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( 1 ) OJ NO C 266 , 7 . 11 . 1977 , P . 27 .

( 2 ) OPINION DELIVERED ON 27 OCTOBER 1977 ( NOT YET PUBLISHED IN THE OFFICIAL JOURNAL ).

( 1 ) OJ NO 172 , 30 . 9 . 1966 , P . 3025/66 .

( 2 ) OJ NO L 303 , 28 . 11 . 1977 , P . 1 .

COUNCIL REGULATION ( EEC ) NO 2874/77

OF 19 DECEMBER 1977

LAYING DOWN SPECIAL MEASURES IN RESPECT OF CASTOR SEEDS

THE COUNCIL OF THE EUROPEAN

COMMUNITIES ,

HAVING REGARD TO THE TREATY ESTABLISHING THE EUROPEAN ECONOMIC COMMUNITY , AND IN PARTICULAR ARTICLE 43 THEREOF ,

HAVING REGARD TO THE PROPOSAL FROM THE COMMISSION ,

HAVING REGARD TO THE OPINION OF THE EUROPEAN PARLIAMENT ( 1 ),

HAVING REGARD TO THE OPINION OF THE ECONOMIC AND SOCIAL COMMITTEE ( 2 ),

WHEREAS CASTOR SEED PRODUCTION IS BECOMING OF INCREASING IMPORTANCE TO THE COMMUNITY ; WHEREAS TO PROMOTE THIS PRODUCTION , WHICH IS IN DIRECT COMPETITION WITH CASTOR SEEDS IMPORTED AT ZERO DUTY FROM THIRD COUNTRIES , APPROPRIATE SUPPORT MEASURES SHOULD BE INTRODUCED ;

WHEREAS , TO THIS END , THE DISPOSAL OF THEIR CROPS TO THE MARKET MUST GUARANTEE COMMUNITY PRODUCERS A FAIR RETURN , THE LEVEL OF WHICH CAN BE DEFINED BY A GUIDE PRICE ; WHEREAS THE DIFFERENCE OVER A REPRESENTATIVE PERIOD BETWEEN THIS PRICE AND THE PRICE OF CASTOR SEEDS ON THE WORLD MARKET REPRESENTS THE AMOUNT OF AID WHICH MUST BE GRANTED TO ATTAIN THE DESIRED OBJECTIVE ;

WHEREAS , TO FACILITATE APPLICATION OF THIS SYSTEM , THE AID SHOULD BE GRANTED TO CASTOR SEED PROCESSING UNDERTAKINGS ; WHEREAS , SO THAT THE PRODUCERS MAY BENEFIT FROM SUCH AID , GRANTING THEREOF SHOULD BE MADE SUBJECT TO THE CONCLUSION WITH THE PRODUCERS OF CONTRACTS PROVIDING FOR A MINIMUM PURCHASING PRICE ;

WHEREAS PROVISION SHOULD BE MADE FOR THE COMMUNITY TO BEAR , UNDER THE RULES GOVERNING THE FINANCING OF THE COMMON AGRICULTURAL POLICY , THE EXPENDITURE INCURRED BY THE MEMBER STATES AS A RESULT OF THE OBLIGATIONS ARISING OUT OF THE IMPLEMENTATION OF THIS REGULATION ;

WHEREAS THE PERIOD OF VALIDITY OF THESE AID ARRANGEMENTS SHOULD BE RESTRICTED TO THE TIME REQUIRED TO ASSESS ITS EFFECTIVENESS ,

HAS ADOPTED THIS REGULATION :

ARTICLE 1

1 . BEFORE 1 AUGUST EACH YEAR , IN RESPECT OF THE MARKETING YEAR COMMENCING THE FOLLOWING YEAR , THERE SHALL BE FIXED FOR THE COMMUNITY , IN ACCORDANCE WITH THE PROCEDURE LAID DOWN IN ARTICLE 43 ( 2 ) OF THE TREATY , A GUIDE PRICE FOR CASTOR SEEDS FALLING WITHIN SUBHEADING 12.01 B OF THE COMMON CUSTOMS TARIFF .

HOWEVER , FOR THE MARKETING YEAR 1978/79 , THIS PRICE SHALL BE FIXED BEFORE 1 APRIL 1978 .

THE GUIDE PRICE SHALL BE FIXED AT A FAIR LEVEL FOR PRODUCERS , HAVING REGARD TO THE SUPPLY REQUIREMENTS OF THE COMMUNITY .

2 . THE GUIDE PRICE SHALL REMAIN IN FORCE THROUGHOUT THE MARKETING YEAR ; THIS SHALL COVER THE PERIOD 1 OCTOBER TO 30 SEPTEMBER .

3 . THE GUIDE PRICE SHALL REFER TO A STANDARD QUALITY . THIS QUALITY SHALL BE DEFINED BY THE COUNCIL IN ACCORDANCE WITH THE PROCEDURE LAID DOWN IN ARTICLE 43 ( 2 ) OF THE TREATY .

ARTICLE 2

1 . WHEN THE GUIDE PRICE FOR A MARKETING YEAR IS HIGHER THAN THE WORLD MARKET PRICE FOR CASTOR SEEDS , AS DETERMINED IN ACCORDANCE WITH ARTICLE 3 , AID EQUAL TO THE DIFFERENCE BETWEEN THESE TWO PRICES SHALL BE GRANTED FOR CASTOR SEEDS HARVESTED AND PROCESSED IN THE COMMUNITY .

2 . THE AID SHALL BE GRANTED ONLY TO SEED-PROCESSING UNDERTAKINGS WHICH :

- MEET THE CONDITIONS LAID DOWN FOR ENTITLEMENT TO THE AID , AND

- HAVE CONCLUDED WITH INDIVIDUAL OR ASSOCIATED CASTOR-SEED PRODUCERS CONTRACTS STIPULATING A PRICE AT LEAST EQUAL TO THE MINIMUM PRICE REFERRED TO BELOW .

THIS MINIMUM PRICE SHALL BE FIXED AT A LEVEL GUARANTEEING SALES FOR SEED PRODUCERS AT A PRICE AS CLOSE AS POSSIBLE TO THE GUIDE PRICE , TAKING INTO ACCOUNT MARKET FLUCTUATIONS AND THE COST OF TRANSPORTING THE SEEDS FROM THE PRODUCTION AREAS TO THE PROCESSING AREAS .

3 . THE AID SHALL BE PAID BY THE MEMBER STATE ON WHOSE TERRITORY THE SEEDS ARE PROCESSED .

4 . THE COUNCIL , ACTING BY A QUALIFIED MAJORITY ON A PROPOSAL FROM THE COMMISSION , SHALL EACH YEAR FIX THE MINIMUM PRICE REFERRED TO IN PARAGRAPH 2 AT THE SAME TIME AS THE GUIDE PRICE REFERRED TO IN ARTICLE 1 .

THE SAME PROCEDURE SHALL BE USED TO LAY DOWN :

( A ) GENERAL RULES FOR GRANTING THE AID ;

( B ) DETAILED RULES FOR CHECKING ENTITLEMENT TO THE AID ;

( C ) THE CONDITIONS REFERRED TO IN THE FIRST INDENT OF PARAGRAPH 2 .

5 . THE AMOUNT OF THE AID AND ALSO THE DETAILED RULES FOR IMPLEMENTING THIS ARTICLE , PARTICULARLY IN RESPECT OF THE STANDARD PROVISIONS TO WHICH THE CONTRACTS REFERRED TO IN PARAGRAPH 2 MUST CONFORM , SHALL BE DETERMINED IN ACCORDANCE WITH THE PROCEDURE LAID DOWN IN ARTICLE 38 OF COUNCIL REGULATION NO 136/66/EEC OF 22 SEPTEMBER 1966 ON THE ESTABLISHMENT OF A COMMON ORGANIZATION OF THE MARKET IN OILS AND FATS ( 1 ), AS LAST AMENDED BY REGULATION ( EEC ) NO 2560/77 ( 2 ).

ARTICLE 3

THE WORLD MARKET PRICE FOR CASTOR SEEDS , CALCULATED AT A FRONTIER CROSSING POINT IN THE COMMUNITY , SHALL BE DETERMINED ON THE BASIS OF THE MOST FAVOURABLE PURCHASING POSSIBILITIES DURING THE MOST REPRESENTATIVE PERIOD FOR THE SALE OF SEEDS OF COMMUNITY ORIGIN .

THE COUNCIL , ACTING BY A QUALIFIED MAJORITY ON A PROPOSAL FROM THE COMMISSION , SHALL LAY DOWN THE CRITERIA FOR DETERMINING THE WORLD MARKET PRICE .

DETAILED RULES FOR THE IMPLEMENTATION OF THIS ARTICLE SHALL BE DETERMINED IN ACCORDANCE WITH THE PROCEDURE LAID DOWN IN ARTICLE 38 OF REGULATION NO 136/66/EEC .

ARTICLE 4

THE MEMBER STATES AND THE COMMISSION SHALL EXCHANGE ALL INFORMATION NECESSARY FOR THE IMPLEMENTATION OF THIS REGULATION . THIS INFORMATION SHALL BE COMPILED IN ACCORDANCE WITH THE PROCEDURE PROVIDED FOR IN ARTICLE 38 OF REGULATION NO 136/66/EEC . THE DETAILED RULES CONCERNING THE NOTIFICATION AND CIRCULATION OF SUCH INFORMATION SHALL BE DRAWN UP IN ACCORDANCE WITH THE SAME PROCEDURE .

ARTICLE 5

THE PROVISIONS CONCERNING THE FINANCING OF THE COMMON AGRICULTURE AGRICULTURAL POLICY SHALL APPLY TO THE AID ARRANGEMENTS PROVIDED FOR IN THIS REGULATION .

ARTICLE 6

THE AID ARRANGEMENTS PROVIDED FOR IN THIS REGULATION SHALL APPLY WITH EFFECT FROM 1 OCTOBER 1978 UNTIL THE END OF THE 1983/84 MARKETING YEAR . BEFORE THE END OF 1982 THE COUNCIL SHALL , ON THE BASIS OF A REPORT SUBMITTED BY THE COMMISSION ON THE EFFECTIVENESS OF THE SPECIAL MEASURES FOR CASTOR SEEDS AND ACTING BY A QUALIFIED MAJORITY ON A PROPOSAL FROM THE COMMISSION , DECIDE WHETHER TO MAINTAIN AND , IF NECESSARY , AMEND THESE ARRANGEMENTS .

ARTICLE 7

THIS REGULATION SHALL ENTER INTO FORCE ON THE THIRD DAY FOLLOWING ITS PUBLICATION IN THE OFFICIAL JOURNAL OF THE EUROPEAN COMMUNITIES .

THIS REGULATION SHALL BE BINDING IN ITS ENTIRETY AND DIRECTLY APPLICABLE IN ALL MEMBER STATES .

DONE AT BRUSSELS , 19 DECEMBER 1977 .

FOR THE COUNCIL

THE PRESIDENT

H . SIMONET