NoC98/22 OfficialJournaloftheEuropeanCommunities 21.4.92
Opiniononthereformofthecommonagriculturalpolicy:
—ProposalforaCouncilRegulation (EEC)amendingRegulation (EEC)No804/68onthe
commonorganizationofthemarketinmilkandmilkproducts
—ProposalforaCouncilRegulation (EEC)establishinganadditionallevyinthemilkand
milkproductssector
—ProposalforaCouncilRegulation(EEC)settingcompensationforreductionofindividual
milkreferencequantitiesandfordefinitivediscontinuation ofmilkproduction
—ProposalforaCouncilRegulation (EEC)fixingthetargetpriceformilkandthe
interventionpricesforbutter,skimmed-milkpowderandGranaPadanoandParmigiano
Reggianocheesesforthreeannualperiodsfor1July1993to30June1996
—ProposalforaCouncilRegulation (EEC)institutingadairycowpremiumscheme
—ProposalforaCouncilRegulation (EEC)onpromotingconsumptionintheCommunity
andexpandingthemarketsformilkandmilkproducts
(92/C98/11)
On18November1991theCouncildecidedtoconsulttheEconomicandSocialCommittee,
underArticle198oftheTreatyestablishingtheEuropeanEconomicCommunity ,onthe
abovementioned proposals.
TheSectionforAgricultureandFisheries,whichwasresponsibleforpreparingtheCom­
mittee'sworkonthesubject,adopteditsOpinionon7February1992.TheRapporteurwas
MrRea.
Atits294thPlenarySession(meetingof26February1992)theEconomicandSocialCommittee
adoptedthefollowingOpinionbyalargemajority,withfivedissentingvotesandtwenty
abstentions .
1.2.Levyondirectsalesmustremainunchanged . 0.1.TheCommitteedoubtsthewisdomofproposing
furtherquotacutshavingregardtotheevolutionofthe
worldandCommunitymarketssince1984.Ifquota
cutsaretobeagreed,theCommitteeconsidersthatany
reductioninCommunityproductionshouldbematched
bycomparablemeasuresinotherproducingcountries.1.3.Ifpricesarereduced,fullcompensationmustbe
paidtoproducersonthebasisofrealisticextensification
criteria.
0.2.Quotareductionshouldbeachievedbymeans
ofadequatelycompensatedCommunity-financed vol­
untarywithdrawalschemeswithMemberStateshaving
flexibilityonthedetailedprovisionstobeapplied
locally. 1.ProposalforaCouncilRegulation (EEC)setting
compensationforreductionofindividualmilkrefer­
encequantitiesandfordefinitivediscontinuation of
milkproduction
1.ProposalforaCouncilRegulation (EEC)estab­
lishinganadditionallevyinthemilkandmilk
productssector 2.1.Inthefirstandfourthrecitalsofthepreamble,
inpoint2cofArticle1,inpoint1ofArticle2andin
point1ofArticle5,replace'intheformoftransferable
bondsguaranteedbytheCommunityandbytheMem­
berState/guaranteedtransferablebondsrealizableon
themarket'with'intheformofdirectone-offpayments
bytheCommunitytoproducers'.1.1.RegardingArticle6,acompulsory1%cutfor
redistribution shouldbevoluntaryforeachMember
State.

21.4.92 OfficialJournaloftheEuropeanCommunities NoC98/23
animals,validthroughouttheCommunity ,withno
specialarrangementsfordisadvantagedregions.
4.2.DeletethefirstindentunderArticle2.1and
amendthesecondindenttoreadasfollows:
'2LU/haforholdingsorpartsofholdingslocated
withintheCommunity.'2.2.Inthefourthrecitalofthepreamble,specify
thatadditionalcompensationmustalsobeintheform
ofdirectcashpaymentstoproducers.
3.ProposalforaCouncilRegulation (EEC)fixingthe
targetpriceformilkandtheinterventionpricesfor
butter,skimmed-milk powderandGranaPadano
andParmigianoReggianocheesesforthreeannual
periodsfrom1July1993to30June1996
3.1.ReplaceArticle2withthefollowing:
'Thetargetpriceformilkandtheinterventionprices
formilkproductsarefixedat1991/1992levels,with
thepossibilityofgradualadjustmentsinthelight
ofcostvariations.'
4.ProposalforaCouncilRegulation (EEC)instituting
adairycowpremiumscheme
4.1.InArticle1,themaximumnumberofdairycows
forwhichthepremiummaybepaidshouldbesetat
90.Thiswouldaccordwiththenumbersetformeat5.ProposalforaCouncilRegulation (EEC)onpro­
motingconsumption intheCommunityand
expandingthemarketsformilkandmilkproducts
5.1.Amendtherecitalsandthelistofmeasures
underArticle1.2soastoinclude:
—thenecessarypromotionofnewandmorecon­
sumer-attractive products,
—thesearchfornewmilkandcheeseproductstaking
particularaccountofconsumerpreferences
throughouttheCommunity .
DoneatBrussels,26February1992.
TheChairman
oftheEconomicandSocialCommittee
MichaelGEUENICH
APPENDIX
FourthparagraphofArticle43oftheRulesofProcedure
Thefollowingamendmentsweredefeatedinthecourseofthedebate:
Newpoint1.0
Insertthefollowingbefore1.1:
'1.0.IndividualquantitiesobtainedfromproducerswithfarmsinuplandorIMPareasmustbeexcluded
fromtheoverallreferencequantitiesindicatedinArticle3.'
Voting
For:27,against:44,abstentions :11.

NoC98/24 OfficialJournaloftheEuropeanCommunities 21.4.92
Addanewpoint1.4
'Article3listsdetailednationalquotastotheyear2000.Nationalquotasencourageinefficiencyandcan
resultindistortionoftradeandlocalsupplyshortages.TheyaretotallycontrarytotheSingleMarketwhich
haseliminatednationalbarrierstoefficiencyinallotherspheres.
Thesenationalquotasshouldthereforebegraduallybutprogressivelyphasedouttobereplacedbyasingle
EC-widequota.'
Reason
Thepresentproposallistsdetailednationalquotasintotheforeseeablefuture.ThustheIrishmilkdelivery
quotafortheyear2000is5040958tonnes,nomoreandnoless.Suchquotasperpetuateallthepresent
inefficienciesandfragmentationofthemarket.AsingleEC-widequotawouldencourageefficientfarmers,
reduceshortagesandthusincreasemilkconsumption .Increasedconsumptionwouldreducebudgetcostsby
reducingECsurpluses.
Voting
For:30,against:53,abstentions :10.
Deletepoints2.1and2.2
Reasons
Withtransferablebonds,farmerscouldeitherreceivefixedannualpayments,orraiseacapitalsumwhich
mightenablethemtoswitchintoanothercapitalintensiveenterpriseonthefarmorhelpthemtoacquirea
businessoutsideagriculture .
Directcashpaymentswouldmeanthatfarmerswouldreceiveonlyannualpayments.
Voting
For:21,against:46,abstentions :15.