ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(76)342
Vol.1976/0102

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COMMISSION OFTHEEUROPEANCOMMUNITIES
COM(76)342 final
Brussels-2July1976
Proposalfora
COUNCILREGULATION(EEC)
onthedistillation oftheby-products
ofwinemaking
(submittedtotheCouncilbytheCommission)
C0MC76)342final

EXPLANATORY MEMORANDUM
Theamendments toRegulation (EEC)No816/76have changed therequirements
onwine deliveries .Itistherefore necessary toadapt thegeneral rules on
thedistillation oftheby-products ofwine-making .
Inview ofthe extensive amendments decided upon bytheCouncil ,itwould
seem appropriate torepeal theregulation inforce andreplace itbyanew
regulation specifying howproducers must fulfil theobligation todistil th?
by-products ofwine-making anddefining thedistillers' obligations with re­
gard totheproducers and theintervention agencies .
Inaddition tofixing aprice for thealcohol contained intheproducts whi^h
undergo distillation following thewine deliveries ,itisnecessary tofix s.
buying-in price for the alcohol delivered bydistillers tothe intervention
agencies ,taking into account possible differences inprocessing costs *los»
ses and fixed transport costs .
Inview oftheCouncil decision toenable producers tobefreed from the obi :
gation todistil theby-products ofwine-making bywithdrawal ,itisneces&aj
tospecify theconditions under which such withdrawal may bemade .
Theconditions forEAGGF financing ofpossible expenditure and thecondition <:
■under which producers may free themselves from theobligation todistil the
by-products ofwine-making byproducing potable spirits and identical tothe
provisions contained inRegulation (EEC )No1877/74.

PROPOSAL FOR
COUNCIL REGULATION (EEC )N.
onthedistillation oftheby-products ofwine-making
THECOUNCIL OFTHEEUROPEAN COMMUNITIES , k- , .• .
Having regard totheTreaty establishing theEuropean Economic Community ,
Having regard toCouncil Regulation (EEC)No8l6/?0of28April 1970 lay! •
down^additional provisions forthecommon organization ofthemarket inwine ,aslast amended byRegulation (EEC)No1167/76 tandinparticular
Article 2k(2)and (3)thereof ,
Having regard totheproposal from theCommission ,
Whereas the conditions must bedetermined under which producers must fulf v"
theobligation laid down inArticle 2k (2)ofRegulation (EEC )No816/70
andwhereas theobligations ofthedistiller must also bedetermined ;
Whereas ,account being taken ofthevalue oftheby-products ,theprice
tobepaid totheproducer for thealcohol contained intheproducts sub­
ject tocompulsory distillation must belower than theprice applicable ia
respect ofthedistillation referred toinArticles 2kaand24bofRegula­
tion (EEC )No816/70;
.«
Whereas thefixing ofaprice tobepaid bythedistiller totheproducer
for theproducts subject tocompulsory distillation means that theinter­
vention agencies must buy inthealcohol ataprice ,which takes into account
thecosts ofprocessing theproducts inquestion ;.
*••/#'*•
OJNoL99,5*5.1970 ,p*1
20JNoL135,2^5.1976 ,P.42

whereas ,intheabsence ofanorganized Community market inethyl alcohol ,th
intervention agencies responsible formarketing such alcohol maybeobliged
tosell itlower price than thebuying-in price ;whereas provision should be
made insuch anevent forthedifference between thebuying-in price andthe
selling price for that alcohol tobeborne bytheGuarantee Section ofthe
European Agricultural Guidance andGuarantee Fund ,subject toamaximum araoun
andwithin thelimits ofthe said difference ;
Whereas thefixing ofthebuying-in price forproducts subject tocompulsory
distillation ,thebuying-in price foralcohol and themaximum amount ofthe
contribution from theGuarantee Section oftheEuropean Agricultural Guidamv
andGuarantee Fund towards theexpenditure incurred bytheintervention agen­
cies isclosely linked tothefixing oftheguide price ;whereas thesame t;t
metable andthesame deadlines should therefore beadopted forsuch operatic ::
Whereas ,inaccordance with thefirst indent ofArticle2k(*f)ofRegulation
(EEC)No816/70,theproducer mayfree himself oftheobligation todistil by
producing potable spirits ;whereas thefirst subparagraph ofparagraph 2of
thesame Article requires thedistillation ofwine intheabsence ofgrape
marc orwine lees ;whereas ,inthese circumstances ,itislogical topermit
theproduction ofboth potable spirits ofwine and potable Spirits ofgrape
marc ;whereas ,however ,itshould beensured that potable spirits ofvine are
notproduced byusing theby-products ofwine-making for thepurposes prohi­
bited inArticle2k(l)ofRegulation (EEC )No816/70;
Whereas theproduction ofpotable spirits must free theproducer from the cbl
gation.to deliver alcohol only inrespect ofthequantity ofalcohol containa
inthepotable spirits produced ;
Whereas ,inorder toavoid theproduction ofpoor-quality potable spirits ,11
should belaid down ,intheabsence ofCommunity criteria :onthesubject ,the
thepotable spirits produced must comply with thenational provisions infor­
ce;whereas ,inorder toensure theobservance ofthose rules ,provision
should bemade forsupervision ; ,
Whereas ,inaccordance with thesecond indent ofArticle2k(k)ofRegulatior
(EEC )No816/70,theproducer mayfree himself from theobligation todistij ,
bywithdrawing ,under supervision ,theby-products which hehasobtained frx'
wine-making ;whereas that possibility isjustified bythe ,fact that .marc and
lees canbekept only insmall quantities andunder certain technical condi "
tions andbythefact that thetransport costs therefor could bedispropor­
tionate forproducers situated ataconsiderable distance from thedistiller
ries ;whereas ,however ,that justification does notapply tothat -proportion
ofwine deliveries which consists ofwine ; ,
Whereas theobligation todistil represents aconsiderable constraint forthe
isolated producer whomakes only asmall quantity ofwine ;whereas ,asare­
sult ofthat obligation ,hewould incur transport costs forhisgrape marc an
wine leeB which would beoutofproportion with thereturn which hecould hop
toobtain onthealcohol distilled therefrom ;whereas such producers should
therefore also befreed from theobligation todistil ;

-3-
Whereas producers who deliver their grape marc for themanufacture of
oenocyanine generally supply non-fermented grape marc 5whereas thetreat­
ment which such marc undergoes for theextraction ofoenocyanine makes it
unsuitable forfermentation anddistillation ;whereas those producers should
therefore beexempted inproportion totheir production ofgrape marc ;
whereas itisdifficult tomake such acalculation accurately ;whereas
this being the case ,itispreferable toprovide for astandard reduction
inthegeneral rate ;
Whereas supervision ofthefulfilment oftheobligation specified in
Article2k (2)ofRegulation (EEC )No8l6/?0requires obligations tobe
imposed ondistillers also ;whereas ,inorder toensure that those obliga­
tions arefulfilled ,distillers should besubject toasystem ofapproval ,
HAS ADOPTED THIS REGULATION :
Article 1
Theperson subject totheobligation laid down inArticle 24(2 )of
Regulation (EEC)1J0316/70,hereinafter called "theproducer ",shall
fulfil hisobligations bydelivering mr.rc ,lees and,where appli able ,'
wines toanapproved distiller ofhischoice .
2.The distiller shall berequired ;
-tofurnish theproducer with proof ofthedelivery oftheproducts ■'
concerned -,
-topay theproducer theprice referred toinArticle 2,
-toprocess into alcohol theproducts delivered tohim ,
-todeliver thealcohol totheintervention agencies designated bythe
Member States .The actual alcoholic strength ofthe alcohol may not be
less than 95° »
3»Theintervention agencies shall pay thedistillers theprice referred to
inArticle 3.
Article 2
Theprice tobepaid to :theproducer ,according toalcohol content ,formarc ,
lees and ,where applicable *wines delivered fordistillation ,hereinafter
called "thebuying-in price forwine deliveries ",shall befixed each year
perhectolitre andper degree ofalcohol before 1August for thefollowing
wine-growing year .
Itmaynotbehigher than %oftheguide price fortable wine oftype AI
applicable with effect from thefollowing 16 .December .
Article :3" " 1
1.Theprice tobepaid bytheintervention agencies todistillers for the
alcohol delivered ,hereinafter called "theprice ofthealcohol from wine
deliveries ",shall befixed annually bytheCouncil ,acting byaqualified
majority onaproposal from theCommission ,,,,atthesame time and ■
forthesame wine-growing year asthebuying-in price forwin^deliveries *
•••/•••

-k-
2.Theprice referred toinparagraph Xshall befixed onthebasis ofthe
costs of
-distillation ,
-transport .
-losses#
Itmay bedifferentiated according totheproduct distilled in .order to
take into account ,where necessary ,thediffering costs fordistilling
marc ,lees andwines .
3«Theprice ofthealcohol from wine deliveries shall befixed perhectoli­
tre and perdegree ofalcohol .Itshall apply tounpacked goods delivered
free atthewarehouse oftheintervention agency .
Article k
1.Inaccordance with theprocedure -referred toinArticle 2k (6)ofRegular
tioh (EEC)No816/70,themaximum amount ofthecontribution from the
Guarantee Section oftheEAGGF towards theexpenditure incurred bythe in­
tervention agencies shall befixed annually ,atthesame time andforth<;
same wine-growing year asthebuying-in price forwine deliveries# This
amount shall befixed perhectolitre andperdegree ofalcohol .
2.TheEAGGF contribution shall bepaid ,uptothemaximum amount referred r;
inparagraph 1,only where ,during agiven budgetary year ,theoverall
expenditure ofanintervention agency onthebuying-in ofalcohol obtained
bythedistillation under Article 24ofRegulation (EEC) x..(" ')
No816/70isgreater than theincome from thesale ofsuch alcohol .
Ifthedifference referred tointhefirst subparagraph isless' than the
maximum amount multiplied bythequantities sold ,thecontribution shall
beequal tothat difference .
3.Articles kand5ofRegulation (EEC )No729/70shall apply totheEAGGF
contribution referred tointhis Article .
Article 5
1.Theproducer shall betotally or-partially freed from theobligation laid
down inArticle Zk (2)ofRegulation (EEC)No816/70ifanapproved die­
.tiller ofhischoice manufactures from that producer 'sownproducts :
-potable spirits ofgrape marc ,obtained directly from grape marc ,wine
lees orboth those products ,''/'V
-or,failing this ,potable spirits ofwine ,obtained directly from wiixe 0
2.Foreach administrative unit inwhich thewine production istraditionally
intended forprocessing into potable spirits ofwine ,Member States shal .
determine theminimum percentage ofpotable spirits ofmarc tobeprodu «-
cedwhere theoption provided forinparagraph 1isexercised .
That percentage shall correspond totheaverage quantity ofalcohol contain
.nedinthemarc lees produced intheadministrative unit concerned .
3.Thequantity ofalcohol ,expressed aspure alcohol ,contained inthepota
■-hiespirits shall bededucted from thequantity ofalcohol -which is
required tobedelivered under thesaid Article 24(2 ).
•••/••ft

b.Inorder toexercise theoption provided forinparagraph 1,theproducer
shall beable tosupply theintervention agency with proof ofthedelive­
ryofthequantity ofmarc ,lees and ,where applicable ,wine referred to
inArticle 2*t(3)ofRegulation (EEC)No816/70.
5.Thedistiller shall inform the intervention agency ofthe total quantity
ofpotable spirits produced inaccordance with this Article ,broken down
into potable spirits ofmarc and potable spirits ofwine .
6.Theproduction ofpotable spirits mayhave theeffect mentioned inpara­
graph 1only if:
a)thequality ofthepotable spirits obtained satisfies thenational
provisions onthe subject ;thedistiller shall supply proof thereof
tothecompetent agency ; (-
b)itiscarried outunder thesupervision ofthecompetent agency ;the
distiller shall berequired topermit such supervision atanytime
during distillation .
Article 6
For the purposes ofthis Regulation anapproved distiller means adistiller
included onalist tobecompiled bythe intervention agencies inaccordance
with criteria tobedetermined *Approval shall bewithdrawn from distillers
who donot fulfil their obligations under this Regulation .
Article 7
1.Producers shall betotally orpartially freed from theobligation laid
down inArticle 2*f (2)ofRegulation (EEC )No8l6/70iftheproducts are
withdrawn under supervision *
2.Thequantity ofmarc andlees withdrawn must beinaratio tobedeter­
mined with thequantity ofwine produced inrespect ofwhich theobliga­
tion todistil the marc and lees isnot fulfilled .
3«Where this option isexercised byth«producer ,thedischarge from the
obligation laid down inArticle 2k (2)ofRegulation (EEC )No816/70
applies only toamaximum of8%ofthevolume ofalcohol naturally
contained intheproducts used for theproduction ofwine .
Article 8
Theobligation laid down inArticle 2k(2)ofRegulation (EEC )No8lo/70
shall notapply tothemarc ,lees and ,where applicable ,wine ofisolated
producers who ,during thewine-growing year inquestion ,donotmake more
than 10hectolitres ofwine .
Article 9
Producers who deliver their marc for themanufacture ofoenocyanine may be
made subjected toare'duced rate .
Article 10 •••/•••
Regulation (EEC )No1877/7^isrepealed .

Article 11
,.This Regulation shall enter into force onthethird dayfollowing itspu­
blication intheOfficial Journal oftheEuropean Communities ,
Itshall apply with effect from 1September 1976 .
This Regulation shall bebinding inits entirety anddirectly applicable in
all Member States .
Done atBrussels . Forthe Council ,
The President .

FINANCIAL STATEMENTI 0
IPATS»16.6.76'sI
I"BUDGETLINSCONCERNED16912(intervention wine)
ΓACTION1ProposalforaCouncilRegulationlayingdowngeneralrulesinrespect B
ofthedistillationoftablewinesprovidedforinArticles6bf6ctB
'24aarid24bofRegulation(EEC)No816/70 B
I3*LECALBASIS1Articles6b,6cf24aand24bofCouncilRegulation(EEC)No816/70j
4*OBJECTIVES 1Establishment ofgeneralrulesgoverningwinedistillation operations
followingtheamendmentstoRegulationNo816/70.
5.FINANCIAL CONSEQUENCE
5.0EXPENDITURE
•-CHARGEDTOTHEECBUDCET
(REKUH16/1TITERVENTIOHS)
–CHARCEDTONATIONALADKINISTR.
-CHARGEDTOOTHERNATIONAL CROUPS
5.1RECEIPTS
-OWNRESOURCISorT!!EEC
(LEVIES/CUQTOKSDUTIES)
-NATIONALFORTHEMARKET!NQTEARCURRENTFINANCIALYEARFOLLOWINGFIHANCIALTEARg(77) 8
1 1 1)
TEAR TEAR *EAR {
J.O.IPLURIANNUALPATTERNOFEXPENDITURE
5.1.1PLURIANNUALPATTERtlORRECEIPT3
5.2METHODOFCALCULATION
6.0FINANCINGPOSSIBLEWITHCREDITSINSCRIBEDINRELEVANTCHAPTEROFCURRENTBUDGETTTE5/K&XI
-MM,
-M/iïùI
6.3CREDITSTOBEWRITTENINTOFUTUREBUDGETS?
COHXENTS«1)TheproposalforaRegulationrelatestothelayingdownofgeneral
rulesgoverningwinedistillation operationsandassuchhasnofinancial
consequences .Thefinancialimpactwillbeindicatedintheproposalfora
Regulationestablishing theamountoftheaidforthedistilledwine.