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COMMISSION OFTHEEUROPEAHCOMMUMITI ^
COM(78)151 final
Brussels .11April 1978
Proposal for a
COUNCIL REGULATION (EEC )
concerning theallocation ofaCommunity quota of
wine offresh grapes ,intended tobefortified for
distillation ,originating inAlgeria (1978/79)
(submitted totheCouncil "bytheCommission )
COX(78 )151final

EXPLANATORY MEMORANDUM
TheCooperation Agreement betweentheEuropeanEconomicCommunity
andthePeoplesDemocratic RepublicofAlgeria,signedon26April1976
andwhichwillenterintoforceon(1stJuly1978),makesprovisionfora
tariffconcession,forfouryears,consistingofan80%reductioninthe
customsdutiesforimportsofwineoffreshgrapes,intendedforfortifying
andoriginating inAlgeria,subjecttoanannualquotaof500.000hecto-
litres,onconditionthataspecialimportpriceisobserved.
Article3(1)ofCouncilRegulation (EEC)No1516/76onimports
intotheCommunityofwineoffreshgrapes,intendedtobefortifiedfor
distillation ,originating inAlgerialaysdownthattheallocationofthe
quotaistobeeffectedbytheCouncil,actingbyaqualifiedmajorityon
aproposalfromtheCommission .Suchallocation mustbeeffectedin
proportiontoMemberStates'requirements ,calculated onthebasisof
statisticsofimportsofthesaidwinesoriginating inAlgeriaandthe
economicprospectsforthequotaperiodunderconsideration .However,in
thisparticular case,therearenostatistics-eitherCommunityornatio­
nal-forthewinesinquestion.Inthesecircumstances ,itwouldseem
advisableonthebasisofthisregulationtoreviewthequotasharesfor
theMemberStatesforathirdperiodfor1July1978to30thJune1979.
TheCommissionthereforeproposesthattheCouncilshouldadopt
thefollowingproposalforaregulation concerningtheallocationofa
quotaofwineoffreshgrapes,intendedforfortifying,originating in
Algeria.»
FINANCIAL IMPLICATION
Thisregulation doesnotinvolveanyfinancialimplication .

COUNCILREGULATION (EEC)
concerningtheallocationofaCommunityquotaofwineoffreshgrapes,
intendedtobefortifiedfordistillation ,originating inAlgeria
(1978/79)
THECOUNCILOFTHEEUROPEAN COMMUNITIES,
HavingregardtotheTreatyestablishing theEuropeanEconomicCommunity,
HavingregardtoCouncilRegulation (EEC)No1516/76of24June1976on
importsofwineoffreshgrapes,intendedtobefortifiedfordistillation ,
Λoriginating inAlgeria(),andinparticularArticle3(1)thereof,
HavingregardtotheproposalfromtheCommission,
WhereasRegulation (EEC)N°1516/76laysdownthat,pursuanttothe
Cooperation Agreement betweentheEuropeanEconomicCommunity andthePeople
Democratic RepublicofAlgeriasignedon26April1976andwhichenters
intoforceon(1July1978),winesoffreshgrapes,intendedforforti­
fying,fallingwithinsubheadings 22.05CIexb)andCIIexb)ofthe
CommonCustomsTariff,originating inAlgeria,maybeimportedintothe
Communitywithatariffconcessionconsistingofan80%reductioninthe
customsdutiesandwithinthelimitsofaCommunityquotasubjectto
observanceofaspecialprice;whereastheannualquotais500000hecto-
litresperyearforfouryearsfromtheentryintoforceoftheInterim
Agreement (2)on1July1976whichwasaimedatimplementing certain
provisionsoftheCooperation Agreement;whereasthethirdannualCommunity
quotashouldbeallocatedfortheperiod1July1978to30June1979;
Whereas,inordertofollowascloselyaspossibletheactualdevelopment
ofthemarketintheproductsinquestion,suchallocation mustbeeffected
inproportiontoMemberStates'requirements ,calculated onthebasisofthe
statistics onimportsofthesaidproductsfromAlgeriaduringarepresen­
tativeperiodandalsoonthebasisoftheeconomicprospectsforthetariff
periodunderconsideration ; :i
(1)J.On°L169,28.6.1976,p.29,
(2)J.On°L141,28.5.1976,p."2.

2
Whereas,however,inthiscase,therearenoCommunityornationalstatis­
ticsforthewinesinquestion;whereas,provisionshouldconsequently be
madeforallocatingthetotalquotaintoshareswhichtakeaccountofthe
capacityofthemarketsoftheMemberStatestoabsorbthesaidwines;"
Whereas,inordertotakeaccountintheseconditionsoftheuncertainty in
trendsinimportsintotheMemberStatesoftheproductconcerned,the
quotashouldbedividedintotwoinstalments;thefirsttobeallocated ,
amongalltheMemberStatesandthesecondtoformareserveintendedto
coveranysubsequentrequirements ofMemberStateswhichhaveusedup
theirinitialshares;
WhereasMemberStatesmayuseuptheirinitialsharesatdifferentrates;
whereastoprovideforthiseventuality andtoavoiddisruptionof
supplies,anyMemberStatewhichhasalmostusedupitsinitialshare
shoulddrawanadditional sharefromthereserve;whereasthisshouldbe
donebyeachMemberStatewheneachofitsadditional shareshasbeenalmost
usedup,and^oonasmanytimesasthereserveallows;whereastheinitial
andadditional sharesshouldbevaliduntiltheendofthequotaperiod;
Whereasif,atagivendateinthequotaperiod,aconsiderable quantity
ofaMemberState'sinitialshareremainsunused,itisessential ,that
thatMemberStateshouldreturnittothereservesoastopreventapart
ofthequotafromremaining unusedinoneMemberStatewhenitcouldbe
usedinothers; "
Whereas,sincetheKingdomofBelgium,theKingdomoftheNetherlands and
theGrandDuchyofLuxembourg ,areunitedwithinandjointlyrepresented by
theBeneluxEconomicUnionanymeasureconcerning theadministration of
thesharesallocatedtothateconomicunionmaybecarriedoutbyanyone
ofitsmembers, /
•/•••

3
HASADOPTEDTHISREGULATION :
Article 1
The500000hectolitres quotaopenedforwineoffreshgrapesintendedfor
fortifying,originating inAlgeria,undertheconditionslaiddownby
Regulation (EEC)No1516/76,shallbeallocatedasfollowsamongthe
MemberStatesfortheperiod1July1978to30June1979.
(inhectolitres )
Bénélux 30000
Denmark 1250
Germany 115000
France 100000
Ireland 1'250
Italy 100000
UnitedKingdom 7500
Theremaining 145000hectolitres shallconstitute thereserve.
Article 2
1.If90%ormoreofanyMemberState'sinitialshareasfixedinArticle
1isusedforfortifying aspartofitsinitialshare,thatMember
Stateshallforthwith,bynotifyingtheCommission,drawasecondshare
whichmayamounttothetotalquantitiesactuallyusedforfortifying,
totheextentthatthereservesopermits.
2.Othersharesmaybedrawninaccordance withthesameconditionsuntil
thereserveisusedup.
3.MemberStatesshallreturntothereserve,notlaterthan1April1979,
theunusedshareoftheirquota.Thereserveshallbeusedinaccordance
withparagraph 2.
•••/•••

4
Article3
ThisRegulationshallenterintoforceonthethirddayfollowingits
publication intheOfficialJournaloftheEuropeanCommunities .
Itshallapplywitheffectfrom1July1978.
ThisRegulationshallbebindinginitsentiretyand
directlyapplicable inallMemberStates.
DoneatBrussels,
FortheCounciI
ThePresident