ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(81)499
Vol.1981/0149

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COMMISSION OFTHEEUROPEAN COMMUNITIES
t
COM(81)499 final
Brussels-26August1981
'':/
*• TA
^,a.
s> X-Jj\^?.
v, .
Proposalfora
COUNCILREGULATION (EEC)
derogating fromtheprovisionsofRegulation (EEC)No343/79
inrespectofcertainrulesrelatingtothedistillation of
tablewinesdecideduponinaccordance withArticle12aof
Regulation (EEC)No337/79
«
C0M(81)499final
*

EXPLANATORY MEMORANDUM
This Regulation makes provision ,within the "performance guarantee "
distillation arrangement ,forwaiving theprovisions inRegulation (EEC )No
343/79inrespect ofpayment oftheminimum purchase price and payment' of ,
the aid .Onaccount ofthe serious crisis onthe table wine market which
isresulting incash flow problems forproducers ,itisproposed that
payment oftheaid due tothem beadvanced asfar aspossible ,,while
guaranteeing theproper conduct ofoperations bymeans ofanappropriate
deposit system .

. Proposal tor
. - COUNCIL .KEGULATION (EEC )
derogating from theprovisions ofRegulation (EEC )No343/79 .inrespect
ofcertain rules relating tothedistillation oftable wines decided upon AT
ipaccordance with Article 12aofRegulation (EEC )No337/79
THE COUNCIL OFTI!E EUROPEAN COMMUNITIES ,
Having regard totheTreaty establishing theEuropean Economic Community,'
Having regard to ,Council Regulation (EEC )No337/79of5February 1979 onthe
coraraon organization ofthemarket inwine (l),'as last amended byRegulation
(EEC )No3456 /80 (2)and inparticular Article 12a(4 )thereof ,
Having regard tothe proposal from theCommission , ,
Whereas thepresent serious crisis onthetable wine Market isresulting incash
flow problems torproducers /whereas ,inthese circumstances ,itis
essential toadvance thepayment ofaiddue tothem under the -jisti11ation
Measures decided upon pursuant toArticle 12aofRegulation '.(EEC )No337/79as
faraspossible ,while guaranteeing that operations arecorrectly carried out
bymeans' ofanappropriate system ofsecurities ;whereas itistherefore
necessary toderogate from the'provisions ofCouncil Regulation (EEC)No343/79(3),
bymaking provision forpayment oftheaidinaccordance with aprocedure comparable to
that laid ,down fortheexcept ional disti Ilation oftable wines decided upon during
the1980 /alwine-growing year ,adjusted inthelight ofexperience ;
(1)O.JNoL54,5.3.!979 ,p."1:
U)OJXoL360 ,31.12.1980 ,p.18
(3)OJNoL54,5.3.1979 ,p.64

-2-
Whereasthequantityoftablewinewhichmaybe'distilledpursuanttoArticle
12aof'Regulation (EEC).No337/79isliihite.1foreachproducertoacertain
percentageofhisproduction ;'whereascontrolofcompliancewiththatprovisionentaiIs
detailedchecks6nproducers'harvestdeclarations andrecordsatthetimeofapprovalof
deliverycontracts; . '-
Whereasthe'provisionir*Article .8(2).-ofRegulation' (SRC)No343/79,whereby
'thecompetentintervention .-agencyisthatoftheMemberStateonwhose
territorydistillation takesplace,couldgiverisetoseriousadministrative ,
difficulties wheredistillation takesplaiceinaMemberStateotherthanthat
•inwhich"thewinewasproduced;whereasaderogationshbuldthereforebemadetothe
saidprovisionandprovisionmadeforthecompetentintervention agencytobethat
oftheMemberStatewherethewineissituatedatthetimethecontractisconcluded-
forthepurposesofapprovaloftheabovementioned deliverycontracts;
' -• % ..'
HASADOPTEDTHISREGULATION :~ , , '
Article1
Fordistillation decideduponpursuanttoArticle'12aofRegulation (CEC)
Wo337/79inthecontextofmeasuresreservedforholders .oflong-^tem.--
storagecontractsconcludedduringthe1980/31wine-growing yearandbywayofdero
gationfrom'Article4ofRegulation (EEC)-No343/7S,theprovisions
applicableinrespectofpaymentoftheminimumpurchasepriceandpayment
ofaidsnailbethoselaiddowninArticle2.-* '
>-' Article 2
1.WhenthetotaL.quantity'ofwinecoveredbythedeliverycontractentersthe
distillery ,thedistiller'shallpaytheproducer "atleastthedifference
betweenthe•ini'ninun;purchasepriceandtheaidlaiddown.
2.Bywayofderogationfromparagraph 1,theminimumpurchasepriceshalIbepaidby
■ ■' <
.thedLstillerwithinthetimelimitstobelaiddown:
.-whendistillation takesplaceinaMemberStateotherthanthatwherethe
winewassubjecttoalong-termstoragecontract,or ,
-whereprovisiontothiseffectismadeinthedeliverycontract.

Where proof isfnfnisIvecl Chat the total quantity ofwine given inthe
contract has been distilled tlieintervention agency shall pay theaid laid
down tothe producer or,inthecircumstances referred toinparagraph 2, ~
tothedistiller . • '
Where theaid ispaid tothedistiller ,thelatter shall provide proof that
hehaspaid the ininimuTn ,purchase price totheproducer ,.
The producer or,inthecircumstances referred toinparagraph 2,the
S•
distiller may request that theaid beadvanced oncondition that asecurity
oi 110%ol"theamount oftheaid isprovided for thebenefit ofthe
intervention agency .Thesecurity shall take the form ofaguarantee
provided byanestablishment which complies with criteria fixed bythe x
Member State to .which theintervention agency isresponsible .
Theadvance may bepaid only after thedate oftheapproval
referred toinArticle 1(1 )ofRegulation (EEC )No343/79.
Theadvance may bepaid tothedistiller only oncondition that the
distiller undertakes topay theproducer
-atleast 65% oftheminimum purchase price not later than 30days after
thedate 'when hereceives the a.dvance ,
-thedifference between theminimum purchase price and theamount referred
tointhe first indent not later than 30days after distillation ofall .
■■ • .: " ■ * '
thewine covered bythedelivery contract . '
Subject toArticle 6aofRegulation (EEC )No343/79,thesecurity referred
tointhe first' -sub-paragraph shall bereleased only if,within atime
limit tobedetermined ,proof isprovided that : -
-thetotal quantity ofwine covered bythedelivery contract hasbeen
disti lied , . ■-■ - ,
-and ,where thesecurity wasprovided bythedistiller ,theminimum
purchase price hasbeen paid totheproducer within .thetime limits .
referred tointhe third subparagraph .
Atthe tir.se ofreLease of ,thesecurity ,theintervention agency shall make
f ' *
thenecessary adjustments totake account ofthetolerances referred toin
Article 6ofRegulation (EEC )No343/79. ' -

-4-
Article 3
1.Forthepurposes ofthedistillation referred toinArticle 1,andbywayofdero­
gation from Article 8(2 )ofRegulation (EEC )No343/79,the .
intervention agency competent forapproval ofthedelivery contract shall
bethe .intervention agency oftheMember State where thewine issituated
atthe time the contract isconcluded .
2.Where distillation takes place inaMember State other than that inwhich
thecontract isapproved ,theintervention agency which approved the
contract shall send acopy totheintervention agency oftheMember State
where distillation takes place .
Article 4 ...
This Regulation shall enter into force ontheday ofitspublication inthe
Official Journal oftheEuropean Communities .
t ■
Itshall apply .with effect from 16 .September 19dl .
This Regulation shall bebinding initsentirety anddirectly applicable in
all Member States .
Done attrussels ,For the Council

FINANCIAL STATEMENT
Date•11August 1981
1.BUDGET HEADING :1981:6912
1982:1611initial «APPROPRIATIONS ,:287.14 million EC––-, ; ;ni
2.TITLE
Proposed Council Regulation waiving Regulation 343/79inrespect ofthe
decided upon in
3.LEGAL BASIS : Regulation 337/79Article 12a
IAIMS OFPROJECT ;Advancing payment ofaiddueunder the"performance guarantee'
distillation arrangements tomake such distillation more attractive .
5.FINANCIAL IMPLICATIONS
5.0 EXPENDITURE
-CHARGED TOTHE ECBUDGET
(REFUNDS /INTERVENTIONS )
-NATIONAL ADMINISTRATION
\
-OTHER
5.1 RECEIPTS
-OWN RESOURCES OFTHE EC
(LEVIES /CUSTOMS DUTIES )
-NATIONALPERIOD OF12MONTHS
0.0 Mio ECUCURRENT FINANCIAL YEAR
+80Mio ECU*FOLLOWING FINANCIAL YEAR
-80Mio ECU*
5.0.1 ESTIMATED EXPENDITURE
5.1.1 ESTIMATED RECEIPTSonly covers onemarketing year
5.2 METHOD OFCALCULATION
*Introducing asystem ofadvances should accelerate payments andshift asub­
stantial part ofexpenditure into November /December 1981 rather than early
1982 .This expenditure isestimated atatotal of9Mio hix1.7ECUXvol .x
10.5% vol.average =161MioECU,atleast half ofwhich would fall inthe
1981 financial year .
6.0 CAN THEPROJECT BEFINANCED FRO«APPROPRIATIONS ENTERED INTHE«ELEVANT CHAPTER OFTHE CURRENT BUDGET ?
"
' - ' . - . ·' 'XIOCNO
I6-1CAN THE PROJECT BEFINANCED BYTRANSFER .BETWEEN CHAPTERS OFTHE CURRENT BUDGET ?
YES /X0C
16-2WILL ASUPPLEMENTA«Y BUDGET BENECESSARY ?
**K#N0
I6"3WILL FUTURE BUDGET APPROPRIATIONS BENECESSARY ? ,XRVN0 ,
OBSERVATIONS :■
(1)Thedraft amending budget No.T increases these appropriations to
348MioECU,which isalready fully committed inmeasures decided upon
earlier .
Supplementary appropriations necessary in1981 will becovered bytransfers
from thecereals andsugar sectors .