COMMISSION OF THE EUROPEAN COMMUNITIES 
C0MC90) 210 final 
Brussels, 22 May 1990 
Proposal for a 
COUNCIL REGULATION (EEC) 
amending Regulation (EEC) No 1696/71 on the 
common organization of the market in hops 
(presented by the Commission) 
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Explanatory Memorandum 
It Is proposed that the Council adopt a proposal for a Regulation 
amending Regulation (EEC) No 1696/71 on the common organization 
of the market In hops. 
This Regulation would allow for granting of aid to producers for 
areas planted with experimental varieties. This means an 
exception to the rule that varieties must belong to one of the 
varietal groups specified in Council Regulation (EEC) No 1696/71 
and, based on that, must be listed In the Annex of Commission 
Regulation 1517/77 In order to qualify for the aid. 
For the hop sector it is most essential to continue development 
of new varltles. However, the areas at the disposal of the 
research Institutes are not always large enough to provide the 
desired results. Growers who assist these research institutes by 
allocating a part of their hop area for the testing of new 
varieties should not suffer from the disadvantage of not being 
eligible for aid to producers for the areas in question. 
Therefore it is suggested that aid to producers may be granted 
for areas planted with experimental varieties for a certain 
period and a restricted area per Member state. Since the aid to 
producers commands only a small portion of the hop growers' 
revenues a substantial rise In hop areas Is not be expected. 
No impact on small and medium enterprises. 
The cost of the proposal to the EAGGF, Guarantee Section, Is 
estimated at ECU 0.1 million per year. 
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Proposal for a 
COUNCIL REGULATION (EEC) 
amending Regulation (EEC) No 1696/71 on the 
common organization of the market in hops 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic Community, 
and in particular Article 43 thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Parliament*1), 
Having regard to the opinion of the Economic and Social Committee*2*, 
Whereas Article 12 of Council Regulation (EEC) No 1696/71(3), as |ast 
amended by Regulation (EEC) No 3808/89*4), does not provide for the 
possibility of granting aid to producers for experimental varieties; 
Whereas the continuing development of new varieties is essential for the 
hop sector; whereas the areas at the disposal of research Institutes for 
testing experimental varieties are limited, especially when these varieties 
are in an advanced stage of breeding and results on a larger scale would be 
desirable; 
Whereas the allocation of producers' land for testing of experimental 
varieties in their final stages of breeding development would allow for 
testing on a larger scale; whereas this would not only provide research 
institutes with valuable results but also give an initial indication of 
market acceptance of such varieties; 
(1) 
(2) 
(3) OJ No L 175, 4.8.1971, p. 1. 
(4) OJ No L 371, 20.12.1989, p. 1. 
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Whereas producers who are prepared to cooperate on their land with research 
institutes should not suffer from the disadvantage of losing their 
eligibility for production aid in respect of the area In question; 
Whereas the period, as well as the total surface per Member State, for 
which production aid is granted for areas cultivated with experimental 
varieties should be limited; 
HAS ADOPTED THIS REGULATION: 
Article 1 
The following Article is Inserted In Regulation (EEC) No 1696/71 : 
"Article 12a 
Without prejudice to Article 12 (3), aid may also be granted for 
experimental varieties which are In an advanced stage of breeding 
development for a maximum period of five years, provided that such 
varieties are cultivated by a producer under the supervision of a 
research institute. 
The amount of the aid shall be fixed in accordance with the procedure 
set out in Article 12(7) and in any case shall not be greater than 
the amount of aid fixed for group 3 "others". 
The aid shall be granted for an area not exceeding one percent of a 
Member State's total area under hops, and may not be granted for an 
area less than 10 hectares per Member State. 
Detailed rules for the application of this Article shall be adopted 
in accordance with the procedure laid down in Article 20." 
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Article 2 
This Regulation shall enter into force on the third day following that of 
its publication in the Official Journal of the European Communities. 
This Regulation shall be binding in its entirety and directly applicable in 
a I I Member States. 
Done at Brussels, For the Council 
The President 
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FINANCIAL STATEMENT 
DATE: 26.03.1990 
1. BUDGET HEADING: 181 APPROPRIATIONS: ECU 13 ml I i Ion 
2. TITLE: 
Proposal for a Counci I Regulation (EEC) No 1696/71 on the camion organization of the market In hops. 
3. LEGAL BASIS: Article 43 of the Treaty 
4. AIMS OF PROJECT: 
To grant aid to producers for experimental varieties. 
5. FINANCIAL IMPLICATIONS 
5.0 EXPENDITURE 
- CHARGED TO THE EC BUDGET 
- (REFUNDS/INTERVENT ION) 
- NATIONAL ADMINISTRATION 
- OTHER 
5.1 REVENUE 
- OWN RESOURCES OF THE EC 
(LEVIES/CUSTOMS DUT IES) 
- NATIONAL Period of 12 months 
0,1 ECU mi 11 Ion Current Financial Year 
1990 
p.m. Following Financial Year 
1991 
0,1 ECU mi 11 Ion 
1992 
5.0.1 ESTIMATED EXPENDITURE 
5.1.1 ESTIMATED REVENUE 0,1 ECU mi 11 Ion 1993 
0,1 ECU ml 11 Ion 1994 
0,1 ECU mi 11 ion 1995 
0,1 ECU mi 11 ion 
5.2 METHOD OF CALCULATICM: 
Maximal hypothesis: 26.000 ha x 1% - 260 ha 
260 ha x 390 ECU/ha x 1,155 (DT) - 0,1 ECU ml 11 Ion 
__j 
6.0 CAN THE PROJECT BE FINANCED FROM APPROPRIATIONS ENTERED IN THE RELEVANT CHAPTER OF THE CURRENT BUDGET? 
YES 
6.1 CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF THE CURRENT BUDGET? 
6.2 ISA SUPPLEMENTARY BUDGET NECESSARY? 
6.3 WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY? 
YES 
OBSERVAT IONS: 
ISSN 0254-1475 
COM(90) 210 final 
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