20.7.74 OfficialJournaloftheEuropeanCommunities NoL198/3
REGULATION (EEC)No1877/74OFTHECOUNCIL
of15July1974
onthedistillationoftheby-productsofwinemaking
moreover,permitsthedistillationofwineinthe
absenceofgrapemarcorwinelees;whereas,under
theseconditions,itislogicaltoallowtheproduction
ofapotablespiritfromwineaswellasapotablespirit
fromgrapemarc;
Whereastheproductionofapotablespiritmustlead
tothereleasefromtheobligationtodeliveralcohol
onlyinrespectofthequantityofalcoholcontainedin
thepotablespiritproduced;
Whereas,inordertopreventpotablespiritsofmedi­
ocrequalityfrombeingproduced,itisnecessary,in
theabsenceofanyCommunitycriteriaonthesubject,
toprovidethatthepotablespiritsproducedshould
conformtonationalprovisionsinforce,whereas,to
ensurethattheseareobserved,provisionshouldbe
madeforinspection ;THECOUNCILOFTHEEUROPEAN
COMMUNITIES ,
HavingregardtotheTreatyestablishingtheEuropean
EconomicCommunity ;
HavingregardtoCouncilRegulation (EEC)No
816/70(')of28April1970layingdownadditional
provisionsforthecommonorganizationofthemarket
inwine,aslastamendedbyRegulation (EEC)No
1532/74(2),andinparticularArticle24(2)and(3)
thereof;
HavingregardtotheproposalfromtheCommission ;
Whereasthefixingofthepricetobepaidforalcohol
deliveredtointerventionagenciesundertheobliga­
tiontodistiltheby-productsofwinemaking,referred
tointhefirstsubparagraph ofArticle24(2)ofRegula­
tion(EEC)No816/70,andthatofthemaximum
amountofthecontribution tobemadebythe
GuaranteeSectionoftheEuropeanAgriculturalGuid­
anceandGuaranteeFundtothecostsbornebythose
agenciesarecloselylinkedtothefixingoftheguide
price;whereasthereshouldthereforebethesame
intervalandtimelimitforboththeseoperations ;
Whereastheinterventionagenciesdesignatedby
MemberStatesmustbuyinalcoholdeliveredtothem
infulfilmentoftheobligationtodistilthe
by-productsofwinemakingatapriceatwhichthe
producersubjecttotheobligationtodistilisnot
placedatadisadvantageinrelationtotheproducer
whoisnotsubjecttothatobligation ;
Whereas,intheabsenceofanymarketinethyl
alcoholatCommunitylevel,theinterventionagencies
responsibleformarketingthatalcoholriskhavingto
resellitatapricelowerthanthebuying-price ;
whereasitisnecessarytoprovidethat,insuchcases,
thedifferencebetweenthebuying-inpriceandthe
sellingpriceofthatalcoholcanbemet,withina
maximumamount,bytheGuaranteeSectionofthe
EuropeanAgriculturalGuidanceandGuaranteeFund,
providedthatthecontributiondoesnotexceedthe
difference ;
Whereasthethirdsubparagraph ofArticle24(2)of
Regulation (EEC)No816/70providesthatthe
producermaybedischargedfromtheobligationto
distilbyproducingpotablespirits;whereasthefirst
subparagraph ofArticle24(2)ofthatRegulation,Whereasthefirstsubparagraph ofArticle24(3)of
Regulation(EEC)No816/70providesthatcertain
productionregionsmaybeexemptedfromtheobliga­
tiontodistiltheby-productsofwinemaking;
whereasinGermanyandLuxembourggrapemarcs
andwineleesgenerallycontainlittlealcoholandthe
costsinvolvedinrecoveringitwouldbeveryhigh;
undertheseconditions ,producersintheseregions
shouldnotbeobligedtodistiltheirgrapemarcsand
winelees,whileremainingsubjectneverthelesstothe
prohibitionsofArticle24(1)ofthatRegulation ;
Whereastheobligationtodistilisaburdenforthe
isolatedproducerwhomakesonlyasmallquantityof
wine;whereassuchobligationwouldinvolvehimin
transportcostsforhisgrapemarcsandwineleesout
ofallproportiontothereturnwhichhecouldexpect
fromthealcoholwhichmightberecovered;whereas
suchproducersshouldthereforealsobeexempted
fromtheobligationtodistilbutremainsubject,
nevertheless ,totheprohibitionsreferredtoabove;
whereas,however,someofthesesmall-scaleproducers
arealreadyinthehabitofdistillingtheirgrapemarcs
andwineleesandwhereastheyshouldbeallowedto
continueinthispractice;whereastheyshouldthere­
forebeallowedtoforegoexemptionandbecome
therebycomparableinallrespectstoproducerswho
arenotexempt;whereasinordertopreventdeliveries
ofalcoholtotheinterventionagenciesfrombecoming
tooirregular,anisolatedproducershould,oncehehas
foregoneexemption,undertaketocontinuetodoso,
untilthevalidityofthisRegulationexpires;(')OJNoL99,5.5.1970,p.1.
(2)OJNoL166,21.6.1974,p.1.

NoL198/4 OfficialJournaloftheEuropeanCommunities 20.7.74
Whereasproducerswhodelivertheirgrapemarcsfor
themanufacture ofoenocyanine generallysupply
unfermentedgrapemarcs;whereastheprocessesto
whichthesearesubjectedinordertoextracttheoeno­
cyaninerenderthemthereafterunsuitableforfermen­
tationanddistillation ;whereassuchproducersshould
beexemptproratainrelationtotheirproductionof
grapemarcs;whereasanexactcalculationisnot
possible;whereas,therefore,provisionshouldbe
madeforafixedreductioninthegeneralrate;
Whereas,inaccordancewithArticle10(1)ofCouncil
Regulation (EEC)No817/70(•)of28April1970
layingdownspecialprovisionsrelatingtoquality
winesproducedinspecifiedregions,aslastamended
byRegulation (EEC)No2680/72(2),ayieldper
hectareisfixedforeachofthequalitywinespsr,
whichfacilitatesobservanceoftheprohibitionagainst
thepressingofwineleesandover-pressing ofgrapes;
whereas,moreover,themarcsandleesofcertain
qualitywinespsrcontainlittlealcoholandwhereasit
isusefultobeabletoapplyareducedratetothose
products;
Whereastheobligationtodistilisaburdenfor
producerswhosevineyardsaresituatedinsmall
islandsandwhodonothaveadequatetransportlinks
attheirdisposal;whereassuchobligationwould
involvethemintransportcostsforproductssubjectto
theobligationtodistilwhichwouldexceedthereturn
onthealcoholobtained;whereas,provisionshould
thereforebemadeforproducerswhosevineyardsare
situatedinsmallislandstobedischargedfromthe
obligationtodistil,whileneverthelessremaining
subjecttotheprohibitionscontainedinArticle24(1)
ofRegulation (EEC)No816/70;
Whereastheprovisionsconcerningthefinancingof
interventionlaiddowninCouncilRegulation (EEC)
No729/70(3)of21April1970onthefinancingof
thecommonagriculturalpolicyshouldbeextendedto
applyalsotothedistillationoftheby-productsof
winemaking;
WhereastheperiodofapplicationofthisRegulation
shouldbelimitedsothatfuturedevelopments inthis
fieldmaybetakenintoaccount,fixedannuallybefore1Augustforthefollowingwine­
growingyear.
Article2
1.Thebuying-inpriceshallbefixedatalevelat
whichtheproducerdistillinghisby-productsofwine
making,orhavingthemdistilled,canbeassuredofa
returncomparabletothatwhichhewouldhavehadif
hehadnotbeensubjecttotheobligationtodistil,
referredtointhefirstsubparagraph ofArticle24(2)
ofRegulation(EEC)No816/70.
2.Thebuying-inpriceshallbefixedperhectolitre/
degreeofalcohol.Itshallapplytounpackedgoods,
ex-distilleryloadedintoameansoftransportchosen
bytheinterventionagency.
Theactualalcoholicstrengthoftheproductsobtained
fromthedistillationoftheby-productsofwine
makinganddeliveredtotheinterventionagencymay
notbelessthan52°.
Article3
Themaximumamountofcontribution fromthe
GuaranteeSectionoftheEuropeanAgriculturalGuid­
anceandGuaranteeFundshallbefixedperhectoli­
tre/degreeofalcohol.
Article4
1.Contribution fromtheGuaranteeSectionofthe
EuropeanAgriculturalGuidanceandGuaranteeFund
shallbepaid,uptothemaximumamountlaiddown
inaccordancewithArticle1,onlywhere,duringa
givenbudgetaryyear,theoverallexpenditureofan
interventionagencyforthebuying-inofalcohol
obtainedbythedistillationoftheby-productsofwine
makingisgreaterthantheincomefromthesaleof
suchalcohol.
2.Ifthedifferencereferredtoinparagraph 1isless
thanthemaximumamountmultipliedbythequanti­
tiessold,thecontributionshallbeequaltothatdiffer­
ence.
Article5
1.Producersmay,inpartialortotaldischargeof
theobligationtodistil,produceorhaveproduced
potablespiritsofgrapemarcsorpotablespiritsof
winefromtheirownproducts.
2.Thequantityofalcohol,expressedaspure
alcohol,containedinthepotablespiritsshallbe
deductedfromthequantityofalcoholwhichmustbe
deliveredpursuanttothefirstsubparagraph ofArticle
24(2)ofRegulation (EEC)No816/70.HASADOPTED THISREGULATION :
Article1
Thepricetobepaidtoproducersforalcoholdeliv­
eredtointerventionagencies,hereinaftercalledthe
'buying-inprice',andthemaximumamountofthe
contribution bytheGuaranteeSectionoftheEuro­
peanAgriculturalGuidanceandGuaranteeFund
towardsthecostsdevolvingontheseagenciesshallbe
(')OJNoL99,5.5.1970,p.20.
(2)OJNoL289,27.12.1972,p.1.
(3)OJNoL94,28.4.1970,p.13.

20.7.74 OfficialJournaloftheEuropeanCommunities NoL198/5
3.Theproductionofpotablespiritsmayhavethe
effectmentionedinparagraph 1onlyif:
(a)thequalityofthepotablespiritobtainedconforms
tonationalprovisionsonthesubject;theproducer
ordistillershallsupplyproofthereoftothecompe­
tentagency;
(b)itiscarriedoutunderthesupervisionofthe
competentagency;theproducerandthedistiller
arerequiredtopermitthatsupervisionatany
momentduringdistillation .
Article6
Producerswhosevineyardsaresituatedinwine­
growingzoneAorintheGermanpartofwine­
growingzoneBshallnotbesubjecttotheobligation
todistil.
Article7
1.Isolatedproducerswho,duringawine-growing
year,donotmakemorethan30hectolitresofwine
shallnotbesubjecttotheobligationtodistil.
However,suchproducersmayforegothisexemption .
Suchactionshallbindthemfortheperiodfromthe
dateonwhichthisactionistakenuntilthevalidityof
thisRegulationexpires.2.Producerswhodelivertheirgrapemarcsforthe
manufacture ofoenocyanine maybesubjecttoa
reducedrate.
3.Producersofcertainqualitywinespsrmaybe
subjecttoreducedratesinrespectofthatpartoftheir
harvestwhichcanqualifyforsuchdescription .
Article8
ProducerswhosevineyardsaresituatedintheItalian
islands,exceptSicilyandSardinia,shallnotbesubject
totheobligationtodistil.
Article9
Articles4and5ofRegulation (EEC)No729/70shall
applytocontributionfromtheGuaranteeSectionof
theEuropeanAgriculturalGuidanceandGuarantee
Fund,providedforinthisRegulation .
Article10
ThisRegulationshallenterintoforceonthethirdday
followingitspublicationintheOfficialJournalof
theEuropeanCommunities .
Itshallapplytothe1974/75,1975/76and1976/77
wine-growing years.
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicableinallMember
States.
DoneatBrussels,15July1974.
FortheCouncil
ThePresident
ChristianBONNET