27.5.78 OfficialJournaloftheEuropeanCommunities NoL140/5
COMMISSION REGULATION (EEC)No1106/78
of26May1978
openinganinvitationtotenderforthemobilization ofcommonwheatasfood
aidforthePeople'sRepublicofBangladesh
Whereasprovisionshouldbemadeforsecuritytobe
giventoguaranteefulfilmentoftheobligationsarising
byvirtueofparticipationintheinvitationtotender;
WhereastheFrenchinterventionagencyshouldbe
maderesponsibleforthetenderingprocedureinques­
tion;
WhereastheCommissionmustbeinformedquickly
ofthetenderssubmittedinresponsetotheinvitation
andofthoseacceptedbytheinterventionagency;
WhereastheMonetaryCommitteewillbeconsulted ;
whereasinviewoftheurgency,themeasuresenvis­
agedshouldbeadoptedinaccordancewiththecondi­
tionslaiddowninArticle3(2)ofCouncilRegulation
No129onthevalueoftheunitofaccountandthe
exchangeratestobeappliedforthepurposesofthe
commonagriculturalpolicy(4),aslastamendedby
Regulation (EEC)No2543/73(5),andinparticular
Article3thereof;
WhereasthemeasuresprovidedforinthisRegulation
areinaccordancewiththeopinionoftheManage­
mentCommitteeforCereals,THECOMMISSION OFTHEEUROPEAN
COMMUNITIES ,
HavingregardtotheTreatyestablishingtheEuropean
EconomicCommunity ,
HavingregardtoCouncilRegulation (EEC)No
2727/75of29October1975onthecommonorganiza­
tionofthemarketincereals(J),aslastamendedby
Regulation(EEC)No709/78(2),
HavingregardtoCouncilRegulation (EEC)No
2750/75of29October1975layingdownthecondi­
tionsforthemobilizationofcerealsasfoodaid(3),and
inparticularArticle6thereof,
Whereason30January1978theCounciloftheEuro­
peanCommunities declaredthatbywayofCommu­
nityactionitproposedtograntthePeople'sRepublic
ofBangladesh90000tonnesofcommonwheatunder
the1977/78food-aidprogramme ;
WhereaspursuanttoArticle3(3)ofCouncilRegula­
tion(EEC)No2750/75thegoodsmaybepurchased
anywhereontheCommunitymarket;
Whereastendersshouldbeinvitedforthesupplyof
theproducttotheportofshipmentinthevicinityof
thevessel,thegoodstobesetdownattheplacenomi­
natedbytherecipientoritsagent;
Whereastendersmaybesubmittedbytenderersesta­
blishedinanyMemberStateoftheCommunityand
mayrelatetoproductsmobilizedanywherewithin
thoseMemberStates;whereas,inviewofthecurrency
situationintheMemberStatesandinordertoensure
thatthetendersareascomparableaspossible,account
shouldbetakenoftheeffectoneachtenderofthe
currencysituationintheMemberStateinwhichthe
customsexportformalitieswillbecompleted ;
Whereasthecontractshouldbeawardedtothe
tendererofferingthebestterms;
Whereasincaseitshouldbeimpossibleforreasonsof
forcemajeuretocompletetheoperationinquestion
withinthesettimelimits,itmustbemadeclearwho
istobearanycostsresultingtherefrom;HASADOPTED THISREGULATION :
Article1
1.Tendersareherebyinvitedforthesupply,by
wayofCommunityfood-aidaction,tothePeople's
RepublicofBangladesh ,of90000tonnesofcommon
wheat.
2.Thetenderingprocedureshalltakeplacein
Franceinthreelotsof30000tonnes.Theproduct
shallbemobilizedontheCommunitymarket.The
productshallbeloadedfordeparturefromany
Communityport.
3.Theproductreferredtoinparagraph 1istobe
deliveredinbulktotheportofshipmentinthe
vicinityofthevessel.Thegoodsmustbesetdownat
theplacenominatedbytherecipientcountryorits
agent,thetimingofdeliverybeingsettledbythe
tendererandtherecipientcountry'sagent.
(')OJNoL281,1.11.1975,p.1.
(2)OJNoL94,8.4.1978,p.9.
(3OJNoL281,1.11.1975,p.89.(4)OJNo106,30.10.1962,p.2553/62.
(5)OJNoL263,19.9.1973,p.1.

NoL140/6 OfficialJournaloftheEuropeanCommunities 27.5.78
Article5
Ifthetendererisunabletodeliverthegoodsin
compliancewithArticle1(3)onthedategiveninthe
noticeofinvitationtotenderasaresultofthelate
availabilityofthevesselstobeusedforseatransporta­
tion,theresultingcostsshallbebornebytheinterven­
tionagency.
Article6
1.Thetenderershallgivesecurityofavalueoffive
unitsofaccountpertonneofgoods.
Itshallbereleased:
—inthecaseofalltendererswhosetendersare
unsuccessfulorarenotaccepted,
—inthecaseofthesuccessfultenderer,whenthe
operationsconcernedhavebeencarriedoutwithin
theprescribedtimelimitandonsubmissionof
theoriginalexportlicencedulygrantedand
endorsedbythecompetentauthoritiesofthe
MemberStatementionedinthetenderpursuant
toArticle3(2),
—inthecaseofthesuccessfultendererforquantities
notsuppliedbyreasonofforcemajeure.
2.Thesecurityrequiredunderparagraph 1maybe
providedintheformofacashdepositorofa
guaranteeissuedbyacreditinstitutionconformingto
criterialaiddownbyeachMemberState.
Article7
ThecommonwheatreferredtoinArticle1mustbe
offairandsoundmerchantable qualityandcorres­
pondatleasttothestandardqualityforwhichthe
interventionpriceisfixed,exceptthatthemoisture
contentshallnotexceed15-5%andthatamaximum
of3%ofsproutedgrainsand1-5%ofmiscellaneous
impuritiesshallbeallowed.
Article8
1.TheFrenchinterventionagencyshallberespon­
siblefororganizingtheinvitationtotenderprovided
forbythisRegulation .
2.Itshallforthwithcommunicate totheCommis­
sionthelistoffirmswhichhaverespondedtotheinvi­
tationtotender,specifyingthetermsofeachtender,
togetherwiththenameandbusinessnameofthe
successfultenderer.
3.Wherethecustomsexportformalitiesforthe
mobilizedproductarecompletedinaMemberState
otherthanthatinwhichtheinvitationtotenderis
issued,theinterventionagencyofthelatterMember
Stateshallberesponsiblefortheoperationsfollowing
tendering,includingpaymenttothesuccessfulten­
derer.Article2
1.Thedecisionontendersreceivedinresponseto
theinvitationprovidedforinArticle1shallbetaken
on9June1978.
2.Theclosingdateforsubmissionoftendersshall
be9June1978at12noon.
3.Thenoticeofinvitationtotendershallbe
publishedintheOfficialJournaloftheEuropean
Communities notlessthanninedaysbeforethe
closingdateforsubmissionoftenders.
Article3
1.Thepricesofferedmustbeexpressedinthe
currencyoftheMemberStateinwhichtheinvitation
totenderwasissued.
2.TendersmustinparticularmentiontheMember
Stateinwhichthetenderer,intheeventofhisbeing
declaredsuccessful,expectstocompletethecustoms
exportformalitiesfortheproductsconcerned.
3.Forthepurposeofrenderingthetenderscompar­
able,thepricesshall,whereappropriate ,becorrected
bythemonetarycompensatory amountapplicableon
theclosingdateforsubmissionoftenderstoexports
fromtheMemberStatementioned inthetender
pursuanttoparagraph2.
Suchcorrectionshallbemadeby:
—increasingpriceswhichmentionaMemberState
whosecurrencyhasdepreciatedoranewMember
State,
—reducingpriceswhichmentionaMemberState
whosecurrencyhasbeenrevalued.
Themonetarycompensatory amountshall,where
appropriate ,beconvertedintothecurrencyofthe
MemberStateinwhichtheinvitationtotenderis
issuedusing:
—inthecasewhenthecurrenciesconcernedare
keptatanygivenmomentwithinabandof
2-25%,aconversionrateresultingfromtheir
centralrate,
—intheothercases,theaverageofthespotratesof
thecurrenciesconcernedrecordedintheMember
Stateinwhichtheinvitationtotenderisissued
duringaperiodfromtheWednesdayofoneweek
totheTuesdayofthefollowingweekbeingthe
periodimmediatelyprecedingtheclosingdatefor
submission oftenders.
Article4
Thecontractshallbeawardedtothetendereroffering
thebestterms,takingintoconsideration theadjust­
mentreferredtoinArticle3(3).
However,ifthetenderssubmitteddonotappearto
reflectnormalmarketpricesandcosts,theinterven­
tionagencymaycanceltheinvitationtotender.

27.5.78 NoL140/7 OfficialJournaloftheEuropeanCommunities
Inthiscase,theinterventionagencychoosingthe
successfultenderershallimmediatelyinformtheinter­
ventionagencyoftheMemberStateconcernedand
shallsupplyitwithalltheinformationwhichitmay
require.
Furthermore ,theamountofthesuccessfultender
shallbepaidafterithasbeenconvertedusingthe
averageofthespotratesreferredtointhesecond
subparagraph ofArticle3(3)tothetendererinthe
currencyoftheMemberStateinwhichtheoperations
relatingtothetenderingarecompleted .
4.Theintervention agencyshallrequestthe
successfultenderertosupplythefollowinginforma­
tion:
(a)aftereachshipment,acertificateshowingthequan­
titiesdispatchedandthequalityoftheproducts;
(b)thedateofdepartureofthevessels.
Theinformation indicatedaboveshallbeforwarded
bytheinterventionagencytotheCommissionimme­
diatelyuponreceipt.5.Whentheinterventionagencyresponsiblefor
theoperationsrelatingtotenderingisnottheinterven­
tionagencywhichappointsthesuccessfultenderer,it
shallsendassoonaspossibletothelattertheinforma­
tionnecessaryforreleasingthesecurity.
Article9
Ondeliveryofthegoodsattheportofshipment,a
handing-over certificateshallbesuppliedtothe
successfultenderer,actingasagentfortheCommu­
nity,bytheagentoftherecipientcountry,or,inthe
absenceofthelatter,bytheinterventionagencyofthe
MemberStateinwhoseterritorytheportofshipment
issituated.
Article10
ThisRegulationshallenterintoforceonthedayofits
publicationintheOfficialJournaloftheEuropean
Communities .
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicableinallMember
States.
DoneatBrussels,26May1978.
FortheCommission
FinnGUNDELACH
Vice-President