NoC52/26 OfficialJournaloftheEuropeanCommunities 19.2.94
Directivetochanneleffortsatpresentdeployedina
fragmentedwayatnationallevel,butfeelsthatthisshouldcomeafterthecosts/benefitsanalysisof
harmonization .
DoneatBrussels,21December1993.
TheChairman
oftheEconomicandSocialCommittee
SusanneTIEMANN
OpiniononObjective5(a)oftheReformoftheStructuralFunds(1994-99)AmendedProposal
foraCouncilRegulation (EEC)amendingRegulations (EEC)No2328/91,No866/90,No
1360/78,No1035/72andNo449/69withaviewtoExpeditingtheAdjustmentofProduction,
ProcessingandMarketingStructureswithintheframeworkoftheReformoftheCommon
AgriculturalPolicy(*)
(94/C52/09)
TheCouncildecidedon1September1993,inaccordancewithArticles43and198ofthe
EECTreaty,toasktheEconomicandSocialCommitteeforanOpinionontheabovemen­
tionedproposal.
TheSectionforAgricultureandFisheries,whichwasresponsibleforthepreparatorywork,
adopteditsOpinionon8December1993.TheRapporteurwasMrdePauldeBarchifontaine .
Atits311thPlenarySession,heldon21and22December1993(meetingof21December
1993),theEconomicandSocialCommitteeadoptedunanimouslythefollowingOpinion.
1.PreliminaryRemark
1.1.Firstofall,theCommitteewouldliketopoint
outthatitdeplorestheshortdeadlinewhichhasbeen
imposedonitbytheCouncil,obligingittoprepare
thisOpinionunderunreasonableconditionswhichdo
notallowaseriousandthoroughexaminationofthe
complexdocumentwhichhasbeensubmittedtoit.It
askstheCouncilforthwithtogiveitadeadlineenabling
ittoplayitsroleofaconsultativeassemblyrepresenting
theinterestsofEuropeancitizensonvitalmatters.ciple,thefactthatthevariouspartsoftheregulations
havebeenconsiderablysimplifiedbothasregardscon­
tentandtheproceduresfortakingdecisions(content
ofplans,requestsforaid,singleplanningdocument,
etc.).Itishopedthattheimplementation ofthenew
regulationwillbemadeeasier,providedthatthecom­
petentnationalandregionalauthoritiesintheMember
Statescanfollowtheleadgiven.
2.2.However,thetextoftheproposalisdifficultto
readandisunclearinmanyrespects,asitmakesalarge
numberofreferencestootherregulationsadoptedas
partofthereformoftheStructuralFunds('framework',
'co-ordination 'and'EAGGFGuidance'regulations).
TheCommitteedeploresthisstateofaffairs,especially
sinceitcontrastssharplywiththeoften-expressed wish
tomakeCommunityruleseasiertounderstandand
closertocurrentpractice.2.GeneralComments
2.1.TheCommitteenoteswithinterestthecontent
oftheCommission'sproposalandwelcomes,inprin­
(!)OJNoC235,31.8.1993,p.15.2.3.TheCommitteenotesthatthenewproposal
doesnotmakeanybasicchangestotheinvestmentaid

19.2.94 OfficialJournaloftheEuropeanCommunities NoC52/27
2.10.TheCommitteethinksthatanyagricultural
processingplantssetupwiththehelpofCommunity
financingmustsatisfythebasicobjectiveofadding
valuetoregionalproducts.Fromthispointofviewthe
CommitteeagreeswiththeCommission'sproposalthat
suchplantsshouldnotbeusedtoprocessnon-EU
products,althoughitisunderstoodthatsuchapossi­
bilitymaybeallowedinexceptionalcases(e.g.shortage
ofaproductwithinaMemberState).schemecurrentlyinforce.Whileitagreesthatthe
presentschememaybemaintainedassuchbecauseit
hasbeenrelativelysuccessful,itfeelsthattheCom­
missionshouldhaveputtheemphasisoninvestments
madenecessarybyadjustments ,restructuring and
rationalisation imposedonfarms(changingthedirec­
tionofco-operatives'economicactivities,adaptation
ofexistingcapacities,etc.),notonlybecauseofCAP
reformandtheGATTtalksbutalsobecauseofdevelop­
mentsconnectedwiththesinglemarketandthenew
internationalbackground .
2.11.Europeanstructuralpolicyisinthethroesof
change2.4.TheCommittee,whileagreeingwiththeprin­
ciplesbehindtheStructuralFunds,isworriedbythe
lackofmoneyavailableforcarryingoutObjective5(a)
measures .2.11.1.TheCommission initiallyproposed
COM(93)270final.
2.11.2.FollowingdecisionsbytheCouncil,particu­
larlyonfinancing,theCommissionwasforcedto
reviewitstext,whichpromptedittosubmitCOM(93)
443final.2.5.TheCommitteehopesthatwiththeCom­
munity'sdecision-making procedureitwillbepossible
todecideonthenewrulesintime,i.e.by31December
1993atthelatest,sothatplanningworkonfarmscan
becarriedonwithoutanydelayorinterruptionin
paymentstoFundbeneficiariesatthebeginningof
1994.
2.12.Communitysupportnetworksandplans(only
concernsRegulation866/90)
2.6.TheCommitteethinksitisagoodideatoadapt
production,processingandmarketingstructuresby
planningandlimitingaid,followingthereformofthe
CAP. 2.12.1.TheCommission'swishconcerningObjec­
tive5(a)istohavemachinerysimilartothatusedfor
theotherStructuralFunds.
2.7.BylimitingproductiontheCAPreformhassome
negativeeffectsonthefarmingpopulation,particularly
wage-earners ,andonprocessingandmarketingstruc­
tures:2.12.2.Useofasingledocument(whichisinfact
madeupoftwodocuments)doesnotmeanlessinfor­
mation;itwouldjustbebetterstructured.Inaddition,
thepresentationofasingleplanfulfilsaneedtoplace
inter-sectorrelationsinacoherent,co-ordinatedand
interdependent frameworkbearinginmindthatthere
isadirectlinkbetweensomesectors—suchascereals
andmeat.—Jobsarelostinfarmswhichcutproduction ;
—Jobsarealsolostinorganisations whichprocess
andmarketfarmproducts.
2.12.3.TheaidsinCOM(93)443finalwillgoto
Objective1areasasanintegralpartofregionaldevelop­
mentplans.2.8.GiventhatCAPreformleadstonumerousjob
losses,provisionshouldbemadeforstructuralaidto
promoteretraining .
2.12.4.Theproposedoverallplanseemstomix
everythinguptogether,whenasectoralapproachseems
moreprudent. 2.9.IntheCommittee'sviewtheneedforaredeploy­
mentofaruraldevelopmentstrategyisabsolutely
essentialandmustbegivenparticularlyurgentattention
bytheEuropeanpoliticalauthorities. 2.12.5.Infactthisisnotthecasebecauseitispossible
toclearlyseparatealltheitemsintheoverallplan.
TheCommitteewilldealwiththismattermorefully
intheown-initiativereporton'AgricultureandSociety'
whichistobedrawnupbytheSectionforAgriculture
andFisheries.2.12.6.TheCommitteefeelsthatthelengthofthe
plans(3to6years)leavemanythingsopentochance,
asitissodifficulttopredictthefuture.

NoC52/28 OfficialJournaloftheEuropeanCommunities 19.2.94
2.12.7.IntheCommittee'sviewonemustremainas
flexibleaspossible.2.15.3.Suchasituationmayleadtoadoubledis­
crimination :
2.13.Distributionoffunds-—conditionsofaccess;
—fundsmadeavailable.
2.16.TheCommission mustthereforeretaincontrol
overpayments .2.13.1.FundswillbedistributedbyMemberState
inthelightofstructuralneedsandtheuseofappropri­
ationsinpreviousyears.
2.13.2.Funddistributionisindependentofregu­
lation;itisapoliticaldecision.TheCommitteethinks
itshouldbecarriedoutinthelightoffarmers'needs.
2.13.3.IfaMemberStatedoesnotspenditsshare
thereisnosystematictransfertoanotherMemberState.
Anattemptwillfirstbemadetofindoutwhyandhelp
thestatemanageitsshare.TheCommitteethinksthis
couldbedonebyprofessionalpartners.
2.13.4.Itshouldberememberedthatsharesarenot
aninviolablerighttobespentanyhow.TheCommittee
wouldstronglyemphasisethispoint.2.16.1.TheCommitteeapprovesthechangeswhich
theCommissionisproposingtomaketoRegulation
(EEC)No866/90withtheaim,inthefirstplace,of
includingthemarketingandprocessingoffarmprod­
uctsinanationalmulti-yearprogramme .
2.16.2.However,theCommitteefeelsthatwhen
nationalplansaredrawnuponeshouldnotforgetthe
productionsituationinthedifferentsectorsortheneed
tomoderniseexistingprocessingstructuresorcreate
newones;theoverallplanisthereforeseenastheresult
orsumofseveralsectoralorregionalplans.
2.14.Aidtoagriculturalorganizations2.16.3.Thishavingbeenmadeclear,theCom­
mission'sapproachmaybeaccepted;atthesametime,
itshouldbestressedthatplanningshouldnotbetoo
gearedtothelongterminviewofthedifficultiesof
determininginadvancetheproductmixandmarket
trendsforaperiodoffiveorsixyears.2.14.1.Provisionismadeforaidtoagricultural
organisations ,particularlyforprovidingspeciallytail­
oredsupportontechnical,economic,financialand
administrative managementoffarms.
2.14.2.Theadministrative partisverycomplicated
followingthereformoftheCAP.
2.14.3.Undertheseconditions,andgiventhenon­
productivenatureofadministrative charges,suchaid
shouldnotbetreatedasastarting-uppaymentbut
shouldbeprovidedforthelengthoftimerequired
tocarryouttheadjustmentsmadenecessarybyCAP
reform.2.16.4.TheCommitteerecommends thatnational
plansbelimitedduringaninitialstagetoaperiodof
threeyears,althoughwithoutrulingoutthepresen­
tationofnewplansforasecondthree-yearphase.
2.16.5.Anotheraspectworthdrawingtothe
Council'sattentionisthespecificrequirementsofa
givenregion.
2.15.Ifthebudgetrunsout?
2.15.1.Whatwillhappenifthoseentitledtohelp
fulfilalltheconditionsbutthebudgethasrunout?2.16.6.Theexistenceofasurplusorshortageina
sector—whichisoftenthekeyfactorindecidingon
financingforinvestmentsinthepreparation ,processing
andmarketingoffarmproducts—shouldnotbean
obstacletotheeconomicdevelopmentofaregionor
areaaslongastheprojectinquestionisconsistent
withtheobjectiveofstimulatinggrowthinthewhole
economyoftheregion,i.e.notjustagriculture,butalso
industryandcommerce.2.15.2.TheMemberStatesmay:
—imposeadditionalcriteria;
—limittherighttoaid;or2.16.7.Onthewhole,thisproposal'stimehascome,
andifthesuggestedchangesaremadewecanonly
welcomethedesiretointroducesomeofthesimplifi­
cationwhichhasbecomeessential. —bailouttheEuropeanbudget.

19.2.94 OfficialJournaloftheEuropeanCommunities NoC52/29
3.SpecificComments (Regulation (EEC)No866/90)3.6.InArticle12theCommitteeispleased,inprin­
ciple,thattheCommissionmay,undercertaincon­
ditions,acceptinvestmentsrelatingtoproductsother
thanthoselistedinAnnexIItotheTreaty.Suchflexi­
bilityenablesmoreaccounttobetakenoftechnological
progressinfoodmanufacturing .TheCommitteewould
alsolikesuchproductsascorkandfurskinstobe
included.Asthemoneyavailableislimiteditisessential
tohaveconsultations onthismatterwithEuropean
agriculturalorganisations .3.1.AsregardsArticle2(3),theCommitteethinksit
isimpossible—andtoorigid—toseparateinfor­
mationonObjective5(b)areasfromthatontherest
ofaregion.Marketingfirmsareoftenlocatedand
operateindifferentareasorregions.Becauseofthe
strongstructuralandoperationalgrowththatresults
fromthis,suchadistinctionwillonlymakethingsmore
difficult.Sufficientflexibilityshouldthereforebeshown
concerninginformationabouttherespectiveregions.
3.7.Theamendedproposalnolongermentionsthe
exclusionofinvestmentsonwhichworkhasbegun
morethansixmonthsbeforethedateonwhichthe
Commissionreceivesarequestforaid(Article13).The
Committeewouldlikesomeclarificationonthispoint,
sincesuchexclusionmayposeextraproblemsforinves­
torsifchangesaremadetopl^nsandthetreatment
giventotheinvestmentsassociatedwiththem.3.2.AsregardsArticle3(1)(c),theCommitteewould
stressthatabalancemustbefoundbetweenmarket
requirements ,i.e.thoseofmarketingfirms,and
environmental interests.
3.3.TheCommitteewouldpointoutthatthedead­
lineof30April1994forthesubmissionofplanstothe
Commission (Article3(2))iscloselylinkedtothedate
ofadoptionofthenewregulation.Ifthisisdelayed,
the30Aprildeadlinewillalsohavetobepostponedin
ordertogivethecompetentauthoritiesintheMember
Statessufficientbreathingspace.3.8.AsregardsArticle16,theCommitteewould
stresstheneedtoremainawareofthedangerofcreating
excessivecapacityifaidfromtheFundreachesahigh
level.Thisistobeavoidedatallcosts.Ascapacity
reductionsaretobeexpectedinthefuturefollowingthe
politicaldecisionstakenonCAPreform,itisessential
toensurethataidfromtheFundgoesaboveallto
investmentsmadenecessarybyadjustments,restructur­
ingandrationalisation onfarmsandthatithelps
strengthenexistingagriculturalorganisations .3.4.AsregardsArticle7(1),theCommitteewould
likeclarificationonhow,inpractice,theCommission
intendstoensureconsistencywiththeallocationof
appropriations betweentheMemberStatesinthecase
ofObjective5(a)regionsoutsideObjective1.Whatever
happens,thespecificstructuralneedsinagriculturein
thedifferentmarketsandregionsabsolutelymustbe
takenintoaccountinanobjectivemanner,especially
asthereformoftheCAPhasnotyetbeenfully
implemented incertainproductsectorsandthenew
requirementsrelatingtoitcannotbeproperlyassessed
atthisstage.3.9.Asregardsthetransitionalprovisionsin
Article19,theCommitteethinksitisunfairthatoper­
ationalprogrammessubmittedbefore31December
1993butnotacceptedforaidfromtheFundshould
havetomeetthecriteriaandconditionsofthepresent
regulationinordertobeincludedintheoperational
programmestobefinancedduringtheperiod1994­
1999.Thiswouldtotallyignorepreviousplans(which
wouldlapse)andplaceaheavyburdenofuncertainty
onfarms.TheCommitteethereforeasksthattran­
sitionalarrangements beintroducedfortheperiod
betweentheendofthepresentschemeandtheentry
intoforceofthenewrules,aswasdoneduringthe
transitionfromRegulation355toRegulation866.If
thisisnotdone,andespeciallyifthenewregulationis
notadoptedwithintheplannedtimelimit,thoseapply­
ingforassistancefromtheFundwouldfindthemselves
unabletoobtainaidandstarttheprojectswhichhad
alreadybeenpreparedlongbeforehand .3.5.Asregardstheselectioncriteriawhichlaydown
prioritiesandindicateinvestmentswhichmustbe
excludedfromCommunityfinancing(Article8),the
Committeedeploresthefactthattheprofessionalswere
notconsultedduringthepreparatorystages.Byacting
inthiswaytheCommissionhasclearlyshownthat,
apartfromtheCAPguidelinesonwhichitwillbase
thesecriteria,ithasnointentionofconcerningitself
withthenegativeeffectsontheviabilityandeconomic
activityofagriculturalco-operatives andindustries
resultingfromthesweepingchangestoagricultural
policy.TheCommitteethereforeasksthatthecriteria
currentlyinforceshouldatleastremainunchanged
untiltheprofessionalshavebeenabletoexpresstheir
pointofview.3.10.AstheprovisionsofArticle21havelapsed,the
Committeefeelstheyshouldnotbeincludedinthetext
ofthenewregulation.Also,thedateonwhichthe

NoC52/30 OfficialJournaloftheEuropeanCommunities 19.2.94
regulationshouldcomeintoforce,laiddownin
Article24,shouldlogicallybe1January1994,inaccordancewithArticle11aofthenewEAGGFGuid­
anceRegulation .
DoneatBrussels,21December1993.
TheChairman
oftheEconomicandSocialCommittee
SusanneTIEMANN
Opinionon:
—theproposalforaCouncilRegulation (EEC)concerningtheprohibitionontheusein
stockfarmingofcertainsubstanceshavingahormonalorthyrostaticactionandof
P-agonists,
—theproposalforaCouncilRegulation (EEC)onmeasurestomonitorcertainsubstances
andresiduesthereofinliveanimalsandanimalproducts,and
—theproposalforaCouncilRegulation (EEC)amendingRegulation (EEC)No805/68on
thecommonorganizationofthemarketinbeefandveal(*)
(94/C52/10)
On28October1993theCouncildecidedtoconsulttheEconomicandSocialCommittee,
underArticle198oftheTreatyestablishingtheEuropeanEconomicCommunity,onthe
abovementioned proposals.
TheSectionforProtectionoftheEnvironment ,PublicHealthandConsumerAffairs,which
wasresponsibleforpreparingtheCommittee'sworkonthesubject,adopteditsOpinionon
7December1993.TheRapporteurwasMrKienle.
Atits311thPlenarySession(meetingof21December1993),theEconomicandSocial
CommitteeadoptedthefollowingOpinionbyamajority,withsixvotescastagainst.
1.Generalcomments enforceexistingprovisionsontheuseofcertaingrowth­
promotingsubstances,tocombatinparticularthe
increasingmisuseofp-agonistsforfatteningpurposes;
totightenupandfocuscontrolprocedures;andto
createthepreconditionsformoreeffectiveadministrat­
ivesanctions .
1.3.TheCommitteeemphatically supportsthese
effortstoreducepotentialpublichealthhazards,to
preventdistortionsofcompetitioninagriculturecaused
byimproperproductionmethodsandtostrengthenthe
confidenceofconsumers .1.1.Theguaranteedsupplyofhigh-qualityfood­
stuffstothepublicatreasonablepricesisanimportant
aimbothoffarmpolicyandofconsumerpolicy.
1.2.Inordertopreventmisuseofprohibitedsub­
stancesinstockfarming ,theCommissionhasnowpro­
posed[inCOM(93)441finalof22September1993]
far-reachingandinsomecasesdrasticmeasures.They
aredesignedtoimprovetechnicalcontrols,inorderto
1.4.Itshouldnot,however,beoverlookedthatfor
yearsviewsdivergedconsiderablyintheEuropean (x)OJNoC302,9.11.1993,pp.8,12-25.