PROPOSAL FOR A EUROPEAN PARLIAMENT AND COUNCIL DIRECTIVE ON CONSUMER PROTECTION IN THE INDICATION OF THE PRICES OF PRODUCTS OFFERED TO CONSUMERS
Date: 1995-07-12
Institutions: European Commission
Subjects: consumer information, national implementing measure, publishing of prices, selling price, trade regulations, unit price

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels,  12.07.1995 
COM(95)  276  final 

95/0148 (COD) 

PROPOSAL  FOR A EUROPEAN  PARLIAMENT  AND COUNCIL  DIRECTIVE 
ON  CONSUMER  PROTECTION  IN THE INDICATION  OF THE PRICES OF 
PRODUCTS  OFFERED  TO CONSUMERS 

(presented by the Commission) 

PROPOSAL  FOR  A  EUROPEAN  PARLIAMENT  AND  COUNCIL  DIRECTIVE 
ON  CONSUMER  PROTECTION  IN THE INDICATION  OF  THE  PRICES  OF 
PRODUCTS  OFFERED  TO  CONSUMERS 

EXPLANATORY  MEMORANDUM 

A. 

INTRODUCTION 

1 

The  Community  programmes  for  a consumer  protection  and  information  policy1 
have defined  the general objectives and principles of consumer policy. Hence the 
preliminary  1975 programme proposed  a number  of priority  measures,  including 
the  elaboration  of  common  principles  concerning  the  indication  of  prices  and, 
possibly,  indication  of  the price per unit  of  weight  or  volume.  The  second  1981 
programme also emphasised  the importance of informing  consumers about  prices 
through improving the rules relating to the indication of prices, including price per 
unit  of  measurement. 

2 

In this  domain  the  Council  has  adopted: 

Directive  79/581/EEC  of  19  June  1979  as  amended  by  Directive 
88/315/EEC  of  7  June  1988  concerning  the  indication  of  the  prices  of 
foodstuffs2  and 

- 

Directive  88/314/EEC  of  7  June  1988  on  consumer  protection  in  the 
indication  of  the prices of non-food  products3. 

B. 

3 

THE  CURRENT  MECHANISM  FOR INDICATING  PRICES 

The  above-mentioned  Directives  lay  down  a  general  obligation  to  indicate  the 
selling  price  and  the  price  per  unit  of  measurement  of  foodstuffs  and  non-food 
products  sold  in  bulk,  as well  as products  pre-packaged  in variable  quantities. 

The  obligations  deriving  from  the two  1988 Directives  entered  into  effect  in the 
Member  States  on  7 June  1990. 

OJ No  C  92, 25.4.1975, p. 2  and  OJ No  C  133, 3.6.1981, p. 2 
OJ No  L  158, 26.6.1979, p.  19 and OJ No L  142, 7.6.1988,  p. 23. 
O J N oL  142, 7.6.1988,  p.  19 

As  regards  products  pre-packaged  in  pre-established  quantities,  the  mechanism 
established  by  these  Directives  has proven  very  complex: 

Firstly,  there  is  in  principle  a  general  obligation  to  indicate  the  unit  price  for 
products  pre-packaged  in  pre-established  quantities  listed  in  the  Annexes  to  the 
Directives. 

Secondly,  there  are  exceptions  which  seriously  compromise  this principle. 

If these products are sold to the final consumer in standardised Community ranges, 
the  Member  States  have  to  exempt  certain  categories  from  the  obligation  to 
indicate  the  unit  price. 

For certain other categories Member  States may grant exemptions if they so wish. 

In  applying  this  mechanism,  the  Directives  stipulate  a  transitional  period  which 
expires  on  7 June  1995. 

Finally,  in  the  case  of  categories  of  products  pre-packaged  in  pre-established 
quantities which are not listed in the Annexes to the Directives, the Member  States 
are  free  to  decide  whether  the  unit price  must  be  indicated  or  not. 

In  addition  to  the  specific  exemptions  to  indicating  the  unit  price  set  out  in  the 
Directives,  Member  States may  grant  exemptions  in two  other  cases: 

- 

- 

when  indication  of the  unit  price  would  be  meaningless  and 

in the case of products  sold by small retail businesses and handed  directly 
by  the  seller  to  the  purchaser,  when  the  obligation  is  considered  to 
constitute  an  excessive  burden  for  such  businesses  or  appears  to  be 
impracticable owing to the conditions peculiar to certain forms  of trading. 

A  brief  historical  overview  should  give  a  better  picture  of  how  the  current 
mechanism  developed. 

- 

In  1979 the principle of mandatory  indication of the selling price and  unit 
price  was  introduced  for  foodstuffs. 

Member  States could  in certain  cases waive the  obligation  to  indicate  the 
unit  price,  when  the  products  are  prepackaged  in  certain  pre-established 
quantities,  or  sold  in bulk  or  per  item. 

At  any  rate,  the  most  important  part  of  the  mechanism  was  suspended 
pending  a  decision  to  be  taken  by  the  Council  in  1983  in  regard  to  the 
ranges. 

Pending  this  decision,  the  national  measures  were  allowed  to  remain  in 
force. 

- 

- 

- 

In  1981 the  obligation  to  indicate the  selling  price  entered  into  force  for 
foodstuffs. 

In  1988  the  obligation  to  indicate  the  selling  price  was  extended  to  non 
food  products  and  at  the  same  time  the  link  between  the  unit  price  and 
ranges  was  spelled  out  more  clearly.  Ranges  for  certain  products  were 
annexed,  in respect of which the right to exemption from  indication of the 
unit  price  is  established  on  expiry  of  a  new  transitional  period,  ending 
7  June  1995. 

In  1990,  indication  of the  selling  price  became  mandatory  for  foodstuffs 
and  non-food  products  sold  in  bulk,  unless  the  Member  States  prefer 
indication  of  the  price  per  item,  and  for  pre-packaged  products  sold  in 
variable  quantities  (such  as  fresh  foodstuffs). 

The  evaluation  we  can  make  today  of the  measure's  effectiveness  is not  all  that 
positive: 
For  one  thing,  because  the  stratification  of  the  relevant  texts  has  worked  to  the 
detriment  of  the  objectives:  sixteen  years  after  the  appearance  of  the  first  text, 
price  information  availability  is  still  not  satisfactory. 
For another,  because the situation in the Member  States, now that the  transitional 
period  is  coming  to  an  end,  suggests  that  the  mechanism  initiated  in  1979  and 
extended  in  1988 is no  longer  adapted  to  current  circumstances. 
Although  all  Member  States  have  communicated  the  texts  transposing  the 
Directives  and  have  established  a mechanism  concerning  the  indication  of  prices 
for  foodstuffs  and non-food  products,  some have been awaiting  the expiry  of the 
transitional  period  to  implement  the  mandatory  indications  or  exemptions. 
While  all  Member  States have  satisfactorily  transposed  the  obligation  to  indicate 
the  selling  price,  it  seems that the  situation  as regards  the unit  price  is less  rosy, 
because  of the  importance  certain  Member  States attach to the standardization  of 
packages. 

The current mechanism presupposed that a policy in favour  of ranges might be an 
alternative  to  indicating  the  unit  price,  provided  comparison  of  the  prices  of 
products  is  also  facilitated. 

This view is no longer tenable, because of the profound  changes which have taken 
place  in  the  meantime  both  in  production  methods  and  in  distribution  channels, 
and because making such a connection would constitute an unreasonable brake on 
innovation. 

Several  countries  have  indicated  potential  difficulties 
in  implementing  the 
mechanism as of 7 June  1995. Basically, these difficulties  concern the application 
of  exemptions  from  indicating  the  unit  price,  because  economic  circumstances 
have  changed  considerably  in the past  15 years. 

C. 

THE  NEED  FOR  A  NEW  MECHANISM 

9 

The  current  rules  have  to  be  revised  for  two  reasons:  to  improve  consumer 
information  and  to  ensure  that  they  are  consonant  with  the  principle  of 
subsidiarity.  This revision should make it possible to simplify  the mechanism  and 
make  the  relevant  law  more  effective. 

I. 

Consumer  information 

10 

The right to information has long been recognised as being a basic consumer right, 
as the Court  of Justice held in the  "GB-INNO-BM" judgment  (Case  362/88)  of 7 
March  1990. 

Hence  the  great  importance  of  the  Community's  chosen  instrument,  in  (a) 
guaranteeing  the  necessary  degree  of  market  transparency  and  (b)  giving 
consumers the means and information  to make a genuine choice between  different 
products. 

It is unlikely that the simplification  exercise will have the effect  of watering  down 
consumers'  rights,  given that  consumers'  right  to  information  was reaffirmed  by 
the  introduction  in  the  Treaty  on European  Union  of  a new  Article  129a,  which 
spells  out  this  fundamental  right. 

At  its  meeting  of  5  April  1993,  the  Consumer  Affairs  Council  invited  the 
Commission to study a certain number of questions and to present  its conclusions 
to  the  Council.  It  noted  that  the  Commission  should  bear  in  mind  that  labelling 
had  to  be  transparent,  i.e.  allow  consumers  to  compare  the  quality  and  price  of 
different  products  belonging  to the  same product  family. 

11 

Because  of  the  complexity  of  the  current  mechanism,  consumers  lack  this 
transparent information  on prices. In particular, the effect  of exempting  indication 
of the unit price  for  products marketed  in pre-packaged  quantities  in  Community 
ranges  is  that  consumers  find  it  impossible  to  compare  the  prices  of  similar 
products  easily,  because the unit price may  be  indicated  in  some cases but  not  in 
others.  For  example: 

- 

- 

in  the  case  of  ice-cream,  the  price  per  litre  must  be  indicated  if  the 
quantity  is 250  g but  not  if  it  is  300  g; 

in the  case  of preserved  fruit  or  vegetables  in  cans or  glass jars  the  price 
per kg or litre must be indicated for quantities of 250 g, 500 g or 0.5  1, but 
not  if the  can  or jar  has  a capacity  of  156, 212, 314, 370, 425, 580... ml; 

Such  situations  result  from  the  law  in  force,  which  provides  for  a  close  link 
between  the  standardisation  of  packaging  and  price  indication. 

In  its resolution  of  7 June  19884, the  Council  called  for  a review  of the  ranges. 

Council  Resolution  of  7  June  1988  on  consumer  protection  in  the  indication  of  the  prices of 

5 

The  objective  of  this  resolution,  viz.  to  lay  down  simple  and  easily  comparable 
ranges in the context of standardising pre-packaging ranges, so as to make it easier 
for  the consumer  to  compare prices, and then to replace the  obligation to  display 
the  unit  price  by  such  standardization,  has not  been  achieved. 

The  fact  that  the  ranges  already  existed  prior  to the  above-mentioned  resolution 
motivated producers and distributors to invest in rationalising their  supply chains. 
The  upshot  was that  is now  more  difficult  to  simplify  existing  ranges  as  desired 
by the  Council, and  as the work  done in recent  years to this end has also  shown. 

While one may argue that the ranges still have a useful  function,  for example with 
an eye to fair trade or environmental protection, nonetheless, in the context of this 
exercise, the Commission considers that, in view of the complexity of the existing 
mechanism  and seeing that there is no way of achieving the objectives  established 
by  the  Council  in  1988, the  only  way  to  simplify  the  existing  system  is to  sever 
the link that  has been  created  between  indication  of the unit price  and the  ranges 
of  pre-packaged  quantities. 

Price  transparency  is  also  crucial  with  an  eye  to  the  Economic  and  Monetary 
Union envisaged  in the Treaty. In the light of Phase III and the introduction of the 
ECU as the single currency, it is absolutely essential for consumers to have simple 
yardsticks  for  comparing  prices, both between  products  and  also when  switching 
from  the  old  to  the  new  reference  currency.  Hence  transparency  rules  must  be 
significantly  improved  and  enforced  in  good  time  for  the transition  to  the  single 
currency. 

Subsidiarity 

In  the  context  of  monitoring  the  implementation  of  the  mechanism  adopted  in 
1988,  the  Commission  observed  that  several  Member  States  were  at  odds  as  to 
how  transpose  Directives  88/314/EEC  and  88/315/EEC  into their  domestic  legal 
order.  The  questions  raised  at  the  time  mainly  concerned  the  part  of  the 
mechanism concerning the unit price, because of their freedom  to choose between 
Community  and  national  ranges  in the  case  of  pre-packaged  products. 

Nonetheless,  and  taking  account  of the  relatively  long  transitional  period  (seven 
years),  Member  States  tended  to  await  the  end  of  this transitional  period  before 
laying  down  the  detailed  rules. 

Thus,  as  the  deadline  approached  the  difficulties  became  more  obvious.  These 
difficulties  have  grown  because  of  intervening  changes  in  marketing  methods. 

The  Commission  drew attention to  this situation  in its first report  to the  Council 
in November  1993 on the adaptation of Community  legislation to the  subsidiarity 
principle  (COM(93)  545  final  of  24.11.93). 

12 

II. 

13 

foodstuffs  and non-food  products (OJ No C 153, 11.6.1988, p. 1). 

6 

In  this  report  the  Commission  mentioned  the  case  of  the  three  Directives  on 
consumer  protection  in  the  indication  of  the  prices  of  foodstuffs  and  non-food 
products  and  drew  attention  to  the  difficulties  that  had  cropped  up.  The  report 
mentions that  experience  in applying these price indication  Directives  shows that 
the  mechanism  as  it  stands  is very  complex  and  deficient  and  at  all  events  goes 
into too  much  detail.  Consequently,  the  Commission  proposed  revising  the  three 
above-mentioned  texts, with  a view to  simplifying  them. 

14 

The  analysis  also  showed  the  need  to  take  into  account  the  situation  in  the 
Member  States in regard  to  consumption  patterns, commercial  usage, purchasing 
power  and  the  commercial  distribution  system,  which  are  quite  heterogenous. 
Moreover,  the  Member  States have  considerable  grass-roots  experience  with  the 
indication  of  prices,  partly  as a  result  of  implementing  Community  rules  in  this 
domain,  and this experience  should be put to good use  if the law is to be  applied 
effectively. 

15 

Hence  simplified  rules  are  imperative  for  a number  of  distinct  reasons: 

- 

- 

- 

- 

- 

production  and marketing  methods have developed  apace,  something  that 
to  be taken  into  account; 

since Member  States may experience difficulties  in identifying  the product 
or product lines for which the unit price must be indicated, the mechanism 
must  be  made  a lot  simpler  if  it  is to  be  really  effective; 

the host of exemptions concerning prepackaged ranges, both at Community 
or  national 
level,  has  made  the  mechanism  superfluous,  while  its 
application  at national  level  has become very  confusing  for  the  economic 
operators; 

the  freedom  to  exempt  certain  businesses  has  been  a bone  of  contention; 
hence  it was necessary  to  clarify  the  objectives; 

all Member  States are very  keen on optimal  price  information,  and  so the 
utility of easy price comparisons in all circumstances has to be  reaffirmed. 

16 

Since  the  simplification  exercise  cannot  mean  lowering  the  level  of  consumer 
protection, it is necessary to reaffirm  the importance of indicating the selling price 
and  the  unit  price,  which  in the vast  majority  of  cases remains  indispensable. 

Furthermore,  experience  gained  in the  Member  States which  have  already  opted 
for  a high  level  of  consumer  protection  with regard  to product  price  information 
shows that introducing the obligation to indicate both the selling price and the unit 
price -  where the latter  is meaningful  -  is the simplest and most effective  way  of 
enabling  consumers  to  compare  prices. 

Hence  we  have  opted  for  this  solution  so  that  the  Community  will  be  able  to 
propose  an  equally  high  level  of  consumer  protection  in  all  Member  States, 

ensuring a homogenous level of consumer information; this justifies  a Community 
initiative. 

For their part the Member  States will still be fully  entitled to waive the obligation 
to  indicate  the  unit  price  when  this  does  not  provide  useful  information  to 
consumers.  Likewise  they  will  be  free  to  take  into  account  the  difficulties  small 
retail  businesses  may  have  in  adapting. 

D. 

ECONOMIC  IMPACT 

17 

Simplification  is impossible  without reviewing  the overall  picture. The  proposals 
have  to  accommodate  all the interests  concerned.  Simplification  is a good  thing 
for  everyone -  both for consumers and for business, who want the easiest possible 
regime. 

There is no gainsaying that improving transparency and consumer information  will 
impose  certain  costs  on business,  but  on the  other  hand  there  are  benefits  in  the 
long  haul.  While  consumers  will  reap  the  fruits  straight  away,  or  at  least  in  the 
medium  term, the business  community  also  stands to  gain  considerably  from  the 
proposed  simplification,  partly  in regard  to the  management  of price  marking. 

18 

In  order  to  pinpoint  the  exact  scope  of  the  simplification  exercise,  very  wide-
ranging consultations were organized during the past year, involving experts  from 
the  Member  States  and  the  economic  operators  concerned. 

From  these  consultations  it  emerges  that  consumer  representatives  are  the  only 
group  unreservedly  in  favour  of  a blanket  obligation  to  indicate  the  unit  price. 

Some  of  those  consulted  had  certain  reservations  regarding  the  more  systematic 
obligation  to  indicate  the  unit  price  in  order  to  facilitate  comparisons. 

Some sectors of industry emphasise the large investments made in rationalising the 
presentation  of  products,  while  others  are  very  keen  on  greater  freedom  in  this 
domain. 

The  distributive  trades  are  equally  divided.  Aware  that  the  big  distributors  are 
increasingly  opting  for  unit  prices,  some  fear  excessive  burdens  on  certain 
businesses  that  cannot  yet  afford  it. 

19 

The  reservations  expressed  by  certain  sectors of industry  might  seem  groundless, 
in  so  far  as the  cost  of  indicating  prices  falls  on the  distributor. 

But what really worries the business community is the perpetuation of standardised 
ranges  in their  current  shape  both  at  Community  and  national  level.  The  current 
mechanism  provides  for  a close  link between ranges and unit prices. And  indeed 
most  parties  involved  agree  that the ranges have  an independent  raison  d'etre  in 
terms of  lower  production  costs and the free  movement  of products  - and  indeed 
with  an  eye to  protecting  the  environment. 

20 

Other objections relate to the supplementary  costs which the new mechanism  will 
impose  on the  distributive  trades. 

Most European distributors equipped with optical scanners normally indicate their 
prices  by  shelf  labelling.  Stores that  have  not  yet  introduced  scanners  label  their 
products  individually. 

Dispensing  with individual  price tags on each product  can result  in savings of  an 
estimated  0.5%  -  1%  in  terms  of  turnover.  However  some  stores  label  items 
individually  for  marketing  reasons,  despite  using  bar  codes. 

A  study  sponsored  by the Commission  indicates that  in recent  years  a very  large 
percentage of large and medium-sized  European retail businesses have  introduced 
bar  code  scanners  of  varying  degrees  of  sophistication. 

Although  this  new  technology  is  designed  to  improve  management  in  the 
distributive trades (by enhancing productivity, knowledge of the market and trade 
relations),  it  may  also  benefit  the  consumer  (less  time  wasted  at  the  checkout 
counter,  more  detailed  vouchers,  fewer  coding  errors, etc.). 

At  any  rate,  this  system  makes  price  indication  easier,  since  it  is  possible  to 
identify  and  indicate the unit price in addition  to the selling price (currently  only 
the latter is mandatory). The associated costs are trivial, especially if the labels are 
affixed  to the  gondolas.  Indeed,  introduction  of the  unit price  should  not  impose 
significant  costs because  as a rule  it is enough to  make minor  adjustments  to  the 
software  used  for  marking  the  selling  price. 

On  the  other  hand,  the  labour  costs of  affixing  and  checking  labels  on  gondolas 
are much the same, whether  the labels bear the selling price alone or also  include 
the  unit  price. 

Finally, the  sector  is highly  innovative  and new generations of  high-performance 
scanners  will  very  likely  soon  be  on the  market. 

21 

Moreover,  recent  surveys  indicate  that: 

1. 

2. 

Except  for  Greece  (where  bar  code  scanning  is  still  in  its  infancy)  and 
Germany,  most  large  and  medium-sized  distributors  already  indicate  unit 
prices  or  intend  to  do so. 

The  remainder  are  currently  investigating  this  possibility,  mainly  for 
commercial  reasons. 

Certainly  the potential  indirect  savings resulting  from  applying  unit prices  across 
the  board  should  be  borne  in  mind.  It  goes  without  saying  that  the  current 
difficulties  in  determining  the  products  to  which  the  obligation  applies  makes 
indication  more costly than applying a uniform  rule for  an entire  shelf or product 
line. 

Nonetheless some Member  States may consider that certain small retail businesses 
might  find  it hard  to  adjust  in  time.  The  possibility  of  granting  them  up  to  four 
years'  grace  should  help them  overcome  problems  of this  nature. 

It  is also  with  a view to  facilitating  adaptation,  notably  through  the  exchange  of 
information  on methods, that  an evaluation  report  on the  situation  of  small  retail 
businesses will be presented by the Commission two years before the expiry of the 
extension  period. 

E. 

22 

THE  NEW  MECHANISM  PROPOSED 

Hence  the  twin  objective  of  the  new  mechanism  is  improvement  of  consumer 
protection  and  simplification.  Very  wide-ranging  consultations  have  been 
organised,  from  which  certain  strands  have  emerged: 

- 

- 

- 

- 

The  existing  law  must  be  made  more  effective  by  simplifying  it: 
Nobody  is happy with a mechanism  which is so complicated  that the  vast 
majority  of consumers and economic operators cannot understand or apply 
it.  A  certain  number  of  Member  States  have  emphasised  this  point  and 
stressed  the  need  for  simplification. 

The  simplification  exercise  allows 
to  propose  a 
homogenous  level  of  consumer  price  information,  hence  supporting 
national  policies.  Thus  the  proposal  provides  a  common  denominator  in 
relation  to  the  objective  to  be  achieved. 

the  Community 

The  link  between  consumer  information  and  the  policy  of  promoting  the 
standardisation  of  product  packages  should  be  severed: 
Consumers'  rights  to  information  pursuant  to  Article  129a  of  the  Treaty 
must no longer be compromised by the complexity  of the existing  system, 
and  price  transparency  must  be  recognised  as a priority  objective 

There  is  an  urgent  need  for  a comprehensive  solution: 
The approaching  expiry of the transitional  period  envisaged  in the  current 
mechanism has often  been invoked. Hence the need to propose a  modified 
mechanism to ensure legal certainty for all parties, without interfering  with 
the  Community  decision-making  process. 

23 

To accommodate these concerns, the Commission on 5 December  1994 presented 
a  proposal  for  a  European  Parliament  and  Council  Directive  amending  Council 
Directive  79/5 81/EEC  on  consumer  protection  in  the  indication  of  the  prices  of 
products offered  to consumers, as amended by Council Directive  88/315/EEC and 
Council  Directive  88/314/EEC  on  consumer  protection  in  the  indication  of  the 
prices  of  non-food  products -  COM(94)431  final. 

The  new  proposal,  amended  after  the  first  reading  under  Article  189b  of  the 
Treaty, provides for  extending the transitional period under the current regime by 
two  years,  after  which  the new  simplified  mechanism  should  enter  into  force. 

10 

The  point  is to  ensure  the  existing  mechanism's  legal  certainty  and  to  provide  a 
reasonable  time  for  establishing  the  new,  simplified  mechanism. 

This  "carry-over"  proposal  is  currently  being  examined  by  the  European 
Parliament  and  the  Council. 

24 

The legal basis for the proposed  simplified  system is Article  129a(2). By  severing 
the  existing  link  between  the  Directives  on  the  indication  of  unit  prices  and  the 
Community mechanism governing ranges of pre-packaged products -  whose main 
purpose is to ensure the free movement of the goods concerned within the internal 
market  -  the policy  on  indication  of  the  unit price  will  henceforth  belong  in  the 
context of  "specific  action which supports and supplements the policy pursued by 
the  Member  States  to  protect  the  health,  safety  and  economic  interests  of 
consumers  and to provide adequate  information  to consumers" as provided  for  in 
paragraph  1(b)  of  Article  129a. 

25 

In  order  to  comply  with  the  desired  objective,  namely  to  improve  consumer 
information  on  product  prices,  the  Commission  envisages  the  preparation  of  a 
report which will be submitted to the institutions not later than four years after  the 
entry  into  effect  of  the provisions  adopted  under  this  Directive. 

This  report  will  survey  the  measures  adopted  by  the  Member  States  in 
implementing  the  Directive,  notably  those  provided  for  in  Article  6.  Hence  the 
objective  is to  identify  the respective  contributions of the Member  States and the 
Community  in  improving  consumer  price  information. 

26 

Two years before this global report an intermediate report will be presented which 
will  focus  more  specifically  on  the  measures  adopted  by  the  Member  States  in 
adapting the mechanism to small retail businesses, which will have benefited  from 
an  extension  in  regard  to  the  obligation  to  indicate  the  unit  price. 

Pursuing its aim of improving consumer information, the Commission will present 
this  initial  interim  report  with  a view  to  analysing  the  opportunities  available  to 
small retailers in the light of technological  change and to evaluating  in what way 
the  sector  will  be  associated  with the  introduction  of the  single  currency. 

F. 

27 

CONTENT  OF  THE  PROPOSAL  SUBMITTED 

The content  of  the simplified  mechanism. 

Article  1 

Article  1 sets out the scope of the Directive and enshrines the general principle of 
indicating  the  selling  price  and  unit  price  with  a  view  to  informing  consumers, 
both  in  regard  to  foodstuffs  and  non-food  products.  The  scope  is  intentionally 
restricted to cases where price comparison is relevant, so that the measure will not 
go  beyond  what  is necessary.  There  are  in  fact  a  number  of  situations  in  which 

11 

price  comparison  does  not  provide  any  relevant  information  to  the  consumer, 
notably  where products have very  different  characteristics  or where they relate to 
differentiated  consumer  needs. 

This is for example the case with custom products, garments, motor cars,  furniture 
and  all  products  where  indication  of  measurement,  be  it  weight,  length  or  any 
other quantity, does not provide useful  information  for price comparison purposes. 

The  obligation  to  display  prices  is  incumbent  on  sellers  offering  wares  to  the 
public,  in other words the final consumer, a natural person who is not purchasing 
in  the  course  of  business.  Thus  the  rules  on  price  indication  do  not  apply  to 
dealings  between  suppliers  and  retailers. 

Article  2 

Article  2 contains the definitions  relevant to the Directive.  They  are partly  based 
on  existing  Directives  on the  indication  of  prices.  The  wording  has been  altered 
to  take  into  account  certain  products  which  are  normally  sold  in  different 
quantities than the values of the base quantity. Member  States may decide that the 
unit  price  be  indicated  by  reference  to  such  a  quantity.  Such  choices  obviously 
have  to  be  justified. 

Article  3 

Article  3 sets out the principles, viz. the obligation to indicate both the unit price 
and  the  selling  price. 

For  bulk  products,  only  the  unit  price  must  be  indicated,  since  the  selling  price 
cannot  be  established  until  the  final  consumer  says how  much  he  wants. 

Article  4 

Article  4 deals  with  the  requirements  which  must  be  complied  with  in  regard  to 
price  indications.  The  objective  here  is  to  ensure  that  the  information  is  really 
communicated. 

Article  5 

Article  5 provides that  it  is for  the Member  States to  lay down the  specific  rules 
concerning  labelling and marking, because this has to be done taking  commercial 
practices  into account.  Hence Member  States may  specify  the cases in which  it is 
necessary  to  label the  price  of  each product  individually  and those  in which  it  is 
enough  to  put  a price  label  on the  shelf. 

Similarly  it is with an eye to effectiveness  that the Member  States will be required 
to  specify  the  cases  in which  choice  of  the unit  of  measurement  must  relate  to  a 
different  quantity  than the  weights  or measures  enumerated  in  Article  2(b). 

Article  6 

12 

Article  6  sets  out  the  role  of  the  Member  States  in  selecting  exemptions  for  a 
certain  number  of  products  for  which  indication  of  the  unit  price  would  not  be 
useful  in terms of consumer information.  The wording is such as not to restrict the 
broad  scope  of  the  mechanism  and  also  to  provide  the  Member  States  with  the 
general  criteria  for  determining  the reach  of  the  exemptions. 

In  the  case  of  non-food  products,  there  is  clearly  a  large  variety  of  articles  in 
respect of which the unit price is not significant.  Member  States are therefore  free 
to  lay  down  a  positive  list  of  products  covered  instead  of  a  negative  list  of 
exemptions,  which  would  take  longer  to  finalise,  with  a  view  to  managing  the 
mechanism  more  readily. 

Article  7 

Article  7 allows Member  States to  extend,  if necessary,  the period  of  exemption 
from  the  obligation  to  indicate  the unit price  by a maximum  of  four  years  in the 
case  of  certain  small  retail  businesses.  A  total  period  of  six  years  should  be 
enough  to  allow  all  retailers  to  comply  with  the  general  objective  of  informing 
consumers. 

Article  8 

Article  8 concerns enforcement  of the rules by the Member  States, particularly  in 
the  form  of  sanctions. 

Article  9 

Article  9 provides  for  the  repeal  of the  existing  mechanism  on the  expiry  of  the 
transitional period on 7 June  1997 and the implementation  of the new mechanism 
mentioned  in the  following  article. 

Article  10 

Article  10  specifies  the  relevant  dates  for  the  implementation  of  the  new 
mechanism. It specifies that Member  States shall notify  any exemptions they have 
introduced. 

Article  11 

Article  11  provides  that  the  Commission  will  monitor  implementation  of  the 
mechanism  and  present  a  report  to  Parliament  and  Council  not  later  than  four 
years  after  the  deadline  for  transposition. 

This report will be preceded two years earlier by an interim report concerning the 
adaptation  conditions  for  small  retail  businesses,  depending  on the  options  taken 
up  by  the  Member  States  pursuant  to  Article  7  and  the  notifications  received 
pursuant  to  Article  10(3). 

Article  12 

13 

Article  12  is  the  traditional  reference  for  instruments  adopted  by  the  European 
Parliament  and  the  Council  of the  European  Union. 

14 

PROPOSAL FOR A EUROPEAN PARLIAMENT AND COUNCIL DIRECTIVE 
ON CONSUMER 
PROTECTION IN THE INDICATION OF THE PRICES OF 
PRODUCTS OFFERED TO CONSUMERS 

PROPOSAL FOR A EUROPEAN PARLIAMENT AND COUNCIL DIRECTIVE 
ON CONSUMER PROTECTION IN THE INDICATION OF THE PRICES OF 
PRODUCTS OFFERED TO CONSUMERS 

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN 
UNION 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  129a(2) thereof, 

Having  regard to the proposal from the Commission1 

Having  regard to the opinion of the Economic  and Social  Committee2 

Acting  in  conformity  with  the  procedure  provided  for  in  Article  189b  of  the  Treaty 
establishing  the European Community, 

1 

2 

3 

4 

5 

Whereas  consumers  must be  guaranteed  a high  level  of  protection; whereas the 
Community  should  contribute  thereto  by  specific  actions  which  provide  for 
adequate  information  of  consumers on the prices of products offered  to them; 

Whereas the Community ' s programmes for a consumer protection and information 
policy3 provide for the establishment of common principles for indicating prices; 

Whereas these principles have been established by Council Directive 79/581/EEC 
of  19 June  19794 as amended by Council  Directive  88/315/EEC of  7 June  19885 
and Council Directive  88/314/EEC of  7 June  19886 concerning  the  indication  of 
prices of  foodstuffs  and non-food products; 

Whereas  the  obligation  to  indicate  the  selling  price  and  the  price  per  unit  of 
measurement  contributes  substantially  to  improving  consumer  information  by 
providing  consumers with essential  data in order to make reasoned choices; 

Whereas,  however,  the  mechanism  adopted  included  a  certain  number  of 
exceptions  to  the  general  obligation  to  indicate  the  unit  price,  notably  when 

OJNo 
OJNo 
OJ No  C  92, 25.4.1975, p. 2  and OJ  C  133, 3.6.1981, p. 2 
O J N oL  158, 26.6.1979,  p.  19 
O J N oL  142, 9.6.1988,  p. 23 
O J N oL  142, 9.6.1988,  p.  19 

16 

6 

7 

8 

9 

products are marketed in quantities or capacities corresponding to the values of the 
ranges  adopted  at  Community  level. 

Whereas  this  link  between  indication  of  the  unit  price  of  products  and 
standardisation  of packaging  introduced  rigidities  into the  implementation  of  the 
mechanism adopted, which has proven overly complex to apply; whereas it is thus 
necessary to abandon this link in the interests of simplification,  without  prejudice 
to  the  rules  governing  packaging  standardization; 

Whereas, therefore,  account  should  be taken of all the difficulties  encountered  in 
implementing the mechanism provided for in the above-mentioned  Directives and 
a  new  and  simplified  mechanism  proposed  which will  enable  the main  objective 
to  be  achieved  more  easily,  namely  adequate  information  of  consumers; 

Whereas indicating the selling price and the unit price is the easiest way to enable 
consumers  to  evaluate  and  compare  the  nature  and  quality  of  products  in  an 
optimum  manner  and  hence  to  make  informed  choices  on  the  basis  of  simple 
comparisons; 

Whereas, therefore, the general obligation to indicate both the selling price and the 
unit price  for  all  products  should  be maintained  except  for  products marketed  in 
bulk,  where  the  selling  price  cannot  be  determined  until  the  final  consumer 
indicates  how  much  of  the product  he requires; 

10  Whereas  only  Community-level  rules  can  ensure  homogenous  and  transparent 
information  that  will  benefit  all  consumers  in the context  of the  internal  market; 
whereas the new,  simplified  approach  is both necessary  and  sufficient  to  achieve 
this  objective; 

11  Whereas, moreover, price transparency is a priority in the run-up to Economic and 
Monetary  Union,  and must therefore  be significantly  improved  and  arrangements 
made for its entry into effect  in good time for the transition to the single currency; 

12  Whereas introduction of the single currency will be greatly facilitated by providing 
consumers  with  simple  yardsticks  for  comparing  the prices  of  products; 

13  Whereas  there  is  a  need  to  take  into  account  the  fact  that  certain  products  are 
widely  and  customarily  sold  in  quantities  different  from  the  values  of  the  base 
quantity referred  to in the Directive; whereas it is thus advisable to allow Member 
States, in certain  cases, to  authorise  that the unit price be  indicated  in  relation  to 
the  quantity  value  which  custom  has  enshrined; 

14  Whereas  Member  States must  be  free  to  adapt  the obligation  to  indicate  the  unit 
price  for  certain  trades  of  forms  of  trade,  and  also  to  determine  that  such 
indication  is  not  necessary  for  a  certain  number  of  products,  when  it  does  not 
provide  useful  information  for  consumers; 

15  Whereas  Member  States  should  also  remain  free  to  waive  the  obligation  to 
indicate  the  unit  price  in  the  case  of  products  for  which  such  price  indication 

17 

would  not  be  meaningful  or  would  be  liable  to  cause  confusion;  whereas this  is 
the  case  notably  when  indication  of  the  quantity  is  not  a  relevant  particular  for 
price  comparison  purposes,  or when different  products  are marketed  in the  same 
packaging; 

16  Whereas  in  the  case  of  non-food  products,  Member  States,  with  a  view  to 
facilitating  application  of the mechanism  implemented,  are free  to draw up a  list 
of products or categories of products for  which the obligation to indicate the unit 
price  remains  applicable; 

17  Whereas trends in distribution methods must be taken into consideration;  whereas 
solutions must be found  to permit optimum information  of consumers on product 
prices  at the  lowest  possible  marginal  cost; 

18  Whereas  a  variable  adaptation  period  should  be  provided  for  depending  on  the 
economic  operators  concerned  in  order  to  enable  them  to  make  the  detailed 
arrangements  for  indicating  unit  prices; 

19  Whereas  particular  attention  should  be  paid  to  the  adaptations  required  in  small 
retail  businesses,  notably  taking  into  account  technological  trends  and  the 
envisaged timetable for the introduction of the single currency; whereas to this end 
the  Commission  shall  present  an  evaluation  report  on  the  situation  two  years 
before  the  final  deadline  for  the  general  application  of  the  mechanism, 

HAVE  ADOPTED  THIS  DIRECTIVE 

18 

Article  1 

The purpose  of this Directive  is to  stipulate  indication  of the  selling  price  and  the  price 
per  unit  of  measurement  of  products  offered  by  traders  to  final  consumers,  so  as  to 
facilitate  comparison  of  prices, wherever  such  comparison  is  relevant. 

For  the purposes  of  this  Directive: 

Article  2 

a) 

b) 

c) 

1. 

2. 

1. 

2. 

3. 

"selling  price"  means  the price  for  a given  quantity  of  the  product; 

"unit  price"  means  the  price  for  one  kilogram,  one  litre,  one  metre,  one  square 
metre  or  cubic  metre  of  the  product  or  any  other  quantity  which  is  widely  and 
customarily  used  in the  Member  States  in the  marketing  of  specific  products; 

"products sold in bulk" means products which are not pre-packaged and/or are not 
measured  or  weighed  except  in the presence  of  the  final  consumer. 

Article  3 

The  selling price and the unit price shall be indicated  for  all products  referred  to 
in  Article  1, subject  to  the provisions  of  Article  6. 

For products sold in bulk, the unit price must be indicated for all products  referred 
to  in  Article  1, since  the  selling  price  cannot  be  determined  prior  to  the  request 
expressed  by  the  final  consumer. 

Article  4 

The  selling price  and the unit price must be unambiguous,  easily  identifiable  and 
clearly  legible. 

The  selling  price  and  the  unit  price  shall  relate  to  the  final  price  of  the  product 
under  the  conditions  laid  down  by the  Member  States. 

The unit price shall refer to the quantity declared, in accordance with national and 
Community  provisions,  and  notably  net  quantities  of products. 

Article  5 

Member  States shall  lay down the detailed rules for  indicating prices, notably  as regards 
prices  applying  to  quantities  that are widely  and  customarily  used,  referred  to  in  Article 
2(b). 

Article  6 

19 

1. 

2. 

3. 

4. 

Member  States may waive the obligation to indicate the unit price of products  for 
which  such  indication  would  not be  meaningful  because  of  the  products'  nature 
or  purpose,  and  products  for  which  such  indication  would  not  provide  the 
consumer  with  adequate  information  or would  be  liable to  create  confusion. 

Member  States may waive the obligation to indicate the unit price of products  for 
which  indication  of  length,  mass  or  volume  is  not  required  by  national  or 
Community  provisions.  This  applies  in particular  to  products  sold  by  individual 
item  or  singly. 

With a view to implementing the provisions  set out in paragraphs  1 and 2 above, 
the  Member  States  may,  in the  case  of  non-food  products,  establish  a  list  of  the 
products  or  product  categories  to  which  the  obligation  to  indicate  the  unit  price 
shall  remain  applicable. 

Article  7 

Member  States  may  provide  that  the  obligation  to  indicate  the  unit  price  of 
products other than those marketed  in bulk which  are sold  by certain  small  retail 
businesses shall apply at the latest by 6 June 2001, if the obligation to indicate the 
unit  price  from  7 June  1997 

- 

or 

- 

is  likely  to  constitute  a excessive  burden  for  these  businesses 

is impracticable because of the number of products on sale, the sales area, 
the nature  of the place  of  sale or  specific  conditions  applicable to  certain 
forms  of  business,  such  as certain  types  of  itinerant  trade. 

Article  8 

Member  States shall lay down penalties for  infringements  of national provisions adopted 
in application of this Directive, and shall take all necessary measures to ensure that these 
are  enforced.  These  penalties  must  be  effective,  proportionate  and  dissuasive. 

Article  9 

Council  Directive  79/581/EEC  of  19  June  1979,  as  amended  by  Council  Directive 
88/315/EEC of  7 June  1988 and Directive  88/314/EEC of 7 June  1988 shall  be  repealed 
with  effect  from  7 June  1997. 

Article  10 

Member  States  shall  bring  into  force  the  laws,  regulations  and  administrative 
provisions  necessary  to  comply  with  this Directive  by  6  June  1997  at the  latest. 

20 

They shall forthwith inform the Commission thereof. The provisions adopted shall 
be  applicable  as of  7 June  1997. 

When Member States adopt these provisions, these shall contain a reference to this 
Directive or shall be accompanied by such a reference  at the time of their  official 
publication.  The  procedure  for  such  reference  shall  be  adopted  by  the  Member 
States. 

Member  States  shall  communicate  to the  Commission  the  text  of  the  provisions 
of  national  law  which  they  adopt  in  the  field  governed  by  this  Directive.  In 
particular, they shall indicate the rules adopted pursuant to Articles 5, 6 and 7, and 
any  later  amendments  thereto. 

Member States shall communicate the provisions governing the penalties provided 
for  in  Article  8,  and  any  later  amendments  thereto. 

2. 

3. 

4. 

Article  11 

1. 
The  Commission  shall,  not  more  than  two  years  after  the  date  referred  to  in 
Article  10(1), submit to the European Parliament and the Council an initial  report on the 
application  of  the  provisions  of  Article  7. 

2. 
The  Commission  shall,  not  more  than  four  years  after  the  date  referred  to  in 
Article  10(1),  submit to the European  Parliament  and the Council  a global report  on the 
application  of this  Directive. 

Article  12 

This  Directive  is addressed  to  the  Member  States. 

Done  at 

, 

For the European Parliament 

For the Council 

The President 

The  President 

21 

IMPACT  ASSESSMENT  FORM 

THE IMPACT OF THE PROPOSAL  ON BUSINESS, 
notably  small  and  medium-sized 
enterprises  (SMEs) 

TITLE  OF  PROPOSAL: 

Proposal  for  a European Parliament and Council Directive on consumer protection in the 
indication  of  the prices  of  products  offered  to  consumers 

Reference  No: 

COM  (95)  276 

THE  PROPOSAL: 

1. 
As  announced  by  the  Commission  in  its report  to  the  European  Council  on  the 
adaptation  of  Community  legislation  to  the subsidiarity  principle  (COM  93/545  final  of 
24 November  1993), the texts which make up the existing mechanism have given rise to 
a  number  of  difficulties  which  may  be  summarised  as  follows: 

- 

- 

- 

- 

the  provisions  are  extremely  detailed  and  complex  to  implement; 

industry  and the distributive trades, notably  in the  foodstuffs  sector,  have 
difficulties  in  applying  the  mechanism; 

several Member  States have indicated to the Commission that they  would 
like to see the mechanism revised before  the end of the transitional  period 
(June  1995); 

the mechanisms selected tend in practice to encourage standardised ranges, 
which  in turn  engenders  certain  other  problems. 

In practice, it is extremely complex to determine the situations in which the unit price has 
to  be  indicated,  because  of  the  difficulty  in  identifying  exemption  regimes  which  are 
mandatory  or  optional,  both  at  Community  level  and  under  domestic  law. 

This concerns both products whose prices have to be indicated  and the traders who  have 
to  apply  the  mechanism. 

More  generally,  the  mechanism,  which  takes  up  an  idea  dating  from  the  70s,  virtually 
ignores  trends  in  the  distributive  trades  and  in  consumption  patterns  over  the  past 
20 years. 

Hence  it was  necessary  to  present  a draft  satisfying  a twin  objective: 

22 

to  simplify  the  mechanism  on  the  basis  of  experience  gained,  both  as 
regards  implementing  the  indication  of unit  prices  and  in the  light  of  the 
fact  that  the  link  between  pre-packaged  ranges  and  product  prices  is  not 
appropriate 

- 

to recall the roles of the Community, the Member  States and the economic 
operators  respectively  in  contributing  to  the  improvement  of  consumer 
information 

Very wide-ranging  consultations 

2. 
On  the  basis  of  the  guidelines  already  advanced,  DG  XXIV  organised  a  large 
number of consultations with all concerned - trade, industry, consumer representatives and 
Member  State  officials  and  experts. 

Several preliminary  drafts  of the text were circulated informally  to the relevant parties as 
far  back  as  July  1994.  All  the  organisations  that  attended  the  expert  meetings  had  the 
opportunity  to  submit  their  observations  and  suggestions.  DG  XXIV  has  replied  to  all 
involved  in the debates and invitations organised on this topic both by trade and industry. 

A  request  for  an opinion  was also  submitted  to the  Consumers'  Consultative  Council  in 
July  1994.  The  CCC  came  out  in  favour  of the proposed  approach. 

Individual  consultations have also been held with enterprises  and firms that were keen to 
express personal viewpoints. Hence  several dozen consultations have already taken place 
both with manufacturers  and distributors, as well as specialists in commercial  equipment. 

Finally,  the  discussions  which  took  place  in  the  first  half  of  1995  during  the 
interinstitutional  examination  of the proposal  for  a Directive  (COM(94)431 final) on the 
extension of the current transitional  system made possible an in-depth debate. It emerges 
that  the  views  expressed  by  the economic  operators  are  far  from  fixed  and  unchanging. 

The great majority  of those consulted  are in favour  of simplification.  Similarly,  it  seems 
that  indication  of  the  unit  price  is the  most  appropriate  way  of  informing  the  consumer 
whenever  price  comparisons  can  usefully  be made. 

Reservations  have  been  expressed  as  regards  the  excessive  burden  on  certain  traders, 
mainly on the part of those who fear that interest in the pre-packaged ranges that industry 
developed  in the  70s and  80s may  wane. 

However  it  should  be  noted  that  the  approaches  have  not  been  uniform.  Frequently 
different  and even contrasting opinions were heard even from within the same sector  from 
organisations  representing  kindred  interests  or  at  least  considered  to  be  such. 

Impact  on  business 

Since indication  of unit prices is a task for the distributors, only they  are liable to 

3. 
be  affected. 

23 

Industry  cannot  reasonably  claim  that  it will  incur  any  supplementary  costs. 

One  argument  occasionally  invoked  is  that  the  new  mechanism  undermines  the 
investments  made  by  industry  in quantity  ranges.  This  argument  is unfounded  since  the 
new mechanism  in no way vitiates or otherwise affects  work on ranges or their scope. On 
the contrary, by abolishing the subordination relationship between unit prices and ranges, 
the  new  mechanism  opens  the  way  to  a more  flexible  policy  on  ranges. 

More  generally,  the  new  mechanism  is  not  only  unlikely  to  impose  significant  new 
burdens  for  business  but  will  more  probably  lead  to  substantial  savings  -  paradoxical 
though  this  may  seem. 

As things stand indication of unit prices is mandatory only for  certain products which are 
often hard to identify  for those unfamiliar  with Community or national ranges concerning 
prepackaged  products. 

A  large  proportion  of  the  distributive  trades  using  modern  management  methods  have 
already  introduced  unit  prices  or  are  about  to  do  so. The  technologies  used  involve  bar 
codes  and  scanners. 

Currently  it  is  probably  more  costly  to  indicate  unit  prices  for  certain  products  in  a 
product  line  than  for  the  product  line  it  its  entirety. 

More and more experience  is also being gained  in evaluating  new and  low-cost  methods 
of  on-shelf  electronic  labelling. 

Existing and  forthcoming  technologies  suggest that indication of unit prices will  become 
the  rule  for  a  large  part  of the  distributive  trades,  and  this  at  a moderate  price. 

The  main  reason  is the progressive  introduction  throughout  the retail  trade  of  bar  codes 
and  the  scanning  procedure. 

Today, with the exception of fresh  agricultural produce and fish sold in bulk, a very large 
proportion  of  products  are  already  bar-coded. 

Moreover  bar  codes  are  generally  under-used  because  they  were  designed  to  "carry" 
information  on  prices  and  this  part  of  the  code  is  used  as  a  rule  only  by  large  and 
medium-sized  distributors.  Thus the question boils down to the cost of the  "loading" and 
reading  prices  using  bar  code  technology. 

Looking  at  what  equipment  of  this  kind  costs  today  and  at  its  current  or  foreseeable 
performance,  the  additional  costs  invoked  by  those  who  are  wary  of  a new  mechanism 
call  for  far  more  nuanced  approach. 
However, delays in the diffusion  of advanced technology and its introduction by the retail 
trade  have  to  be taken  into  account  in  fleshing  out  the  new  mechanism.. 

Adaptation  of small  retail  businesses 

24 

Very  close  attention  has  to  be  paid  to  the  features  of  small  retail  businesses  notably 
because  of  the  important  role  small  local  shops play  in the  social  fabric. 

Several  considerations  have  been  taken  into  account: 

- 

- 

- 

- 

the mechanism  has to be  a stable  one, so as to make  it easier  for  Member  States 
and  the  economic  operators  to  make  it  work.  Hence  we  opted  for  a  flexible 
solution  responsive  to the  needs  of  small  retail  businesses. 

to ensure consonance with the subsidiarity principle, there was no question of the 
Community  intervening  to  lay  down  limits  for  sales  areas  or  turnover; 

so  as  not  to  fall  foul  of  the  objective  of  improving  price  information,  the 
Commission  had  to  contribute  to  realising  a high  level  of  consumer  protection; 

the  provision  of  technical  solutions  still  under  development  and  the  need  for 
adjustment  on the part of certain particular types of business had to be considered, 
not  only  in  terms  of  additional  costs  -  which  might  be  less  than  expected  -  but 
also  in terms  of  the  relevant  timescale. 

In the  light  of  the  above,  the  question  was to  estimate  the  time  necessary  to  realise  the 
objective  in the best possible conditions. The consultations indicated that a period of  four 
years  would  be  quite  sufficient  for  the  necessary  adaptations.  This  period  must  be 
consonant  with the procedures  laid down for  transition to the single currency,  and all are 
agreed  that  trade  and  consumers  will  be  the  main  actors,  and  that  awareness-raising 
measures  will  be  called  for. 

In  order  to  monitor  these  adaptations  as  closely  as possible, the  Commission  intends  to 
allow  the  Community  and the  operators  concerned  to participate  in the  evaluations; this 
is why  an  interim  report  is foreseen,  to be presented  two  years after  the  entry  into  force 
of the  Directive,  and  relating  specifically  to these  issues. 

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ISSN 0254-1475 

COM(95) 276 final 

DOCUMENTS 

EN 

02  10 

Catalogue number  : CB-CO-95-303-EN-C 

ISBN 92-77-90628-6 

Office  for Official  Publications of the European Communities 

L-2985 Luxembourg