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DOCUMENTS "COM"
COM(73)1466
Vol.1973/0258

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(73)1466 final
Brussels .11September 1973
»
PROPOSAL FOR A
Regulation (EEC )oftheCouncil
•
onthefinancing ofcertain measures bytheEuropean
Agricultural Guidance andGuarantee Fund .Guarantee Section
(submitted totheCouncil "bytheCommission )
COM(73 )1466 final

Extîlanatorv Mémorandum
1.Article3ofRegulation (ESC)No!729/70providedfortheintroduction "bythe
Councilofthegeneralrulesonthefinancingofinterventions "bytheGuarantee
SectionoftheEAGGF.InthisconnectiontheCouncil,intheAnnextoRegulation
(EEC)No2824/72,listedthemeasures -toheconsideredasinterventionforthe
stabilization ofagricultural markets.ThisAnnexnowneedstobeupdatedin
thelightofthefollowingfactorswhichhavearisensinceitwasfirstdrawn
uptowardstheendof1972:,
(a)Regulation (EEC)No974/71?asamendedbyRegulation
(EEC)WG2746/72hasintegrated "monetary"compensatory amountsinCom­
munityfinancing ;article7ofthisRegulationconsidersthecompensatory
amountsoha.rgedorgrantedintradewithMemberStatestobeexpenditure
onintervention ;
(b)theenlargementoftheCommunity:
.-involvesthegrantingof"accession"compensatory amountsinintra-Community
tradewhicharefinanoedbytheEAGGFunderarticle58oftheAccessionTreaty
SinceonlytradewithMemberStatesisconcerned ,andinviewofthefact
thatotheramountsgrantedinconnectionwithsuchtradeareconsidered
asexpenditure onintervention ,itisproposedthatthe"accession"compensa­
toryamountsshouldalsobefinancedundertheheadingofintervention ;
-hasmadeitnecessarytotakecertaintransitional measuresbasedonar­
ticle63oftheAccessionTreaty,the.aimofwhichistofacilitatethe
transition fromanationaltoaCommunitysystem.Someofthesemeasures,
beingoperationsintendedtostabilizeagricultrual markets,haveasyet
notbeenincludedintheAnnextoRegulation (EEC)No2824/72.

-2-
(c)CouncilRegulation (EEC)No239/73introduced ,asubsidyintendedto"assistthe
marketingofsugarproducedintheFrenchOverseasDepartments .Itwasmarie
clearinthepreambletothisRegulationthatthisisaCommuntiysubsidy.
ItisproposedthatthemeasuresreferredtoabovebeincludedintheAnnex
.toRegulation (EEC)No2824/72.,•
I *
2.Article56oftheActofAccessionprovidesthatspecificmeasuresmaybeintroduced
inconnectionwithtradewiththirdcountries.Since ,theamountschargedunderthese
measuresareeitherleviesorcustomsdutieswithinthemeaningoftheDeoision
of21April1970(onownresources),itisproposed,asfarasthefinancingof
amountsgrantedundersuchmeasuresisconcerned,thattheyshouldcomeunderthe
headingofexportrefunds. ,
1• : ■ , .
3.FinancialConsequences ' ..
Thisproposalwouldnoliintroducehewmeasures,butwouldsimplyincludeinthe
AnnextoRegulation (EEC)No2824/72thoseintervention measureswhichhavebeen
introducedsincetheendof1972,orelse'Specifytheheadingsunderwhichsuch
measuresaretobefinanced(intervention 'orrefund).Consequentlythisproposal
doesnotinvolveanynew.expenseorrevenue.
À

Proposal foraRegulation (SSC )
oftheCouncil onthe financing ofcertain
measures "bytheEuropean Agricultural Guidance
and Guarantee Fund .Guarantee Section .
The Council oftheEuropean Communities ,
Having regard totheTreaty establishing theEuropean Economic Community;' .
/U)
Having regard toCouncil Regulation (EEC)No729/70'of21April 19,70 onthefinanc -
(2)ingofthe'common agricultural policy ,aslast modified "bytheAct concerning
theConditions ofAccession and theAdjustment totheTreaties ,hereinafter re­
ferred toas"theAct",andinparticular Articles 2(2)and3(2)thereof ;
Having regard totheproposal from theCommission ;
Whereas intheAnnex toCouncil Regulation (EEC)No2824/72 of28December 1972
laying dovni general rules forthefinancing ofinterventions bytheEuropean
Agricultural Guidance andGuarantee Fund ,Guarantee Section ,
measures are listed which are tobe .treated asintervention intended tostabilize
theagricultural markets ,within themeaning ofArticle 3(l)ofRegulation (EEC )
No729/70;whereas it ,isnecessary toinclude inthis Annex intervention measures
introduced since then ,and .the "monetary "compensatory amounts charged saidgranted
intrade between Member States ,thefinancing ofwhich asintervention wasprovided
forbyArticle 7(2)of'Council Regulation (EEC)No974/71^of12May1971on
certain measures ofconjunotural policy tobetaken inagriculture following the tern
porary widening ofthemargia offluctuation forthecurrencies ofcertain Member
States ,a3lastamended' byRegulation (EEC)No1225/73^'^5
Whereas Artiolo 58oftheActprovides that the "accession "compensatory amounts
granted shall bofinanced bytheGuarantee Section oftheEuropean Agricultural
Guidance andGuarantee Fund ;
Y*
(l)0JNoh94of28Anr.il 1970 ,n.13
(2)0JHoI,73of27March 1972 ,p.14
i3)0JNoL208of31December 1972 ,p.5
(4)0JNoL106of12May1971 ,p.1
(.5)0JNoL125of11Kay1973 ,p.49

-2-
Whereas itmust bemade clear undijr which heading these compensatory amounts
aretobefinanced ;whereas however such olarification concerns only those
amounts granted intrade "between Member States ,inthat ,inaccordance with
Articles 47(l )and55(l)(b )oftheAct ,such amounts granted intrade with third
countries arededucted from levies orother charges onimports ,oraGappropriate ,
added totherefunds payable ;
Whereas Article 5°oftheActprovides that ,under certain conditions ,specific
measures maybeintroduced ;whereas amounts granted pursuant toArticle 56
intrade with third countries aretobeconsidered asrefunds within themeaning
ofArticle 2(l)ofRegulation (EEC)No729/70,andaretherefore tobefinanced as
such ;
HASADOPTED THIS REGULATION ' ''
Article 1
1.The following isadded to <Section I"Cereals and rice "oftheAnnex to
Regulation (EEC)-No2824/72:
"8.theproduction refunds provided forinArticle 1ofRegulation
(SEC)Ko'1009/73"
2.Thefollowing isadded toSection IV"sugar "oftheAnnex toRegulation
(EEC)No2024/72:
.'(a)topoint 3:"and "inArtiola 1ofRegulation (ESC)No622/73"
(b)topoint 4;"andinArticle 1ofRegulation (EEC )No364/73""
(c)after point 4: •
"5thesubsidies granted pursuant toArticle 2ofRegulation (EEC )
No239/73"
3.Thefollowing Section isadded totheAnnex toRegulation (EEC )No2824/72:
"XVProvisions concerning various sectors
1.themonetary compensatory amounts charged andgranted intrade
between Member States pursuant toRegulation (EEC)No974/71
2.The "accession "compensatory amounts granted intrad *between Member
States pursuant toArticles 47and 55ofthe AotofAccession ".

T3-
Article ?
Theamounts granted pursuant toArticle 5°°ftheAct intrade with third countries ,
shall ,forpurposes ofthefinancing ofthecommon agricultural policy ,-hoincluded
among theexport refunds tothird countries within themeaning ofArticle 2(l)
ofRegulation (EBG)No729/70.
Article V
This Regulation shall enter into force ontnethird day following' that of .its
publication in*theOfficial Journal oftheEuropean Communities .
Itshall apply from 1January 1973 .
This Regulation is "binding initsentirety anddirectly applicable inallMember
States .
Done atBrussels , For the Council
The President .