WRITTEN QUESTION E-3271/00

by Dominique Vlasto (PPE-DE) to the Commission

(20 October 2000)

Subject: Single price for books in Europe

During the last weekend of September 2000, a symposium on a single price for books in Europe was held in Strasbourg.

The symposium highlighted the numerous benefits of using such a system for the Member States and their positive impact on European cultural policy. Unfortunately, this principle has not yet been sanctioned by the Commission.

In view of the growing number of countries adopting this principle in various forms, should the Commission not give practical support to such a symbolic cultural initiative?

This practice is actually being called into question in fact since, although the Commission claims to respect national law, it is furthering its circumvention through safeguarding online bookshops and the freedom of commercial outlets opened up by the Internet.

What practical measures does the Commission plan to take to reconcile this variation on the principle of cultural exception and the principle of not obstructing the free movement of goods and services, and over what period of time?

How does the Commission explain the presence at the symposium of Mr Monti, the Commissioner responsible for competition, instead of Mrs Reding, the Commissioner responsible for cultural affairs?

Answer given by Mr Monti on behalf of the Commission

(29 November 2000)

There is no single view among Member States regarding the issue of book pricing, but there is a wide range of solutions. Even those Member States that form a homogeneous language area with another Member State are not all in favour of fixed prices for books. Within Member States, and even in publishing and the distributive sector, opinions as to the merits of the systems of fixed book prices remain divided.

Under these circumstances, it would seem justified to leave it to each Member State to accept or to lay down, in accordance with Community law, special book pricing arrangements.

National systems of fixed book prices may be based on national legislation or on agreements between firms or between publishers and booksellers. Different provisions of the EC Treaty will apply. Statutory systems need to be examined in the light of Article 28 (former Article 30), while agreements between firms need to be compatible with Article 81 (former Article 85). In both cases, the case law of the Court of Justice must, of course, be complied with.

As regards statutory systems, any Member State may adopt the relevant legislation provided that it is compatible with the principle of free movement of goods enshrined in the EC Treaty. This decision is a matter for the national authorities. In its judgment of 10 January 1985 in Leclerc (Case 229/83 [1985] ECR 1) concerning French legislation as it stood at the time, the Court of Justice ruled that, in the context of national legislation introducing a system of fixed book prices, the following constitute measures equivalent in effect to import restrictions prohibited by Article 30 (now Article 28) of the EC Treaty: provisions whereby the importer responsible for complying with the statutory requirement to deposit one copy of each imported book with the authorities, that is to say the principal distributor, is responsible for fixing the retail price and provisions requiring the retail price fixed by the publisher to be applied to books published in the Member State concerned and re-imported following exportation to another Member State, unless it is established that those books were exported for the sole purpose of re-importation in order to circumvent the legislation in question.

In its judgment of 3 October 2000 in Case C-9/99, the Court of Justice confirmed that Article 3(c) and (g) of the EC Treaty (now, after amendment, Article 3(c) and (g) EC), Articles 3a and 5 of the EC Treaty (now Articles 4 and 10 EC), the second paragraph of Article 7a of the EC Treaty (now, after amendment, the second paragraph of Article 14 EC) and Articles 102a and 103 of the EC Treaty (now Articles 98 and 99 EC) do not preclude the application of national legislation requiring publishers to impose on booksellers fixed prices for the resale of books.

The Commission takes the view that national systems of fixed book prices based on agreements between firms are compatible with the Community competition rules provided that they do not significantly affect trade between Member States. Article 81 does not apply in such situations.

Pursuant to Article 151(4) of the EC Treaty, the Community takes cultural aspects into account in its action under other provisions of the Treaty, in particular in order to respect and to promote the diversity of its cultures.

While not envisaging any practical measures, the Commission will ensure that, in all cases involving the application of the principles of free movement of goods and services and the rules of competition, any cultural aspects that arise will be taken into account.

As regards its presence at the symposium on a single price for books in Europe, organised by the French Presidency on 29 and 30 September in Strasbourg, the Commission was represented by senior officials from the Directorates-General for Competition and for Education and Culture.