2001R0245 — EN — 01.05.2002 — 003.001 — 1
This document is meant purely as a documentation tool and the institutions do not assume any liability for its contents
►B COMMISSIONREGULATION(EC)No245/2001
of5February2001
laying down detailed rules for the application of Council Regulation (EC) No 1673/2000 on the
commonorganisationofthemarketsinflaxandhempgrownforfibre
(OJ L 35, 6.2.2001, p. 18)
Amended by:
Official Journal
No page date
►M1Commission Regulation (EC) No 1093/2001 of 1 June 2001 L 150 17 6.6.2001
►M2amended by Commission Regulation (EC) No 2105/2001 of 26
October 2001L 283 11 27.10.2001
►M3Commission Regulation (EC) No 52/2002 of 11 January 2002 L 10 10 12.1.2002
►M4Commission Regulation (EC) No 651/2002 of 16 April 2002 L 101 3 17.4.2002
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COMMISSIONREGULATION(EC)No245/2001
of5February2001
laying down detailed rules for the application of Council Regula-
tion (EC) No 1673/2000 on the common organisation of the
marketsinflaxandhempgrownforfibre
THE COMMISSION OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Community,
Having regard to Council Regulation (EC) No 1673/2000 of 27 July
2000 on the common organisation of the markets in flax and hempgrown for fibre(
1), and in particular Article 9 thereof,
Having regard to Council Regulation (EC) No 2799/98 of 15 December
1998 establishing agrimonetary arrangements for the euro(2), and in
particular Article 3 thereof,
Whereas:
(1)Regulation (EC) No 1673/2000 provides inter alia for measures
relating to the internal market in flax and hempgrown for fibre,comprising aid to authorised primary processors of flax andhempstraw and to farmers who have straw p rocessed on their
own account, the detailed implementing rules for which must
be laid down.
(2)The conditions governing authorisation of primary processorsand the obligations to be met by farmers who have strawprocessed on their own account must be laid down. The informa-
tion that must be shown in sale/purchase contracts, processing
commitments and processing contracts covering straw as referredto in Article 2(1) of Regulation (EC) No 1673/2000 must also bespecified.
(3)Some primary processors of flax straw mainly produce long flaxfibre, together, as a sideline, with short flax fibre containing a
high percentage of impurities and shives. Where they do not
have suitable facilities for cleaning such secondary products,they may have the short fibre cleaned under contract by anotheroperator. In such circumstances, the cleaning of fibre undercontract should be regarded as an operation carried out by the
primary processor authorised in respect of short flax fibre. The
conditions to be met by the operators concerned, in particularwith a view to controls, should accordingly be laid down.
(4)To ensure the eligibility of these products for aid, areas underflax or hempgrown for fibre from which p rocessed straw comesmust be able to be identified using the system for identifying
agricultural parcels provided for in Council Regulation (EEC)
No 3508/92 of 27 November 1992 establishing an integratedadministration and control system for certain Community aidschemes(
3), as last amended by Regulation (EC) No 1593/
2000(4). To that end, a link must be established between straw
eligible for processing aid and the areas for which ‘area’ aid
applications as provided for in Article 4 of Commission Regula-tion (EEC) No 3887/92- of 23 December 1992 laying downdetailed rules for applying the integrated administration andcontrol system for certain Community aid schemes(
5), as last
amended by Regulation (EC) No 2721/2000(6), have been
submitted in respect of the marketing year concerned.
(5)With a view to ensuring sound administrative management while
adapting to the special conditions applying on the markets for2001R0245 — EN — 01.05.2002 — 003.001 — 2
(1) OJ L 193, 29.7.2000, p. 16.
(2) OJ L 349, 24.12.1998, p. 1.
(3) OJ L 355, 5.12.1992, p. 1.
(4) OJ L 182, 21.7.2000, p. 4.
(5) OJ L 391, 31.12.1992, p. 36.
(6) OJ L 314, 14.12.2000, p. 8.
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flax and hemp, the period during which flax and hemp straw
grown for fibre can be processed and, where applicable,marketed should be determined.
(6)Where Member States decide to grant aid on short flax fibre orhempfibre containing more than 7,5 % imp urities and shives, a
method of calculation allowing the quantity produced to be
expressed in terms of an equivalent quantity with a 7,5 % impu-rities and shives content should be laid down.
(7)With a view to helping to ensure that the stabiliser mechanismfunctions properly, provision should be made to limit the quanti-ties of fibre on which processing aid can be granted in respect ofa marketing year to the quantity arrived at by multiplying thenumber of hectares covered by contracts or processing commit-
ments by a unit quantity per hectare. That unit quantity is to be
determined by the Member State on the basis of the nationalguaranteed quantities established and of the hectares cultivated.
(8)Given the variations in the national guaranteed quantities thatmay result from the flexibility introduced by Article 3 of Regu-lation (EC) No 1673/2000, detailed rules should be laid down forestablishing such national guaranteed quantities for each
marketing year, taking account of any adjustments that may
prove necessary with a view to apportioning the national guaran-teed quantities suitably among the beneficiaries of the processingaid.
(9)Processing aid is to be granted subject to the conclusion of acontract or commitment as referred to in Article 2 of Regulation(EC) No 1673/2000. In addition, transfers between national guar-anteed quantities and the unit quantities per hectare must be
fixed in good time by the Member State on the basis of the areas
covered by contracts or commitments. Provision should be madefor the relevant information in such contracts or commitments tobe forwarded by the operators to the competent authorities of theMember State at the start of processing operations. In order topermit some flexibility in the trade concerned, the possibilities
for transferring contracts among authorised primary processors
should be subject to a limit.
(10)With a view to sound management of the aid scheme, the infor-mation that must be forwarded by the operators to the competentauthorities of the Member State and the notifications to be madeto the Commission by the Member States must be stipulated.
(11)In order to manage a scheme based on aid granted on the basisof the quantities of fibre produced over a period of 22 months,provision should be made for the lodging, at the start of proces-sing operations for a given marketing year, of aid applications
covering fibre to be obtained, the quantities of which are to be
indicated periodically thereafter.
(12)On account of the possible adjustments to the national guaran-teed quantities and the unit quantities per hectare, the totalquantities of fibre on which the aid can be granted are knownonly after processing is completed. Provision must accordinglybe made for advances on the aid to be paid to authorised primary
processors on the basis of the quantities of fibre obtained peri-
odically. In order to ensure that amounts due whereirregularities are observed are actually paid, such advancepayments should be made subject to the lodging of a security.Such securities must comply with certain provisions of Commis-sion Regulation (EEC) No 2220/85 of 22 July 1985 laying down
common detailed rules for the application of the system of secu-
rities for agricultural products(
1), as last amended by Regulation
(EC) No 1932/1999(2).2001R0245 — EN — 01.05.2002 — 003.001 — 3
(1) OJ L 205, 3.8.1985, p. 5.
(2) OJ L 240, 10.9.1999, p. 11.
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(13)Additional aid as provided for in Article 4 of Regulation (EC)
No 1673/2000 is to be granted only in respect of areas the straw
produced from which has qualified for aid for processing intolong flax fibre. A minimum yield of long flax fibre producedper hectare covered by a contract or a commitment shouldaccordingly be established so that the circumstances under whichthat condition is met can be determined.
(14)A system of administrative and on-the-spot checks is vital forthe proper conduct of the operations. The items that must bechecked and the minimum number of on-the-spot checks to becarried out per marketing year must be specified.
(15)The consequences of any irregularities observed must be laiddown. They must be sufficiently severe as to discourage anyunlawful use of Community aid while complying with the prin-ciple of proportionality.
(16)In order to bring the time when the fibre is obtained sufficiently
close to the operative event for the exchange rate for advance
payments and processing aid, that event must take place on thelast day of each period for the notification of the quantities offibre obtained.
(17)With a view to a smooth switchover to the new arrangements,
transitional provisions must be laid down in the 2001/02
marketing year as regards the granting of authorisation toprimary processors. The competent authorities must in particularknow the exact quantities in storage at the time of application ofthe new aid scheme in order to prevent abuses and provision
must therefore be made for a specific notification to that end to
be made by the operators concerned.
(18)Regulation (EC) No 1673/2000 introduces a new common orga-nisation of the markets in flax and hempgrown for fibre fromthe 2001/02 marketing year and repeals, as from 1 July 2001,
the Council Regulations on the common organisation of the
marker in force in that sector until the 2000/01 marketing year.As from the 2001/02 marketing year, Commission Regulations(EEC) No 1215/71 of 10 June 1971 on detailed rules concerningthe outline provisions for contracts for the sale of flax and hemp
straw(
1), (EEC) No 1523/71 of 16 July 1971 on communications
between Member States and the Commission on flax andhemp(
2), (EEC) No 1524/71 of 16 July 1971 laying down
detailed rules concerning private storage aid for flax and hempfibres(
3), (EEC) No 1164/89 of 28 April 1989 laying down
detailed rules concerning the aid for fibre flax and hemp(4),
(EEC) No 1784/93 of 30 June 1993 fixing the adjustment coeffi-
cients for aid for fibre flax(5) and (EC) No 452/1999 of 1 March
1999 fixing the minimum yields for the granting of aid for theproduction of fibre flax and hemp(
6) should accordingly be
repealed.
(19)The measures provided for in this Regulation are in accordancewith the opinion of the Management Committee for Flax andHemp,2001R0245 — EN — 01.05.2002 — 003.001 — 4
(1) OJ L 127, 11.6.1971, p. 22.
(2) OJ L 160, 17.7.1971, p. 14.
(3) OJ L 160, 17.7.1971, p. 16.
(4) OJ L 121, 29.4.1989, p. 4.
(5) OJ L 163, 6.7.1993, p. 7.
(6) OJ L 54, 2.3.1999, p. 11.
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HAS ADOPTED THIS REGULATION:
Article 1
Purpose
The detailed rules for the application of the common organisation of
the markets in flax and hempgrown for fibre established by Regulation(EC) No 1673/2000 shall be as laid down herein.
Article 2
Definitions
For the purposes of this Regulation:
— ‘persons treated as processors’ means farmers who, in accordance
with Article 2(1)(b) of Regulation (EC) No 1673/2000, haveconcluded contracts with an authorised primary processor to have
straw belonging to them processed into fibre,
— there are three types of fibre as follows:
(a) ‘long flax fibre’ means flax fibres obtained by complete separa-
tion of the fibres and the woody parts of the stalk that are at
least 50 cm long on average after scutching and are arranged
in parallel strands in bundles, sheets or slivers;
(b) ‘short flax fibre’ means flax fibres other than as referred to in
(a) that are obtained by at least partial separation of the fibresand the woody parts of the stalk;
(c) ‘hempfibre’ means hempfibres obtained by at least p artial
separation of the fibres and the woody parts of the stalk.
Article 3
Authorisationofprimaryprocessors
1. Primary processors must submit applications for authorisation to
the competent authorities including at least:
(a) a description of the undertaking and of the full range of products
obtained by processing flax and hemp straw;
(b) a description of the processing plant and equipment, giving details
of their location and technical specifications covering:
— energy consumption and the maximum quantities of flax and
hemp straw that can be processed per hour and per year,
— the maximum quantities of long flax fibre, short flax fibre and
hemp fibre that can be obtained per hour and per year,
— the indicative quantities of flax and hempstraw required to
obtain 100 kg of each product referred to in (a);
(c) a description of the storage facilities, giving details of their location
and capacity in tonnes of flax and hemp straw and fibre.
The Member State may waive the requirement on primary processors
approved for the 2000/01 marketing year under Article 3 of CouncilRegulation (EEC) No 619/71(
1) to submit information that is already
available, provided that the primary processors in question declare that
there has been no change in the situation.
2. Applications for authorisation shall include an undertaking
applying from the date of submission to:
— store separately by marketing year of harvest of the straw
concerned and by Member State of harvest, flax straw, hempstraw,long flax fibre, short flax fibre and hempfibre:
(a) covered by all sale/purchase contracts and processing commit-
ments combined,2001R0245 — EN — 01.05.2002 — 003.001 — 5
(1) OJ L 72, 26.3.1971, p. 2.
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(b) covered by each processing contract concluded with persons
treated as processors,
(c) from all other suppliers combined and, where applicable, corre-
sponding to batches of fibre obtained from straw falling within(a) but not to be covered by an aid application,
— keepdaily records of stocks or records by lot, linked regularly to
financial accounts, and of the information specified in paragraph 5,
together with supporting documents as specified by the MemberState for the purpose of controls,
— notify the competent authority of any changes in the information
covered by paragraph 1,
— undergo any checks required under the aid scheme provided for in
Regulation (EC) No 1673/2000.
3. After an on-the-spot inspection to check that the information
covered by paragraph 1 tallies with the facts, the competent authority
shall grant primary processors authorisation covering the types of fibre
meeting the conditions for eligibility for the aid which they mayproduce and shall allocate an authorisation number to each.
Authorisation shall be granted within two months of submission of
applications.
Where there is a change in one or more items of information covered
by paragraph 1, the competent authority shall confirm or adjust author-isations, where necessary after an on-the-spot check, in the monthfollowing that of notification of the change. However, any adjustmentaffecting the types of fibre covered by authorisations granted may take
effect only from the following marketing year.
4. In connection with the authorisation of primary processors in
respect of long flax fibre and simultaneously in respect of short flax
fibre, the Member States may allow short flax fibre to be cleaned underthe conditions laid down in this paragraph and if it considers thecontrol arrangements to be satisfactory, so that the fibre complies withthe impurity and shive limits laid down in Article 2(3)(b) of Regulation(EC) No 1673/2000.
In such cases primary processors shall state their intention to make use
of the provisions of this paragraph in their applications for authorisa-
tion as provided for in paragraph 1.
►
M3A maximum of two cleaners of short flax fibre ◄may be
granted authorisation per authorised primary processor per marketing
year concerned.
Before 1 February in respect of each marketing year, authorised
primary processors shall present the competent authorities with acontract for the cleaning of short flax fibre, including at least:
(a) the date of conclusion of the contract and the marketing year corre-
sponding to the harvest of the straw from which the fibreconcerned has been obtained;
(b) the primary processor's authorisation number and, in the case of
cleaners of short flax fibre, their names, business names and
addresses and the location of the plant;
(c) a statement to the effect that the cleaner of short flax fibre under-
takes to:
(i) store cleaned and uncleaned short flax fibre separately by
cleaning contract,
(ii) keepsep arately by cleaning contract, daily records of the
quantities of uncleaned short flax fibre entering the under-taking, the quantities of cleaned short flax fibre obtained, andthe quantities of each in storage,
(iii) keep supporting documents as specified by the Member State
for the purposes of controls and undergo any checks requiredunder this Regulation.2001R0245 — EN — 01.05.2002 — 003.001 — 6
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Cleaners' undertakings as referred to in point (c) shall be deemed to be
undertakings of primary processors under their authorisations.
5. Stock records of authorised primary processors shall specify, by
day►M3or lot◄and by category of straw or type of fibre stored
separately:
(a) the quantities entering the undertaking and covered by each
contract or commitment as referred to in Article 5 and, whereapplicable, from each other supplier;
(b) the quantities of straw processed and the quantities of fibre
obtained;
(c) the estimated losses and the quantities destroyed, with justifica-
tions;
(d) the quantities leaving the undertaking, broken down by consignee;
(e) the quantities in each store.
Authorised primary processors must be in possession of certificates of
delivery or take-over from the supplier or consignee concerned or other
equivalent document accepted by the Member State covering all
consignments of straw and fibre entering or leaving the undertakingand not covered by a contract or commitment as referred to in Article5. Authorised primary processors shall keep a record of the names orbusiness names and addresses of all suppliers and consignees.
6. A lot shall be a determined quantity of flax or hempstraw
numbered on entry into the processing plants or storage facilities
referred to in paragraph 1.
A lot may relate to only one sale/purchase contract covering straw,
processing commitment or processing contract as referred to in Article
5.
Article 4
Obligationsofpersonstreated asprocessors
Persons treated as processors must:
(a) be in possession of a contract with an authorised primary processor
for the processing of straw into long flax fibre, short flax fibre and/or hempfibre;
(b) keepa register showing the following from the beginning of the
marketing year in question in respect of each day concerned:
— the quantities of flax and hempstraw grown for fibre obtained
and delivered under each processing contract,
— the quantities of long flax fibre, short flax fibre and/or hemp
fibre obtained,
— the quantities of long flax fibre, short flax fibre and/or hemp
fibre sold or transferred, with the names and addresses of theconsignees;
(c) keep the supporting documents stipulated by the Member State for
the purpose of controls; and
(d) agree to undergo any checks provided for under this aid scheme.
Article 5
Contracts
1. Sale/purchase contracts covering straw, processing commitments
and processing contracts as referred to in Article 2(1) of Regulation
(EC) No 1673/2000 shall stipulate at least:
(a) the date of conclusion of the contract and the marketing year corre-
sponding to the harvest concerned;
(b) the primary processor's authorisation number, the farmer's identifi-
cation number under the integrated administration and control2001R0245 — EN — 01.05.2002 — 003.001 — 7
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system provided for in Regulation (EEC) No 3508/92 and their
names and addresses;
(c) details identifying the agricultural parcel(s) concerned in accor-
dance with the system for identifying agricultural parcels providedfor under the integrated administration and control system;
(d) the areas under flax grown for fibre and those under hempgrown
for fibre.
2. Before 1 January of the marketing year concerned, sale/purchase
or processing contracts covering straw may be transferred to anauthorised primary processor other than the one who originallyconcluded the contract, with the signed agreement of the farmer andof the authorised primary processors transferring the contract between
them.
After 1 January of the marketing year concerned, transfers of contracts
as provided for in the first subparagraph may take place only underexceptional circumstances, backed up by duly justified supportingevidence and with the authorisation of the Member State.
Article 6
Informationtobeprovidedbyoperators
1. Before the date set by the Member State and by 20 September at
the latest following the beginning of the marketing year in question,
authorised primary processors and persons treated as processors shall
provide the competent authorities with:
— a list of all sale/purchase contracts, processing commitments and
processing contracts as referred to in Article 5 for that marketing
year, broken down into flax and hempand mentioning the farmer's
identification number under the integrated administration andcontrol system and the parcels concerned, and
— a declaration of the total areas under flax and the total areas under
hemp covered by sale/purchase contracts, processing commitmentsand processing contracts.
However, the Member State may require a copy of all documents
concerned instead of the list referred to in the first indent of the firstsubparagraph.
Where certain processing contracts or processing commitments relate to
areas located in a Member State other than that in which the primary
processor is authorised, the information specified in the first subpara-graph relating to the areas concerned shall also be supplied by theparty concerned to the Member State in which harvest takes place.
2. In respect of the first six months of the marketing year and each
four-month period thereafter, authorised primary processors and
persons treated as processors shall declare the following to the compe-
tent authorities by the end of the following month as regards eachcategory of products stored separately:
(a) the quantities of fibre produced and covered by aid applications;
(b) the quantities of other fibres produced;
(c) the aggregate total quantity of straw that has entered the under-
taking;
(d) the quantities in storage;
(e) where appropriate, a list drawn up in accordance with the first
indent of paragraph 1 of sale/purchase contracts covering straw►
M1and processing contracts ◄that have been transferred in
accordance with the first subparagraph of Article 5(2), giving the
names of transferees and of transferors.
For each period concerned, together with their declarations as provided
for in the first subparagraph persons treated as processors shall submitsupporting evidence concerning quantities of fibre placed on the marketand covered by aid applications. Such supporting evidence shall bespecified by the Member State and shall include at least copies of sales2001R0245 — EN — 01.05.2002 — 003.001 — 8
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invoices covering flax and hempfibre and an attestation from the
authorised primary processor who has processed the straw certifyingthe quantities and types of fibre obtained.
After notifying the Member State, authorised primary processors and
persons treated as processors may stop sending the declarations asprovided for in this paragraph concerning quantities entering andleaving the undertaking and quantities processed where such operationshave ceased definitively for the marketing year concerned.
3. Before 1 May following the marketing year in question,
authorised primary processors shall inform the competent authoritiesof the main ways in which the fibre and other products obtained havebeen used.
Article 7
Entitlementtoaid
1. Aid for processing flax and hemp straw as provided for in Article
2 of Regulation (EC) No 1673/2000 shall be payable on flax and hemp
fibre only where it:
— comes from straw covered by sale/purchase contracts, processing
commitments or processing contracts as referred to in Article 5
covering parcels under flax or hemp grown for fibre and by ‘area’aid applications as referred to in Article 4 of Regulation (EEC) No3887/92 submitted in respect of the marketing year concerned, and
— is obtained before l May following the end of the marketing year in
question by an authorised primary processor and, in the case ofpersons treated as processors, is placed on the market before that
date.
2. Where the Member State decides to grant aid on short flax fibre
or hempfibre containing more than 7,5 % imp urities and shives, inaccordance with Article 2(3)(b) of Regulation (EC) No 1673/2000 thequantity ‘Q’ on which the aid is granted shall be calculated by applying
the formula:
where ‘P’ stands for the quantity of eligible fibre obtained with not
more than the authorised percentage ‘x’ of impurities and shives.
Article 8
Nationalguaranteedquantities
1. The 5 000 tonnes of short flax fibre and hemp fibre for appor-
tioning as national guaranteed quantities in accordance with Article3(2)(b) of Regulation (EC) No 1673/2000 shall be allocated before 16November for the marketing year in progress on the basis of informa-tion forwarded to the Commission by the Member States concernedbefore 16 October and covering:
— the areas covered by sale/purchase contracts, processing commit-
ments and processing contracts submitted in accordance withArticle 6, and
— the estimated flax and hempstraw and fibre yields.
2. In order to establish the national quantities on which processing
aid may be granted in respect of a given marketing year, before 1
January of the marketing year in question the Member States shalldetermine the transfers of national guaranteed quantities made in accor-dance with Article 3(5) of Regulation (EC) No 1673/2000.
However, for the purposes of applying paragraph 4 of this Article,
before 1 August following the time limit laid down in the second
indent of Article 7(1) the Member State may adjust the quantities trans-ferred.
3. For the purposes of applying Article 2(4) of Regulation (EC) No
1673/2000, the quantity of long flax fibre, short flax fibre and hempfibre on which processing aid may be granted in respect of a marketing2001R0245 — EN — 01.05.2002 — 003.001 — 9
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year to an authorised primary processor or a person treated as a
processor shall be limited to the number of hectares of parcels coveredby a sale/purchase contract or a processing commitment or, as the case
may be, a processing contract, multiplied by a unit quantity to be deter-
mined.
Before 1 January of the marketing year in progress the Member State
shall determine the unit quantity referred to in the first subparagraphfor the whole of its territory for each of the three types of fibreconcerned.
4. Where the quantities of fibre on which aid is payable to certain
authorised primary processors or certain persons treated as processorsare below the limits applicable to them pursuant to paragraph 3, theMember State may, after receiving all declarations as provided for inArticle 6(2)(a) in respect of the marketing year concerned, increase
the unit quantities as referred to in paragraph 3 so as to reallocate the
quantities available to the other authorised primary processors orpersons treated as processors whose eligible quantities exceed thelimits applicable to them.
5. The Commission shall publish the information forwarded by the
Member States pursuant to Article 15 concerning the quantities referredto in paragraph 2 and the unit quantities as referred to in paragraphs 3and 4 in the ‘C’ series of the OfficialJournaloftheEuropeanCommu-
nities.
Article 9
Aidapplications
1. Authorised primary processors shall submit applications for aid
for processing straw to the competent authorities in respect of long
flax fibre, short flax fibre and hempfibre to be obtained from straw
from the marketing year concerned before the time limit laid down inthe second indent of Article 7(1). Such applications shall be submittedby the date laid down in Article 6(1) at the latest.
Where the fibre is to be obtained partly from straw produced in a
Member State other than that in which the primary processor isauthorised, the aid applications shall be submitted to the competentauthority in the Member State where the straw is harvested and a
copy shall be forwarded to the Member State where the primary
processor is authorised.
2. Persons treated as processors shall submit applications for aid for
processing straw to the competent authorities in respect of long flax
fibre, short flax fibre and hempfibre to be obtained from straw fromthe marketing year concerned and placed on the market before thetime limit laid down in the second indent of Article 7(1). Such applica-tions shall be submitted by the date laid down in Article 6(1) at thelatest.
3. Aid applications shall include at least:
— the applicants' names, addresses and signatures and, where applic-
able, the authorisation numbers of primary processors or the
identification numbers under the integrated administration and
control system of persons treated as processors,
— a statement that the quantities of long flax fibre, short flax fibre and
hemp fibre covered by the application will be covered by declara-tions as provided for in Article 6(2)(a).
For the purposes of granting the aid, declarations as provided for in
Article 6(2)(a) shall form an integral part of aid applications.
Article 10
Advancesontheaid
1. Where applications for advances are submitted with declarations
of fibre obtained as provided for in Article 6(2)(a), the advances shallbe paid to the authorised primary processors by the end of the month2001R0245 — EN — 01.05.2002 — 003.001 — 10
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following that of submission of the declaration, provided that an aid
application has been submitted in accordance with Article 9. Withoutprejudice to the limit laid down in Article 8(3), advances shall be equal
to 80 % of the aid corresponding to the quantities of fibre declared.
2. Advances shall be paid only where no irregularity has been found
to have been committed by the applicant in respect of the marketingyear concerned under the controls provided for in Article 13 and where
a security has been lodged.
Except as regards the relevant securities where short flax fibre is
cleaned under contract, for each authorised primary processor andeach type of fibre, the security shall be 35 % of the amount of the aidcorresponding to the quantities of fibre resulting from the multiplica-tion referred to in the first subparagraph of Article 8(3) of this
Regulation.
However, Member States may provide that the amount of the security
be based on estimate production. In this case:
(a) the security may not be released either in part or in full before the
granting of the aid;
(b) notwithstanding the fifth subparagraph, in relation to the total
amount of advances paid the amount of the security may not beless than:
— 110 % upto 30 Ap ril of the marketing year in question,
— 75 % between 1 May of the marketing year in question and 31
August following,
— 50 % between 1 September following the marketing year in
question and the date of payment of the balance of the aid.
Where short flax fibre is cleaned under contract, the relevant
security shall be equal to 110 %:
— of the amount of aid corresponding to the quantities of fibres
resulting from the multiplication referred to in the first subpar-agraph of Article 8(3) hereto, or
— where the Member State applies the above subparagraph, the
total amount of advances paid for the marketing year in ques-tion.
The security shall be released in full between the first and the 10th
day following that of granting of the aid in proportion to the quan-tities on which the Member State has granted the processing aid.
3. Article 3 and Titles II, III and VI of Regulation (EEC) No 2220/
85 shall apply to securities as referred to in this Article.
Article 11
Additionalaid
Additional aid as provided for in Article 4 of Regulation (EC) No
1673/2000 shall be granted to primary processors of long flax fibrewho are authorised in respect of areas located in the zones listed inthe Annex to that Regulation and covered by sale/purchase contractsand processing commitments submitted in accordance with Article6(1) of this Regulation.
However, the area in respect of which additional aid is granted shall
not exceed that corresponding to the quantity of long flax fibre meeting
the conditions for eligibility for the processing aid and obtained inrespect of the marketing year concerned, divided by a yield of 680 kgof long flax fibre per hectare.
Article 12
Paymentofaid
1. Processing aid and, where appropriate, additional aid shall be
granted once all the checks laid down have been performed and after2001R0245 — EN — 01.05.2002 — 003.001 — 11
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the definitive quantities of fibre eligible for the aid have been deter-
mined in respect of the marketing year concerned.
2. Before 1 August following the time limit laid down in the second
indent of Article 7(1), processing aid and, where appropriate, additionalaid shall be paid by the Member State on whose territory the flax orhempstraw has been harvested.
Article 13
Controls
1. Controls shall be performed to ensure compliance with the condi-
tions for granting the aid and shall in particular involve:
— checking compliance with the conditions for authorising primary
processors and fulfilment of their obligations by persons treated asprocessors,
— comparing information on agricultural parcels referred to in sale/
purchase contracts, processing commitments and processingcontracts to see whether it tallies with that determined in accor-dance with Regulation (EC) No 1251/1999,
— checking information in support of quantities covered by aid appli-
cations from authorised primary processors and persons treated asprocessors.
Checks of authorised primary processors carried out by the competent
authorities of Member States shall cover the processing of all flax andhempstraw grown for fibre p roduced in the Community.
2. On-the-spot inspections conducted for the purposes of controls as
provided for in paragraph 1 shall be decided by the competent authori-ties, in particular on the basis of a risk analysis, with a view tochecking at least 75 % of authorised primary processors and 10 % ofpersons treated as processors per marketing year. However, in no case
may the number of on-the-spot inspections conducted in any Member
State be less than the total number of hectares declared as under flaxand hempin that Member State, divided by 750.
On-the-spot inspections shall also cover all cleaners of short flax fibre
who have concluded contracts with authorised primary processors for
the cleaning of fibre.
3. On-the-spot inspections shall in particular involve checking:
— plant, stocks and fibre obtained,
— stock records and financial accounts,
— the energy consumed by the various means of production and docu-
ments relating to labour employed, and
— any commercial documents relevant to controls.
In the event of doubt as to the eligibility of fibre, and in particular as
regards the impurities content of short flax fibre or hemp fibre, a repre-
sentative sample shall be taken from the batches called into question
and a precise determination carried out of the relevant characteristics.Where applicable and depending on the circumstances, the MemberState shall determine the quantities that are not eligible among thosecovered by aid applications.
In cases as referred to in Article 3(3) of Regulation (EC) No 1673/
2000, the Member State conducting the inspection shall send the find-ings immediately to the Member State that is to pay the aid.
Article 14
Penalties
1. Where checks show that undertakings entered into in authorisa-
tion applications are not fulfilled, authorisation shall be withdrawnimmediately and, notwithstanding Article 3(3), primary processorswhose authorisation has been withdrawn shall not be granted anyfurther authorisation before the second marketing year beginning after2001R0245 — EN — 01.05.2002 — 003.001 — 12
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the date of the check or the date on which any failure to fulfil such
undertakings has been established.
2. Where a false declaration is made deliberately or as a result of
serious negligence or where the primary processor has signed sale/purchase contracts covering straw or has entered into processingcommitments covering a number of hectares which would normallyprovide a significantly higher output than can be processed in accor-
dance with the technical specifications shown in his authorisation, the
authorised primary processor or person treated as a processor shall notqualify for processing aid or, where applicable, for additional aid asprovided for in Article 4 of Regulation (EC) No 1673/2000 in respectof the marketing year concerned and the following marketing year.
3. Where quantities of long flax fibre, short flax fibre or hempfibre
covered by aid applications are found to exceed those meeting theconditions for eligibility for the aid and actually obtained in respect ofa period as referred to in Article 6(2), the aid that may be granted oneach type of fibre shall, without prejudice to Article 8(3), be calculated
on the basis of the quantities actually eligible in respect of the
marketing year concerned, less twice the difference with those coveredby aid applications.
4. Except in cases of force majeure , in the event of late submission
of aid applications as provided for in Article 9 or of late submission or
late declaration of information as provided for in Article 6, the aid
applied for and which the party concerned would have been entitledto if the application had been submitted or declared by the deadlineshall be reduced by 1 % per working day. Applications and informationas provided for in Article 6(1) submitted more than 25 days late shall
be inadmissible.
5. Where applicable, the additional aid referred to in Article 11 shall
be reduced by the same percentage as that applied to the total proces-sing aid granted in respect of the marketing year concerned.
Article 15
Notifications
1. In the second month following the end of each period as referred
to in the first subparagraph of Article 6(2), the Member States shall
notify the Commission of:
(a) the total quantities of long flax fibre, short flax fibre and hemp
fibre, adjusted, where applicable, in accordance with Article 7(2),for which aid applications have been submitted in the periodconcerned;
(b) the quantities sold each month and the relevant prices that may be
recorded on the most important markets at the production stage for
the qualities of fibre of Community origin that are most representa-
tive of the market;
(c) for each marketing year, a summary statement of the quantities of
long flax fibre, short flax fibre and hempfibre obtained from strawof Community origin in storage at the end of the period concerned.
2. By 31 January at the latest and in respect of the marketing year in
progress, the Member States shall notify the Commission of:
(a) transfers of national guaranteed quantities made in accordance with
Article 3(5) of Regulation (EC) No 1673/2000 and the national
guaranteed quantities resulting from such transfers;
(b) a summary statement of areas under flax and hempgrown for fibre
and covered by contracts or commitments as referred to in Article2(1) of Regulation (EC) No 1673/2000;
(c) the unit quantities determined in accordance with Article 8(3);
(d) estimated production of flax and hemp straw and fibre;2001R0245 — EN — 01.05.2002 — 003.001 — 13
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(e) the number of authorised processing undertakings and their total
processing capacity in terms of the various types of fibre in respectof the marketing year in progress;
(f) where applicable, the number of contract cleaners of short flax
fibre.
3. By 30 September of each year at the latest, the Member States
shall send the Commission the following information relating to the
next-to-last marketing year:
(a) a summary statement of the total quantities of long flax fibre, short
flax fibre and hemp fibre covered by aid applications:
1. and recognised as eligible for processing aid as provided for in
Article 2(1) of Regulation (EC) No 1673/2000;
2. but not recognised as eligible for processing aid, specifying the
quantities not qualifying for the aid as a result of an overrun in
the national guaranteed quantities determined pursuant to Article8;
3. for which the securities provided for in Article 10 have been
forfeited;
(b) the total quantities of short flax fibre and hempfibre that are not
eligible because they contain a percentage of impurities in excessof the limit laid down in Article 2(3)(b) of Regulation (EC) No
1673/2000 and that have been obtained by authorised primary
processors and persons treated as processors;
(c) a summary statement of the number of hectares located respec-
tively in zones I and II as defined in the Annex to Regulation
(EC) No 1673/2000 and on which the additional aid provided for
in Article 4 of that Regulation has been granted;
(d) where applicable, the national guaranteed quantities and unit
amounts resulting from the adjustments provided for in the second
subparagraph of Article 8(2) and Article 8(4);
(e) the number of penalties as provided for in Article 14(1), (2) and (3)
that it has been decided to apply and those that are under consid-eration;
(f) where applicable, a report on the application of Article 3(4) and on
the controls and quantities concerned.
4. Where the Member State decides pursuant to the second subpara-
graph of Article 2(3)(b) of Regulation (EC) No 1673/2000 to grant aidon short flax fibre or hempfibre containing more than 7,5 % imp urities
and shives, it shall notify the Commission by no later than 31 January
of the marketing year in progress, specifying the traditional outletsconcerned.
In such cases, together with the information specified in paragraph 1(a)
the Member State shall include a breakdown of the actual, unadjustedquantities of short flax fibre and hempfibre containing more than 7,5 %impurities and shives and covered by aid applications.
Article 16
Operative event
For each period as referred to in Article 6(2), the operative event for
the exchange rate for the euro for the purposes of converting the
advance and the processing aid for the quantity concerned shall takeplace on the last day of that period.
Article 17
Transitionalmeasures
1. The transitional measures covered by this Article shall apply for
the 2001/02 marketing year.
2. Member States may grant authorisation within the meaning of
Article 1(2) of Regulation (EC) No 1673/2000 to primary processors2001R0245 — EN — 01.05.2002 — 003.001 — 14
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for flax and hempfibre meeting the conditions for eligibility for the aid
which they may produce where:
— they are approved under Article 3 of Regulation (EEC) No 619/71
for the 2000/01 marketing year,
— no irregularity involving them has been observed during the 1999/
2000 and 2000/01 marketing years, and
— they have submitted an application for authorisation in accordance
with Article 3 of this Regulation before 30 June 2001.
3. With a view to qualifying for aid under Regulation (EC) No
1673/2000, by 31 July 2001 at the latest, authorised primary processorsand persons treated as processors shall declare the stocks of flax straw,
hempstraw, long flax fibre, short flax fibre and hempfibre from
harvests from before the 2001/02 marketing year that they hold at 30June 2001.
Article 17a
Importedhemp
1. The licence referred to in the first subparagraph of Article 5(2) of
Regulation (EC) No 1673/2000 shall be drawn upin accordance with
the model given in the Annex hereto. The licence shall be issued onlywhere it has been proven to the satisfaction of the importer MemberState that all the conditions laid down have been fulfilled.
Without prejudice to paragraph 2, the Member States concerned shall
lay down the conditions to be fulfilled by the licence application and
the issue and use of the licence. However, boxes 1, 2, 4, 14, 15, 16,17, 18, 20, 24 and 25 of the licence form must be filled in.
The system of checks referred to in the second subparagraph of Article
5(2) of Regulation (EC) No 1673/2000 shall be established by each
Member State concerned.
2. For the purposes of the third indent of Article 5(2) of Regulation
(EC) No 1673/2000, the Member States concerned shall establisharrangements for the authorisation of importers of hemp seed other
than for sowing. Those arrangements shall include the definition of
the conditions for authorisation, checks and the penalties to be appliedin cases of irregularity.
In the case of imports of hemp seed as referred to in the first subpara-
graph, the licence referred to in paragraph 1 shall be issued only where
the authorised importer undertakes that the competent authorities will
be presented, within the time limits and under the conditions definedby the Member State, with documents attesting that the hempseedcovered by the licence has undergone, within a period of less than 12months from the date on which the licence is issued, one of thefollowing operations:
— placing in a condition that excludes use for sowing,
— mixing with seed other than hemp seed for the purposes of animal
nutrition, with hempseed accounting for a maximum of 15 % of
the total mixture and, in exceptional cases, a maximum of 25 % atthe request of the authorised importer accompanied by justification,
— re-export to a non-Community country.
However, if part of the hemp seed covered by the licence has not
undergone one of the operations referred to in the previous subpara-
graph within the time limit of 12 months, the Member State may, at
the request of the authorised importer accompanied by justification,extend that time limit by one or two periods of six months.
The attestations referred to in the second subparagraph shall be drawn
up by the operators who have carried out the operations and shall
comprise at least the following information:
— the name, full address, Member State and signature of the operator,2001R0245 — EN — 01.05.2002 — 003.001 — 15
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— a description of the operation carried out meeting the conditions
laid down in the second subparagraph and the date on which itwas carried out,
— the quantity in kilograms of hempseed to which the op eration
related.
3. On the basis of a risk analysis, each Member State concerned
shall carry out checks on the accuracy of the attestations relating to
the operations referred to in the second subparagraph of paragraph 2carried out on their territory.
Where appropriate, the importer Member State shall send the Member
State concerned copies of the attestations concerning the operationscarried out on the latter's territory and submitted by authorised impor-
ters. Where irregularities are discovered during the checks referred to
in the first subparagraph, the Member State concerned shall informthe competent authority of the importer Member State.
4. Member States shall notify the Commission of the provisions
adopted for the application of paragraphs 1 and 2.
No later than 31 January each year the Member States shall notify the
Commission of the penalties imposed or steps taken as a result of irre-
gularities discovered during the preceding marketing year.
The Member States shall send the Commission, which shall forward
them to the other Member States, the names and addresses of theauthorities responsible for issuing licences and for the checks referredto in this Article.
Article 18
Regulationsrepealed
Regulations (EEC) No 1215/71, (EEC) No 1523/71, (EEC) No 1524/
71, (EEC) No 1164/89 and (EEC) No 1784/93 and (EC) No 452/1999shall be repealed as from 1 July 2001.
Article 19
This Regulation shall enter into force on the 20th day following its
publication in the Official Journal of the European Communities .
It shall apply from the 2001/02 marketing year.
Regulations (EEC) No 1523/71, (EEC) No 1164/89, (EEC) No 1784/93
and (EC) No 452/1999 shall continue to apply for the 1998/99, 1999/2000 and 2000/01 marketing years.
This Regulation shall be binding in its entirety and directly applicable
in all Member States.2001R0245 — EN — 01.05.2002 — 003.001 — 16
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ANNEX
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