5. 11. 90 Official Journal of the European Communities No C 277/1 
II 
(Preparatory Acts) 
COMMISSION 
Proposal for a Council Regulation (EEC) amending Regulation No 136/66/EEC on the 
establishment of a common organization of the market in oils and fats 
COM(90) 270 final 
(Submitted by the Commission on 25 July 1990) 
(90/C 277/01) 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European 
Economic Community, and in particular Articles 42 and 43 
thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Parliament, 
Having regard to the opinion of the Economic and Social 
Committee, 
Whereas a system of maximum guaranteed quantities has 
been introduced by Article 5(1) of Council Regulation 
No 136/66/EEC (a), as last amended by Regulation (EEC) 
No ..., for production aid; whereas under this system the 
unit amount of the aid is reduced when the maximum 
quantity fixed for a given marketing year is exceeded; 
whereas, in order to ensure better market equilibrium and 
to curb expenditure on the disposal of olive oil, this system 
should be extended to cover the intervention price; 
whereas, however, the intervention price should be reduced 
only from the following marketing year; whereas a limit to 
this price reduction should be fixed; 
Whereas the quantity of olive oil that producers may not 
exceed in order to benefit from special advantages to 
compensate for their small size should be revised; whereas 
a flat-rate amount of additional production aid should be 
granted to these producers to soften the impact of the 
decline in the market price which may result if the 
maximum guaranteed quantity is exceeded; 
Whereas, in the interests of sound management and in 
order to simplify the system of granting production aid, a 
distinction should be made between two categories of olive 
(!) OJ No 172, 30. 9. 1966, p. 3025/66. growers depending on whether or not they produce more 
than a given quantity of olive oil; whereas the unit amount 
of the aid should be fixed according to a flat fate for 
producers who do not exceed this quantity, 
HAS ADOPTED THIS REGULATION: 
Article 1 
Regulation No 136/66/EEC is hereby amended as follows: 
1. The following subparagraph is inserted after the first 
subparagraph of Article 4 (4): 
'If actual olive oil production during a marketing year 
exceeds the maximum guaranteed quantity fixed for 
that year, the intervention price for the following year 
shall be reduced by applying the coefficient referred to 
in the fourth subparagraph of Article 5 (1) under (b). 
However, the reduction may not exceed 3 % and it shall 
be effected by the Commission each year before the 
beginning of the period during which intervention 
buying is open.' 
2. In Article 5 (1), '400' is replaced by '500'. 
3. Article 5 (2) is replaced by the following: 
'2. The aid shall be granted: 
— to growers who produce at least 500 kilograms of 
olive oil in a given marketing year, on the basis of the 
quantity of olive oil actually produced, 
— to other growers, on the basis of the number and 
production potential of the olive trees which they 
grow and of the yields of those trees as fixed 
No C 277/2 Official Journal of the European Communities 5. 11. 90 
according to a flat rate and provided the olives 
produced have been pressed.' 
4. The following Article is inserted after Article 5: 
'Article 5a 
1. As from the 1991/1992 marketing year, for the 
duration of the period of application of the second 
subparagraph of Article 4 (4), additional production 
aid shall be granted to growers who produce 500 kilo­
grams per year or less. This aid shall amount to ECU 3 
per 100 kilograms. 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European 
Economic Community, 
Having regard to the Act of Accession of Spain and 
Portugal, and in particular Article 234 (3) thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Parliament, 
Whereas Article 249 of the Act of Accession provides for 
olive oil and oil cake to be subject to the supplementary 
trade mechanism (STM) on importation into Portugal; 
Whereas, within the framework of the STM, the Por­
tuguese market in these products has to a great extent been 
open since accession without any difficulties having arisen; 
Whereas the total opening up of the Portuguese market in 
vegetable oils and fats at the expiry of the standstill period 
and the introduction at the same date of aid for the 
consumption of olive oil in Portugal require the liberaliz­
ation of imports of olive oil and oil cakes from the other This aid shall be equal to the amount by which the 
intervention price has been reduced. 
2. If necessary, detailed rules for the application of 
this Article shall be adopted in accordance with the 
procedure laid down in Article 38.' 
Article 2 
This regulation shall enter into force on the third day 
following its publication in the Official Journal of the 
European Communities. 
This Regulation shall be binding in its entirety and directly 
applicable in all Member States. 
Member States into Portugal; whereas those products 
should therefore no longer be subject to the STM, 
HAS ADOPTED THIS REGULATION: 
Article 1 
The following products: 
— olive oil falling within CN codes 1509 and 1510 00, 
— oil cake falling within CN codes ex 2304 00 00, 
2305 00 00 and 2306, with the exception of CN codes ex 
2306 90 11 and 2306 90 19, 
are hereby removed from the list of products subject to the 
STM on importation into Portugal from the other Member 
States. 
Article 2 
This Regulation shall enter into force on 1 January 1991. 
This Regulation shall be binding in its entirety and directly 
applicable in all Member States. Proposal for a Council Regulation (EEC) removing olive oil and oil cake from the list of products 
subject to the STM in Portugal 
COM(90) 270 final 
(Submitted by the Commission on 25 July 1990) 
(90/C 277/02)