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COM (81)804
Vol.1981/0225

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COMMISSION OFTHE EUROPEAN COMMUNITIES
COM(81)804 final
Brussels ,27January 1982
.\
tanI
COMMUNICATION FROM THE COMMISSIONS THE COUNCILnvv^
1982 food aid programmes
C0MC81 )804 final

EXPLANATORY NOTE
PROPOSAL FOR 1982 FOOD AID PROGRAMMES
1. Inthis communication the Commission proposes that the Council should
allocate todeveloping countries andspecialised agencies thefollowing
quantities offood aid:
-1087 963 tcereals
150 000tskimmed milk powder
45000 tbutteroil .
The cereals quantity isincreased by17,2 %over 1981 .
2.Thetotal value ofthis food aidisestimated at701,9 million ECU
atCommunity prices ,including 257^4 million ECUforexport restitutions
and 66,6 million ECUfortransport beyond FOB.
Allocations todeveloping countries are proposed onthe basis of
documented requests ,andofthethree general criteria adopted bythe
Council inMarch 1977 (without excluding other consideration ^)..
The criteria are :
(i)food import requirements ;
(ii)economic development (poorest countries defined here as
those whose GNP/h(1980 )does not exceed t730 )
(iii)the .balance ofpayments position .
Allocations toagencies are considered case bycase .
4. Aspecial effort has been made toconcentrate the Community 's
food aidfor 1982 onthepoorest countries ,who would receive 100 %ofthe
direct allocations incereals ,92 %ofthose inthe skimmed milk powder ,
and 94 %ofthebutteroil .Itisalso proposed ,asregards cereals ,to
include atthis stage only those countries with the largest import requirements
resulting inallocations exceeding 5000t;food aidtothe remaining countries
will beproposed later under simplified procedures inasupplementary programme

INTRODUCTION
Thepresentation ofthe1982 food aidprogrammes follows closely onthe
Commission proposal for aplan tocombat hunger intheworld .Inevitably ,
therefore ,theprogrammes arebased onthis plan 'stwin guidelines for
immediate andcomprehensive action ,i.e. todomore andtodobetter .
A. Todomore
1. The first measure under theplan tocombat hunger consists in
allocating exceptional additional food aidworth 40million ECUtothe least
developed countries (LDCs).This special measure isinresponse tothe
worsening situation ofthe LDCs (food deficits and lack offinancial
resources formaking purchases ontheworld market ).
2. Thequantity ofcereals itwill bepossible todeliver onthe
basis ofthebudget decision forthis Exercise is1097963 t.This
quantity isanincrease of17,2 %onthat of1981 (927.663 t).
Itrepresents about 1,1%ofthedeveloping countries import requirements
and istheminimum reasonable response tothecereals deficit inthose
countries .
Thequantities offood aid intheform ofmilk products ,however ,are
identical tothose under the 1981 programmes .

2
3. Itisworth pointing outthat,inaddition tothe proposed increases
for 1982,the backlog inthe implementation ofthe annual programmes has
been substantially eliminated in1981 .Inthe case ofcereals ,for example ,
nearly 90 %ofthe programme adopted on19May 1981 will have been delivered
orbeonits way by31December 1981 .Areport onthe implementation ofthe
1981 programmes isbeing drawn upandwill bepresented shortly .
This catching-up process isboosting thequantities actually delivered
todeveloping countries .
B. Todobetter
1. Inrecent years food aid has been given instruments toenable it
toplay amore integral role inthe developing countries 1food security
measures .
Inthis connection ,the Council resolution of18November 1980 opened the
possibility ofusing food aidformultiannual projects andforbuilding up
stocks .The Commission intends topropose specific schemes inthe near future
formultiannual projects involving Bangladesh and Sri Lanka .
With regard tosecurity stocks ,i.e. for meeting needs other than those of
immediate consumption ,certain proposals areatpresent being studied .
Mention may bemade ofthe schemes being drawn upinCILSS ,which could
require the establishment ofnational and/orregional security stocks .
Inaddition ,there isthe agreement onfood security inMali which isbeing
negotiated between the Mali authorities and various donors .
2. The proposed cereals food aid programme has two newfeatures designed
toensure greater consistency intheallocations ,bytaking into account :
i.anindex ofaverage import requirements inthelast three years ;
ii.thelatest data available forthecurrent marketing year (these details
are included inthe information memo annexed tothis communication ).

3
Inaddition ,toensure better adjustment tothetrend ofthesituation as
theyear progresses ,provision has been made forincreasing the amount of
the reserve setaside forspecial needs andcontingencies ,which will make
the whole programme more flexible .
Furthermore ,Zambia and Pakistan had improved crops in1981 and are not
included inthe programme ,asthey did not submit anyrequests ;the example
ofPakistan proves that food aid,even inthe case ofamajor recipient ,
does not have tobepermanent oranobstacle toself-sufficiency .
Atthe same time,itwas considered essential toconcentrate aid onthe
countries with theheaviest cereals deficits (such concentration being
additional tothat already practised infavour ofthepoorest countries )
inorder toensure abetter sharing outofthequantities available .
3. Lastly ,the Commission isanxious toseethe successful conclusion
assoon aspossible ofthecoordination procedure initiated with Parliament
onthebasis ofthe common guidelines issued bythe Council on14September
1981,concerning the"framework regulation "onfood aid.Adoption ofthe
draft "framework regulation "offers theonly means ofenabling the Commission
torender fully effective theefforts made toturn food aidinto aconsistent
and effective instrument .
X
  

4
1982 FOOD AID PROGRAMME INCEREALS
Cereals programme quantities
1.Thetotal quantity proposed is 1087 963t,inline with the Commission 's
budget for 1982 .This represents anincrease of17,2 %over the
quantity of927 663tinthe 1981 programme .Itisconsidered bythe
Commission tobethe minimum possible response bythe Community tothe
sharply increased cereals import requirements ofthe developing countries .
2.These import requirements have been most recently estimated byFAO
for 1981/82at105 million tonnes ,which shows acontinuation ofthe
steady increase every year .Ofthese ,26million tonnes are required
bythe low-income developing countries towards which the Community 's
food aid programme istargetted .
Requests received
3.Asinallprevious years ,thetotal ofcereals food aid requests
addressed tothe Community greatly exceeds the amount available .
Inall,46 countries have made requests ,amounting to some 2,1million
tonnes .Inaddition ,requests have been received from thefollowing
specialised agencies :World Food Programme ,United Nations High
Commission for Refugees ,United Nations Relief and Works Agency ,
International Red Cross ,andseveral non-governmental organizations .
Food outlook for 1982
4.The food outlook inthe developing countries isinthe short term
less gloomy than last year .There have been certain positive developments .
Thetotal 1981 harvest ofkeybw-income developing countries (1)
isestimated byFAOat129million tonnes ,which isarecord .The
steady decline intheir per caput cereals production has been checked .
After the 1980 African food emergency ,there has been arecovery in
many countries .Finally ,there has been aslight decline inworld prices
oftheprincipal cereals traded ,andofseatransport .
(1)All countries with 1980 GNP/caput uptot730 (1979 :t680)excluding Burma ,
China ,India ,Thailand .

5
5.Therearehowevercontinued groundsforpessimism,especially
beyondtheimmediate future.Thekeyfigureofpercaputcereals
production intheabovecountries isstillonlyestimated at155kg/
year,compared with165kgfiveyearsago.Andthetrendisstill
downward;inotherwordscerealsproduction growthislowerthan
population growth.Secondly,theoverallproduction increaseis
infactconcentrated ononlyasmallnumberofcountries,and
hidesadecrease inmanyothers (1).Thefallsinpricesaremore
thenoffsetbythegrowingfinancial problems ofthissetofcountries ;
whilstthefoodaidtheyhavereceived,expressed asapercentage
oftheircerealsimports,hasfalleneveryyearforthelastfive.
Itshouldfinally benotedthattherearenosignsofany^alleviation
oftheburdenofrefugees anddisplaced persons.
Determination ofproposed allocations tocountries
6.Theessential criteria retained bytheCommission arestill:
basiccerealsneeds,levelofeconomic development ,stateof
external finances.Thesewereapproved bytheCouncilinMarch1977,
ontheunderstanding thattheywouldbeappliedwithacertain
flexibility ,andthatothercriteria couldbetakenintoaccount.
Thesecriteria havenotchanged.HowevertheCommission isproposing
certainchangesofmethodforthisyear,andacertainchangeof
emphasis.
7.Inthefirstplaceitisconsidered thatthelistofrecipient
countries hasbecometoolong,andhascometoinclude anumberof
attributions ofonlysymbolic valuetotherecipient,andtothe
Community .Thusthe1981programme contained 43countryallocations ;
ofthese16wereof5000tonnesorless,andamounted toonly
36000tintotal.Leavingasidethequestion oftheviability of
delivering somanyrelatively smallconsignments ,thelengthofthe
listhaslengthened thetimeneededtoprepareandadopttheannual
programme .
8.Forthesereasonsitisproposedtodrawadistinction betweenthosecoun­
trieswiththequantitatively largestcerealsimportrequirements (where
itpisproposedtoallocateover5000tCommunity aid)andtherest.
C1)InAfricaalone,reducedcropsareexpectedinAngola,CapVerde,Ethiopia,
Ghana,Guinea,GuineaBissau,Madagascar ,Mauretania ,Mozambique ,Niger,Sierra
Leone,Somalia,Tanzania,Uganda.

6
Forthe former (twenty .innumber )proposals are made here and now
bywayofCouncil Decision .-
Asregards theremaining countries ,itisinnowaythe Commission 's
intention toexclude them from participating inthe food aid programme ,
butrather topropose that their requests should beconsidered ona
different basis using different procedures .Itisconsidered that this
t .■
allows acloser analysis ofrequirements ,and increased consistency and
transparency intheproposals .
9.Cereals import requirements have asinprevious years been based
upon thefigures prepared byFAO.Forthefirst time athree year
average has been used,partly since up-to-date figures are notavailable
for many countries ,but mainly inorder toavoid excessive fluctuations
from one year tothe next inthe amounts allocated .Noadjustment has
been made this year totake account ofthe higher value ofrice compared
tothat ofwheat and coarse grains ,since theeffect ofthe adjustment
has been found inpractice tobesmall .
10.The second major criterion <-level ofeconomic development -has been
applied byreference tothe latest World Bank estimates of1980 GNP/head
produced inJuly 1981 . Afigure oft730 has been retained as
anupper limit ,corresponding tothe FY1982 guideline for IDAeligibility .
11.Theexternal finances oftheapplicant countries have been taken into
account byexamining available IMFfigures for balance ofpayments asan
absolute figure ,andthe payments ratio (exports ofgoods andservices
asapercentage ofbalance ofpayments oncurrent account ).Theresults
arelisted inTable 4.
Application ofcriteria
12.Ofthe requests received ,twenty have been retained forinclusion
inthe programme here proposed .Certain countries have hadtobeexcluded
onthe grounds that their economic orfinancial position didnotplace
them among thecategory ofthepoorest developing countries^owards whom
the Community 'scereals food aid programme isdirected .Others have not
received aprecise allocation because certain basic data islacking (e.g.
revised crop forecasts )orbecause ithasnotyet been possible toovercome
some practical difficulties experienced inprevious years .(1)
(1)Thefollowing countries have made requests but acenot proposed forinclusion :
Anti_auay Centraf rique ,Jamaica ,Lebanon ^Malta ,Morocco ,Peru,Philippines ,Salvador ,
St,Kitts «Syria /Uganda and Yemen (A.R.).
(2)Poorest defined as -GNP/h(1980 )£730orless.

7
13.Certain countries that have previously received food aid have not
made requests for 1982 .The two most notable are Pakistan and Zambia
who arecurrently self sufficient incereals .Two others are Jordan and
Indonesia .
14.Forthe fourteen countries which have not been mentioned atthis stage because
their import requirements arerelatively small (pnaverage less than
50000tcompared with 680 000tforthose countries that have been
iricluded ), ,itisproposed that for1982 theCommission should be
empowered todecide allocations tothese countries uptoalimit
of 5000 tcereals each and 50000tintotal .Details ofthese countries
arelisted inTable 3.Itisenvisaged that simplified delivery procedures
could also beused,including where appropriate the purchase ofthe
cereals inanearby developing country .
15.The remaining 20countries have average import requirements estimated
at13,6 million tonnes ,aslisted inTable 2.Under the programme some
670 000 tonnes areavailable forallocation tothese countries ,after
taking into account theproposed allocations tospecialised agencies ,
and the need for asubstantial reserve .The allocations have been
(1)
drawn uponthe basis ofapercentage ofimport requirements ,taking
into account thecountries' economic andfinancial situation and any
other special factors .Itwill beseen that onaverage the Community is
inaposition tosupply asfood aidjust under five percent ofimport
requirements ;the percentage ranges inpractice from 8%inthe case
ofthe very poorest countries (Bangladesh ,Ethiopia ,Mali etc.)down
to3%(Egypt ).
16.The proposed country allocations show thefollowing features .
.100% isfor countries with GNP/head (1980 est.)not exceeding
t730,and 63 %forthepoorest countries inthis group
where GNP/head does not exceed $370.(1981 programme :95% and 59%)
.37 %isfor ACP countries ,slightly more than in-1981 .
43% isforLeast Developed Countries .42 %isforcountries
ofSub-Saharan Africa .
(1)3-year average ofgross import requirements ascommunicated byFA0,before
deduction ofcommercial imports orfood aiddeliveries .

δ
Allocations toagencies
17.Thefollowing allocations tospecialised agencies are proposed /totalling
236 000t:
-World Food Programme :65000t(1981 :55000t).The increase isinline
with the commitment entered into byallsignatories ofthe Food Aid Conventi
andreflects the successful cooperation with the Programme inrecent years .
-International Emergency Food Reserve :50000t(1981 :30.000 tplus
100 000tspecial action ).This follows the Community 'sincreased support
ofthis important instrument inthefight against world hunger .This
contribution would bechannelled through World Food Programme .
-UNRWA :42000tasrequested .(The increase of2000tover 1981 is
theresult ofachange inthetechnical coefficients ofequivalence between
wheat andflour ).Approximately 38000tisfordistribution inthe form
offlour toeligible Palestine refugees under the agency 'sbasic rations
programme ,the remainder for useinthe supplementary feeding programme for
young children .
-UNHCR :allocations are proposed of50000tfor refugees inPakistan
and 12000tfor refugees inThailand .
-Red Cross :the same allocations are proposed asfor 1981,that is:
15000tfor theInternational Committee ofthe Red Cross (CICR),
and 2000tfor the League ofRed Cross Societies (LICR0SS ).
-Non-governmental organizations :asinprevious years the Commission
isnot proposing ageneral allocation tonon-governmental organizations ;
this does notofcourse preclude adhocallocations inanyparticular cases
that mayarise during 1982 .

9
Reserve
18.Asubstantial reserve ,totalling 184 963t,isproposed for 1982 ;this
represents 17%ofthe programme .The reserve would beintended forthe
following purposes :
(a)tomeet late requests andadditional allocations ,tobedecided by
the Council along with the main programme ;
(b)for emergency food aidactions tobedecided under existing
procedures during the year;
(c)for smaller allocations (under 5000t)tobedecided bythe
Commission asdescribed above ;
(d)for adhocallocations tobeproposed bythe Commission tothe
Council asand when requirements become clear .Inparticular the needs
ofKampuchea arenotyet determined for 1982 .Certain countries have
not made requests atthis stage but may dolater on.
(e)forallocations insupport offood strategies ,asanintegral part
ofthe Community 'saction plan against world hunger ;this could
include supplies tonational orregional grain reserves (asmentioned
above the CILSS proposal isunder study );
(f)forspecial allocations where requests donot meet the basic criteria b
aCommunity intervention may nonetheless bedesirable ;for example
Nicaragua ,the programme ofthe churches inChile ,andpossibly
elsewhere inLatin America ;

Transport10
Thefollowing guidelines havebeenusedtodetermine theextentofthe
Community'sfinancing oftransport costs:
(a)Delivered todestination (D.D.):allocations toorthrough
specialised agencies/andtolandlocked countries ;
(b)Cost,insurance,freight (C.I.F.):Countries withGNP/headbelow
t250,orbelowt300inthecaseofAfricancountries,whereexperience
hasshownthatgreatertransport difficulties arise;
(c)Free-on-board(F.O.B.):allothercountries .
Itshouldbenotedthatalthough allocations tospecialised agencies havebeen
indicated asdelivered todestination ,thisrepresents amaximum.Preciseterms
willdependonthenegotiations withtherecipient andonthecircumstances ;
theywillusually beC.I.F.inpractice .Similarly thereservehasbeenmarked
fordelivery todestination ,representing themaximumextentoftheCommunity's
financing .
Proposals
20.Insummarythefollowing allocations areproposed bytheCommission
forthe1982cereals programme :
Directly todeveloping countries
Tospecialised agencies
Reserve:6670°°*
:236000t
:184963*
1087963t
Detailsofeachallocation aresetoutintheannexeddraft
Decision,whichtheCouncilisrequested toadoptasamatterof
urgency .

COUNCIL DECISION
onthe1982cerealsfoodaidprogramme .
THECOUNCIL OFTHEEUROPEAN COMMUNITIES
havingregardtotheTreatyestablishing theEuropean Economic Community
andinparticular Article 113thereof,
Havingregardtotheproposal fromtheCommission ;
Whereas theEuropean Economic Community hasdeposited adeclaration of
provisional application oftheFoodAidConvention 1980andofthe1981
Protocol toextendit;
WhereasthatConvention enteredintoforceon1stJuly1980;
1981
WhereastheCouncilapproved onNovember 16,anadhocallocation for1981/82
oftheCommunity'sminimum commitment of1650000tofcerealsunderthe
FoodAidConvention 1980between Community actions andnational actionsofthe
MemberStates,without howeverexcluding thepossibilites ofadditional
volontary actionsbeyondtheminimumcommitment ;
Whereascertaindeveloping countries andspecialised agencies haverequested
foodaidintheformofcerealsfromtheCommunity ;whereastheirsituation
andthatoftheCommunity justifly foodaidfromtheCommunity totalling
1087963t;
WhereastheCouncilapproved on22March1977certainbasiccriteria' for
selecting foodaidrecipients anddetermining quantities ,otherrelevant
considerations alsobeingtakenintoaccount;
Whereas,inorderfortheaidtobeusedeffectively ,arrangements shouldbe
madeinappropriate casestofinancecertaintransport anddistribution costs;
HASDECIDED ASFOLLOWS :
Article 1
Anamountof1087.963tofcerealsshallbemadeavailable todeveloping
countries andspecialiases agencies underthe1982FoodAidProgramme,byway
oftheCommunity actionsundertheFoodAidConvention 1980.
Article 2
Thecountries andagenciestoreceivethisaid,together withthequantities
allocated andthedelivery terms,shallbeassetoutintheAnnex.
Article 3
Inthecaseofaidallocated toagencies,wheresoprovided intheconditions
agreedwiththerecipient,theCommunity mayalsofinancedistribution costs.
DoneatBrussels 1981
FortheConcil
ThePresident

12ANNEX
1982 CEREALS FOOD AID PROGRAMME
Recipient
Countries
Angola
Bang Ladesh
Egypt
Ethiopia
Ghana
Guinea
Hai1:i (*)
Kenya
Lesotho
Madagascar
Mali
Mauritania
Mozambique
Senegal
Somalia
Sri Lanka
Sudan
Tanzania
U.Volta
Zaire
Agencies
WFP (projects )
WFP (IEFR )
UNRWA
UNHCR
CICR
LICROSS
ReserveQuantity (t)
10000
150 000
180 .000
30000
15000
10000
10000
15000
6000
20000
15000
10000
45000
20000
30000
45000
13000
20000
8000
15000
65000
50000
42000
62000
15000
2000
184 963
1087 963Delivery terms
CIF
CIF
FOB
CIF
FOB
CIF
DD
FOB
DD
FOB
DD
FOB
CIF
FOB
CIF
FOB
FOB
CIF
DD
CIF
DD
DD
DD
DD
DD
DD
DD
(*)through specialized agency

13
TABLE 1
1982 CEREALS FOOD AID PROGRAMME
REQUESTS RECEIVED FROM COUNTRIES
Angola 20000t wheat social feeding project
Bangladesh 200 000 t wheat controlled sale
Benin 7000t wheat controlled sale
Cap Verde 18000 t cereals unspecified
Centrai rique 3500t wheat flour sale totrade
Comores 6000 t rice
70O t wheat fouropen sale
Djibout i 6000 t cereals
Egypt 250 000t wheat open sale
Ethiopia 80000 t wheat relief feeding project
Ghana 10000 t maize open sale
10000t rice open sale
Guinea 20000 t rice open sale
10000 t wheat flour open sale
300 t maize social feeding project
130 t wheat social feeding project
Guinea Bissau 15000 t maize open sale
10000 t rice open sale
10000 t sorghum open sale
5000 t wheat flour open sale
Guinea-Equatorial 2000 t wheat flour controlled sale
1000 t rice controlled sale
Guyana 1000t wheat flour open sale
Jamaica 6650 t wheat flour social feeding project
1800 t maize flourM M II
50t oat flakesII II II
Kenya 70000 t wheat open sale
Lebanon 22000 t wheat flour relief feeding project
5000 t riceII II II
Lesotho 8000 t wheat sale for milling
Madagascar 50000t rice open sale
25000t wheat flourII II
Mali 15000t maize open sale
10000 t riceII II
Malta 50000 t wheat . sale for miIling
Mauretania 58000 t wheat )open sale,sale formilling ,
30000t sorghum )social feeding project
Morocco 100 000t wheat unspecified
Mozambique 30000 t . wheat sale formilling
10000t rice sale for trade
Nicaragua Ci) 20000t wheat' ; open sale
Niger 5000 t wheat unspecified
Peru 15000t durum wheat open sale
Philippines 5000 t wheat flour open sale
Rwanda 3000t wheat .: 6ale fór-'mi'lling
St.Kitts 104t wneat flour school feeding project
62t riceII II II
42t maizeII II II
(1)Proportions notdefined .

14
St.Tome 2000 t cereals controlled sale
Salvador 2250 t oat flakes child feeding project
Senegal 15000 t rice social feeding project
5000 t wheat sale formilling
Sierra Leone 10000 t rice open sale
Somalia 76000 t cereal Ls refugee feeding project
5000 t wheat flour open sale
4550 t durum wheat food forwork project
Sri Lanka (100 000 t) wheat open sale
Sudan'20000 t wheat open sale
Syria 10000 t maize sale for animal feed
10000 t wheat sale for milling
Tanzania 50000 t maize controlled sale
10000 t rice open sale
10000 t wheat open sale
Uganda (1) 40000 t rice open sale
Upper Volta 10000 t maize open sale
5000 t maize meal controlled sale
2500 t rice open sale
2500 t wheat flourII II
321 t maize meal child feeding project
193· t riceII II II
Yemen (A)(2) (50000 ;t) wheat controlled sale
Zaire 15000 t wheat sale after milling
Total (product quantities )1700 000 t
Total (cereals equivalent )1745000 t
Total (wheat equivalent ) 2125000 J
(1)Government request separate from NG0 request .
(2)Request announced
Additional requests
Antigua (600 )t
Grenada 225 t
Grenada 45t
Honduras 8000 t
Nicaragua (ii)5000 tcereals
wheat flour
rice
wheat
oatsunspecified
school feeding project
school feeding project
sale formilling
open sale

15
1982 CEREALS FOOD AIDPROGRAMME TABLE 2
CALCULATION OFPROPOSED COUNTRY ALLOCATIONS tx1000
Country GNP /h
21980Export
ratioQty ¡Average
requested importKey
7.Theoret .
alloc.1981
alloc.1982
prop .
requir .
Bangladesh 120 -51 200 1874 8 150 330 150
Ethiopia 140 -39 80 390 8 31 20 30
Somalia (150 ) -134 87 343 8 25 30 30
Mozambique 160 40 562 8 45 25 45
Mali 190 -21 25 160 8 13 15 15
U.Volta 190 27 79 8 6 8 8
Zaire 220 15 318 5 16 10 15
Angola (250 ) 20 223 5 11 8 10
Tanzania 260 -76 70 237 5 12 20 20
Haiti * 270 -26- 174 5 9 3 10
Sri lanka 270 -20 100 937 5 47 32 45
Guinea 290 34 167 5 8 10 10
Mauretania 320 -60 88 137 5 7 10 10
Madagascar 350 -93 84 352 5 18 15 20
Lesotho 380 8 157 4 6 4 6
Ghana 420 -7 20 348 4 14 10 15
Kenya 420 -30 70 350 4 15 15 15
Senegal 450 20 432 4 17 20 20
Sudan 470 -28 20 325 4 13 10 13
Egypt 580 -24 250 6.075 3 180 135 180
13640 530 667
'
*Aidthrough specialised agency .

16
TABLE 3
1982 CEREALS FOOD AID PROGRAMME
Countries with relatively small import requirements tx1000
Country GNP/h Quantity Import 1981
requested requi rement allocation
Guinea Bissau 160 42 53 7
Guinea Equatorial (160 ) 4 3 1
Cap Verde (180 ) 18 52 7
Rwanda 200 (3) 17 2
Djibouti (270) 6' 34 4
Sierra Leone 270 10 81 4
Benin 300 7 68 3
Comoros 300 7 26 3
Niger 330 5 41 0
S.Tome 490 2 8 i 1
Honduras 560 8 157 1
Guyana 690 1 73 1
Grenada 690. 5 1
Nicaragua 720 25 69 10
138 687 45
Note ;Allthe above countries would beeligible for Community food aid under the
1982 cereals programme according tothesimplified procedures described inthe
text .Inaddition the members ofCILSS notfiguring inthe above table nor
inthemain 1982 proposal would beeligible also :that is,-,Chad .and Gambia .
(2)

17
198Σ CE .1EA.3 "00Γ .r>FO3FΛ'';RTABLE U
Balance ofpay>n :s da· :
(US SmiIlior ?
.CUNT "Y BASE YEAREXFORTS OFG0~?·
AND SERVICES 'A)CJP9ENT BALANCE
OFPAYMENTS (Β)EXPORT RAT 10
(B/A)
Somai la 1979 153 -206 -134
Madagascar 1979 466 -433 -93
Τanzania 1978 628 -478 -76
Mauritania 1979 204 -123 -60
BÚjladesh 1979 852 •440 ι/ •- 51
\
yEthiopia
i1980 576 -224 -39
Kenya 1979 1602 -479 -30
Sudan
,1979 839 -239 -28
Haiti
•1979 223 -59f
-26
Eg*pt
11979 6953
V-1553
i-24
Mall 1978 132 -28 -21
S''Lanka 1979 1174 -231 -20 ..
Ghana
Í
'1980 1282 -94 - 7
Norecent data avallatale :Angola .Guinea ,Lesottio ,Mozambique ,Senegal ,
Upper Volta ,Zaire .
Source :IMF -International Financial Statistics ,August 1981 .

18
DAIRY PRODUCTS
Thecriteria Laid down bythe Community forallocating food aid,i.e.
import requirements ,percapita GNP andexternal financial situation ,
cannot beapplied automatically inthepreparation offood aid programmes
involving dairy products .This isbecause dairy products supplement the
basic diet,which consists ofcereals ,but are not asubstitute forit.
Inthe case ofdietary supplement ,therefore ,import requirements areof
only relative importance ,aspriority must begiven toproviding thecereals
needed tocombat under-nourishment ,before malnutrition can betackled
through theproteins contained inmilk .Consequently ,theproposals for
allocating food aidinthe form ofdairy products have totake into account
nottheoretical import requirements but the capacity touse and absorb this
type ofproduct .
Itisimperative toprevent wherever possible the danger ofserious illnesses
resulting from incorrect useofmilk powder .Thesale ofmilk inpowder form
isacceptable only incountries where thepopulation knows howtoprepare
liquid milk hygienically and hasthefacilities fordoing so.Itistherefore
proposed toallocate larger quantities tocountries andorganizations which
meet these requirements either viacarefully structured social programmes or
through the intermediary ofthedairy industry .
Inaddition ,priority must begiven infuture toimproving thequality of
theproducts supplied .For example ,there must besystematic checking of
thevitamin content both onshipment andatthedestination .Furthermore ,
packaging in25kgbags isvery often ill-suited tofree distribution
programmes .More deliveries will have tobepackaged insmaller quantities
ifserious losses are tobeavoided .
Itshould beemphasized that inthe annexed tables ,"netrequirements "does
not mean themilk requirements ofacountry but thequantities needed by
thedairy industry orrequired for afree distribution programme .

19
1.Requests
Requests havebeenreceived sofarfrom49countries foratotalof173,743t
ofskimmed-mi Ikpowder.Inaddition tothis,therearetherequests from
organizations ,amounting to127,794t.Thetotalquantity requested is
therefore 301,537t.
Withregardtobutteroil,39countries haverequested atotalquantity of
86,694t,whileorganizations haverequested 18,950t,making105,644tin
all.Thetotalquantity requested islessthanfor1981<117,267t);
thereasonforthismaybethatmanycountries arenowrequesting only
thequantities allotted totheminpreceding years,irrespective ofthe
extenttowhichtheymeettherequirements .
2.Proposed allocations
a)Skimmed;mUk_gowder
Theproposedallocation inthelightoftheforegoing isasfollows :
-international organizations :63,800tonnes
-applicant countries :69,650tonnes
-reserve :16,550tonnes.
Remarks :
Itistobeexpectedthatthereserveof16,550twillbereduced,
asatokenentryhasbeenmadeforsomecountries pendingreceiptof
additional information .
-Itshouldbepointedout,however,thatthereserves underprevious
programmes stillstandatthefollowing levels:
.1980programme :1,015tonnes
.1981programme :7,318tonnes
TOTAL :8,333tonnes.

20
b)Butteroil
The proposed allocation isasfollows :
international organizations :13,400 tonnes
applicant countries
reserve:29,805 tonnes
:1,795 tonnes .
Remarks :
This reserve represents anabsolute minimum ,asquantities will have tobe
allotted tocountries for which atoken entry has been made forthe time
being .
However ,thefollowing quantities arestill available inthe reserves under
earlier programmes :
1980 programme : 524 tonnes
.1981 programme :1,270 tonnes .
This quantity -1,794 tonnes -isthe minimum needed tocover any emergency
operations approved between now and the endof1982 .
Asinprevious years ,anindicative programme has been drawn upfordairy
product allocations tothe NGOs,LICR0SS and the ICRC. This programme
could beamended atthe request oftheorganization concerned ,byagreement
with the Commission .

S :sale atmarket price
FD :free distribution
SDI :sale dairy industry
SFC :sale final consumer
SRP :sale atreduced price
FAD :free atdestination1982 MILK PROGRAMME
Recipient
countryQuantity
requested
(t)UseGNP /head
1980Net requi-
rements
(t)Direct aid
1981
(t)Proposal
1982
(t)Method of
deliveryObservations
Angola- FD :2,000,000 ρ (250 ) 4,200 500 500 CIF
Bangladesh 10,000 120- 5,000 0- (1)
Burundi 300 SDI 200 368 100 100 FAD (2)
Cape Verde 800 SRP
FD: 400 ρ
:55,000 ρ(180 ) 3,500 400 400 CIF
Comoros 1,000 FD :102,850 ρ 300 1,000 400 400 CIF (3)
Djibouti 400 FD :60,000 ρ (270 ) 200 200 200 CIF
Ecuador 1,623 FD :279,000 ρ 1,220 1,786 500 1,000 FOB
Ethiopia 15,000 FD :1,200,000 ρ 140 9,000 2,000 2,000 CIF
Ghana 5,000 SDI •420 5,000 300 2,000 FOB (4)
Guinea-Bissau 700 SDI (160 ) 700 600 0 (5)
Guinea-Conakry 1,500 FD 290- token entry 0 (8)
Grenada 350 FD :
SDI43,000 ρ
:50t690 350 400 350 FOB
Equatorial Guinea 2,000 SFC
FD: 500 t
:1,500 t(160 ) 2,000 token entry 0 (42)
Upper Volta 2,000 FD :146,148 ρ 190 5,312 token entry 0 (9)
Honduras 3,000 FD :330,000 ρ 560 993 2,000 t.entry FOB (21)
India 31,000 SDI 240 31,000 31,000 31,000 CIF
Indonesia 3,010 SDI
FD:1,360 t
:1,650 t420 3,010 1,350 2,000 FOB (26)
Jamaica 3,000 FD :354,350 1,030 3,174 1,500 1,500 FOB

1982 MILK PROGRAMME
Recipient
countryQuantity
requested
<t>Use
•GNP /head
1980Net requi -
rements
(t)Direct aid
1981
(t)Proposal
1982
(t)Method of
deliveryObservations
Jordan 1,500 FDPalest ,refugees :
250,000 ρ1,390 1,500 1,500 token
entryFOB (13)
Kenya 6,400 SDI 420 6,400 2,000 t.entry FOB (24)
Lesotho 930 FD :260,000 ρ 380 930 300 300 FAD
Lebanon 4,700 FD :525,000 ρ (1,500 ) 4,700 1,100 1,100 FOB
Madagascar 1,500 350 token entry t.entry FOB (23)
Mali 1,500 FD ::750 t
SDI :750 t190 1,500 600 600 FAD (10)
Malta 600 FD :200 t
SRP :400 t(2,200 ) 2,160 400 200 FOB (11)
Mauritius 700 FD :190,000 ρ 1,050 700 500 FOB (25)
Mauritania 6,000 SFC :3,000 t 320- 1,000 1,000 CIF (34)
Morocco FD 860-1,500 0 (14)
Mozambique 1,100 SDI (160 ) 1,100 750 750 CIF
Nicaragua 3,000 SDI 720 2,000 2,000 FOB (35)
Niger 2,000 FD 330- 250 250 FAD
Uganda 986 SDI 280 986- 500 FAD (27)
Pakistan 3,000 300- 750 2,000 FOB (36)
Peru 2,000 SDI 930- 1,000 1,000 FOB
Philippines 1,000 SFC 710 2,800 1,000 t.entry FOB (37)
Egypt 20,000 SDI 580 20,000 10,000 10,000 FOB

1982 MILK PROGRAMME
Recipient
countryQuant ity
requested
(t)UseGNP /head
1980Net requi -
rements
(t)Direct aid
1981
(t)Proposal
1982
(t)Method of
del iveryObservations
Central African
Republ ic250 FD :240,000 ρ 340 250 token entry 0-(18)
Rwanda- - 200- - 0- (39)
ElSalvador 1,800 FD
SDI :1,000 t590 1,800- - - (20)
Senegal 3,750 SFC :1,000 t
FD :500,000 ρ450- 2,000 2,000 FOB (38)
St.Kitts-Nevis 100 FD :8,000 ρ- 100- - -
Sierra Leone 957 FD :212,571 ρ 270 957 token entry 500 ' CIF (6)
Soma Iia 6,748 FD :900,000 ρ (150 ) 6,748 3,500 3,500 CIF (29)
Suda'n 5,000 SDI :3,000 t
FD :2,000 t470 5,000 500 500 FOB (19)
Sri Lanka 2,500 270- token entry t.entry FOB (40)
Syria 4,000 SDI 1,340- 1,200 t.entry FOB (12)
Tanzania 2,324 SDI 260 2,324 2,500 2,000 CIF (28)
Chad norequest FD 120- token entry t.entry FAD
Thai land 3,000 FD :340,000 ρ 670 3,000 token entry t.entry FOB (30)
Togo 500 SDI
•410 500 250 t.entry FOB (7)
Yemen A.R. awaited 460- 500 t.entry FOB (15)
Zaire 3,000 SFC 220- token entry 0- (31)
Zimbabwe 3,715 630- - 1,500 FOB (33)
Zambia 1,500 SDI 560 1,500 1,500 t.entry FAD (32)
TOTAL 173,743 136,548 81,600 69,650

1982MILKPROGRAMME
Recipient
countryQuantity
requested
(t)UseGNP/head
1980Netrequi-
rements
(t)Directaid
1981
(t)Proposal
1982
(t)Methodof
deliveryObservations
BODIES
ICRC 2,000 FD 2,200 2,000 FAD
LICROSS 1,800 FD 1,800 1,800 FAD
UNHCR FD tokenentryt.entry FAD (41)
ΝGOs 41,794 FD 25,000 27,000 FAD
UΝRWA awaited FDPalest,refugees 1,632 (1,000) FAD . (16)
WFP 82,000 FD 30,000 32,000 FAD
TOTALBODIES 127,794 60,632 63,800
RESERVE 7,318 16,550
TOTAL 301,537 136,548 150,000 150,000

25
OBSERVATIONS :SKIMMED-MILK POWDER
1.BANGLADESH :quantities allocated for 1981 still tobedelivered .
2.BURUNDI :limited capacity fortransport tothis country .
3.COMOROS :despite theincrease inthenumbers qualifying forfree
distribution ,anincrease intheallocation would appear to
beunattainable forreasons related totransport and
distribution capacity .
A.GHANA :token entry in1981 onaccount oftechnical difficulties in
thedairy industry .These difficulties have nowbeen resolved .
5.GUINEA BISSAU :asthedairy industry isnotfunctioning properly for
technical reasons ,azero allocation isproposed .
6.SIERRA LEONE :thebacklog ofdeliveries ofaidpreviously allocated
has now been cleared .
7.TOGO :delivery ofprevious aidallocations now inprogress ;they are
intended forthenewdairy industry and theresults produced by
theplant must beawaited before newaid iscommitted .
8.GUINEA :establishment ofafactory forrecombining milk (EDFfinancing
requested )isawaited before anymilk powder isdelivered .
9.UPPER VOLTA :2,000 tfrom 1980 still notdelivered .
10.MALI :aspreviously ,theproposal isforanallocation ofaid forfree
distribution via the NG0s.
11.MALTA :theproposal covers free distribution only .Itshould bepossible
forproducts intended forsale tobeimported commercially
(GNP=22,000 /head ).
12.SYRIA :request relates tomultiannual project .Itwill bedealt with
separately after examination oftheproject .
13.JORDAN :following areport from theCommission Delegate ,adetailed
examination must bemade oftheuseofprevious schemes before
anynewaid iscommitted .
14.MOROCCO :before anynewaid iscommitted ,the 1981 results must be
awaited ;thesolution using the NG0s aspreviously canbe
adopted ifnecessary .

26
15.YEMEN A.R. :reports on1980 aidawaited before anewproposal ismade .
16.UNRWA :re-assessment ofrequirements inprogress .
17.MOZAMBIQUE :solely fordairy industry ;free distribution programme
cancelled .
18.CENTRAL AFRICAN REPUBLIC :noguarantees ofproper use .
19.SUDAN :thetoken entry wasreplaced byaquantity of500 tfor1981 ,
following receipt ofreports ontheuseofprevious aidallocations .
20.ELSALVADOR :indirect aid will beproposed ifnecessary .
21.HONDURAS :zero allocation proposed ,pending reports onimplementation .
23.MADAGASCAR :token entry pending receipt ofinformation onproposed use .
24.KENYA :local production isnow sufficient tosupply thedairy industry .
Free distribution inschools isensured under athree-year programme
for16,000 tofskimmed-milk powder and2,500 tofbutteroil .
25.MAURITIUS :this country hadwaived aid under themilk programme in1980
forreasons ofstorage andbecause ofdistribution problems .
Thedistribution infrastructure hasimproved ,hence this request .
26.INDONESIA :thequantities allocated in1980 /81have been used upfor
free distribution .Theproposed supplement would beforthedairy
industry and adevelopment project inthedairy production sector
(Baturraden ).
27.UGANDA :thedairy industry isoperating once again after alapse of
several years .The WFPisproviding theindustry with 985 t.
28.TANZANIA :therequest ismuch smaller than in1981 .Itistherefore
proposed that theaidallocation bescaled down .
29.SOMALIA :asupplementary quantity of1,500 twasdelivered in1981 as
emergency aid .Thenumber ofrefugees isgoing down (700,000 in
1981 against 900,000 in1980 ).
30.THAILAND :this country haspresented arequest for amultiannual
project (five years )covering free distribution inschools andvia
social services .Aproposal will bemade separately following
receipt offull details .

27
31.ZAIRE :themilk requested isintended forsale inpowder form .Net
requirements would appear tobe200,000 t.Itisproposed to
carry out schemes via the NGOs .
32.ZAMBIA :token entry pending additional information onthedairy
industry and counterpart funds .
33.ZIMBABWE :since independence ,dairy production has been disrupted
byariseindemand .
34.MAURITANIA :for free distribution only .
35.NICARAGUA :request awaited .
36.PAKISTAN :extension ofprogrammes forfree distribution inschools
andhospitals .
37.PHILIPPINES :request for sale inpowder form .Results of1981 operation
awaited prior tonewallocation .
39.RWANDA :irrespective ofwhether arequest issubmitted ,itisproposed
tomake azero allocation pending reports onthe useof1980 aid.
40.SRI LANKA :request relates toamultiannual project .Aproposal will be
made subsequently .
41.UNHCR:asin1981,there istobenogeneral allocation ;
proposals will bemade forspecific schemes (e.g. Afghan refugees ).
42.EQUATORIAL GUINEA :noguarantee ofcorrect useofmilk powder .

S :sale
SRP :saLe atreduced pnce 1982 BUTTEROIL PROGRAMME
SDI :sale dairy industry
FD :free distribution
FA0 :free atdestination
SFC :sale final consumer
Recipient
countryQuantity
requested
(t)UseGNP/head
1980Net requi-
rements
(t)Direct aid
1981
(t)Proposal
1982
(t)Method of
deliveryObservations
Bangladesh 10,000 SFC :8,000 t
SDI :2,000 t120 10,000 3,000 3,500 CIF (21)
Burundi 100 SDI 200 100 50 50 FAD
Cape Verde 600 SFC (180)- 250 250 CIF
Central African
Republic 300 F0:240,000 ρ- 340- - - (6)
Comoros 200 SRP 300 200 100 100 CIF
Djibouti awaited FD:11,000 ρ (270)- 100 100 CIF
Ethiopia 7,500 FD:500,000 ρ 140 5,400 1,000 1,000 CIF
Ecuador 110 SDI 1,220– - token
entryFOB (12)
Ghana 3,500 SDI 420 3,000 200 600 FOB (1)
Guinea-Bi ssau 1,000 SFC :400 t 160 1,000 175 175 CIF
Guinea 200 SFC 290- 200 t.entry CIF (3)
Equatorial Guinea 3,000 SFC +FD 160-token entry 0 (2)
Guyana 350 SDI 690- 100 100 FOB
Grenada 30 FD:20,000 690 30 30 30 FOB
Upper Volta- 190 - token entry 0- (11)
Honduras awaited SFC 560- 600 600 FOB
India 12,700 SDI 240 20,000 12,700 12,700 CIF
Indonesia 4 sale"" (20)

1982 BUTTEROIL PROGRAMME
Recipient
countryQuant ity
requested
(t)UseGNP/head
1980Net requi-
rements
(t)Direct aid
1981
(t)Proposal
1982
(t)Method of
deliveryObservations
Jamaica FD:354,350 1,030- 200 200 FOB
Lesotho 350 FD:35,414 ρ 380 350 100 200 FAD (4)
Lebanon 2,350 FD:525,000 ρ (1,500 )- 1,000 1,000 FOB
Mali 270 SDI 190 270 200 200 FAD (5)
Mauritania 4,500 FD:320,000 320- 1,000 1,000 CIF
Mozambique 600 SDI (160) 1,500 200 200 CIF
Nicaragua- SDI 720- 200 200 FOB
Niger 1,000 330- - 0 (16)
Pakistan 5,000 SFC 300 1,500 2,000 FOB
Peru * 2,000 SDI 930 2,000 500 500 FOB
PhiLipp ines 100 SFC 710- 100 100 FOB
Egypt 15,000 SFC 580 15,000 2,800 2,800 FOB
Sao Tome 600 FD:30,000 ρ+sale 490 300 100 100 CIF
Salvador 1,350 590- - - (7)
St.Kitts-Nevis 25 FD:8,000- - - 0 (13)
Senegal 1,000 FD:500,000 ρ 450- 200 0 (19)
Sierra Leone 639 FD:212,571 ρ 250 639 200 200 CIF
Somal ia 4,610 FD:963,700 ρ (150) 4,610 1,500 1,500 CIF
Sudan 2,000 SFC 470- 0 0 (17)
Sri Lanka 250 FD:18,500 230 250 token entry 100 FOB

1982 BUTTEROIL PROGRAMME
Recipient
countryQuantity
requested
(t)UseGNP /head
1980Net requi -
rements
(t)Direct aid
1981
(t)Proposal
1982
(t)Method of
deliveryObservations
Syria 1,000 SDI 1,340 1,000 400 t.entry FOB (8)
Tanzania 670 SDI 260 670 400 400 CIF
Thai land 286 FD 670 286 token entry t.entry FOB (9)
Yemen A.R. awaited
Zambia 500 SDI 560- 500 t.entry FAD (15)
Zaire 3,000 SDI 220- - - (10)
TOTAL COUNTRIES §6¿694 31,630 29¿905
BODIES
ICRC
•1,000 FD 1,000 1,000 FAD
LICR'OSS 500 FD 500 500 FAD
UNHCR FD t.entry FAD (22)
UΝRWA 3,900 FD 3,900 3,900 FAD
WFP 10,000 FD 6,000 (1)6,000 FAD
ΝGOS 3,550 FD 2,000 2,000 FAD
TOTAL BODIES 18,950 13,400 13,400
RESERVE 1,270 1,695
TOTAL 105,644 45,000 45,000
(1)Ofwhich :1t300 tunder the1977 and 1978 progr «mmes .

OBSERVATIONS :BUTTEROIL
1.GHANA :quantity required (500t)for recombining whole milk with
2-000 tofpowder .
2.EQUATORIAL GUINEA :1980 allocation stili bedelivered ;results of
this allocation awaited before further aidissupplied .
3.GUINEA :noinformation onuse .
4.LESOTHO :increased requirements for anew"Food for Work"programme ,
tosupplement school programmes .
5.MALI :quantity proposed inproportion tothemilk allocation for
recombining whole milk .
6.CENTRAL AFRICAN REPUBLIC :this country isaproducer ofvegetable oils
andfats .Noinformation onprevious food aid.
7.ELSALVADOR :indirect aidwill beproposed ifnecessary .
8.SYRIA :request relates tomultiannual project .Will bedealt with
separately following examination oftheproject .
9.THAILAND :request inrespect ofmultiannual project (5years )for
free distribution inschools and via social services .Will be
dealt with separately following receipt offull details .
10.ZAIRE :aidtobesupplied via NG0sifnecessary .
11.UPPER VOLTA :useofprevious aid inthe form ofbutteroil notsatisfactory .
12.ECUADOR :request isforthedairy industry .Additional information on
useisawaited before aproposal ismade .
13.ST.KITTS :token entry pending receipt ofadditional information on
the proposed programme .
15.ZAMBIA :token entry pending more detailed information onuse.
16.NIGER :this country isaproducer and consumer ofvegetable oils .
17.SUDAN :noinformation onuseofprevious aid.-
19.SENEGAL :this country produces 100,000 tofgroundnut oilannually .
Butteroil wassupplied in1981 because ofthedisastrous drop
ingroundnut production .

32
20.INDONESIA :quantity requested is4t.Nodetails onconditions of
sale .
21.BANGLADESH :including 500tforthedairy industry .
22. UNHCR:tobedealt with asand when needs arise (500tin1981).

33
NoL OfficialJournaloftheEuropeanCommunities
COUNCIL REGULATION (EEC)No
of
layingdowngeneralnileiforthesupplyofskimmed-milk poyvder ^to
certaindeveloping countriesandspecialized bodiesundertht'foodaidprogramme
THECOUNCIL OFTHEEUROPEAN
COMMUNITIES .
HavingregardtotheTreatyestablishing theEuropean
Economic Community ,andinparticular Article43
thereof.
HavingregardtoCouncilRegulation (EEC)No
804/68of27June1968onthecommon ,organization
ofthemarketinmilkandmilkproducts('),aslast
amendedbyRegulation (EEC)No1761/78('),andin
particularArticle7(4)thereof.
HavingregardtotheproposalfromtheCommission ,
HavingregardtotheopinionoftheEuropean
Parliament ('),
Whereascertaindeveloping countriesaridspecialized
bodieshaveindicated theirrequirements inhigh-
proteinmilkproducts ;whereasthesehigh-protein
productsmaybesuppliedintheformofskimmed-
milkpowderproducedwithintheCommunity and
meetingcertainqualitystandards ;
Whereasthesupplyofskimmed-milk powdermust
takeintoaccounttheamounts ofskimmed-milk
powderavailableintheCommunity andthenecessity
ofnotdisrupting marketconditions ;
Whereastheamountsavailable atpresentenable
150000tonnesofskimmed-milk powdertobe
suppliedunderthe--•programme ;
Whereas,ifthequantities ofskimmed-milk powderin
publicstocksareinsufficient forthedeliveryofthe
abovementioned amount,oriftheydonothavethe
characteristics necessary fortheirparticular destina­
tionwherethisrequiresinparticularotherformsof
packingortheadditionofvitaminsorotheradditives,
suppliesmustbeensuredbythebuying-in ofskim­
med-milk powderontheCommunity market;
Wlu-reas,inordertoenabletheaidtobeusedeffec­
tively.arrangements shouldbemadetofinance
certaintransportanddistribution costs;
Whereas thesuppliesmustbedelivered atthe
cheapestpossibleprice;whereasinordertoachieve
thataim,atenderingprocedure mustbeprovidedfor;
whereas,however,itmaybedesirableit)theinterests
ofspeed,inexceptional cases,tohav(;recourseto
privatecontracts ;
(•)OJNoL148.28.6.1968,p.13.
(')OJNoL204.28.7.1978,p.6.
(3)ODiniondelivered onWhereasitisdesirablethatthlrulesfortheapplica­
tionofthemeasureslaiddowhforbuying-inskim­
med-milk powderonthemarketshouldbeadoptedin
accordance withtheprocedure laiddowninArticle30
ofRegulation (EEC)No804/68,asinthecaseofthe
rulestobeappliedwherepublicstocksareused.
HASADOPTED THISREGULATION :
Article 1
150000tonnesofskimmed-rttilk powdershallbe
madeavailabletocertaindeveloping courttriesand
specialized bodiesasfoodaidurtderthe....
programme .
Article2
1.Theskimmed-milk powderreferredtoinArticle
1shallbepurchased inaccordance withArticle7(I)
ofRegulation (EEC)No804/68.
2.IftheamountsofskimiSed-mllk powderin
publicstocksarcinsufficient tosupplythequantities
providedforinArticleIoriftheydonothavethe
characteristics necessary fortheirparticular destina­
tionwherethisrequires,inparticular ,otherformsof
packingortheadditionofvitaminsorotheradditives,.
suppliesshallbeensuredbythebuying-in ofskim­
med-milk powderontheCommunity market.
Buying-in shallbedoneinsuchawayasnotto
disturbthenormaldevelopment ofpricesonthe
market.
Article3
ForthepurposesofArticleI:
(a)thecostoftheskimmed-milk powder,deliveredto
theportofshipment oracorresponding stage,
shallbefinancedbytheCommunity ;
(b)inexceptional cases,theCommunity mayalso
whollyorpartiallyfinanceonthebasisofadeci­
sionoftheCouncil,inaccordance withtheproce­
durereferredtoinArticle7:
transport– tothefrontier <bfthecountryand,
possibly,totheplace(s)ofdestination ,and
–distribution ,wherethegod&saredistributed by
aspecialized body.

34
Official Journal oftheEuropean Communitiei No L
Article 4
Amounts corresponding tothecosts referred toin
Article 3(b)shall ,where thearrangements agreed with
therecipient country orbody sopro­
vide ,bepaid wholly orinpart asalump-sum
contribution tothe country orbody ofdesti­
nation bythe Commission .Anide J
Fordelivery ofskimmed-milk powder totheport of
shipment or•corresponding stage ,and,where rele­
vant ,foritsshipment from that stage anditspurchase
ontheCommunity market ,invitations totender shall
beissued ,without prejudice toArticle 4saveinexcep­
tional cases ,where private contracts arenegotiated .
Artide 6
The decision toapply Article 2(2)shall betaken and
theprocedure forimplementing this paragraph andArticle 5shall be^doilted inaccordance with the
procedure laiddown inArticle 30ofRegulation (EEC)
No 804/68.
Anicle w
The countries and bodies forwhich this aid is
destined ,together withtVquantity tobeallocated to
each ,shall bedetermined bytheColincil acting bya
qualified majority onaproposal from theCommis­
sion .
Artide 8
This Regulation shall enter intoforce onthethird day
following itspublication intheOfficial Journal of
theEuropean Communities ,
This Regulation shall bebinding initsentirety anddirectly appl*cabfe inallMeifcber
States .
Done atBrussels .
FortheCou^cil
The Président

35
NoL OfficialJournaloftheEuropeanCommunities
COUNCIL REGULATION (EEC)No
Jt
onthesupplyofskimmed-milk powdertocertaindeveloping couhcriesand
specialized bodiesunderthefood-aidprogfan'lme
Till:COUNCIL OFTHEEUROPEAN
COMMUNITIES .
Havingregardto(heTreatyestablishing theEuropean
Economic Community ,
HavingregardtoCouncilRegulation (EEC)No
layingdowngeneralrulesfor
thesupplyofskimmed-milk powdertocertain
developing countries andspecialized bodies
underthe....foodaidprogramme (1),and
inparticular Articles 3and7thereof,
HavingregardtotheproposalfromtheCommission ,
Whereas CouncilRegulation (EEC)No---
provides forthesupplyof150OQDtonnesof
skimmed-milk powder;whereasthisquantityshould
beallocatedamongthevariouscountriesandbodies
fromwhichapplications havebeenacceptedand
arrangements forfinancing shouldbespecified ;whereas Tonnesshouldbekeptasacon­
tingency reserveforfuturealloca­
tion,
HASADOPTED THISREGULATION :
Affilie 9
Theallocationandfinancingarrangements inrespect
of150000tonnesofJkimmed-milk powdertobe
suppliedtocertaindeveloping countriesandspecial­
izedbodiesasfoodiiidUnderthe-..programme in
accordance withRegulation (EEC)No.-.areset
outintheAnnex .
Altiile2
ThisRegulation sha|lenterintoforceonthethirdday
following itspublication intheOfficialJournalof
theEuropean Communities .
ThisRegulation shallbebindinginitsentiretyanddirectlyapplicable inallMember
States.
DoneatBrussels .
Fortbe(Àmmil
ThePrésident
(')Setp«|tef(hitOfficialJournal.

36
ANNEX
1982SKIMMED-MILK POWDER FOODAIDPROGRAMME
Recipient countries
andbodiesQuantities allocated
(tonnes)Arrangements
forfinancing
Countries
ANGOLA 500 CIF
BURUNDI 100 freeatdestination
CAPEVERDE 400 CIF
COMOROS 400 CIF
DJIBOUTI 200 CIF
EGYPT 10,000 FOB
ECUADOR 1,000 FOB
ETHIOPIA 2,000 CIF
GHANA 2,000 FOB
GRENADA 350 FOB
HONDURAS tokenentry FOB
INDIA 31,000 CIF
INDONESIA 2,000 FOB
JAMAICA 1,500 FOB
KENYA tokenentry FOB
LESOTHO 300 freeatdestination
LEBANON 1,100 FOB
MADAGASCAR tokenentry
MALI 600 freeatdestination
MALTA 200 FOB
MAURITIUS 500 FOB
MAURITANIA 1,000 CIF
MOZAMBIQUE 750 CIF
NICARAGUA 2,000 FOB
NIGER 250 freeatdestination
UGANDA 500 freeatdestination
PAKISTAN 2,000 FOB
PERU 1,000 FOB
PHILIPPINES tokenentry FOB
SENEGAL 2,000 FOB
SIERRA LEONE 500 CIF
SOMALIA 3,500 CIF
SUDAN 500 FOB
SRILANKA tokenentry
SYRIA tokenentry FOB
TANZANIA 2,000 CIF
CHAD tokenentry
THAILAND tokenentry
TOGO tokenentry FOB
YEMENA.R. tokenentry FOB
ZAMBIA tokenentry freeatdestination
ZIMBABWE 1,500 FOB
Bodies
2,000 freeatdestination
LICROSS 1,800 freeatdestination
UNHCR tokenentry freeatdestination
ΝGOs 27,000 freeatdestination
UΝRWA 1,000 freeatdestination
WFP 32,000 freeatdestination
Reserve 16,550
TOTAL 15QéQQQ

37
NoL OfficialJournaloftheEuropeanCommunities
COUjNCIL REGULATION (EEC)No
of
layingdowngeneralrulesforthesupplyofmilkfatstocertaindeveloping
countries andspecialized bodiesunderthe.-.food-aidprogramme
THECOUNCIL OFTHEEUROPEAN
COMMUNITIES .
HavingregardtotheTreatyestablishing theEuropean
EconomicCommunity ,andinparticularArticle43*
thereof.
HavingregardtoCouncilRegulation (EEC)No
804/68of27June1968onthecomrponorganization
ofthemarketinmilkandmilkproducts ('),aslast
amendedbyRegulation (EEC)No1761/78('),andin
particular Article6(6)thereof,
HavingregardtotheproposalfromtheCommission ,
HavingregardtotheopinionoftheEuropean Parlia­
ment('),
Whereascertaindeveloping countriesandspecialized
bodieshaveindicatedtheirrequirements inmilkfats;
whereasthesefatsmaybesuppliedintheformof
butterorbutteroilproducedwithintheCommunity
andmeetingcertainqualitystandards ;
Whereastheamountsavailableatpresentinthe
Community enableaquantitycorresponding to
45000tonnesofbutteroiltobesuppliedasfoodaid
inbutterandbutteroil ;whereastheapportionment of
suppliesbetweenpublicandprivatestockswillvary
depending onmarkettrendsandseasonalrequire­
ments;
WhereasinviewofthesituationontheCommunity
marketinbutterandotherbutterfats ,aswellasthe
needtomakecertainemergency deliveriesandensure
regularsuppliesunderthemostfavourable economic
conditions ,provision shouldbejnadeforthese
suppliestol>emadeeitherbytakingbutterorother
butu-rlats fromstocksheldbyintervention agenciesor
bybiiying-in butterorbutteroilontheCommunity
ni.iiUi;
Whereas ,inordertoenabletheaidtobeusedeffec­
tively,arrangements shouldbemadetofinance
certaintrans[>ortanddistribution costs;
Whereasthesuppliesmustbedelivered atthe
cheapestpossibleprice;whereasinordertoachieve
thataim,provisionshouldbemadtforatendering
procedure ;whereas,however,intheinterestsofspeed
itin.iyIH-desirableinexceptional casestouseprivate
contracts ;
Whereas itisdesirablethattherulesforimple­
mentingthemeasureslaiddownforbuying-in butter
(•)0|NoL148.28.6.1968.p.13.
(')OjNoL204,28.7.1978,p.6.
(')orbutteroilonthemarketshouldbeadoptedinaccor­
dancewiththeprocedure laiddowninArticle30of
Regulation (EEC)No804/68,asinthecaseofthe
rulestobeappliedwherepublicstocksareused.
HASADOPTED THISREGULATION :
Article/
Aquantityofbutterorbutteroilcorresponding to
45000tonnesofbutteroil shallbemadeavailable to
certaindeveloping countries andspecialized bodies
underthe••-food-aidprogramme .
ArMe2
1.ThebutterreferredtoillArticle Ishallbe
purchased inaccordance 4tithAhiclc!>(t)ofRegula­
tion(EEC)No804/68.ThebUttcroilreferredtoin
ArticleIshallbeprocessedfromthisbutler.
2.Ifthemarketsituation issuchChatdeliveryas
providedinArticleIcannotbecarriedoutinaccor­
dancewithparagraph I,thenthesupplyshallbe
ensuredbyusingbutterolbuttelfatsslvailnbleonthe
Community market.Buyihg-in shallbedoneinsuch
awayasnottodisturb Ihenormaldevelopment of
pricesonthemarket.
Arlide3
ForthepurposesofArticleI:
(a)thecostofthebutter(>rbutteroil.deliveredtothe
portofshipmentoraCorresponding stage,shallbe
financedbytheComthunity ;
(b)inexceptional cases,theCommunity mayalso
whollyorpartiallyfinanceOnadecisionofthe
Counciladoptedinaccordance witlitheprocedure
referredtoinArticle&:
transport– tothefrontierofthecountryand,
possibly,totheplacesofdestihation ,and
–distribution wherethegoodsart*distributed by
aspecialized body.
Arliile4
ThecostsreferredtoinArticle3(b)shall,wherethe
arrangements agreedwiththerecipientcountryor

38
OfficialJournaloftheEuropeanCommunities
Inxlysoprovide,hepaidwhollyorinpartata
lump-sum contribution tothecountryorbody
ofdestination bytheCommission .
ArtiiU5
WithoutprejudicetoArticle4,invitations totender
shallbeissuedfordeliveryoftheproduct,including
packing,labellingandforwarding totheportofship­
mentoracorresponding stage,and,whererelevant,
foritsforwarding beyondthatstage,saveinexcep­
tionalcaseswhereprivatecontractsmaybenegotiated .
Anide6
Thesumstobepaidtotheundertaking selectedshall
bedueonlyif:
(a)theundertaking satisfiestheconditions laiddown
intheinvitationtotenderortheprivatecontract;
and
(b)thequalifyandpackingofthedeliveredproducts
arefoundoninspection tocomplywiththerele­
vantCommunity provisions .N&L
Ji «
Provisionmaybemadeforpilrtoftuch (obe
paidinadvance .
Anide7
ThedecisiontoapplyArticle2(2)shallIK'IJkenand
theresultingprocedure forimplementing thatpara­
graphandArticle5shallbeadoptedinaccordance
withtheprocedurelaiddowntnArticle40otRegula­
tion (EEC )No804/68.
Artide8
Inecountries andbodiesforwhichthisaidis
destined ,togetherwiththequantitytobeallocatedlo
each,shallbedetermined bytheCouncilactingbya
qualifiedmajorityonaproposalfromtheCommis­
sion.
..Artide9
ThisRegulation shallenterintoforceonthethirdday
followingitspublication intheOfficialJournalof
theEuropeanCommunities .
ThisRegulation shallbebindinginitsentiretyanddirectlyapplicable inallMember
States.
DoneatBrussels,
FortheCouncil
ThePresident

39
NoL OfficialJournaloftheEuropeanCommunities
COUNCIL REGULATION (EEC)No
of
onthesupplyofmilkfatstocertaindeveloping countriesandspecialized bodies
underthe,food-aidprogramme
THF.COUNCIL OFTHEEUROPEAN
COMMUNITIES .
HavingregardtotheTreatyestablishing theEuropean
Economic Community ,
HavingregardtoCouncilRegulation (EKC)No
.-–layingdowngeneralrulesforthesupplyof
milkfats [tocertaindevelopingcountries
andspecialized bodiesunderthe food-aid
programme ('),andinparticular Articles3and8
thereof,
HavingregardtotheproposalfromtheCommission ,
WhereasRegulation (EEC)No providesfor
thesupplyofaquantityofbutterorbuttcroilcorres­
pondingto45000tonnesofbutteroiltocertaindeve­
lopingcountriesandspecialized bodies;whereasthis
quantityshouldbeallocatedamongthevariouscoun­
triesandorganizations fromwhichapplications havebeenacceptedandarrangements forfinancingshould
bespecified ;whereas....tonnesshouldbekeptas
acontingency reservefoffutureallocation ,
HASADOPTED THISREGULATION :
Artiiít/
Theallocationandfinancingarrangements inrespect
ofaquantityofmilkfatscorresponding to45000
tonnesofbutteroil underthe....food-aid
programme ,asprovidedforinRegulation (EEC)No
aresetoutintheAnnex.
Article2
ThisRegulation shallcnt'rrintoforceonthethirdday
followingitspublication intheOJJnnilJournalof
theEurohtan Commitmiiet .
ThisRegulation shallbebindingininentiretyanddirectlyapplicableinallMen*t>er
States.
DoneatBrussels,
ForthtCoHHlil
ThrPrtsiiUnt
V)**P»«*ofthisOfficialJoumiL

ANNEX
1982BUTTEROIL FOODAIDPROGRAMME
Recipient countries
andbodiesQuantities allocated
(tonnes)Arrangements
forfinancing
Countries
BANGLADESH 3,500 CIF
BURUNDI 50 freeatdestination
CAPEVERDE 250 CIF
COMOROS 100 CIF
DJIBOUTI 100 CIF
EGYPT 2,800 FOB
ETHIOPIA 1,000 CIF
GHANA 600 FOB
GUINEA-BISSAU 175 CIF
GUINEA tokenentry CIF
GUYANA 100 FOB
GRENADA 30 FOB
HONDURAS 600 FOB
INDIA 12,700 CIF
JAMAICA 200 FOB
LESOTHO 200 freeatdestination
LEBANON 1,000 FOB
MALI 200 freeatdestination
MAURITANIA 1,000 CIF
MOZAMBIQUE 200 CIF
NICARAGUA 200 FOB
PAKISTAN 2,000 FOB
PERU 500 FOB
PHILIPPINES 100 FOB
SAOTOME 100 CIF ·
SIERRA LEONE 200 CIF
SOMALIA 1,500 CIF
SRILANKA 100 FOB
SYRIA tokenentry FOB
TANZANIA 400 CIF
THAILAND tokenentry
ZAMBIA tokenentry freeatdestination
Bodies
ICRC 1,000 freeatdestination
LICROSS 500 freeatdestination
UNHCR tokenentry freeatdestination
UNRUA 3,900 freeatdestination
WFP 6,000 freeatdestination
ΝGOS 2,000 freeatdestination
Réserve 1,695
TOTAL 45,000

41
FINANCIAL RECORD
1.Onthebasisofthepriceestimates adoptedbytheBudget Authority atits
firstreadingofthe1982Budgetandtherectificativeletter/the
costofthe1982programmes canbesummarised as:
million EUA
CerealsMiIk
Powder Butteroi ITotal
Goodsatworldprices 143/5 132/7 101/7 377/9
Exportrefunds 88 79/7 89/7 257/4
Goodsatinternal
prices 231/5 212/4 191/4 635/3
Transport costs 37/5 21/4 7/7 66/6
Total 269 233/8 199/1 701/9
Quantities for.
delivery1.087.963T .150000T.45000T.«
2.Thecostoftheproposed programme,701,9million EUA,represents
.90%ofthetotalexpenditure ofthe1982foodaidbudget.
Theexpenditure undereachbudgetarticleisasfollows :

42
Million ECU
Article DescriptionThis
proposaiOther
actionsTotal
submission
920 Cerealsfoodaid 143,5 0,9 144,4
921 Milkproductsfoodaid234,4 2g,$ ^63*0
922 Sugarfoodaid - 2,8 2,g
923 Vegetable oilfoodaid- 5,0 5,0
924 Otherproducts foodaid- 5,0 5,0
925 Foodaidtransport 66,6 11/3 77,9
926 UNRWAConvention - 4,0 4,0
927 Otherfoodaidexpenses - 1,5 1,5
Titles 1and2Foodaidexportrefunds 257,4 23,7 281,1
Total(chapter 92)7ni,9 82,8 784,7
3.Asregardstheotheractionsnotcoveredbythisproposal,nogeneral
programme isenvisaged bytheCommission insugar,vegetable oiland
otherproducts becauseofthe
limitedquantities ,theywill •beusedforspecialadhocactions
during1982(exceptforthe6100tsugarforUNRWAwhichisthe
subjectofaseparateproposal.)Theremainingappropriations relate
tobalancesfordelivery fromprevious programmes and
exceptional controlexpenses .

43
I.1982CEREALS PROGRAMME
1.BUDGET HEADINGS CONCERNED
Title9,Article920,item9201 i
«
(cereals)!_„.,.„Forworldprice
item9203 !
(rice) I
Title1,Article1002item1001]
(cereals);_„ ,,„}Forexportrefunds
item10313
(rice))
2.TITLES OFBUDGET HEADINGS
Article 920:"Foodaidincereals:"
Article100:"Refundsinconnection withCommunity foodaid."
3.LEGALBASIS
FoodAidConvention 1980,and1981Protocol toextendit/budget1982.
4.DESCRIPTION OFTHEOPERATION
Theaimoftheoperation istosupply,during1982,1087.963t
ofcerealstocertaindeveloping countries andinternational agencies .
5.TYPEOFEXPENDITURE
Theexpenditure isintended tocoverthecostsofprocurement ,packaging
andtransport ofcerealstotheportofloading (anytransport costs
beyondthefobstagearecovered byArticle924ofthegeneralbudget
oftheCommunities .)
Thisexpenditure ischargedpartlytoBudgetArticle920("worldprice
ofthegoods")andpartlytoArticle100("exportrefunds").jFor"worldprice"
Forexportrefunds"

44
1
METHOD OFCALCULATION
1.Article 920:"Worldprice"
1087963^0fcereals:costcalculated atworldpricesasfollows:
(a)wheat(costchargedtoitem9201)
quantity fordelivery xworldprice
887963tx124,8EUA/t=110800000EUA
(b)huskedrice(costchargedtoitem9203)
100000tx327EUA/t=32700000EUA
Total 143500000EUA
2.Article 100:"Exportrefunds"
(a)item1001:wheat
887963tx83/ =74Q00000EUA
(13,35M.ECUSallocated forcommercial restitutions )
(b)item1031:rice
100000tx140 =1.4000000EUA
88000000EUA
Theestimated totalcostoftheoperation atinternal Community prices
(excluding transport costs)istherefore :
143500000EUA(for"worldprice")
88000000EUA(for"refunds")
231500000EUA(the-,amountrequired <forthedelivery of1087963tof
cerealstoEuropean ports)
Basedonth$(internal andworld)priceestimates adoptedbythe
BudgetAuthority .
2'1tofhuskedrice=2tofunprocessed cereals.

45
II.1982 MILK POWDER PROGRAMME
1.BUDGET HEADINGS CONCERNED
Title 9,article 921,item 9211 for"world price ",
Title 2,article 200,item 2001 for"refunds ".
2.TITLES OFBUDGET HEADINGS :
Article 921:"Food aidinmilk products :1982 programme "
Article 200:Refunds onskimmed-milk powder supplied under the
Community food-aid programme for the current financial
year."
3.LEGAL BASIS
Article 43ofthe EECTreaty and Regulation (EEC)No804/68of27June
1968 setting upacommon organization ofthe market inthemilk and
milk products sector .
4.DESCRIPTION OF THE OPERATION
The aimoftheoperation istosupply ,during 1982,150 000tof
skimmed-milk powder tocertain developing countries andinternational
agencies .
5.TYPE OFEXPENDITURE
The expenditure isintended tocover the costs ofprocurement of
skimmed-milk powder ,theaddition ofvitamins (Aand D),packaging
and carriage totheport ofloading (fob stage ).
This expenditure ischarged partly toBudget Article 921("world price "
ofthe goods +vitaminization +packaging +delivery tofob)andpartly
toArticle 200 ("export refunds ").

46
METHOD OF CALCULATION
1.Article 921
Item 9211
150 000tofskimmed-mi Ikpowder :cost calculated atworld price as
follows :
70000t(vitaminized )x920 EUA/t = 64400 000
80000t(not vitaminized )x854 EUA/t= 68300 000
Total 132 700 000
2.Article 928
Item_6201
150 000tx531 EUA/t = 79700 000
Thetotal cost oftheoperation atinternal Community prices (excluding
transport costs )istherefore :
132 700 000 EUA (for"world price ")
79700 000 EUA (for "refunds ")
212 400 000 EUA
1Based onthe (internal and world )price estimates adopted bythe
Budget Authority .

47
III.1982 BUTTEROIL PROGRAMME
1.BUDGET HEADINGS CONCERNED
Title 9,Article 921,item 9213 for"world price "
Title 2,Article 200-item 2003 for "refunds "
2.TITLES OF BUDGET HEADINGS
Article 921:"Food aidinmilk products :1982 butteroil programme ";
Article 200:"Refunds onbutteroil supplied under the Community food
aid programme forthecurrent financial year."
3.LEGAL BASIS
Article 43ofthe EECTreaty and Regulation (EEC)No.804/68of27June
1968 setting upacommon organization ofthe market inthemilk andmilk
production sector .
4.DESCRIPTION OF THE OPERATION
The aimoftheoperation istosupply ,during 1982,45000tofbutteroil
tocertain developing countries andinternational agencies .
5.TYPE OFEXPENDITURE
The expenditure isintended tocover the costs ofprocurement ,packaging
and carriage ofbutteroil .totheport ofloading (fob stage ).
This expenditure ischarged partly toBudget Article 921("world price "
ofthe goods +packaging +delivery tofob andpartly toArticle 200
("export refunds "). Anytransport costs beyond the fob stage are not
included inthis financial record .

48
1
METHOD OF CALCULATION
1.Article 921
Item 9213
45000tofbutteroil :cost calculated atworld price asfollows :
-Quantity fordelivery xworld price
45000tx2260 EUA/t= 101 700 000 EUA
2.Article 200
Item_2003
45000tx1993 EUA/t = 897OO 000 EUA
Thetotal cost oftheoperation atinternal Community prices (excluding
transport costs )istherefore :
101 700 000 EUA (for "world price )
89700 000 EUA (for "refunds ")
191 400 000 EUA
1Based onthe (internal and world )price estimates adopted bythe
Budget Authority for 1982 .

49
IV.TRANSPORT OF GOODS SUPPLIED AS FOOD AID
1.BUDGET HEADING CONCERNED
Title 9,Chapter 92,item 9251 .
2.TITLE OFBUDGET HEADING
"Food aidtransport costs ,programmes andoperations forthecurrent
year."
3.LEGAL BASIS
Same legal basis asfor each oftheproducts transported .
4.DESCRIPTION OFTHE OPERATION
The aimoftheoperation istotransport ,during 1982,approximately
thefollowing quantities beyond the fob stage :
750 000tofcereals
120 000tofmilk powder
35000tofbutteroil
Theprecise quantities tobetransported atthe Community 'sexpense
beyond the FOB stage cannot bedetermined inadvance ,since this depends
ontheallocations from the reserves tobedecided during the year .
5.TYPE OFEXPENDITURE
Theexpenditure isintended tocover the costs ofseatransport ofcertain
quantities offood aidtotheport ofunloading and,where appropriate ,
the cost oftransport ,delivery anddistribution beyond thecif stage
(free atdestination );itisalso intended tocover insurance andother
costs incurred inconnection with the carriage ofthe goods .

50
6.METHOD OFCALCULATION
Quantities transported beyond port ofLoading
Cereals :750 000 tx50EUA =37500 000
Milkpowder :120000 x178 EUA =21400 000
Butteroil :35000 tx220 EUA = 7700 000
66600 000
Transport costs would thus total approximately 10#ofthevalue of
thegoods calculated atinternal Community prices (660900 000 EUA).