ARCHIVES HISTORIQUES
DELACOMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (74)784
Vol.1974/0119

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COMMISSION OFTHEJ3UKOÏEAN COMMUNITIES
COM(74)784final
Brussels,5June1974
PROPOSAL FORA
REGULATION(EEC)OFTHECOUNCIL
on"thedistillation ofthe"by-productsofwinemaking
(submittedtotheCouncil "bytheCommission)
COM(74)784final

Incidencefinancière
Leprésentrèglementprévoit,quedanslecasoùlesorganismes
•d'intervention chargésdelacommercialisation del'alcooldeladistillation
dessous-produits delavinification sontobligésdelerevendreàunprix
inférieurauprixd'achat,ilestnécessairedeprendreenchargeladifférence
entreleprixd'achatetleprixdeventedanslecadredumontantmaximum,
parleFondseuropéend'orientationetdegarantieagricole,sectiongarantie,
sansquecetteparticipation exèdecettedifférence.
Lemontantmaximumdelaparticipation duFEOGAserafixéforfaitairement
etseracalculésurla"basedeladifférenceentreleprixd'achatetle
prixdevente.
pourlacampagne1974/75
EUégardàlasituationactuelledeprixcemontantestestiméo/comme
lemontantquiétaitfixépourlacampagne1973/74*
Decefaitonn'attendpasdedépensespourl'exercice1974»L'article692,poote
6920,du"budgetdesCommunautéseuropéennes entientcompte.
Budget Crédits
3.950.000Avances
1973
19742.642.000
P•!&#

EXPLANATORY MEMORANDUM
CouncilRegulation(EEC)No816/701of28April1970layingdown
additionalprovisionsforthecommonorganization ofthemarketinwine
includesvariousprovisionsaimedatimprovingthequalityofwines.One
ofthemostimportantoftheseistheoneforbiddingtheovei^-pressing of
marosandthepressingoflees.Toachievethis,Article24ofthisRegula­
tionobligesproducerstodistiltheby-productsofwinemaking.
ItisthetaskoftheCounciltofixthepricetobepaidbytheinter­
ventionagenciestotheproducersforthealcoholproducedinthisoperation.
Thispricemustguaranteetheproducerareturnequaltothatwhichhewould
normallyhaveobtainediftherewerenoobligationtodistil.Butthe
resultingbuying-inpricemaybetoohightoallowtheexistingintervention
agenciestomarketthisalcoholwithoutmakingaloss.Inprinciple,then,
acontribution fromtheGuaranteeSectionoftheEuropeanAgricultural
GuidanceandGuaranteeFund,providedforinArticle24,isnecessary.
Suchacontribution fromtheFundisallthemorejustifiedinthat
thisobligationreducesthequantityofwineavailableintheCommunityand
thereforediminishestheriskofintervention .Anestimateoftheresulting
costtakingintoaccountthepresentsituationofthealcoholmarketis
annexedtothisDraftRegulation.
TheaimofthisRegulationistolaydownthegeneralrulesconnected
withthisobligationandtoprovideforderogations ,beitforcertain
categoriesofproducers,orforproducersofoenocyanine ,orf°rwine-growing
regionswheretherearenodistilleries orwheretheby-productsofwinemaking
haveaverylowalcoholcontent.
ThedraftfollowsinprincipletheruleslaiddowninRegulation (ECC)
No1171/71whichexpireson31August1974*Experiencehasshownthatitis
necessarytolaydownmorespecificrulesasregardsthefinancingbytheEAGGF.
Thatiswhythedraftprovidesonlyforthefinancingoftheactuallosses
madebytheintervention agencies,uptoamaximumamounttobelaiddownby
theCouncil.
OJNoL99,5Fay1970,p.l

PROPOSE .'V03.A
REGULATION (EEC)ftpTIFCOUNCIL .
onthedistillation oftheby-productsofwinemaking
THECOUNCILOFTHEEUROPEANCOIITUIIITIEfS ,
HavingregardtotheTreatyestabljchingtheEuropeanEconomicCommunity,
HavingregardtoCouncilRegulation(FTJC)No816/70of28April1970
layingdownadditionalprovisionsforthecommonorganisationofthemarket
inwine,aslastamendedbyRegulation(EEC)No2592/73^,andinparticular
Article24(2)thereof;
HavingregardtotheproposalfromtheCommission,
Whereasthefixingofthepricetobepaidforalcoholdeliveredtointervention
agenciesforthedistillation ofthaby-productsofwinemakingandthemaximum
amountofthecontribution tobemalebytheGuaranteeSectionoftheEuropean
Agricultural GuidanceandGuaranteeF^ndtothecostsbornebythoseagencies
arebothcloselylinkedtothefixingoftheguideprice;whereasthereshould
thereforebethesameintervaland-timelimitforboththeseoperations ;
Whereastheintervention agenciesdesignatedbyMemberStatesmustbuyin
alcoholdeliveredtothemforthedistillation oftheby-products ofwinemaking
atapriceatwhichtheproducersubjecttotheobligationtodistilisnot
placedatadisadvantage inrelation ,totheproducerwhoisnotsubjecttothat
?obligation ;
Whereas,intheabsenceofanyorganisedmarketinethylalcoholatCommunity
level,theintervention agenciesresponsible .,formarketingthatalcoholrisk
havingtoresellitatapricelowerthanthebuying-inprice;whereasitis
necessarytoprovidethat,insuchcases,thedifferencebetweenthebuying-in
priceandthesellingpriceofthatalcoholcanbemet,withinthemaximum
amount,bytheGuranteeSectionoftheEuropeanAgricultural Guidanceand
GuaranteeFund,providedthatthecontribution doesnotexceedthedifference;
. •••/•••
(1)"O.J.NoL99»5May1970,p.1;
(2)O.J.NoL269,26September1973»P»1*

Whereasthethird,subparagraphofArticle24(2)ofRegulation(EEC)NO816/70
providesthattheobligationtodistilmay"bedischargedbytheproductionof
potablespirits;whereasthefirstsubparagraphofArticle24(2)ofthat
Regulation,moreover,permitsthedistillationofwineintheabsenceofgrape
marcorwinelees;whereas,undertheseconditions,itislogicaltoallowthe
productionofapotableospirit fromwineaswellasapotablespiritfrom
grapemarc;
Whereastheproductionofpotablespiritsmustreleasetheproducerfromthe
obligationtodeliveralcoholonlyinrespectofthequantityofalcoholcon­
tainedinthepotablespiritproduced;
Whereas,inordertopreventpotablespiritsofmediocrequalityfrombeing
produced,itisnecessary,intheabsenceofanyCommunitycriteriaonthe
subject,toprovidethatthepotablespiritsproducedshouldconformto
nationalprovisionsinforce;whereas,toensurethattheseareobserved,
previsionshouldbemadeforinspection ;
WhereasthefirstsubparagraphofArticle24(3)ofRegulation(EEC)No816/70
providesthatcertainproductionregionsmaybeexemptedfromtheobligation
todistiltheby-productsofwinemaking ;whereasinGermanyandLuxembourg
grapemarc3andwineleesgenerallycontainlittlealcoholandtheoosts
involvedinextractingitwouldbetoohigh;undertheseconditions,provision
shouldbemc.deforproducersintheseregionstobeexemptedfromtheobligation
todistiltheirgrapemarcsandwinelees,whileremainingsubjectneverthe­
lesstotheprovisionsofArticle24(l)ofthatRegulation;
WhereastheobligationunderthefirstsubparagraphofArticle24(2)isa
heavyonefortheindependentproducerwhomakesonlyasmallquantityofwine;
whereassuchobligationwouldinvolvehimintransportcostsforhisgrape
marcsandwineleesoutofallproportiontothereturnwhichhecouldexpect
fromthealcoholwhichmightbeextracted;whereassuchproducersshouldthere­
forealsobeexemptedfromtheobligationtodistilbutremainsubject,never­
theless,totheprovisionsofArticle24(l)ofthatRegulation;whereas,how­
ever,someofthesesmall-scaleproducersarealreadyinthehabitofdistilling
theirgrapemarcsandwineleesandwhereastheyshouldbeallowedtocontinue
inthispractice;whereastheyshouldthereforebeallowedtoforegoexemption
andbecometherebycomparableinallrespectstoproducerswhoarenotexempt;
wheraatjinordertopreventdeliveriesofalcoholtotheintervention agencies
fromberoniigtooirregular,anindependentproducershould,oncehehasfore­
goneexemption,undertaketocontinuetodoso,foraperiodofatleastthree
years; .../•••

Vhcreas produoers whodeliver their grape marcs forthemanufacture ofoenocya -
nine generally supply unfermented grape marcs ;whereas theprocesses towhich
these aresubjected inorder toextract theoenocyanine render them thereafter
unsuitable forfermentation anddistillation ;whereas such producer ?chculr 1tr >
exempt prorata fortheir production ofgrape marcs ;whereas anc::~ct c-1ul
tion isnotpossible ;whereas ,therefore ,provision should bemade forafixed
reduction inthegeneral rate ;
Whereas ,inaccordance withArticle 10(l)ofCouncil Regulation (EEC)No817/70(l)
of28April 1970 laying down special provisions forquality wines produced in
specified regions ,aslast amended byRegulation No2680/72(2),ayield per
hectare isfixed foreach ofthequality wines p.s.r .which facilitates obser­
vance oftheprohibition against thepressing ofwine lees andover-pressing
ofgrapes ;whereas ,moreover ,themarcs andlees ofcertain quality wines
p.s.r .contain little alcohol andwhereas itisuseful tobeable toapply a
reduced rate tothose products ;
Whereas theobligation under thefirst subparagraph ofArticle 24(2)isaheavy
oneforproducers situated insmall islands who donothave adequate transport
links attheir disposal ;whereas such obligation would involve them intransport •
costs forproducts subject totheobligation todistil which would exceed the
return ontheaicohol obtained ;whereas ,provision should therefore bemade
forproducers situated insmall islands tobeexempted from theobligation to
distil ,while nevertheless remaining subject totheprohibitions contained in
Article 24(l)ofthat Regulation ;
Whereas theprovisions concerning thefinancing ofintervention laid down in
Council Regulation (EEC)No729/70(3)of21April 1970 onthefinancing of
thecommon agricultural policy should beextended toapply also tothis measure ;
Whereas theperiod ofapplication ofthis Regulation should belimited sothat
future developments inthis field maybetaken into account ;
HAS :AD0PTED THIS REGULATION ;
(1)O.J. NoL99,5May1970 .p.1;
(2)O.J. NoL289 ,27December 1972 ,p.1;
(3)O.J. NoL94,28April 1970 ,p.13.

-4-
Article 1
1.Theprice to "bepaid toproducers foralcohol delivered tointervention
agencies andthemaximum amount ofthecontribution bytheGuarantee Section
oftheEuropean Agricultural Guidance andGuarantee Fund towards thecosts
devolving onthese agencies shall befixed annually before 1August forthe
?'..Llc– vine-growing year .
2.Tl.eprice mentioned intheprevious paragraph ishereinafter called the
"buying-in price ".
Article 2
1.Thebuying-in price shall befixed atalevel atwhich theproducer distil­
ling hisby-products ofwinemaking ,orhaving them distilled ,canbeassured
ofareturn oomparable tothat which hewould have hadifhehadnotbeen
subject totheobligation todistil .
2.Thebuying-in price shall befixed perhectolitre ofpure alcohol .Itshall
apply togoods ,free-at-d.istillery, loaded into ameans oftransport chosen
bytheintervention agency .
Theactual alcoholic strength oftheproducts obtained from thedistillation
oftheby-products ofwinemaking anddelivered totheintervention agency
may notbeless than 52°.
Article 3
Themaximum amount ofcontribution from theGuarantee Section oftheEuropean
Agricultural Guidance andGuarantee Fund shall befixed perhiofpure alcohol .
Article 4
1.Contribution from theGuarantee Section oftheEuropean Agricultural Guidance
andGuarantee Fund shall bepaid ,uptothemaximum amount laid down in
accordance with Article 1,only where ,during agiven budgetary year ,the
overall expenditure of'anintervention agency forthebuying-in ofalcohol is
greater than the income from such sales .
2.Intheevent that thedifference referred toinparagraph 1isless than the
maximum amount multiplied bythequantities sold ,thecontribution ofthe
EAGGF shall beequal tothat difference .
Article 5
1.Producers may ,inpartial ortotal discharge oftheobligation laid down in
thefirst subparagraph ofArticle 24(2)ofRegulation (EEC)NO816/70produce
orhave produced potable spirits ofgrape marcs orpotable spirits ofwine
from their ownproducts .
2.Thequantity ofalcohol ,expressed aspure alcohol ,contained inthepotable
spirits shall bededucted from thequantity ofalcohol which must bedelivered
pursuant tothefirst subparagraph ofArticle 24(2)ofRegulation (EEC)No8I6/7O.
3.Theproduction ofpotable spirits mayhave theeffect mentioned inparagraph 1
only if :

-5-
a)thequalityofthespiritobtainedconformstonationalprovisionson
thesubject;theproducerordistillershallsupplyproofthereofto
competentagency;
b)itiscarriedoutunderthesupervisionofthecanpetentauthority;the
producerandthedistillerarerequiredtopermitthatsupervisionat
anymomentduringdistillation .
Article6
Producerswhosewineyardsaresituatedinwine-growing zoneAorintheGerman
partofwine-growing zoneBshallnotbesubjecttotheobligationlaiddown
inthefirstsubparagraphofArticle24(2)ofRegulation(EEC)No816/70.
Article7
1.Independent producerswho,duringawine-growing year,donotmakemore
than50hectolitresofwine,shallnotbesubjecttotheobligationlaid
downinthefirstsubparagraphofArticle24(2)ofRegulation (EEC)No
816/70.
However,suchproducersmayforegothisexemption.Suchactionshallbind
themfortheperiodfromthedateonwhichsuchactionistakenuntilthe
validityofthisRegulationexpires.
2.Producerswhodelivertheirgrapemarcsforthemanufactureofoenocyanine' ;.
maybesubjecttoareducedrate.
3.Producersofcertainqualitywinesp.s.r.maybesubjecttoreducedrates
inrespectofthatpartoftheirharvestwhichcanqualifyforsuchdes­
cription.
Article8
ProducerssituatedintheItalianislandsexceptSicily,SardiniaandElba,
shallnotbesubjecttotheobligationlaiddowninthefirstsubparagraph
ofArticle24(2)ofRegulation(EEC)No8I6/7O.

-6-
Article9
Articles4and5ofRegulation (EEC)No729/70shallapplymutatismutandis
tocontribution fromtheGuaranteeSectionoftheEuropeanAgricultural
GuidanceandGuaranteeFund,providedforinthisRegulation.
Article10
TheprovisionsofthisRegulationshallapplytothe1974/1975»1975/76
and1976/1977wine-growingyears.
Article11
ThisRegulationshallenterintoforceonthethirddayfollowingitspubli­
cationintheOfficialJournaloftheEuropeanCommunities .
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicablein
allMemberStates.
DoneatBrussels, FortheCouncil
ThePrésident