ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(75)65
Vol.1975/0024

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(75)65final
Brussels,26February1975
Proposaifor
REGULATION(EEC) OFTHECOUNCIL
fixing,forthe1975/76marketingyear,themonthly
priceincreasesforcereals,wheatandryeflourand
wheatgroatsandmeal
(submittedtotheCouncil "bytheCommission)
COMC75)65final

EXPLANATORY STATEMENT
For1974/75"theCouncil,followingaproposalbytheCommission ,adoptedachange
inthesystemofmonthlyincreasesfollowingthelinesproposedinparagraph49
ofthememorandum ontheimprovementoftheCommonAgriculture Polioy.Thesize
andnumberofmonthlyincreaseswereineffectmademoreuniform.Meanwhilewith
theobjectofeasingthebarleymarket,fromthestartofthemarketingyearduring
theperiodofputtingintoprogressiveorder,astaggeredmarketingyearformaize
wassetup,namelystartingon1Ootoberandfinishing30September.
DemandonaCommunitymarket,deficitinfeedgrains,thesatisfactory functioning
ofthenewsystemofasingleintervention priceforbarleyandthealignmentof
themaizetargetpricewiththatforbarleysuchashasbeenproposedbythe
Commissionallowafurthermovetowardsabetterhierarchyforcerealsandthe
re-establishment ofthesamemarketingyearforallcereals.
"V
Indeed,acommonseasonforallcerealstomoreimportantforthesmoothfunct'ning
ofthemarketthanabrokenonewhichforlocalreasonsofwheatherorspaceapsets
thegeneralorganisation andfavoursaparticularcerealinagivencircumstance .
ItisadvisabletorecallthatcerealharvestingintheCommunitytakesplacefrom
maytoOctober.Barley,forexample,isharvestedfromMaytoSeptember.
Insuchcircumstances ,itseemsopportunetoputthemonthlyincreasesformaize
onthesamebasisasthatforothercerealswithoutanydiscrimination .
Designedtogivesufficientincentivetostorage,themonthlyincreaseshouldnot
alwayscoverthecostswhiohshouldnormallyberecoupedfromthemarket.Meanwhile
thisdevelopmentissuchthatitseemsreasonabletoincreaseperceptibly themonthly
increaseincomparisonwiththeaotualamount.Indeedtheactualamountifit'
presentedanincreaseforbarleyandmaizein1974/75over1973/74*onlyrequireda
slightadjustmentforcommonwheatanddurumwheat.
Asaresult,thelevelofmonthly'increasesremainedslightcomparedwiththeprice
increasesinMarchandOotober,1974wheninterestratesbecamehighandremainedso.
Theincreaseinstoragecostsisperhapsonaverageabout30
andareadjustment ofthissizecorresponds withtheproposalsinthedraftsubmitted
bytheCommission.

Proposai for
HEOUUTIM (ESC) OFTKBCOUÎTOÏt
fixing -forthe1975/76marketing year themonthly price inoreases for
oereals ,wheat andryeflour andwheat groats andmeal
\ 1
THEC0U1ICIL OPTHEEUROPEAN GCE3SU1JITXES ,
Having regard totheTreaty establishing theEuropean Economio Community ;
Having regard toCojjnoil Regulation No120/67/SEC^of13June1967onthe
common organization ofthemarket inooroals ,aslast amended byRegulation
(EEO)NO (2),andinpartioular Artiole 6(2)thereof J
Having regard totheproposal from theCommission }
Whereas ,When thenumber andamount ofthemonthly prioo inoreases andthe
first month during whioh these aretoapply arefixed ,acoount should "be
taken ofthestorage costs andintorest charges forstoring oerealo inthe
Ooraraunity andoftheneed toensure that thedisposal ofstocks ofoereals
oonforms tomarket requirement sj
Whereas tothis end itshould "bolaid dovm that themonthly increases for
allthecereals should oommenoe on1September ;whereas themonthly prioo
increases forallthecereals should bestandardised ,except those fordurum
wheat ,forwhioh ,inview ofthehigher costs offinancing ,themonthly in­
creases should befixed atalevel higher than that fortheother oereals ;
Whereas themonthly increases inthethreshold prioes forother feedgrain
should befixed atthesame level andforthesame period asthose for
barley inorder tomaintain theratio established with that cereal forthe
whole ofthemarketing year ;
(1)OJNo 117,19.6.1967 *p.2265/671
(2)OJNo...//•••

M»2«■
HA.SADOPTEDTHISEEGUUTION».
Article1•
Fortho1975/76marketingyear,thomonthlyinoreasostoboappliedtotho
targetprice,thresholdpriceandinterventionpricofortheproductslisted
inArtiolo1(a),(b)and(0)ofRegulationllo120/67/SECshall"beas.setout
inthisRegulation.
Article?
Themonthlyinoreasosto"beappliedtothotargetprice,thresholdprice,
andinterventionpriceforcommonwheat,durumvihoat,ryo,"barloyandmaiso,
operativeforthefirstmonthofthemarketingyoar*shallboaafollowst
(u.a«/l000kgj
Oomnonwheat,ryo
andbarloyDurumvrheat
Auguot1975 >
Septembor 1.40 1.50 ■ .
Ootober : 2.80 3.00
November 4.20 4.50
Deoombor 5.60 6.00
January197° 7.00 .7.50 .
February 8.40 9.00
Karoh 9.80 !10.50
April 11.20 12.00
May 12.60 13.50
Juna (14.00) (1:5.00)
July (14.00) (1,5.00)
Themonthlyinoroaeesinbracketsshallnotapplytotheinterventionprico*
. ArtioloVf
Themonthlyinoreaeeatoboappliedtothothresholdpricoformoslin,oa-a,
buokwheat,millet,oanaryseedandsorghum,operativeforthofirstmonth
ofthemarketingyear,shallbethenameasthoseapplicabletoooroalsother
thandarurawheat* ,

Artiolo4
Themonthlyincreasesto"beappliedtothothraaholdpricoforwhoat,ooslin
andryeflourandtothethresholdpriceforgroatsandsealofooimaonorof
durumwheatoperativeforthofiratmonthofthomarketingyearshall"bo
asfollowsl
(u.a./l000kg)
Wheatandmosiinflour,
ooaraonwheatgroataand
meal,ryoflourCroate;andnealof
duruuwheat
Auguat1973
Soptembor 2.10 2.30
Ootooer 4.20 4.60'■
November 6.30 6.90 '
Dooeinber 8.40' 9.20
January197» 10.50 11.50
Fôbruary 12.60 13.80 i
Karoh 14.70 16.10
Ayril 16.80 18.40
May 18.90 20.70
June 21.00 23.00
July 21.00 23.00
ArtioJ.o5
ThisRegulationshallenterintoforooon1August1975.
ThiaRegulationshallbebindinginitsentiretyanddirectlyapplioable
inallMoiiborStates.
DonoatBtuoboIb,

Financial Implications
Theproposed increase inthemonthly increments (+0,30u.a./tonne/month )should
only have aslight effeot entheanticipated expenditure under the1975 budget .
Infact i
(a)theincrements only start from 1September 1975 and .their effect onthe
level ofrestitutions andlevies should berestricted toonly afew
months of1975 t
(b)inthecontext offinancial inplications conneoted with theprice proposals
for1975/1976 (COM (74)2001 final )ithasbeen assumed that generally this
sector in1975 »themarket situation will notneoessitate thegranting of
export refunds }
(c)asregards purchases into intervention ,theinoreaments apply atthetine
ofpurchase andofsale ,forexpenditure incurred through storage itoust
benoted that theamounts proposed have already been retained forthe
lump stuns covering these expenses *
Asaresult ,theadditional expenditure whioh oould result should beslight
andsuch that itoould bemetfrom theoredits available for1975 *taking
into account theprobable economies arising from thesituation envisaged
inthetable onpage 57ofdooument (COM (74-)2001 final )*
Itisdifficult toestimate precisely thefinanoial implications over a
period oftwelve months ;infaot themajor faotor will beprioe trends on
the world market *