognition, Member States may grant to the pro-
ducer organizations referred to in paragraph 1:
(a) aid to encourage their formation and facilitate their
administrative operation;
(b) aid, provided either directly or through credit institu-
tions, in the form of special loans to cover part of the
investments required to attain recognition and set out
in the recognition plan referred to in the second sub-
paragraph of paragraph 1.
3. The aid referred to in paragraph 2 shall be reim-
bursed by the Community in accordance with Article 51
(2) and (3).
4. Before granting preliminary recognition, Member
States shall inform the Commission of their intentions and
the financial implications thereof.
5. Presentation of a recognition plan by a producer or-
ganization to a Member State shall entail a commitment
by the organization to submit to national and Community
checks in accordance with Title VI, in particular with re-
gard to proper management of public funds.
6. Member States shall impose the applicable penalties
on producer organizations which do not fulfil their under-
takings.
7. Detailed rules for application adopted under Ar-
ticle 48 for the implementation of this Article shall include
provisions ensuring that aid paid to Portuguese producer
organizations is not less, expressed as a percentage of the
value of the marketed production of the producer organiz-
ation, than that resulting from Regulation (EEC)
No 746/93 (1).
(1) Council Regulation (EEC) No 746/93 of 17 March 1993
on the granting of aid to encourage the formation and fa-cilitate the operation of producer organizations as pro-vided for in Regulations (EEC) No 1035/72 and (EEC)No 1360/78 in Portugal.2200/96
2200/96 - - - I
10Article 15
1. Community financial assistance shall be granted on
the terms set out in this Article to producer organizations
setting up an operational fund.
This fund shall be maintained by financial contributions
levied on member producers on the basis of the quantities
or value of fruit and vegetables actually marketed and
from the financial assistance referred to in the first sub-
paragraph.
2. Operational funds as indicated in paragraph 1 shall be
used to:
(a) finance market withdrawals on the terms set out in
paragraph 3;
(b) finance an operational programme submitted to the
competent national authorities and approved by them
under Article 16 (1).
Such funds may also be used in whole or in part to finance
an action plan submitted by a producer organization as re-
ferred to in Article 13.
3. Use of the operational fund to finance market with-
drawals shall be permissible only if an operational pro-
gramme has been approved by the competent national
authorities. Financing shall take one or more of the follow-
ing forms:
(a) withdrawal compensation for products not listed in
Annex II which comply with the standards in force if
such standards have been laid down pursuant to Ar-
ticle 2;
(b) a supplement to the Community withdrawal compensa-
tion.
Member States may set a maximum level for the com-
pensation or supplement but the amount of the supple-
ment thus fixed added to the amount of the Community
withdrawal compensation may not exceed the maximum
level of withdrawal prices applying in the 1995/1996
marketing year in accordance with Article 16 (3) (a), Ar-
ticle 16 (a), Article 16 (b) and the first indent of Article
18 (1) (a) of Regulation (EEC) No 1035/72.
The proportion of the operational fund which may be used
to finance withdrawals may not exceed 60 % in the first
year, 55 % in the second, 50 % in the third, 45 % in the
fourth, 40 % in the fifth and 30 % from the sixth year on-
wards commencing from the date of approval by the com-
petent national authorities of the first operational pro-
gramme submitted by the producer organization and
approved by them.2200/96
C2, OJ No L 191, 7. 7. 1998, p. 71
C2, OJ No L 191, 7. 7. 1998, p. 71
2200/96 - - - I
11The limits laid down in Article 22 (3), (4) and (5) shall
apply to the withdrawals referred to in point (a) of the
first subparagraph of this paragraph.
4. Operational programmes as indicated in para-
graph 2 (b) shall:
(a) have several of the objectives referred to in Article 11
(1) (b) and others, including in particular: the improve-
ment of product quality, boosting products’ commercial
value, promotion of the products targeted at con-
sumers, creation of organic product lines, the promo-
tion of integrated production or other methods of pro-
duction respecting the environment and the reduction
of withdrawals;
(b) include action to develop the use of environmentally
sound techniques by the producer members with re-
gard to both cultivation practices and the management
of waste materials.
‘Environmentally sound techniques’ shall mean, in par-
ticular, those which help to achieve the aims of Article
(1) (a), (b) and (c) of Regulation (EEC)
No 2078/92 (1);
(c) make financial provision for the technical and human
resources required to ensure compliance with plant-
health standards and rules, and maximum permitted le-
vels of residues.
5. The financial assistance referred to in paragraph 1
shall be equal to the amount of the financial contributions
indicated in that paragraph as actually paid but limited to
50 % of the actual expenditure incurred under paragraph 2.
This percentage shall be 60 % where an operational pro-
gramme or part of an operational programme is submitted
by:
(a) either several Community producer organizations oper-
ating in different Member States on transnational
schemes, except for operations as referred to in para-
graph 2 (a);
(b) or one or more producer organizations engaged in
schemes operated on an interbranch basis.
(1) Council Regulation (EEC) No 2078/92 of 30 June 1992 on
agricultural production methods compatible with the re-quirements of the protection of the environment and themaintenance of the countryside (OJ No L 215, 30. 7. 1992,p. 85). Regulation as last amended by Commission Regula-tion (EC) No 2722/95 (OJ No L 288, 1. 12. 1995, p. 35).2200/96
2200/96 - - - I
12However the financial assistance shall be capped at 4 % of
the value of the marketed production of each producer or-
ganization, provided that the total amount of financial as-
sistance represents less than 2 % of the total turnover of
all producer organizations. In order to ensure that this
limit is complied with, an advance payment of 2 % shall be
made and the remainder of the assistance shall be granted
once the total amount of aid applications is known. From
1999 onwards the figure of 4 % shall be raised to 4,5 %
and the percentage of total turnover shall be raised from
2%t o2 , 5% .
6. In regions of the Community where the degree of or-
ganization of producers is particularly low, Member States
may be authorized, upon duly substantiated request, to pay
producer organizations national financial assistance equal
to not more than half the financial contributions of pro-
ducers. This assistance shall be additional to the oper-ational fund.
For Member States less than 15 % of whose fruit and veg-
etable production is marketed by producer organizations
and whose fruit and vegetable production represents at
least 15 % of their total agricultural output, the assistance
referred to in the first subparagraph may be reimbursed by
the Community at the request of the Member State con-
cerned via the Community Support Framework.
Article 16
1. Operational programmes as referred to in Ar-
ticle 15 (2) (b) shall be submitted to the competent nation-
al authorities, who shall approve or reject them or request
their modification in line with the provisions of this Re-
gulation.
Member States shall establish a national framework for
drawing up the general conditions relating to the measures
referred to in Article 15 (4) (b). They shall submit their
proposed framework to the Commission which may request
modifications within three months if it finds that the pro-
posal does not enable the aims set out in Article 130r of
the T reaty and in the Community programme of policy and
action in relation to the environment and sustainable de-
velopment to be attained.
2. By the end of each year at the latest, producer organ-
izations shall communicate to the Member State the esti-
mated amount of the operational fund for the next year
and shall submit appropriate reasons based on operational
programme estimates, expenditure for the current year and
possible for previous years and, if necessary, on estimated
production quantities for the next year. The Member State
shall, before 1 January of the following year, notify the
producer organization of the estimated amount of financial
assistance in line with the limits set out in Article 15 (5).2200/96
C3, OJ No L 61, 10. 3. 1999, p. 55
2200/96 - - - I
13Financial assistance payments shall be made on the basis
of expenditure incurred for the schemes covered by the
operational programme. Advances may be made in respect
of the same schemes subject to the provision of a guaran-
tee or security.
At the beginning of each year and by 31 January at the
latest, the producer-organization shall notify the Member
State of the final amount of expenditure for the previous
year, accompanied by the necessary supporting documents,
so that it may receive the balance of the Community finan-
cial assistance.
3. An association of producer organizations recognized
by a Member State may replace its members for the pur-
poses of managing their operational fund within the mean-
ing of Article 15 (1) and for establishing, implementing
and submitting operational programmes as referred to in
Article 15 (2) (b). In such cases the association shall re-ceive the financial assistance and make the notification re-
ferred to in paragraph 2 of this Article.
4. Operational programmes and their financing by pro-
ducers and producer organizations on the one hand and by
Community funds on the other shall have a minimum dur-
ation of three and a maximum duration of five years.
5. Submission of an operational programme to a
Member State by a producer organization or, if the option
indicated in paragraph 3 is taken up, an association of pro-
ducer organizations, shall imply a commitment by the or-
ganization or association to submit to national and Com-
munity checks in accordance with Title VI, in particular as
regards proper management of public resources.
Article 17
Should the general instruments of the common organiz-
ation of the market prove inadequate or inappropriate with
regard to the products listed in Article 1 (2) which are of
major local or regional importance in economic or ecologi-
cal terms and which face lasting difficulties on the Com-
munity market due, in particular, to strong international
competition, specific measures to improve the competitive-
ness of these products and to promote them may be taken
in accordance with the procedure laid down in Article 46.2200/96
2200/96 - - - I
14Article 18
1. In cases where a producer organization or an associ-
ation of producer organizations which have adopted the
same rules, which operates in a specific economic area is
considered, in respect of a specific product, to be represen-
tative of production and producers in that area, the
Member State concerned may, at the request of the organ-
ization or association, make the following rules binding on
producers established in the area who do not belong to
one of the organizations referred to above:
(a) the rules referred to in point (1) of Article 11 (1) (c),
(b) the rules adopted by the organization or association
relating to market withdrawals,
on condition that the rules:
— have been in force for at least one marketing year,
— are included in the exhaustive list in Annex III,
— are made binding for no more than three marketing
years.
2. For the purposes of this Article, ‘economic area’
means a geographical zone made up of adjoining or neigh-
bouring production regions in which production and
marketing conditions are homogeneous.
3. A producer organization or association of organiz-
ations shall be deemed representative within the meaning
of paragraph 1 where its members account for at least two
thirds of the producers in the economic area in which it
operates and it covers at least two thirds of the production
of that area.
4. The rules which are made binding on all producers in
a specific economic area:
(a) must not cause any harm to other producers in the
Member State or in the Community;
(b) shall not apply, unless they expressly cover them, to
products delivered for processing under a contract
signed before the beginning of the marketing year,
with the exception of the rules on reporting production
referred to in paragraph 1 (a);
(c) must not clash with Community and national rules in
force.
5. Member States shall notify the Commission forthwith
of the rules which they have made binding on all pro-
ducers in a specific economic area. These rules shall be
published in the ‘C’ series of the Official Journal.
The Commission shall decide that a Member State must
repeal an extension of the rules decided on by that
Member State:2200/96
2200/96 - - - I
15(a) if it finds that the extension in question to other pro-
ducers excludes competition in a substantial part of the
internal market or jeopardizes free trade, or that the
objectives of Article 39 of the T reaty are endangered;
(b) if it finds that Article 85 (1) of the T reaty applies to
the agreement, decision or concerted practice which it
has been decided to extend to other producers. The
Commission’s decision with regard to that agreement,
decision or concerted practice shall apply only from
t h ed a t eo fs u c haf i n d i n g ;
(c) where, following ex-post checks under Title VI, it finds
that this Article has not been complied with.
6. Where paragraph 1 is applied, the Member State con-
cerned may decide, on scrutiny of evidence presented, that
non-member producers shall be liable to the organization,
or where appropriate, the association, for the part of the
financial contributions paid by the producer members, in-sofar as these are used to cover:
(a) administrative costs resulting from applying the rules
referred to in paragraph 1;
(b) the cost of research, market studies and sales promo-
tion undertaken by the organization or association and
benefiting all producers in the area.
7. Member States shall notify a list of economic areas as
referred to in paragraph 2 to the Commission. Within one
month of notification, the Commission shall approve the
list or shall, after consultation with the Member State con-
cerned, decide on the amendments which the latter must
make to it. The approved list shall be published in the ‘C’
series of the Official Journal of the European Communities.
TITLE III
Interbranch organizations and agreements
Article 19
1. For the purposes of this Regulation, ‘recognized inter-
branch organizations’, hereinafter referred to as ‘inter-branch organizations’, means legal entities which:
(a) are made up of representatives of economic activities
linked to the production of and/or trade in and/or pro-
cessing of the products referred to in Article 1 (2);
(b) are established at the initiative of all or some of the
organizations or associations which constitute them;
(c) carry out several of the following measures in one or
more regions of the Community, taking account of the
interests of consumers:
— improving knowledge and the transparency of pro-
duction and the market,2200/96
2200/96 - - - I
16— helping to coordinate better the way fruit and veg-
etables are placed on the market, in particular by
means of research and market studies,
— drawing up standard forms of contract compatible
with Community rules,
— exploiting more fully the potential of the fruit and
vegetables produced,
— providing the information and carrying out the re-
search necessary to adjust production towards
products more suited to market requirements and
consumer tastes and expectations, in particular with
regard to product quality and protection of the
environment,
— seeking ways of restricting the use of plant-health
products and other inputs and ensuring product
quality and soil and water conservation,
— developing methods and instruments for improving
product quality,
— exploiting the potential of and protecting organic
farming as well as designations of origin, quality
labels and geographical indications,
— promoting integrated production or other environ-
mentally sound production methods,
— laying down rules, as regards the production and
marketing rules set out in Annex III, which are
stricter than Community or national rules.
(d) have been recognized by the Member State concerned
on the terms set out in paragraph 2.
2. If warranted by the Member State’s structures,
Member States may recognize as interbranch organizations
within the meaning of this Regulation all organizations es-
tablished on their territory which make an appropriate ap-
plication, on condition that:
(a) they carry out their activity in one or more regions in
that territory;
(b) they represent a significant share of the production of
and/or trade in and/or processing of fruit and veg-
etables and products processed from fruit and veg-
etables in the region or regions in question and, where
more than one region is involved, they can demon-
strate a minimum level of representativeness in each
region for each of the branches that they group;
(c) they carry out several of the measures referred to in
paragraph 1 (c);
(d) they are not themselves engaged in the production or
processing or marketing of fruit and vegetables orproducts processed from fruit and vegetables;
(e) they do not carry out any of the activities referred to
in Article 20 (3).2200/96
2200/96 - - - I
173. Before granting recognition Member States shall no-
tify the Commission of the interbranch organizations which
have applied for recognition, providing all relevant in-
formation about their representativeness and their various
activities, together with all other information needed for an
assessment.
The Commission may object to recognition within a time
limit of two months after notification.
4. Member States shall:
(a) decide whether to grant recognition within three
months of the lodging of an application with all rel-
evant supporting documents;
(b) carry out checks at regular intervals to ascertain that
interbranch organizations meet the terms and condi-
tions for recognition, impose the applicable penalties
to such organizations in the event of their failure to do
so and, if necessary, decide to withdraw their recogni-tion;
(c) withdraw recognition if:
(i) the terms and conditions for recognition laid down
in this Regulation are no longer met;
(ii) the interbranch organization contravenes one or
other of the prohibitions imposed in Article 20 (3),
without prejudice to any other penalties otherwise
incurred pursuant to national law;
(iii) the interbranch organizations fails to comply with
the notification obligation referred to in Ar-
ticle 20 (2);
(d) notify the Commission, within two months, of any deci-
sion to grant, refuse or withdraw recognition.
5. The terms and conditions on which and the frequency
with which the Member States are to report to the Com-
mission on the activities of interbranch organizations shall
be drawn up in accordance with the procedure laid down
in Article 46.
The Commission shall check that paragraphs 2 and 4 (b)
are complied with by carrying out checks in accordance
with Title VI and may, as a result of these checks, ask a
Member State to withdraw recognition.
6. Recognition shall constitute an authorization to carry
out the measures listed in point (c) of paragraph 1, con-
sistent with the terms of this Regulation.
7. The Commission shall publish in the ‘C’ series of the
Official Journal of the European Communities al i s to ft h e
interbranch organizations recognized, indicating the econ-
omic sphere or the area of their activities and the activitiescarried out within the meaning of Article 21. Withdrawals
of recognition shall also be published.2200/96
2200/96 - - - I
18Article 20
1. Notwithstanding Article 1 of Regulation No 26 (1),
Article 85 (1) of the T reaty shall not apply to the agree-
ments, decisions and concerted practices of recognized in-
terbranch organizations intended to implement the
measures referred to in Article 19 (1) (c).
2. Paragraph 1 shall apply only provided that:
— the agreements, decisions and concerted practices have
been notified to the Commission, and that
— within two months of receipt of all the details required
the Commission has not found that the agreements,
decisions or concerted practices are incompatible with
Community rules.
The agreements, decisions and concerted practices may not
be implemented until the period indicated in the second
indent of the first subparagraph has elapsed.
3. Agreements, decisions and concerted practices which:— may lead to the partitioning of markets in any form
within the Community,
— may affect the sound operation of the market organiz-
ation,
— may create distortions of competition which are not es-
sential in achieving the objectives of the common agri-
cultural policy pursued by the interbranch organization
measure,
— entail the fixing of prices, without prejudice to
measures taken by interbranch organizations in the ap-
plication of specific provisions of Community rules,
— may create discrimination or eliminate competition in
respect of a substantial proportion of the products in
question, shall in any case be declared contrary to
Community rules.
4. If, following expiry of the two-month period referred
to in the second indent of the first subparagraph of para-
graph 2, the Commission finds that the conditions for ap-
plying this Regulation have not been met, it shall take a
decision declaring that Article 85 (1) of the T reaty applies
to the agreement, decision or concerted practice in ques-
tion.
(1) Regulation No 26 applying certain rules of competition to
production of and trade in agricultural products (OJNo 30, 20. 4. 1962, p. 993/62). Regulation as amended byRegulation No 49 (OJ No 53, 1. 7. 1962, p. 1571/62).2200/96
2200/96 - - - I
19That Commission decision shall not come into effect
earlier than the date of notification to the interbranch or-
ganization concerned, unless that interbranch organization
has given incorrect information or abused the exemption
provided for in paragraph 1.
5. In the case of multiannual agreements, the prior noti-
fication for the first year shall be valid for the subsequent
years of the agreement; however, in that event, the Com-
mission may, on its own initiative or at the request of
another Member State, issue a finding of incompatibility at
any time.
Article 21
1. In cases where an interbranch organization operating
in a specific region or regions of a Member State is con-
sidered to be representative of the production of and/or
trade in and/or processing of a given product, the Member
State concerned may, at the request of the organization,
make some of the agreements, decisions or concerted prac-
tices agreed on within that organization binding for a li-
mited period on other operators operating in the region or
regions in question, whether individuals or groups, who do
not belong to the organization.
2. An interbranch organization shall be deemed repre-
sentative within the meaning of paragraph 1 where it ac-
counts for at least two thirds of the production and/or
trade in and/or processing of the product or products con-
cerned in the region or regions concerned of a Member
State. Where the application for extension of its rules to
other operators covers more than one region, the inter-
branch organization must demonstrate a minimum level of
representativeness for each of the branches it groups in
each of the regions concerned.
3. The rules for which extension to other operators may
be requested:
(a) must concern one of the following aims:
— production and market reporting,
— stricter production rules than any laid down in
Community or national rules,
— drawing up of standard contracts which are com-
patible with Community rules,
— rules on marketing,
— rules on protecting the environment,
— measures to promote and exploit the potential of
products,
— measures to protect organic farming as well as des-
ignations of origin, quality labels and geographical
indications.2200/96
2200/96 - - - I
20The rules referred to in the second, fourth and fifth
indents must not be other than those which appear in
Annex III;
(b) must have been in force for at least one marketing
year;
(c) may be made binding for no more than three market-
ing years;
(d) must not cause any harm to other operators in the
Member State or the Community.
Article 22
1. Member States shall notify the Commission forthwith
of the rules which they have made binding on all operators
in one or more specific regions. Those rules shall be pub-
lished in the ‘C’ series of the Official Journal of the Euro-
pean Communities.
Before that publication takes place, the Commission shall
inform the Committee provided for in Article 45 of any
notification of the extension of interbranch agreements.
The Commission shall decide that a Member State must
repeal an extension of the rules decided on by that
Member State in the cases referred to in the second sub-
paragraph of Article 18 (5).
2. In cases where rules for one or more products are
extended and where one or more of the activities referred
to in Article 21 (3) (a) are pursued by a recognized inter-
branch organization and are in the general economic in-
terest of those persons whose activities relate to one or
more of the products concerned, the Member State which
has granted recognition may decide that individuals or
groups which are not members of the organization but
which benefit from those activities shall pay the organiz-
ation all or part of the financial contributions paid by its
members to the extent that such contributions are intended
to cover costs directly incurred as a result of pursuing the
activities in question.
TITLE IV
Intervention arrangements
Article 23
1. Producer organizations and their associations may
choose not to put up for sale products listed in Ar-ticle 1 (2) contributed by their members, both in quantities
and for periods which they consider appropriate.2200/96
2200/96 - - - I
212. The destination of products withdrawn from the
market under paragraph 1 must be fixed by the producer
organization or association in such a way as not to disturb
the normal disposal of the products in question and must
respect the environment, particularly as regards water and
landscape quality.
3. Where paragraph 1 is applied to any one of the prod-
ucts listed in Annex II which meet the relevant standards,
producer organizations and their associations shall pay
their producer members the Community withdrawal com-
pensation fixed under Article 26, up to a ceiling of 10 %
of the marketed quantity.
The 10 % limit set in the first subparagraph shall apply to
the marketed quantity of each product of only the
members of the producer organization concerned, or of
another organization in cases of application of Article 11
(1) (c), withdrawals under Article 24 excluded.
4. The 10 % ceiling referred to in paragraph 3 shall
apply from the sixth marketing year following the date of
entry into force of this Regulation. Withdrawals carried out
during the transitional period covering the five previous
marketing years may not exceed the following percentages
of marketed production as defined in accordance with the
procedure laid down in Article 46: 50 % in the first
marketing year, 45 % in the second, 40 % in the third,
30 % in the fourth and 20 % in the fifth.
However, in the case of each citrus fruit these percentages
shall be: 35 % in the first marketing year, 30 % in the sec-
ond, 25 % in the third, 20 % in the fourth and 15 % in the
fifth.
The second subparagraph of paragraph 3 shall apply to
this paragraph.
5. The figure of 10 % referred to in paragraphs 3 and 4
shall be an annual average over a three-year period, with a
3 % annual margin of overrun.
6. For apples and pears the ceiling of 10 % referred to
in paragraphs 3, 4 and 5 of this Article and in Article 24
shall be replaced by 8,5 %.
F o rm e l o n sa n dw a t e rm e l o n s ,t h e1 0 %c e i l i n gs h a l la p p l y
as of the 1997/1998 marketing year.2200/96
2200/96 - - - I
22Article 24
In connection with products listed in Annex II, producer
organizations shall allow the benefits of Article 23 to
growers who are not members of any of the collective
structures provided for in this Regulation, if they so re-
quest. However, the Community withdrawal compensation
shall be reduced by 10 %. In addition, the amount paid
shall take account, on scrutiny of the evidence, of the over-
all withdrawal costs borne by the members. The compensa-
tion may not be granted on a volume greater than 10 % of
the grower’s marketed production.
Article 25
Producer organizations and their associations shall notify
full details concerning the implementation of Articles 23
and 24, and in particular the measures taken to ensure
environmentally sound practice in connection with with-
drawals, to their competent national authorities, which
shall forward the information to the Commission.
The information to be notified shall be determined, as
necessary, in accordance with the procedure laid down in
Article 46.
Member States shall establish a national framework for
drawing up the general conditions relating to the with-
drawal methods which respect the environment. They shall
submit their proposed framework to the Commission which
may request modifications within three months if it finds
that the proposal does not enable the aims set out in Ar-
ticle 130r of the T reaty and in the Community programme
o fp o l i c ya n da c t i o ni nr e l a t i o nt ot h ee n v i r o n m e n ta n d
sustainable development to be attained.
Article 26
1. The Community withdrawal compensation for each
product is set out in Annex V .
2. The Community withdrawal compensation shall be a
single amount valid throughout the Community.
Article 27
1. If the market in a product listed in Annex II is suffer-
ing or at risk of suffering from widespread structural im-
balances giving or liable to give rise to too large a volume
of the withdrawals referred to in Article 23, an interven-
tion threshold shall be set before the beginning of the
marketing year for that product in accordance with the
procedure laid down in Article 46 and the consequences of
any overrun, assessed for the product on the basis of with-
drawals made during a marketing year or an equivalent
period or of the average of the volume of intervention
over several marketing years, shall be borne financially by
the producers.2200/96
2200/96 - - - I
23An overrun of the intervention threshold shall give rise to
a reduction in the Community withdrawal compensation in
the following marketing year. This reduction shall not be
carried over to subsequent marketing years.
2 . T h ef o l l o w i n gs h a l lb ed e t e r m i n e di na c c o r d a n c ew i t h
the procedure laid down in Article 46:
(a) the implications for each product of an overrun of the
threshold;
(b) where necessary, the reduced Community withdrawal
compensation and measures for the application of this
Article.
3. This Article shall apply only during the first five
marketing years following entry into force of this Regula-
tion.
Article 28
1. Member States shall notify the Commission for each
marketing day during each of the relevant marketing years
of the prices recorded on their representative producer
markets for certain products of defined commercial char-
acteristics such as variety or type, class, size and packaging.
2. A list of these markets and products and the fre-
quency with which data is to be communicated shall bedrawn up in accordance with the procedure laid down in
Article 46.
Markets in Member States on which a substantial part of
the national output of a given product is marketed
throughout the marketing year or during one of the
periods into which the year is divided shall be regarded as
representative within the meaning of paragraph 1.
Article 29
1. Member States shall pay the Community withdrawal
compensation fixed in Article 26 to producer organizations
or their associations which have carried out withdrawals
under the terms of Articles 23 and 24 and are required to
pay the compensation to their members or to non-member
growers.
Payments shall be made in a manner to be determined in
accordance with the procedure laid down in Article 46.
2. The Community withdrawal compensation shall be
paid without prejudice to any financial implications result-
ing from overrun of an intervention threshold.
The compensation shall, in addition, be reduced by the net
receipts earned by producer organizations and their associ-
ations from the products withdrawn from the market.2200/96
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243. Where producer organizations and their associations
are unable to direct products to one of the destinations
referred to in Article 30 (1), the Community withdrawal
compensation shall be granted only if the products have a
destination in accordance with the instructions issued by
the Member State under the other provisions of Article 30.
Article 30
1. Products withdrawn from the market under Ar-
ticle 23 (1) which remain unsold shall be disposed of as fol-
lows:
(a) all products:
— free distribution to charitable organizations and
foundations, approved to that effect by the
Member States, for use in their activities to assist
persons whose right to public assistance is recog-
nized in national law, in particular because they
lack the necessary means of subsistence,
— free distribution to penal institutions and to
children’s holiday camps as well as to hospitals and
old people’s homes designated by the Member
States, which shall take all necessary steps to en-
sure that the quantities thus distributed are addi-tional to the quantities normally bought in by such
establishments,
— free distribution outside the Community, through
charitable organizations approved to that effect by
the Member States, to the populations of third
countries in need,
and, secondarily,
— use for non-food purposes,
— use in animal feed, either fresh or after processing
by the feedingstuffs industry;
(b) fruit: free distribution to school children, other than as
part of the meals served in school canteens, and to
pupils in schools which do not have canteens providing
meals,
(c) apples, pears, peaches and nectarines: processing into
alcohol of a strength of more than 80 % volume by
direct distillation of the product,
(d) all products: disposal of certain classes of product to
the processing industry on condition that there is no
resulting distortion of competition for the industries
concerned within the Community or for imported
products. The implementation of this provision shall be
decided in accordance with the procedure laid down in
Article 46.2200/96
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252. In cases where none of the destinations referred to in
paragraph 1 is possible, products withdrawn may be des-
tined for composting or for biodegradation processes auth-
orized by the Member State concerned.
3. The free distribution provided for in the first, second
and third indents of point (a) of paragraph 1 and point (b)
of paragraph 1 shall be organized by the producer organiz-
ations concerned, under the supervision of the Member
States.
However, with regard to the free distribution of fruit to
school children, the Commission may take the initiative of
and responsibility for implementing local pilot projects
within the framework of research and promotion measures.
4. Member States shall help to establish contacts be-
tween producer organizations and charitable organizations
and other bodies which may be interested in using prod-
ucts withdrawn from the market within their territory, witha view to one of the forms of free distribution referred to
in points (a) and (b) of paragraph 1.
5. The disposal of products to the feedingstuffs industry
shall be carried out by the most appropriate procedure by
an agency designated by the Member State concerned.
The distillation referred to in point (c) of paragraph 1
shall be carried out by distilleries either on their own ac-
count or on behalf of a body designated by the Member
State concerned. In both cases this body shall carry out the
operations in question using the most appropriate pro-
cedure.
6. The Community shall defray, on terms and conditions
to be determined in accordance with the procedure laid
down in Article 13 of Regulation (EEC) No 729/70 (
1),
transport costs in connection with free distribution as pro-
vided for in point (a) of paragraph 1 and sorting and pack-
aging costs in connection with free distribution of apples
and citrus fruit where the latter is staggered under contrac-
tual agreements concluded between producer organizations
and charitable organizations or establishments referred to
in paragraph 3.
7. Detailed rules for the application of this Article, and
in particular those relating to free distribution and the dis-
posal of products withdrawn, and those designed to avoid
disruption of the alcohol market as a result of the distilla-
tion of products withdrawn, shall be adopted in accordance
with the procedure laid down in Article 46.
(1) Regulation (EEC) No 729/70 of the Council of
21 April 1970 on the financing of the common agriculturalpolicy (OJ No L 94, 28. 4. 1970, p. 13). Regulation as lastamended by Regulation (EC) No 1287/95 (OJ No L 125,8. 6. 1995, p. 1).2200/96
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26TITLE V
Trade with third countries
Article 31
1. Imports into the Community, or exports therefrom, of
any of the products listed in Article 1 (2) may be subject
to presentation of an import or export licence.
Licences shall be issued by Member States to any appli-
cant, irrespective of his place of establishment in the Com-
munity and without prejudice to measures taken for the
application of Articles 36 and 37.
Import and export licences shall be valid throughout the
Community. The issue of such licences may be subject to
the lodging of a security guaranteeing that the products
are imported or exported during the term of validity of the
licence; except in cases of force majeure , the security shall
be forfeited in whole or in part if import or export is not
carried out, or is carried out only partially, within that
period.
2. The term of validity of import and export licences and
other detailed rules for the application of this Article shall
be adopted in accordance with the procedure laid down in
Article 46.
Article 32
1. Save as otherwise provided for in this Regulation, the
rates of duty in the common customs tariff shall apply to
the products listed in Article 1 (2).
2. Should application of the common customs tariff duty
rate depend on the entry price of the imported consign-
ment, the veracity of this price shall be checked using a
flat-rate import value calculated by the Commission, by
product and by origin, on the basis of the weighted aver-
age of prices for the product on Member States’ represen-
tative import markets or on other markets, where ap-
propriate.
Specific provisions may, however, be adopted for verifying
the entry price of products imported primarily for proces-
sing, in accordance with the procedure laid down in Article
46.
3. Where the declared entry price of the consignment in
question is higher than the flat-rate import value, increased
by a margin set in accordance with paragraph 5 which may
not exceed the flat-rate value by more than 10 %, the
lodging of a security equal to the import duty determined
on the basis of the flat-rate import value shall be required.
4. If the entry price of the consignment in question is
not declared at the time of customs clearance, the common
customs tariff duty rate applied shall depend on the flat-
rate import value or be arrived at by application of the
relevant customs legislation provisions under conditions to
be determined in accordance with paragraph 5.2200/96
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275. Detailed rules for the application of this Article shall
be adopted in accordance with the procedure laid down in
Article 46.
Article 33
1. In order to prevent or counteract adverse effects on
the market in the Community which may result from im-
ports of certain products listed in Article 1 (2), imports of
one or more of such products at the rate of duty laid
down in the common customs tariff shall be subject to pay-
ment of an additional import duty if the conditions set out
in Article 5 of the Agreement on agriculture (1)c o n c l u d e d
in the framework of the Uruguay Round of multilateral
trade negotiations have been fulfilled, unless the imports
are unlikely to disturb the Community market, or the ef-
fects would be disproportionate to the intended objective.
2. The trigger prices below which an additional duty
may be imposed shall be those notified by the Community
to the World T rade Organization.
The trigger volumes to be exceeded in order to have the
additional import duty imposed shall be determined in par-
ticular on the basis of imports into the Community in the
three years preceding the year in which the adverse effectsreferred to in paragraph 1 arise or are likely to arise.
3. The import prices to be taken into consideration for
imposing an additional import duty shall be determined on
the basis of the cif import prices of the consignment con-
cerned.
The cif import prices shall be verified for this purpose on
the basis of representative prices for the product in ques-
tion on the world market or on the Community import
market for the product.
4. Detailed rules for the application of this Article shall
be adopted in accordance with the procedure laid down in
Article 46. Such detailed rules shall specify in particular:
(a) the products to which additional import duties may be
applied under Article 5 of the Agreement on agricul-
ture referred to in paragraph 1 of this Article;
(b) the other criteria necessary for application of para-
graph 1 in accordance with Article 5 of the said
Agreement on agriculture.
Article 34
1. T ariff quotas for the products listed in Article 1 (2)
resulting from agreements concluded within the framework
of the Uruguay Round of multilateral trade negotiations
shall be opened and administered in accordance with de-
tailed rules adopted in accordance with the procedure laid
down in Article 46.
2. Quotas may be administered by applying one of the
following methods or a combination thereof:
(1) OJ No L 336, 23. 12. 1994, p. 22.2200/96
2200/96 - - - I
28(a) a method based on the chronological order in which
applications are lodged (‘first come, first served’ basis);
(b) a method of allocating quotas in proportion to quan-
tities requested when applications are lodged (using
the ‘simultaneous examination’ method);
(c) a method based on taking traditional trade flows into
account (using the ‘traditional importers/new arrivals’
method).
Other appropriate methods may be adopted. They must
avoid any discrimination between the operators concerned.
3. The method of administration adopted shall, where
appropriate, take account of the supply needs of the Com-
munity market and the need to safeguard the equilibrium
of that market, whilst at the same time drawing on
methods applied in the past to quotas corresponding to
those referred to in paragraph 1, without prejudice to
rights arising from agreements concluded in the frameworkof the Uruguay Round of trade negotiations.
4. The detailed rules referred to in paragraph 1 shall
provide for annual quotas, suitably phased over the year,
shall determine the administrative method to be used and,
where appropriate, shall include:
(a) guarantees covering the nature, provenance and origin
of the product;
(b) recognition of the document used for verifying the
guarantees referred to in (a), and
(c) the conditions under which import licences are issued
and their term of validity.
Article 35
1. T o the extent necessary to enable economically signifi-
cant quantities of the products listed in Article 1 (2) to be
exported on the basis of the prices of these products in
international trade but within the limits resulting from
agreements concluded in accordance with Article 228 of
t h eT r e a t y ,t h ed i f f e r e n c eb e t w e e nt h o s ep r i c e sa n dp r i c e s
in the Community may be covered by export refunds.
2 . T h em e t h o dt ob ea d o p t e df o ra l l o c a t i o no ft h eq u a n -
tities which may be exported with a refund shall be the
method which:
(a) is most suited to the nature of the product and the
situation on the market in question, allows the most
efficient possible use of the resources available and
takes due account of the efficiency and structure of
Community exports, without, however, creating discri-
mination between large and small operators;
(b) is least cumbersome administratively for operators, ad-
ministration requirements taken into account;2200/96
2200/96 - - - I
29(c) avoids any discrimination between the operators con-
cerned.
3. Refunds shall be the same for the whole Community.
Where the international trade situation or the specific re-
quirements of certain markets make this necessary, the re-
fund for a given product may vary according to the des-
tination of the product.
Refunds shall be fixed in accordance with the procedure
laid down in Article 46. Refunds shall be fixed periodically.
Refunds fixed periodically may, where necessary, be ad-
justed in the interval by the Commission at the request of
a Member State or on its own initiative.
4. The following shall be taken into account when re-
funds are being fixed:
(a) the existing situation and likely trends with regard to:
— prices and availability of fruit and vegetables on
the Community market,
— prices for fruit and vegetables in international
trade;
(b) marketing costs and minimum transport charges from
Community markets to ports and other Community ex-
port points, and forwarding costs to the country of des-
tination;
(c) the economic aspect of the proposed exports;
(d) the limits resulting from agreements concluded in ac-
cordance with Article 228 of the T reaty.
5. The Community market prices referred to in para-
graph 1 shall be determined using the prices which are
most favourable from the exportation point of view.
The world market prices referred to in paragraph 1 shall
be determined using:
(a) prices recorded on third-country markets;
(b) the most favourable prices in third countries for im-
ports from other third countries;
(c) producer prices recorded in exporting third countries;
(d) free-at-Community-frontier offer prices.
6. Refunds shall be granted only on application and on
presentation of the relevant export licence.
7. The refund shall be that applicable on the day of ap-
plication for the licence and, in the case of a differentiated
refund, that applicable on the same day:
(a) for the destination indicated on the licence, or2200/96
2200/96 - - - I
30(b) for the actual destination if it differs from the destina-
tion indicated on the licence. In that case, the amount
applicable may not exceed the amount applicable for
the destination indicated on the licence.
Appropriate measures may be taken to prevent abuse of
the flexibility provided for in this paragraph.
8. Paragraphs 6 and 7 may be waived in the case of
products listed in Article 1 (2) on which refunds are paid
under food-aid operations, in accordance with the pro-
cedure laid down in Article 46.
9. The refund shall be paid upon proof that the prod-
ucts:
— have been exported from the Community,
— are of Community origin, and
— in the case of a differentiated refund, have reached the
destination indicated on the licence or another destina-
tion for which a refund was fixed, without prejudice topoint (b) of paragraph 7. Exceptions may be made to
this rule in accordance with the procedure laid down in
Article 46, provided conditions are laid down which
offer equivalent guarantees.
10. Compliance with the limits on volumes arising from
agreements concluded in accordance with Article 228 of
the T reaty shall be ensured on the basis of the export li-
cences issued for the reference periods provided for there-
in and applicable to the products concerned.
With regard to compliance with the obligations arising
under the agreements concluded in the Uruguay Round
trade negotiations, the ending of a reference period shall
not affect the validity of export licences.
11. Detailed rules for the application of this Article, in-
cluding provisions for the redistribution of unallocated or
unused exportable quantities, shall be adopted in accord-
ance with the procedure laid down in Article 46.
Article 36
1. Save as otherwise provided for in this Regulation or
in provisions adopted pursuant thereto, the following shall
be prohibited when importing the products listed in Ar-
ticle 1 (2) from third countries:
— the levying of any charge having equivalent effect to a
customs duty,
— the application of any quantitative restriction or
measure having equivalent effect.2200/96
2200/96 - - - I
312. The general rules for the interpretation of the com-
bined nomenclature and the special rules for its application
shall apply to the classification of products covered by this
Regulation; the tariff nomenclature resulting from the ap-
plication of this Regulation shall be incorporated in the
common customs tariff.
Article 37
1. Appropriate measures may be taken when trading
with third countries if, by reason of imports or exports, the
Community market in one or more of the products listed
in Article 1 (2) is affected by, or is threatened with, seri-
ous disturbance likely to jeopardize achievement of the ob-
jectives set out in Article 39 of the T reaty.
Such measures may be applied only until, depending on
the case, the disturbance or threat of disturbance has
ceased or the quantities withdrawn or bought in have dim-
inished appreciably.
The Council, acting on a proposal from the Commission in
accordance with the voting procedure laid down in Ar-
ticle 43 (2) of the T reaty, shall adopt general rules for ap-
plication of this paragraph and shall define in what cases
and within what limits Member States may take protectivemeasures.
2. If the situation referred to in paragraph 1 arises, the
Commission shall, at the request of a Member State or on
its own initiative, decide upon the necessary measures; the
Member States shall be notified of these and they shall be
immediately applicable. If the Commission receives a re-
quest from a Member State, it shall take a decision there-
on within three working days following receipt of the re-
quest.
3. Measures decided upon 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. It may, acting by a quali-
fied majority confirm, amend or rescind the measure in
question.
4. This Article shall be applied having regard to the ob-
ligations arising from international agreements concluded
in accordance with Article 228 (2) of the T reaty.
TITLE VI
National and Community checks
Article 38
1. Member States shall take the necessary measures to
ensure compliance with Community rules in the fruit and
vegetable sector, particularly in the fields referred to in
Annex IV .2200/96
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322. Where it is appropriate to carry out checks by sampl-
ing, Member States shall ensure, by their nature and fre-
quency and on the basis of risk analysis, that the checks
are appropriate to the measure concerned both in terms of
their territory as a whole and in terms of the volume of
fruit and vegetable sector products marketed or held with
av i e wt om a r k e t i n g .
The recipients of public funds must be systematically
checked, without prejudice to the implementation of sys-
tematic checks in other fields.
3. The Commission and the Member States shall ensure
that the competent authorities have a sufficient number of
suitably qualified and experienced staff to carry out the
checks effectively, particularly in the fields referred to in
Annex IV .
Article 39
1. Without prejudice to the checks carried out by the
national authorities pursuant to Article 38, the Commission
may, in collaboration with the competent authorities of the
Member State concerned, carry out or ask a Member State
to carry out on-the-spot checks in order to ensure uniform
application of Community rules in the fruit and vegetablesector, particularly in the fields referred to in Annex IV .
2. The Commission shall inform the relevant Member
State in advance and in writing about the subject, purpose
and location of the checks it envisages, the date on which
they are to commence and the identity and status of its
inspectors.
Article 40
1. In order to implement the provisions of Article 39,
the Commission shall establish a special corps of inspectors
in the fruit and vegetable sector consisting of Commission
officials with suitable qualifications, technical knowledge
and experience and possibly of staff appointed at the re-
quest of the Commission and with the agreement of the
Member State concerned, from the staff referred to in Ar-
ticle 38 (3) to take part in specific enquiries.
2. The special corps of inspectors shall, under the Com-
mission’s direction, discharge the following tasks:
(a) participate in the checks planned and carried out by
the competent authorities of the Member States;
(b) carry out the checks referred to in Article 39 at the
Commission’s initiative, in which the officials of the
Member State are invited to participate;
(c) assess the national verification arrangements set up,
the procedures followed and the results obtained;2200/96
2200/96 - - - I
33(d) ascertain the measures, legislative and otherwise, taken
by the competent authorities to improve compliance
with Community rules in the fruit and vegetable sector;
(e) develop collaboration and the exchange of information
between the competent bodies of the Member States
in order to contribute to the uniform application of the
rules in the fruit and vegetable sector and facilitate
free movement of the products of the sector.
3. With regard to the checks to be carried out under
point (b) of paragraph 2, the Commission shall, in good
time before the start of operations, inform the competent
authority of the Member State on whose territory these
operations are to take place.
4. The Commission shall itself determine the most ap-
propriate places for its checks to be carried out and shall,
in collaboration with the Member States concerned, estab-
lish the practical arrangements.
Article 41
1. The checks pursuant to Article 40 (2) (b) shall be
carried out in accordance with Article 9 (2) of Regulation
(EEC) No 729/70.
The Commission’s inspectors shall, in the course of checks,
adopt an attitude compatible with the rules and pro-
fessional practices which officials of the Member State
must follow. They shall observe professional confidentiality.
2. The Commission shall establish appropriate links with
the competent authorities of the Member States in order
to draw up control programmes jointly. Member States
shall collaborate with the Commission to facilitate its ac-
complishment of this task.
3. The Commission shall communicate the results of the
visits made by its inspectors to the competent authority of
the Member State concerned as soon as possible. That
communication shall record any difficulties encountered
and infringements noted of the rules governing the market
in fruit and vegetables.
4. The Member State concerned shall inform the Com-
mission as soon as possible of the steps it has taken to put
an end to the difficulties or infringements in question.
Article 42
Any irregularity which is noted during checks and may
have a financial effect on the Guarantee Section of the
EAGGF shall be dealt with in accordance with the provi-
sions of Regulation (EEC) No 595/91 (1). The Member
State on whose territory the irregularity was noted must
make the declaration provided for in Article 3 of this Re-
gulation.
(1) Council Regulation (EEC) No 595/91 of 4 March 1991
concerning irregularities and the recovery of sums wronglypaid in connection with the financing of the common agri-cultural policy and the organization of an information sys-tem in this field (OJ No L 67, 14. 3. 1991, p. 11).2200/96
2200/96 - - - I
34Any failure to comply in the application of Community
rules by a Member State which is noted during Commis-
sion checks and may have a financial effect on the Guar-
antee Section of the EAGGF shall be dealt with in accord-
ance with the provisions of Article 5 (2) (c) of Regulation
(EEC) No 729/70.
TITLE VII
General provisions
Article 43
Save as otherwise provided in this Regulation, Articles 92,
93 and 94 of the T reaty shall apply to the production of
and trade in the products referred to in Article 1 (2).
Article 44
1. Member States and the Commission shall communi-
cate to each other the information necessary for applying
this Regulation. The data to be communicated shall be de-
termined in accordance with the procedure laid down in
Article 45. Rules for the communication and distribution
of such information shall be adopted in accordance with
t h es a m ep r o c e d u r e .
2. The data referred to in paragraph 1 shall include at
least information on cultivated areas and quantities harv-
ested, marketed or not put up for sale under Article 23.
This information shall be collected by:
— producer organizations in the case of their members,
without prejudice to Articles 11 and 19,
— the relevant services of the Member States in the case
of producers who do not belong to any of the collec-
tive structures provided for in this Regulation. The
Member State in question may entrust this task in
whole or in part to one or more producer organiz-
ations.
3. Member States shall take all measures necessary to
ensure the collection of the data referred to in para-
graph 2, their accuracy, their statistical processing and their
regular communication to the Commission. They shall pro-
vide for penalties in cases of unjustified delays or system-
atic negligence in the proper performance of the tasks in
question. They shall inform the Commission of those
measures.
4. The Commission shall regularly communicate to the
Member States by the most appropriate means the data
referred to in paragraph 1 and the conclusions which it
draws from such data. The rules for application shall be
adopted in accordance with the procedure laid down in Ar-
ticle 46.2200/96
2200/96 - - - I
35Article 45
A management committee for fresh fruit and vegetables,
hereinafter referred to as ‘the Committee’, shall be set up,
consisting of representatives of the Member States and
chaired by a representative of the Commission.
Article 46
1. Where reference is made to the procedure laid down
in this Article, the chairman shall refer the matter to the
Committee either on his/her own initiative or at the re-
quest of the representative of a Member State.
2. The representative of the Commission shall submit to
the Committee a draft of the measures to be taken. The
Committee shall deliver its opinion on the draft within a
time limit which the chairman may lay down according to
the urgency of the matter. The opinion shall be delivered
by the majority laid down in Article 148 (2) of the T reaty
in the case of decisions which the Council is required to
adopt on a proposal from the Commission. The votes of
the representatives of the Member States within the Com-
mittee shall be weighted in the manner set out in that Ar-
ticle. The chairman shall not vote.
3. (a) The Commission shall adopt measures which shall
apply immediately.
(b) However, if these measures are not in accordance
with the opinion of the Committee, they shall be
communicated by the Commission to the Council
forthwith. In that event the Commission may defer
application of the measures which it has decided
for a period of not more than one month from the
date of such communication.
The Council, acting by a qualified majority, may
take a different decision within one month.
Article 47
The Committee may consider any other question referred
to it by its chairman either on his/her own initiative or at
the request of the representative of a Member State.
Article 48
The detailed rules for the application of this Regulation,
including financial or non-financial administrative penalties,
shall be adopted in the light of the specific requirements
of the sector in accordance with the procedure laid down
in Article 46.
Article 49
This Regulation shall be so applied that appropriate ac-
count is simultaneously taken of the objectives set out in
Articles 39 and 110 of the T reaty.2200/96
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36Article 50
Member States shall take all appropriate measures to pe-
nalize infringements of the provisions of this Regulation
and to forestall and bring to an end any fraud.
Article 51
The laws, regulations and administrative provisions
adopted by Member States for the application or in ap-
plication of this Regulation shall be communicated to the
Commission no later than one month after their adoption.
The same shall apply to any modification of the said provi-
sions.
Article 52
1. Expenditure relating to the payment of the Commun-
ity withdrawal compensation and to Community financing
of the operational fund, the specific measures referred to
in Article 17 and Articles 53, 54 and 55 and checks by
experts of the Member States made available to the Com-
mission in application of Article 40 (1) shall be deemed to
be intervention to stabilize the agricultural markets within
the meaning of point (b) of Article 1 (2) of Regulation
(EEC) No 729/70.
2. The aid granted by the Member States in accordance
with Article 14 and the second subparagraph of Article 15
(6) shall be considered a common measure within the
meaning of Article 2 (1) of Regulation (EEC)No 4256/88 (
1). It shall be covered by the annual expendi-
ture forecasts referred to in Article 31 (1) of Regulation
(EEC) No 2328/91 (2).
Article 1 (3) of Regulation (EEC) No 2328/91 shall apply
to the aid provided for in this paragraph.
Aid shall be paid in accordance with Article 21 of Regula-
tion (EEC) No 4253/88. However, payment of the balance
or reimbursement shall, in addition to the requirements
specified in paragraph 4 of that Article, be based on:
(1) Council Regulation (EEC) No 4256/88 of 19 De-
cember 1988, laying down provisions for implementing Re-gulation (EEC) No 2052/88 as regards the EAGGF Guid-ance Section (OJ No L 374, 31. 12. 1988, p. 25). Regula-tion as amended by Regulation (EEC) No 2085/93 (OJ NoL 193, 31. 7. 1993, p. 44).
(2) Council Regulation (EEC) No 2328/91 of 15 July 1991 on
improving the efficiency of agricultural structures (OJ NoL 218, 6. 8. 1991, p. 1). Regulation as last amended byCommission Regulation No 2387/95 (OJ No L 244,12. 10. 1995, p. 50).2200/96
2200/96 - - - I
37(a) a declaration of expenditure incurred by the Member
States during the calendar year, and
(b) a report on the application of the measures during the
calendar year concerned, drawn up in accordance with
Article 25 (4) of that Regulation,
to be presented to the Commission before 1 July of the
following year.
3. The Commission shall adopt rules for the application
of paragraph 2 of this Article after consulting the commit-
tee referred to in Article 29 of Regulation (EEC)
No 4253/88 (1).
4. The provisions of Title VI shall apply without preju-
dice to the application of Regulation (EEC)
No 4045/89 (2).
Article 53
Any rights acquired by producer organizations before the
entry into force of this Regulation in application of Ar-
ticle 14 and Title IIa of Regulation (EEC) No 1035/72
shall be maintained until exhausted.
Article 54
1. The Community shall contribute 50 % of the financ-
ing of measures to develop and improve the consumption
and use in the Community of nuts.
2. The aim of the measures referred to in paragraph 1
shall be to:
— encourage product quality, in particular by carrying out
market studies and seeking new uses, including ways of
adapting production accordingly,
— develop new methods of packaging,
— disseminate marketing advice to the various economic
operators in the sector,
— organize and participate in fairs and other trade ev-
ents.
3. The Commission shall, following the procedure in Ar-
ticle 46, specify the measures referred to in paragraph 2 or
define new measures.
(1) Council Regulation (EEC) No 4253/88 of 19 De-
cember 1988, laying down provisions for implementing Re-gulation (EEC) No 2052/88 as regards coordination of theactivities of the different Structural Funds between them-selves and with the operations of the European InvestmentBank and the other existing financial instruments (OJ NoL 374, 31. 12. 1988, p. 1). Regulation as last amended byRegulation (EC) No 3193/94 (OJ No L 337, 24. 12. 1994,p. 11).
(2) Council Regulation (EEC) No 4045/89 of 21 De-
cember 1989 on scrutiny by Member States of transactionsforming part of the system of financing by the GuaranteeSection of the European Agricultural Guidance and Guar-antee Fund (OJ No L 388, 30. 12. 1989, p 18). Regulationas last amended by Regulation (EC) No 3235/94 (OJ NoL 338, 28. 12. 1994, p. 16).2200/96
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38Article 55
For hazelnuts harvested during the 1997/1998, 1998/1999
and 1999/2000 marketing years, aid of ECU 15/100 kg
shall be granted to producer organizations, recognized
pursuant to Regulation (EEC) No 1035/72 or to this Re-
gulation, which implement a quality improvement plan
within the meaning of Article 14d of Regulation (EEC)
No 1035/72 or an operational plan within the meaning of
this plan in 1997.
Article 56
By 31 December 2000 the Commission shall send the
Council a report on the operation of this Regulation, ac-
companied by any proposals that may be required.
Article 57
If measures are needed to facilitate the transition from the
previous arrangements to those established by this Regula-
tion, such measures shall be adopted in accordance with
the procedure laid down in Article 46.
Article 58
1. This Regulation shall enter into force on the day of
its publication in the Official Journal of the European
Communities.
It shall apply from 1 January 1997. However, Title IV shall
apply only, for each of the products referred to in
Annex II, from the beginning of the 1997/1998 marketing
year.
2. Regulations (EEC) No 1035/72, (EEC) No 3285/83,
(EEC) No 1319/85, (EEC) No 2240/88, (EEC) No 1121/89
and (EEC) No 1198/90 are hereby repealed as from the
date of application of the corresponding provisions of thisRegulation.
References to the repealed Regulations shall be under-
stood as references to this Regulation and are to be read
in conjunction with the correlation tables in Annex VI.2200/96
C1, OJ No L 271, 3. 10. 1997, p. 19
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39ANNEX I
Products which are to be supplied fresh to the consumer and are subject to standards
Almonds Hazelnuts
Apples and pears KiwisApricots LeeksArtichokes Lettuce, curly and escarole chicoryAsparagus MelonsAubergines OnionsAvocados Peaches and nectarinesBeans Peas for shellingBrussels sprouts PlumsCabbage SpinachCarrots StrawberriesCauliflowers Sweet peppersCelery T able grapesCherries TomatoesCitrus fruit WalnutsCourgettes Water melonsCucumbers Witloof chicoryGarlic2200
/96
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40ANNEX II
List of products eligible for Community withdrawal compensation under Article 23 (3)
Cauliflowers
To m at o es
AuberginesApricots
Peaches
NectarinesLemons
Pears (other than perry pears)
Tab l e g r ap es
Apples (other than cider apples)
SatsumasMandarins
Clementines
OrangesMelons
Water melons2200
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41ANNEX III
Exhaustive list of rules applied by producer organizations that may be extended to non-member producers
Article 18 (1)
1. R u l e so np r o d u c t i o ni n f o r m a t i o n
(a) notification of growing intentions, by product and where appropriate variety;(b) notification of sowings and plantings;
(c) notification of total areas grown, by product and if possible variety;
(d) notification of anticipated tonnages and probable cropping dates by product and if possible
variety;
(e) periodic notification of quantities cropped and available stocks, by variety;
(f) information on storage capacities.
2.P r o d u c t i o n r u l e s
(a) choice of seed to be used according to intended destination (fresh market/industrial processing);
(b) thinning in orchards.
3. Marketing rules
(a) specified dates for commencement of cropping, staggering of marketing;
(b) minimum quality and size requirements;(c) preparation, presentation, packaging and marking at first marketing stage;
(d) indication of product origin.
4. Rules on the protection of the environment
(a) use of fertilizer and manure;(b) use of plant-health products and other crop protection methods;
(c) maximum residue content in fruit and vegetables of plant-health products and fertilizers;
(d) rules on disposal of by-products and used material;(e) rules on destruction of products withdrawn from the market.
5. Withdrawals
— rules adopted under Article 23 in accordance with the terms of Article 25.2200
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42ANNEX IV
Non-exhaustive list of matters that may be covered by national and Community inspection
Conformity with product standards (Articles 7 and 8)
Compliance with terms of recognition of producer organizations (Article 12)
Implementation of action plan (Article 13)Implementation of recognition plan and utilization of aid (Article 14)
Management of operational fund and implementation of operational programme (in particu-
lar close scrutiny of use of public funds) (Article 15)
Compliance with terms governing the extension of rules to non-producers (Article 18)
Compliance with terms governing interbranch organizations and agreements and extension of
rules (Articles 19, 20 and 21)
Withdrawal operations (Articles 23 et seq. )
Proper payment of Community withdrawal compensation (Article 29)Disposal of products withdrawn from market (Article 30)
Application of rules on trade with third countries (Articles 31 et seq .).2200
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43ANNEX V
Community withdrawal compensation
(ECU/100 kg)
Marketing years 1997/1998 1998/1999 1999/2000 2000/2001 2001/2002As from
2002
Cauliflowers 9,34 8,88 8,41 7,94 7,48 7,01
T omatoes 6,44 6,12 5,80 5,47 5,15 4,83
Apples 10,69 10,32 9,94 9,56 9,18 8,81
Grapes 10,69 10,15 9,62 9,08 8,55 8,02
Apricots 18,90 17,95 17,01 16,06 15,12 14,17
Nectarines 17,39 16,52 15,65 14,78 13,91 13,04
Peaches 14,65 13,92 13,18 12,45 11,72 10,99
Pears 10,18 9,82 9,46 9,10 8,75 8,39
Aubergines 5,29 5,02 4,76 4,49 4,23 3,97
Melons 4,00 4,00 4,00 4,00 4,00 4,00
Water melons 4,00 4,00 4,00 4,00 4,00 4,00
Oranges 14,33 14,26 14,20 14,13 14,07 14,00
Mandarins 16,15 15,52 14,89 14,26 13,63 13,00
Clementines 12,74 12,79 12,84 12,90 12,95 13,00
Satsumas 10,49 10,99 11,49 12,00 12,50 13,00
Lemons 13,37 13,30 13,22 13,15 13,07 13,002200 /96
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44ANNEX VI
Correlation table
Regulation (EEC) No 1035/75 This Regulation
Article 1 Article 1
Article 2 Article 2
Article 3 Article 3
Article 4 —
Article 5 Article 4
Article 6 Article 5
Article 7 Article 6
Article 8 Article 7
Articles 9 and 11 Article 8
Article 10 Article 10
Article 12 Article 9
Article 13 Article 11
Article 13a —
Article 13b —
Article 14 Article 14
Article 14a —
Article 14b —
Article 14c —
Article 14d —
Article 14e Article 54
Article 14f —
Article 14g —
Article 15 Article 23
Article 15a —
Article 15b Article 18
Article 16 —
Article 16a —
Article 16b Article 27
Article 17 Article 28
Article 18 Article 29
Article 18a Article 24
Article 19 —
Article 19a —
Article 19b —
Article 19c —
Article 20 —
Article 21 Article 30
Article 22 Article 31
Article 23 Article 32
Article 24 Article 33
Article 25 Article 342200 /96
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45Regulation (EEC) No 1035/75 This Regulation
Article 26 Article 35
Article 27 Article 36
Article 31 Article 43
Article 32 Article 45
Article 33 Article 46
Article 34 Article 47
Article 35 —
Article 36 Article 52
Article 36a Article 52
Article 37 Article 49
Article 38 Article 44
Article 40 —
Article 41 Article 58
Article 42 Article 582200 /96