NoL361/38 OfficialJournaloftheEuropeanCommunities 31.12.85
COUNCILREGULATION (EEC)No3722/85
of20December1985
onasystemofstructuralaidfortheconversionofsardinecanningplants
HASADOPTEDTHISREGULATION :
Article1
Tofacilitatetheadaptationofthesardinecanningplantsof
theCommunityasconstitutedon31December1985,
hereinafterreferredtoas'theCommunityofTen',tothe
newcircumstances arisingfromtheaccessionofSpainand
Portugal,theCommission maygrantstructuralaid
hereinafterreferredtoas'Communityassistance',inrespect
ofprojectssatisfyingtherequirements laiddowninthis
Regulation .Suchassistanceshallconsistofcapitalgrants
paidinalumpsumorininstalments .THECOUNCILOFTHEEUROPEANCOMMUNITIES ,
HavingregardtotheTreatyestablishingtheEuropean
EconomicCommunity ,andinparticularArticles42and
43thereof,
HavingregardtotheproposalfromtheCommission(*),
HavingregardtotheopinionoftheEuropean
Parliament (2),
WhereastheAccessionofSpainandPortugalaltersthe
existingequilibriuminthemarketforcannedsardinesin
theCommunityasatpresentconstituted ;
Whereasthisnewcontext,byalteringtheconditionsof
competition ,affectsthesituationofsardinecanningplants
intheCommunityasatpresentconstituted ;
Whereasathree-yearstructuralmeasureshouldtherefore
beintroducedtoenablesuchcanningplantstoadapttothe
newsituation;Article2
ForthepurposesofthisRegulation,Communitysardine
canningplants,hereinafterreferredtoas'canningplants',
meansundertakingsoftheCommunityofTen,all,oratleast
asubstantialpart,asapercentageorasanabsolute
quantity,ofwhoseproductionduringthelasttwoyears
priortoaccession,fallswithinsubheading16.04Dofthe
CommonCustomsTariff.
Whereasthesaidstructuralmeasureshouldaimatthe
conversionofCommunitysardinecanningplantstothe
manufactureofotherproductsbasedonsardinesoron
otherfisheryproducts;whereasitshouldalsoaimatthe
permanentcessationofoperationsofcertainexisting
canningplants;whereas,subjecttocertainconditions,it
shouldinthelongrunfacilitatetherationalization of
cannedsardineproduction ;
WhereasCommunityfinancialassistanceshouldbemade
availableforprojectscomplyingwiththeaimsofthis
structuralmeasure;
Whereassuchprojectsshouldformpartofdescriptive
programmesofthemeasurestobeundertaken,drawnup
bytheMemberStates;
Whereasdetailedrulesforthegrantingofsuchassistance
mustbedrawnup;
Whereastheprovisionalcostofthisstructuralmeasureto
bebornebytheCommunitymustbespecified,TITLEI
Descriptiveprogramme
Article3
1.TheMemberStatesconcernedshalldrawup
descriptiveprogrammes designedtoinformthe
Commissionofthemeasurestobeimplementedunderthis
Regulation .
2.Eachdescriptiveprogrammeshallcompriseatleast:
—adescriptionofthesituationofcanningplantsatthe
dateofaccessionofSpainandPortugalwithparticular
referencetotheirproductioncapacity,their
geographicallocationandtheoriginofthesardines
whichtheyprocess;
—adescriptionandfinancialappraisaloftheconversion
operationstobeundertaken ;
—thelaws,regulationsandadministrative measures
whichexistorareplannedforcarryingoutthose
operations ;
—adescriptionofthedisposalprospectsforcanned
sardines;0)OJNoC297,20.11.1985,p.3.
(2)Opiniondeliveredon13December1985(notyetpublishedin
theOfficialJournal).

31.12.85OfficialJournaloftheEuropeanCommunities NoL361/39
—adescriptionoftheimportanceofthesardinecanning
industryforthesituationoftheregionconcerned.
3.TheCommissionshallassessthecompatibilityofthe
descriptiveprogrammewith:
—theobjectivesofthismeasure;
—theprogrammepresentedbytheMemberState
concernedwithintheframeworkofRegulation (EEC)
No355/770).
MemberStatesshall,attherequestoftheCommission ,
furnishadditionaldataneededtocarryoutthesaid
assessment .
4.Throughoutthedurationofthismeasure,theMember
Statesconcernedshallsubmitannualreportstothe
Commissionontheresultsandontheevolutionofthe
situationofcanningplants.Thesaidreportsshallbe
submittedby1Julyofeachyearatthelatest.Thefirstsuch
reportshallbesubmittedby1July1987atthelatest.Article5
1.Projectsinvolvingresearchwithinthemeaningof
Article4(a)shallbeproposedandmanagedbyoneor
morecanningplantsorassociationsofcanningplants
whichpossessthenecessaryqualificationsandexperience
andprovideanadequateguaranteeastothesatisfactory
completionofthework.
2.Communityassistanceforprojectsshallnotexceed
50%oftheexpenditureresultingfromtheresearchwork
inquestion.ThecontributiontobemadebytheMember
Stateconcernedshallbenotlessthan5%andthatofthe
beneficiarynotlessthan10%oftheexpenditure
involved .
Article6
1.Projectsconcerningpromotionalmeasureswithinthe
meaningofArticle4(c)shallbeproposedbyand
implemented underthesupervisionoforganizations
representingthesardinecanningindustryinoneormore
MemberStates.Suchmeasuresshallbecollectiveandshall
notfocusonparticularbrandsorcanningplantsnorrefer
toaparticularcountryorregionofproduction .
2.Communityassistanceforthemeasuresreferredtoin
paragraph1shallnotexceed50%oftheexpenditure
concerned .Thecontribution tobemadebythe
organizationinreceiptofassistanceshallbenotlessthan
25%andthecontributiontobemadebytheMember
Stateconcernednotlessthan5%ofthesaid
expenditure .
Article7
1.Projectsconcerningmeasuresrelatingtothe
manufactureofnewproducts,theconversionofcanning
plants,theimprovementofdistributionnetworksandthe
rationalization ofexistinginstallationswithinthemeaning
ofArticle4(b),(e),(f)and(g)shall:
—involvephysicalinvestments ;
—affordanadequateguaranteeastotheirprofitability ;
—contributetothelastingeconomiceffectofconversion
aimedatbythismeasure;and
—ensureappropriateandlastingparticipation by
producersintheresultantbenefits.
2.Asaproportionoftheinvestmenttakenintoaccount
forassistance,foreachproject:
(a)Communityassistancemaynotexceed:
—50%asregardsthemeasuresreferredtoin
Article4(b),(e),(f)and(g);
(b)thecontributiontobemadebythebeneficiaryshallbe
notlessthan:
—25%asregardsthemeasuresreferredtoin
Article4(b)and(e),
—35%asregardsthemeasuresreferredtoin
Article4(f)and(g).
(c)thecontributiontobemadebytheMemberState
concernedshallbenotlessthan5%.TITLEII
Projects
Article4
ForthepurposesofthisRegulation ,projectmeansany
public,semi-publicorprivateproject,allorpartofwhich
involvesphysicalinvestmentsormeasuresintendedto
secure:
(a)researchintonewproductsorproductsderivedfrom
sardines,moresuitedtotherequirementsofthemarket
andwherebythemarketsofcanningplantsmaybe
broadened;
(b)themanufactureofsuchnewproductsorderived
products;
(c)thepromotionofconsumptionofsardinesand
sardine-basedproducts,includingsurveysintothe
consumptionofsuchproductsandmarketsurveysor
pilotmeasuresrelatingtothemarketingofsuch
productsand,moreparticularly ,thenewproducts
referredtounder(a);
(d)thepermanentcessationofoperationsofexisting
canningplants;
(e)theconversionofcanningplantstothemanufactureof
otherfisheryproductsofCommunityorigin;
(f)theimprovementofmarketinganddistribution
networksforsardine-basedproducts;
(g)therationalizationofcannedsardineproductionunits
ofexistingcanningplants.
0OjNoL51,23.2.1977,p.1.

NoL361/40 OfficialJournaloftheEuropeanCommunities 31.12.85
3.Therationalization measuresreferredtoinArticle4(g)
mustenablethecanningplantsconcernedtobecome
competitiveontheCommunitymarketforcannedsardines
bytheimprovementoftheirproductivityandthequalityof
theirproductionbutmustinnocircumstances resultinan
increaseinthecapacityandproductionofcannedsardines
oftheproductionunitsconcerned .Article12
ProjectswhichareeligibleforCommunityaidunderother
commonmeasureswithinthemeaningofArticle6(1)and
(2)ofRegulation (EEC)No729/70(2)orforaidfromthe
EuropeanRegionalDevelopment Fundshallnotcome
withinthescopeofthisRegulation .
TITLEIV
FinancialandgeneralprovisionsArticle8
Communityaidtoprojectsconcerningthepermanent
cessationofoperationsreferredtoinArticle4(d)shall
consistofthegrantofapremiumintendedtocoverthe
expenditureentailedbythecompleteanddefinitiveclosure
oftheproductionplantsconcerned .
Theamountofthepremium,calculatedonthebasisofthe
averageproductionoftheproductionplantsconcerned
overthelastthreeyearsprecedingthatofthepermanent
cessationofoperationsshallbeequaltoonehalfofthe
expenditureconcernedandmaynotexceed150ECUper
basisproducttonneprocessed.
Itspaymentshallbeconditionaluponpaymentbythe
MemberStateinquestionofasimilarpremium.Article13
1.Naturalorlegalpersons,orgroupsthereof,whoare
ultimatelyresponsibleforthecostofcarryingoutaproject
shallbeeligibleforCommunityassistance .Assistanceshall
bepaidthroughagenciesappointedforthatpurposebythe
MemberStateconcerned .
2.ThroughouttheperiodduringwhichCommunity
assistanceisgranted,theauthorityoragencyappointedfor
thatpurposebytheMemberStateconcernedshall,atthe
requestoftheCommission ,forwardtoitallsupporting
documentswhichareevidencethatthefinancialorother
conditionslaiddownforeachprojecthavebeenfulfilled.
TheCommission may,ifnecessary,carryoutan
on-the-spotcheck.Article9
Projectsshallformpartofthedescriptiveprogramme
referredtoinArticle3.
TITLEIII
Procedurefortheexaminationofprojects
Article10
1.Applications forCommunityassistanceshallbe
submittedtotheCommissionthroughtheMemberState
concernedafterthelatterhasdeliveredafavourable
opinionthereon.
2.TheCommisionshalltakedecisionsonceyearlyon
applicationsforassistanceinaccordancewiththe
procedurelaiddowninArticle15.Applicationsfor
assistanceshallbesubmittednotlaterthan31Mayofeach
year.3.TheCommission may,inaccordancewiththe
procedurelaiddowninArticle15,decidetosuspend,
reduceordiscontinueassistance :
(a)iftheprojectisnotcarriedoutasplanned,or
(b)ifcertainoftheconditionslaiddownarenotfulfilled,
or
(c)ifthebeneficiary,exceptifthedecisiontogrant
assistanceprovides,followingareasonedrequestonhis
part,fordifferenttimelimits:
—failstobegintheworkwithinoneyear;
—failstocompletetheworkwithinaperiodoftwo
yearsofthedateofnotificationoftheCommission
decision.
4.Appropriations madeavailablebyadecisiontakenin
accordancewithparagraph3orbecausethebeneficiary
abandonstheprojectorreducestheinvestmentlaiddown
inthedecisiontograntassistance,maybeusedforthe
financingofotherprojects.Article11
ApplicationsforCommunityassistanceshallbesubmitted
intheformlaiddown,mutatismutandis,byRegulation
(EEC)No2515/85(*).Inaddition,theyshallcontainall
theparticularsneededtoverifycompliancewiththe
provisionsofthisRegulation .
(!)OJNoL243,11.9.1985,p.1.(2)OJNoL94,28.4.1970,p.13.

31.12.85OfficialJournaloftheEuropeanCommunities NoL361/41
3.TheCommissionshalladoptthemeasures,whichshall
beimmediatelyapplicable .However,ifsuchmeasuresare
notinaccordancewiththeopinionoftheCommittee,the
Commission shallcommunicate themforthwithtothe
Council.Inthatcase,theCommissionmaydeferthe
applicationofthemeasureswhichithasdecideduponfor
notmorethanonemonthfromthedateofsuch
communication .Thecouncilmay,actingbyaqualified
majority,adoptadifferentdecisionwithinonemonth.
Article16
1.ThegrantingofCommunityassistancemustnotaffect
theconditionsofcompetitioninsuchawayastobe
incompatiblewiththeprincipleslaiddownintheTreaty.
2.Articles92,93and94oftheTreatyshallapplyin
respectofmatterscoveredbythisRegulation .5.ThedetailedrulesfortheapplicationofthisArticle
shallbemutatismutandis,thoselaiddowninRegulation
(EEC)No1685/780).
Article14
ApplicationsforassistancesubmittedtotheCommission
butwhichcouldnotbegrantedowingtotheinsufficiency
oftheresourcesavailablemay,withtheagreementofthe
applicants,becarriedforwardtothefollowingfinancial
yearbytheMemberStateconcerned.Requeststhatsuch
applicationsbecarriedforwardshallbesubmittedtothe
Commissionwithinaperiodof30daysfromthedateon
whichtheMemberStatereceivesnotificationoftheresult
oftheprocedurelaiddowninArticle15.Anapplication
forassistancemay,however,becarriedforwardonce
only.
ArticleIS
1.Wherereferenceismadetotheprocedurelaiddownin
thisArticle,themattershallbereferredtotheStanding
CommitteefortheFishingIndustry,hereinafterreferredto
asthe'Committee',bythechairmanthereof,eitheronhis
owninitiative,orattherequestoftherepresentative ofa
MemberState.
2.Therepresentative oftheCommissionshallsubmita
draftofthemeasurestobeadopted.TheCommitteeshall
deliveranopiniononthosemeasureswithinatimelimit
whichmaybesetbythechairmanaccordingtotheurgency
ofthematter.TheCommitteeshalltakedecisionsbya
majorityof54votes,thevotesoftheMemberStatesshall
beweightedasprovidedforinArticle148(2)ofthe
Treaty.Thechairmanshallnotvote.Article17
1.Thedurationofthismeasureshallbethreeyears
commencingon1January1986.
2.TheprovisionalcosttobebornebytheCommunityis
estimatedat10millionECU.
Article18
ThisRegulationshallenterintoforceon1January1986,
subjecttotheentryintoforceoftheTreatyofAccessionof
SpainandPortugal.
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicableinallMember
States.
DoneatBrussels,20December1985.
FortheCouncil
ThePrésident
R.STEICHEN
0OJNoL197,22.7.1978,p.1.