No C 297/14 Official  Journal  of the European  Communities 16,12.  76 
Opinion  on the  proposal  for  a Council  Regulation  supplementing  Regulation  (EEC) 
No 100/76  with  regard  to arrangements  for importing  prepared  and  preserved  sardines 
The text  referred  to the  Committee  has  been  published  in Official  Journal  of the 
European  Communities  No  C 200  of 20 August  1976,  page  2. 
A. LEGAL  BASIS  FOR  THE  OPINION 
On 30 July  1976,  the Council  referred  the abovementioned  proposal  to the Economic 
and Social  Committee  in accordance  with  Articles  43 and  198  of the Treaty  establishing 
the European  Economic  Community. 
B. OPINION  OF  THE  ECONOMIC  AND  SOCIAL  COMMITTEE 
The Economic  and  Social  Committee  prepared  its opinion  on the above  matter  at its 
142nd  plenary  session,  held  in Brussels  on 27 and  28 October  1976. 
The full  text  of the opinion  is as follows: 
THE  ECONOMIC  AND  SOCIAL  COMMITTEE, 
Having  regard  to the Treaty  establishing  the European 
Economic  Community  and,  in particular,  Articles  43 
and 198  thereof, 
Having  regard  to the request  made  by the Council  of 
the European  Communities  on 30 July  1976  for an 
opinion, 
Having  regard  to the decision  taken  by its chairman 
on 6 September  1976  instructing  the  Section  for 
Agriculture  to draw  up an opinion  on the matter, 
Having  regard  to the  oral  report  made  by  the 
Rapporteur,  Mr Clavel, 
Having  regard  to the opinion  adopted  by the Section 
for Agriculture  at its meeting  on 7 October  1976, 
Having  regard  to the discussions  at its 142nd  plenary 
session  held  on 27 and  28 October  1976  (meeting  of 
28 October  1976), 
HAS  ADOPTED  THE  FOLLOWING  OPINION 
unanimously: 
The Committee  notes  that  a picture  of  the 
Community  market  in preserved  sardines  is provided 
by the following  figures  (for  1974): total  consumption  in the Community  amounts  to 
77 816 metric  tons,  the degree  of self-sufficiency 
being  47 %; 
the Community  imports  43 509 metric  tons  from 
the following  countries: 
— Morocco 
— Portugal 
— Spain 
— Yugoslavia 23 306  metric  tons, 
12 997 metric  tons, 
5 051  metric  tons, 
1 352  metric  tons; 
only two  countries  in the Community  are  actual 
producers: 
— France  31  400 metric  tons, 
— Italy  4  900 metric  tons; 
France's  sardine  canning  industry  processes  not 
only French  catches;  it also  takes  a substantial 
share  (15  000 to 20 000  metric  tons)  of Italy's 
sardine  haul,  as well  as 4 000 metric  tons  of deep-
frozen  sardines  imported  from  Morocco; 
one-third  of demand  on the French  market  (40 000 
to 46 000  metric  tons)  is met  by imports,  chiefly 
from  Morocco  (about  14 000 metric  tons)  and 
Portugal  (about  2 000 metric  tons); 
16.12.76 Official  Journal  of the European  Communities No C 297/15 
— the  only  market  in preserved  sardines  to be 
traditionally  protected  against  the  low  prices  of 
competing  third  countries  has  been  the  French 
market.  Import  quotas  have  then  been  used  here 
to safeguard  the  interests  of fishermen  (French 
and Italian)  and  canners  (mostly  in Brittany); 
— the  lack  of protection  for the Italian  market  has 
held back  the development  of the sardine  canning 
industry  there;  Italian  fishermen,  however,  wish 
to be able  to process  their  sardine  catches  in Italy. 
The effects  of the common  market 
The first  breach  in the system  of protection  for the 
Community's  production  of preserved  sardines  was 
made  by the EEC-Portugal  agreement  of 1 February 
1973,  whereby  imports  of preserved  sardines  from 
Portugal  were  liberalized  and  two  threshold  prices 
were  set:  18-50  units  of account,  including  customs 
duties,  for a carton  of 100  tins  (1/6  P 25 and  1/4 club 
30) of sardines  in olive  oil and  17 units  of account, 
including  customs  duties,  for  sardines  in oil other 
than  olive  oil. 
A second  breach  occurred  when  Regulation  (EEC) 
No 1288/76  of 28 May  1976  on the conclusion  of the 
Interim  EEC/Morocco  Agreement  was  adopted. 
Under  this  agreement  the  quota  system  was  finally 
abolished,  and  imports  of preserved  sardines  from 
Morocco  were  liberalized  (like  those  from  Tunisia). 
The threshold  prices  set  were  the  same  as those 
agreed  upon  in 1973  in the  case  of imports  from 
Portugal.  These  prices  (18-50  units  of account)  which 
should  already  be in operation  by now  and  should  be 
applicable  until  30 June  1977,  were  due  to rise  next 
year to 19-50  units  of account  (until  30 June  1978) 
and subsequently  to 20-50  units  of account.  However, 
although  these  threshold  prices  were  submitted  to the 
Council  on 20 July,  they  have  not yet been  adopted. 
The Commission  is now  proposing  new  draft 
provisions  on preserved  sardines,  pursuant  to Article 
18 (3) of Regulation  (EEC)  No  100/76  on  the 
common  organization  of the  markets  in fishery 
products.  Under  the new  provisions: 
— all quantitative  restrictions  on imports  are  to be 
abolished,  ' 
— minimum  prices  are to be fixed,  with  a guarantee 
in the form  of a deposit  paid  by importers, 
— import  licences  of limited  validity  .are to be issued, 
with  importers  also  paying  a deposit  to guarantee 
that importing  is confined  to the  period  of 
validity  of the licence, — the  minimum  price,  valid  until  30 June  1977,  has 
been  set at: 
— 17-76  units  of  account  for  the  United 
Kingdom  and  Denmark, 
— 18-50  units  of account  for the other  Member 
States. 
General  comments 
The Committee  has the following  comments  to make 
on the proposal: 
Only  two  Member  States  have  markets  which  require 
protection  in order  to mitigate  the  effects  of 
competition  from  low-priced  imports.  The  following 
factors  play  a role  here: 
— the  price  of fresh  sardines  (FF  0-50  per  kilo 
Morocco,  FF 0-68  in Spain  and  FF 1-40  to 1-80  in 
France), 
— labour  costs  (costs  per hour  including  all charges: 
FF 3 in Morocco,  FF 10 in Spain  and  FF 18 in 
France). 
Under  these  circumstances  the  Commission's  draft 
provisions  would  lose  all effectiveness  if the minimum 
prices  proposed  for 1976/77  (on the same  level  as the 
prices  considered  to be necessary  in 1972)  were 
adopted.  Moreover  such  prices  would,  in the regions 
concerned,  jeopardize  the objectives  laid  down  by the 
Commission  in its draft  programme  for restructuring 
non-industrial  inshore  fishing,  a proposal  favourably 
received  by the Committee  in its opinion  of 26 May 
1976  (!). 
On the other  hand  the Committee  is also  anxious,  (a) 
to protect  the interests  of consumers,  who  dread  the 
idea of an excessive  rise  in the prices  they  pay,  and 
(b) to make  it possible  for  exporting  countries  to 
carry  on with  their  fishing,  processing  and  export 
businesses. 
Speaking  very  generally,  the  Committee  finds  it 
difficult  to accept  the  argument  that  a protective 
system  needs  to be  introduced  throughout  the 
Community,  when  basically,  only  two  Member  States 
are affected.  This  system  is not only  complex  but also 
requires  a substantial  rise  in prices  in some  Member 
States  if it is to be effective. 
(!) OJ No C 197,  23. 8. 1976. 
No C 297/16 Official  Journal  of the  European  Communities 16.12.  76 
As a consequence,  the  Committee  feels  that  the 
proposal  does  not  provide  an acceptable  solution  to 
the problems  involved;  it should  therefore  be revised 
by the  Commission  so  that,  through  simple 
provisions,  limited  in scope  (e.g.  the  granting  of compensatory  aid),  it can  genuinely  safeguard  the 
interests  not  ortly  of sardine  fishermen  and  canners 
(whose  activities  are  a determining  factor  in 
maintaining  equilibrium  in a number  of regions)  but 
also of consumers  and  exporting  countries. 
Done  at Brussels,  28 October  1976. 
The Chairman 
of the Economic  and  Social  Committee 
Basil  de FERRANTI