ARCHIVES HISTORIQUES
DELACOMMISSION
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DOCUMENTS "COM"
COM(79)541
Vol.1979/0188

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COMMISSION OFTHEEUROPEAN COMMUNITIES
O/■- <v"LA
?■'/
|v- .r,•~4lr•-JCOM(79)541 final
Brussels/15October1979
Proposalfora
COUNCILREGULATION (EEC)
fixingforthe1979/80marketingyearthemarketrepresentative
priceandthethresholdpriceforoliveoilandthepercentage
oftheconsumption aidintendedtopromotetheconsumption of
oliveoil
(submittedtotheCouncilbytheCommission )
C0M(79)541final

EXPLANATORY MEMORANDUM
1.TheproposalforaRegulationinquestionprovidesforthefixingoftherepresen­
tativemarketpriceandofthethresholdpriceforoliveoilforthe-1979/80marke­
tingyearaswellasthepercentageofconsumptionaidtobeusedforcertainmea­
surestopromotetheconsumption ofoliveoil.
2.Article7ofCouncilRegulation No136/66/EECprovidesthattherepresentative -
marketpriceforoliveoilshallbefixedatalevelpermittingthenormaldisposal
ofproduction,havingregard,amongotherthings,tothepricesofcompetingpro­
ducts,andinparticularofprospectsfortheirdevelopment overthemarketingyear.
3*Recentexperience showsthatperiodsofsharpdeclineinoliveoilconsumption occur
whentherelationship ofoliveoilpricestoseedoilpricesisequalto,orgreater
than,2.5:1.ThustheCommissionisawareoftheneedtoensureamorefavourable
relationship inordertoenableoliveoilconsumption topickupagain.
4.InviewofthelevelofpricesforseedoilscurrentlyprevailinginItalyand,also
ofthefactthat,accordingtoavailableinformation,thepricesofseedoilsshould
notshowgreatvariationsduringthe1979/80marketingyear,theCommissionconsi­
dersthatfixingforthe197-9/80marketingyeartherepresentative marketprice
at148,00ECU/100kg,whichmeansaprice
relationship ofoliveoiltoseedoilofaround2,3:1,shouldmakeitpossible
toattainthedesiredobjective.
5.Asregardsthepercentagetobedeductedfromtheconsumptionaid'forcertaininfor­
mationmeasures,theCommissionconsidersthatitshouldbe3%.Inviewofthe
sumsdeductedunderthe1978/79marketingyearandwhicharestillavailableand
ofmeasuresundertakenandyettocome,adeductionof3%fromtheconsumption
aidissufficient.
Itthispercentageweretobededucted,thefundsreleasedwouldbeoftheorder
of3,5to4MioECU.
6.The'threshold priceisderivedfromtherepresentative marketprice,withaccount
takenofacertaindifferencerepresenting inparticularunloadingcostsandthe
costsofforwardingtheproductimportedaswellasoftheeffectofthededuction
fromtheconsumption aidreferredtoatpoint-5.
Sincethe"elementstakenintoconsideration forthepurposeof-deciding onthediffe­
rencefromtherepresentative marketpricehavenotvaried,thedifferencein.
questionmaybemattainedat3,62ECU.
Giventhedeductionof3%fromtheconsumptionaid,i.e.1,02ECU/100kg,andalso
ofthedifferencetobetakenintoconsideration,theCommissionproposesthatthe
■hreshaidpricebefixedat145fyoECU/100kg.

/
COUNCIL REGULATION (EEC)
fixingforthe1979/80marketing yearthemarketcepresentative priceandthe
threshold priceforoliveoilandthepercentage oftheconsumption aid
intendedtopromotetheconsumtion ofoliveoilv ■ ■
THECOUNCIL OFTHEEUROPEAN COMMUNITIES ,
HavingregardtotheTreatyestablishing theEuropean Economic Community,
HavingregardtoCouncilRegulation No136/66/EECof22September 1966ontheesta-
(1)blishment ofacommoTiorganization ofthemarketinoilsandfats,aslastamended
(2)byRegulation (EEC)No590/79,andinparticular thesecondsubparagraph of
Article4(4)and-Article 11(3)thereof,
Havingregardtotheproposal fromtheCommission ,
»
Whereastherepresentative marketpriceshouldbefixedinaccordance withthecri­
terialaiddowninArticles 7and10ofRegulation No136/66/EEC;
Whereasthethreshold priceshouldbefixedinsuchawaythatthesellingpricefor
theimported productatthefrontier crossing pointfixedpursuant toArticle 9
ofRegulation No136/66/EECisthesameastherepresentative marketprice,account
beingtakenoftheeffectofthemeasures referred toinArticleU (3)of-'that -
Regulation ; , ~
Whereasitfollowsfromtheapplication ofthesecriteria thattherepresentative -
marketpriceandthethreshold priceshouldbefixedattheLevelsgiveninArticle 1
ofthisRegulation ; \
Whereas,underArticle11(3)of-Regulation .No136/66/EEC,acertainpercentage ofthe j
consumption aidshouldbeusedduringeacholiveoilmarketing yeartofinance mea­
surestopromotetheconsumption ofoliveoilintheCommunity ;whereassuchpercentage
shouldbefixedforthe1979/80marketing year,
HASADOPTED THISREGULATION :
(1)0JNo172,30.9.1966 ,p.3025/66
(2)0JNoL78,30.3.1979,p.1

-2-
Article 1
Forthe1979/80marketingyeartherepresentative marketpriceandthethreshold .
priceforoliveoilarehehebyfixedasfollows:
-representative marketprice: 148.00ECU/100kg
-thresholdpricé: 145.40ECU/100kg
Article2
Forthe1979/80marketingyearthepercentageoftheconsumption aidtobeallocated
fortheprojectsreferredtoinArticle11(3)ofRegulation No136/66/EECishereby
ι
fixedat3/4.
Article3
ThisRegulationshallenterintoforceonthethirddayfollowingitspublication
intheOfficialJournaloftheEuropeanCommunities *
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicableinall
MemberStates-
Doneat FortheCouncil

FINANCIAL STATEMENT
Dal*:3October 1979
1*BUDGET HEADING : 631 APPRO&IATIONS :320,6MioUCE
2.TITLE:DraftCouncilRegulation fixingfor1979/80themarketrepresentative price
andthethreshold priceforoliveoil,andthepercentage ofconsumption aid.
J.LEGALBASIS:Articles 4and11ofReg.136/66/EEC.
4.AIMSOFPROJECT :Fixingthemarketrepresentative priceandthethreshold pricefor
oliveoilandthepercentage ofconsumption aidtofinancepromotion actions.
Î}
15.f1NA\CIALIMPLICATIONS5.0EXPENSITORE
-CHARGED TOTHEECBUDGET
(E3Ê£KS/INTERVENTIONS )-CHARGED TOTHEECBUDGET
(ESQEFFL/INTERVENTIONS )
-NATIONAL ADMINISTRATION
-OTHER
5.1RECEIPTS
-OWNRESOURCES OFTHEEC
(LEVIES/CUSTOMS DUTIES)■
-NATIONAL •PERIOD OF12MONTHS,
CURRENT FINANCIAL YfAR
£dSLîFOLLOWING^NANCIALYEARjj
110,5to126,4
MUCEf
110,5to126,4 I
MUCE
É
»
|5.C.IESTIMATED EXPENDITURE
I5.1.1ESTIMATED RECEIPTSΠ]
; t
!5.2-«ETHODOFCALCULATION '. ..QuantitiQuantitiveF
hypothesis 350to400000t; i
jrateofaid,34'1,4ECU/t.'
Foreseeable expenditure :119,5to136,6MioECU
=110,5to126,4.'Mio UCE !
s UtfSUtf .
3.3»LWLFWTWR£SUDGT TAPPROBATIONS BENECESSARY ?
YES1
OBSERVATIONS .-JHGamountwithheld fromaidamountsto3%-3,5to4MUCEwhich
'isdesignated forpromotion actions.
Thecreditproposed for1980amountsto106,6MUCEandincludes 6MUCE
withheldlbr promotion actions.