Amended proposal for a COUNCIL REGULATION (EC) on the common organization of the market in fruit and vegetables
Date: 1996-05-13
Institutions: European Commission
Subjects: agro-industry, aid system, citrus fruit, common organisation of markets

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96/0120(CNS) 

Proposal  for a 

COUNCIL  REGULATION  (EC) 

introducing  a  Community  aid  scheme for  producers  of certain  citrus  fruits 

(presented  by the Commission) 

Amended  proposal  for  a 

COUNCIL  REGULATION  (EC) 

on the common  organization 

of the market in fruit  and vegetables 

(presented by the Commission  pursuant to Articie  189 a (2) 
of the EC-Treaty) 

EXPLANATORY  MEMORANDUM 

Re: 

Proposal  for  a Council  Regulation  introducing a Community aid  scheme for  producers 
of certain  citrus  fruits 

At the Council meeting of  10 November  1995, the Commission undertook to complete as soon 
as  possible  its  proposals  for  aid  to  producers  of  certain  citrus  fruit,  in  the  spirit  of  the 
declaration  by the joint  Council  of 20  September 1993. 

In the  communication  from  the  Commission to the  Council  and Parliament  of 27  July  1994, 
the Commission analysed the present situation in the sector of fresh and processed citrus  fruits. 

Following the line taken in that communication, the Commission proposes a two-fold  objective: 

on  the  production  side,  to  prevent  continued  systematic  recourse  to  processing  as an 
alternative  outlet  for  fruit  originally  destined  for  the  fresh  market, 

on  the  processing  industry  side,  to  enable  the  industry  to  move  into  new  products 
(freshly  squeezed juice and pasteurized juice), the only products where the Community 
has any  chance of being competitive  in relation  to third countries. 

In  order  to  attain  these objectives,  the  Commission  is  envisaging a flexible system based on 
processing contracts, signed by processors and producers' organizations. 

The price  of the  raw  materials, which must meet  certain minimum  conditions, will  be  freely 
established as a function  of supply and demand. 

Flat-rate  aid  will  be  granted  to  producers'  organizations  for  raw  material  supplied  to  the 
industry,  in order to: 

support producers' incomes, 
facilitate  negotiations  with the industry, and 
promote  the concentration  of production  through  producers' organizations. 

To ensure that recipients of the aid take a responsible attitude to their output, the aid is adjusted 
whenever  the thresholds  are exceeded. 

X 

Proposal  for a 

COUNCIL  REGULATION (EC) No  ..../96 

of 

introducing  a Community  aid scheme for producers  of certain  citrus  fruits 

THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the Treaty establishing the European Community, and in particular Article 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  the  present  situation  in  the  citrus  fruit  industry  continues  to  be  marked  by  serious 
difficulties  in the disposal of Community production; whereas these difficulties  are attributable 
mainly to the varietal aspects of production, production surpluses and marketing conditions for 
fresh  and processed citrus  fruit; 

Whereas the Community supply of oranges, mandarins and lemons continues to keep pace with 
demand  on  the  market  in  fresh  fruit  for  some  varieties  of  products;  whereas  production  of 
Clementines  has  increased  considerably  in recent  years  to the  extent  that  surpluses  are  being 
created;  whereas  satsumas, which  are  being  replaced  by  clémentines  on  the  market  in  fresh 
fruit,  are also in surplus; whereas a system of support for producers should, therefore,  provide 
an incentive  for  the disposal of the citrus fruit  concerned  with a view to their processing into 
juice  and segments; 

Whereas  it  seems  appropriate  to  implement  this  system  by  means  of  contracts  concluded 
between processors and producers' organizations in order to ensure, firstly, regular supplies for 
processing industries and, secondly, effective  checks on the products to be delivered;  whereas 
the system  should  guarantee  supplies to consumers at reasonable  prices and  quality; 

Whereas, in order to encourage producers to present  their products  for processing rather than 
withdrawal, provision should be made for the grant of an aid to producers' organizations which 
deliver  citrus  fruit  to  the  processing  industries;  whereas  the  amounts  of  the  aid  should  be 
established  for  a  transitional  period  of  five  years  after  which  they  should  be  a  fixed  sum; 
whereas  those  amounts  should  be  calculated  on  the  basis  of  the  ratio  existing  in  1995/96 
between the financial  compensation and the minimum price and be subject to an annual gradual 
reduction over the transitional period, except in the case of satsumas and clémentines, in order 
to meet the general  objectives  of the common organization  of the market  in fresh  products; 

3 

Whereas the production  of citrus fruit  features  structural  shortcomings  in  terms of  marketing 
which  are  demonstrated  by  the  excessive  dispersal  of  supply;  whereas  therefore  individual 
producers  who  deliver  all  their  citrus  fruit  for  processing  through  producers'  organizations 
should  qualify  under  the  system;  whereas  for  that  reason  and  in  order  to  ensure  equality  of 
treatment  with  the fresh  products  sector, provision  should be made for  the  amount  of  the aid 
to be reduced; whereas for the same structural reasons, it would be justified to grant an increase 
in the aid  for  producers' organizations which conclude a contract  for  more than  one year and 
in respect of minimum  quantities; 

Whereas  the  quantities  that  may  be  withdrawn  from  the  market  are  limited  by  the  rules 
governing  fresh  products; whereas  in cases where production  is rising,  steps  should be taken 
to prevent  systematic recourse  to processing  as an  alternative  outlet;  whereas the  fixing  of a 
maximum quantity for processing, the overrunning of which would entail a reduction in the aid 
in the following marketing year, would seem to be an appropriate measure to that end; whereas 
maximum  limits  should  be  laid  down  based  on  the  average  quantity  eligible  for  financial 
compensation  during  a reference  period, 

HAS ADOPTED THIS  REGULATION: 

Article 1 

A  Community  aid  scheme  for  producers'  organisations  which  deliver  for  processing  certain 
citrus  fruits  harvested  in the Community  is hereby  established. The scheme shall cover: 

(a) 

oranges, mandarins, clémentines and lemons processed into juice; 

(b) 

satsumas and clémentines processed  into segments. 

Article 2 

1. 

2. 

3. 

The  scheme referred  to  in Article  1 shall be  based  on  contracts between,  on  the  one 
hand,  producers' organizations  recognized  or provisionally  admitted  under  Regulation 
(EC)  No 
/96  and,  on  the  other,  processors  or  legally  constituted  associations  or 
unions of processors. 

Such contracts shall be concluded before  a specified  date and for  a minimum  duration 
determined in accordance with the procedure laid down in Article 45 of Regulation (EC) 
No 
/96.  They  must  specify  the  quantities  to  which  they  relate,  the  phasing  of 
deliveries to processors and the prices to be paid  to producers' organizations. 

Once they have been concluded, contracts shall be sent to the authorities in the Member 
States concerned  responsible for  carrying  out qualitative  and quantitative  checks on: 

(a) 

products  delivered  to processors by producers' organizations; 

(b) 

the actual processing of the quantities  delivered. 

V 

Article 3 

1. 

2. 

Aid  shall  be  granted  to  producers'  organizations  for  the  quantities  delivered  for 
processing under the contracts referred  to in Article 2. 

The amount  of the aid referred  to in paragraph  1 shall be that fixed in Table  1 of the 
Annex hereto. 

However: 

(a) 

where  the  contract  referred  to in Article  2(1) covers more  than  one  marketing 
year and a minimum quantity of citrus fruit, to be determined in accordance with 
the procedure laid down in Article 45 of Regulation (EC) No 
/96, the amount 
of  the  aid  referred  to  in paragraph  1 shall  be  that  indicated  in  Table  2 of  the 
Annex hereto; 

(b) 

for quantities delivered under the provisions of Article 4, the amount of the aid 
referred to in paragraph  1  shall be that indicated in Table 3 of the Annex hereto. 

3. 

The  aid  shall be  paid  by  the  Member  States to producers'  organizations  which  apply 
therefor  as soon as the inspecting authorities of the Member State in which processing 
is  undertaken  have  established  that  the products  covered  by  the  contracts  have  been 
delivered to the processing industry. 

The amount of the aid received by producers' organisations  shall be paid to associated 
producers. 

Article 4 

Producers'  organizations  shall  pass  on  the  benefit  of  the  aid  scheme  defined  in  this 
Regulation to individual producers who are not members of any such organizations who 
undertake  to  market  through  them  their  entire  output  of  citrus  fruit  intended  for 
processing and  who pay a subscription to cover the extra  management costs borne by 
the organization because of the application of this provision. 

Where paragraph  1 is applied, 

(a) 

(b) 

the amount  of the aid received by the producers' organization  shall be paid  to 
the individual producer concerned; 

the  quantities  supplied  by  individual  producers  may  not  be  included  in  the 
multiannual contracts referred  to in Article 3(2)(a). 

Article  5 

Processing thresholds  shall be established for  oranges, for  lemons, and for  mandarins, 
clémentines and  satsumas taken together^ as follows: 

oranges 
lemons 
mandarins, clémentines and satsumas 

1 209 000 tonnes 
444 000 tonnes 
265 000 tonnes. 

X 

If,  in the course of a given marketing year,  the quantities of oranges, of lemons, and of 
mandarins, satsumas and clémentines delivered for processing under the scheme provided 
for in this Regulation exceed the processing thresholds established in paragraph  1, the aid 
fixed in accordance with Article 3(2) for the products in question shall be reduced for the 
following  marketing  year by  1% per tranche  of the processing threshold  overrun. 

Overrun tranches shall be equal to 1% of the level of each threshold fixed in paragraph  1. 

However,  in  the  case  of  oranges  and  lemons,  any  overrun  of  the  processing  threshold 
shall be fixed, for a given marketing year, on the basis of a period of twelve consecutive 
months, staggered  in relation to the said marketing  year. 

Article 6 

Detailed rules for the application of this Regulation, and in particular monitoring measures and 
penalties, the marketing years, the minimum characteristics of the raw materials delivered  for 
processing  and  the  financial  consequences  of  exceeding  the  threshold  shall  be  adopted  in 
accordance with the procedure  laid down in Article 45 of Regulation  (EC) No 

/96. 

Article 7 

The  measures  provided  for  in  this  Regulation  shall  be  regarded  as  intervention  intended  to 
stabilize the agricultural markets within the meaning of Article  3 of Council Regulation (EEC) 
No 729/70 of  21 April  1970 on the financing of the common agricultural  policy1.  They shall 
be financed by the  Guarantee  Section of the  European  Agricultural  Guidance  and  Guarantee 
Fund (EAGGF). 

Regulations (EEC) No  1035/77 and (EC) No 3119/93 are hereby repealed. 

Article 8 

Article 9 

This Regulation shall enter into force on the third day following  its publication  in the  Official 
Journal of the European  Communities. 

It shall apply from the  1996/97 marketing year. 

This Regulation  shall be binding in its entirety  and directly  applicable in all Member  States. 

Done at Brussels, 

For the Council 

1  OJ  No  L  94,  2 8 . 4 . 1 9 7 0,  p.  13 

ANNEX 
AMOUNTS  OF THE AID  REFERRED TO IN ARTICLE 3(1) 

1996/97 marketing year 

1997/98 marketing year 

1998/99 marketing year 

1999/2000 marketing year 

ECU/100 kg net 

2000/2001  and  subsequent 
marketing years 

9,36 
10,03 
11,31 
8,92 
7,34 

9,25 
9,75 
10,71 
8,92 
7.74 

9,14 
9,47 
10,31 
8,92 
8,13 

9,03 
9,20 
9,51 
8,92 
8,52 

8,92 
8,92 
8,92 
8,92 
8,92 

Table 1 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

Table 2 

1996/97 marketing year 

1997/98 marketing year 

1998/99 marketing year 

1999/2000 marketing year 

V 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

10,76 
11,54 
13,00 
10,26 
8,44 

10,64 
11,22 
12,31 
10,26 
8,90 

10,51 
10,90 
11,63 
10,26 
9,35 

10,38 
10,58 
10,94 
10,26 
9,80 

Table 3 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

1996/97 marketing year 

1997/98 marketing year 

1998/99 marketing year 

1999/2000 marketing year 

8,42 
9,03 
10,17 
8,03 
6,61 

8,32 
8,78 
9,64 
8,03 
6,96 

8,22 
8,53 
9,10 
8,03 
7,32 

8,13 
8,28 
8,56 
8,03 
7,67 

ECU/300 kg net 

2000/2001 and  subsequent 
marketing years 

10,26 
10,26 
10,26 
10,26 
10,26 
saxegsss 

P 

'ii  n. i.  M.,,  i  . 

i 

.. 

' 

ECU/100 kg net 

2000/2001 and  subsequent 
marketing years 

8.03 
8,03 
8,03 
8,03 
8,03 

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f r == 

FINANCIAL  STATEMENT 

BUDGET  HEADING:  1503 

Date: 

APPROPRIATIONS: 
ECU  208 million 

TITLE: 
Proposal  for  a Council  Regulation  introducing  a Community  aid  scheme for producers  of certain  citrus  fruits. 

LEGAL BASIS: 
Article 43 of the  Treaty 

AIMS: 
Reform  of the  rules governing  the processing  of certain  citrus  fruit  alongside  the  reform  of the  common  market 
organization  in  fresh  and processed  fruit  and  vegetables 

5. 

FINANCIAL  IMPLICATIONS: 

5.0. 

EXPENDITURE 
-  CHARGED TO THE  EC BUDGET 

(REFUNDS/INTERVENTION) 

-  NATIONAL  AUTHORITIES 
-  OTHER 

5.1. 

REVENUE 
- OWN  RESOURCES  OF THE EC 
(LEVIES/CUSTOMS  DUTIES) 

-  NATIONAL 

5.0.1. 
5.1.1. 

ESTIMATED  EXPENDITURE 
ESTIMATED  REVENUE 

5.2. 

METHOD OF CALCULATION: 

See Annex. 

PERIOD OF 
12 MONTHS 

(ECU  million) 

CURRENT 
FINANCIAL 
YEAR  (96) 
(ECU  million) 

FOLLOWING 
FINANCIAL 
YEAR  (97) 
(ECU  million) 

184.1 

1998 

1999 

2000 

2001 

ECU  181.6 m 

ECU  179.2 m 

ECU  177.0 m 

ECU  174.5  m 

6.0. 

6.1. 

6.2. 

6.3. 

CAN THE  PROJECT  BE FINANCED  FROM APPROPRIATIONS  ENTERED  IN THE  RELEVANT 
CHAPTER  OF THE  CURRENT  BUDGET? 

CAN  THE  PROJECT  BE  FINANCED  BY TRANSFER  BETWEEN  CHAPTERS OF THE  CURRENT 
BUDGET? 

WILL  A SUPPLEMENTARY  BUDGET  BE NECESSARY? 

WILL  FUTURE  BUDGET APPROPRIATIONS  BE NECESSARY? 

YES/N© 

YES/Wi 

¥6S/NO 

YES/NQ 

OBSERVATIONS 

? 

Citrus  fruits 

I. Processed quantities- statistics and analysis (t) 

89/90 

90/91 

91/92 

92/93 

93/94 

94/95 

Thresholds 

Tranches 

average  for 
5 marketing 
years 

440848 

386740 

337729 

473704 

501490 

474264 

443889 

444000 

1302730 

827983 

1462609 

1158254 

1041507 

1331979 

1208618 

1209000 

88309 

37585 

36965 

86530 

75758 

55797 

51657 

40653 

.  59613 

40833 

91143 

57463 

60000 

58000 

143364 

155834 

149142 

146163 

125994 

146223 

147000 

4440 

12090 

600 

580 

1470 

2012836 

1483280 

2091807 

1631958 

1781650 

2064033 

1915806 

1918000 

Lemons 

Oranges 

Mandarins 

Clementines 

Satsumas 

Total 
citrus  fruit 

2. Quantities used for the calculations and forecast trend (t) 

1995/96 

(Preliminary 
draft budget 
1996) 

Quantities 
used 

PO - annual 

1996/97 

PO -
multiannual 

67% 

Non-
associated 
producers 

33% 

1997/98 

PO - annual 

PO -
multiannual 

Non-associated 
producers 

69% 

31% 

75% 

25% 

72% 

28% 

450000 

444000 

1150000 

1209000 

50000 

50000 

60000 

58000 

160000 

147000 

223110 

607523 

30150 

29145 

73868 

74370 

202508 

10050 

9715 

24623 

146520 

398970 

19800 

19140 

48510 

220579 

600631 

29808 

28814 

73030 

85781 

233579 

11592 

11206 

28400 

137640 

374790 

18600 

17980 

45570 

1860000 

1918000 

963795 

321265 

632940 

952862 

370558 

594580 

PO-annual 

1998/99 

PO-
multiannual 

71% 

1999/2000 

2000/01 

Non-
associalcd 
producers 

29% 

PO - 
annual 

PO  -
multiannual 

73% 

Non-
associated 
producers 

27% 

PO - 
annual  multiannual 

PO -

75% 

Non-
associated 
producers 

25% 

68% 

32% 

63% 

37% 

60% 

40% 

214363 

583705 

28968 

28002 

70972 

100877 

274685 

13632 

13178 

33398 

128760 

204196 

350610 

556019 

17400 

27594 

16820 

26674 

42630 

67605 

119924 

326551 

16206 

15666 

39705 

119880 

199800 

133200 

326430 

544050 

362700 

16200 

27000 

15660 

26100 

18000 

17400 

39690 

66150 

44100 

111000 

302250 

15000 

14500 

36750 

926010 

435770 

556220 

882088 

518052 

517860 

863100 

575400 

479500 

A dynamic trend has been assumed  for the situation, both  in response to the probable trend in concentration of supplies and 
given  the  prospect  that  aids  will  increase-  the  proportion  due  to  PO's  will  increase  gradually  and,  within  that  figure,  the 
percentage of multiannual contracts will also increase. The assumption with regard to quantitiesis based on complete realization 
of the thresholds and compliance with them. 

Lemons 

Oranges 

Mandarins 

Clementines 

Satsumas 

Total 
citrus  fruit 

Lemons 

Oranges 

Mandarins 

Clementines 

Satsumas 

Total 
Citrus  fruit 

Note: 

9 

Citrus  fruits 

Fixed aids (ECU/t) 
Aid to processors  -  ECU/t 
Marketing year  1995/96 - ex  reform 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

IWV% 

104,8 
111,0 
133,0 
95,3 
48,3 

Note: 

The aids were fixed by Regulation (EEC) No 3318/93 for satsumas (for three marketing years), by Regulation (EC) No 1604/95 
for  lemons and  by  Regulation (EC) No 2803/95  for the other citrus  fruits. 

a.  Aid to PO's - with annual contracts (ECÙ/t) 

1996/97 

1997/98 

1998/99 

1999/2000 

2000/01 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

93,6 
100,3 
113,1 
89,2 
73,4 

92,5 
97,5 
107,1 
89,2 
77,4 

91,4 
94,7 
101,1 
89,2 
81,3 

90,3 
92,0 
95,1 
89,2 
85,2 

89,2 
89,2 
89,2 
89,2 
89,2 

b.  Aid to  PO's - with multiannual contracts (ECU/t) 

1996/97 

1997/98 

1998/99 

1999/2000 

2000/01 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

107,6 
115,4 
130,0 
102,6 
84,4 

106,4 
112,2 
123,1 
102,6 
89,0 

105,1 
109,0 
116,3 
102,6 
93,5 

103,8 
105,8 
109,4 
102,6 
98,0 

102,6 
102,6 
102,6 
102,6 
102,6 

c. Aid to PO's - with non-associated producers  (ECU/t) 

1996/97 

1997/98 

1998/99 

1999/2000 

2000/01 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

84,2 
90,3 
101,7 
80,3 
66,1 

83,2 
87,8 
96,4 
80,3 
69,6 

82,2 
85,3 
91,0 
80,3 
73,2 

81,3 
82,8 
85,6 
80,3 
76,7 

80,3 
80.3 
80,3 
80,3 
80,3 

Note: 

The aids given  here are those which are listed in the Annex to the draft  Regulation. 

xCo 

Citrus fruit 

4.1  Cost per marketing year  (ECU million) 

(broken down into PO's - with annual or multiannual contracts - and non-associated producers) 

95/96 

9é/97 

97/98 

ex  reform 

Amraal 

Multwmnuul  Non-associated 

Annual 

Mtriliiwmtial  Noa-aswiciated 

producers 

producers 

47,2 
127,7 
6,7 
4,8 
7,7 

194,0 

20>? 
60,9 
3,4 
2,6 
5,4 

93,3 

1,0 
23,4 
1,3 
1,0 
2,1 

35,7 

12,3 
36,0 
2,0 
1,5 
3,2 

55,1 

20,4 
58,6 
3,2 
2,6 
5,7 

90,4 

9,1 
26,2 
1,4 
1,1 
2,5 

40,4 

11,5 
32,9 
1,8 
1,4 
3,2 

50,8 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

Total 
(«itrus fruit 

4.2  Cost per marketing year (ECU million) 

(broken down  into PO's - with annual or multiannual contracts - and non-associated producers) 

1998/99 

1999/2000 

2000/01 

Annual  Multiannual  Non-

Annual  Multiannual 

Annual  Multiannual 

Non-
associated 
producers 

12,5 
34,5 
1,8 
1,6 
3,9 

54,3 

9,7 
27,0 
1,4 
1,3 
3,0 

42,4 

17,8 
48,5 
2,4 
2,3 
5,9 

77,0 

13,7 
37,2 
1,8 
1,8 
4,5 

59,0 

Non-
associated 
producers 

8,9 
24,3 
1,2 
1,2 
2,9 

38,5 

associated 
producers 

10,6 
29,9 
1,6 
1,4 
3,1 

46,6 

10,6 
29,9 
1,6 
1,4 
3,1 

46,5 

18,4 
51,1 
2,6 
2,4 
5,8 

80,3 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

Total 
citrus  fruit 

19,6 
55,3 
2,9 
2,5 
5,8 

86,1 

5. Cost per budget (ECU million) 

1996 

47,2 
127,7 
6,7 
4,8 
7/7 

194,0 

1997 

41,2 
120,3 
6,7 
5,1 
10/7 

184,1 

1991 

1999 

2000 

2001 

41,0 
117,7 
6,4 
5,2 
U£ 

181,6 

40,8 
115,1 
6,1 
5,2 
\2$ 

179,2 

40,6 
112,7 
5,8 
5,2 
12/7 

177,0 

40,4 
110,0 
5,5 
5,3 
13,4 

174,5 

Lemons 
Oranges 
Mandarins 
Clementines 
Satsumas 

Total 
citrus  fruit 

Note: 

Traditionally,expenditure for the processing of citrus fruit is charged to the financial year which corresponds to the second 
half of the marketing year. 

svt  -  Itj _ 

EXPLANATORY  MEMORANDUM 

On 4 October  1995 the Commission presented the Council with two proposals for  Regulations 
on the common  organization  of the markets in: 

fruit  and vegetables, 

products processed from  fruit  and vegetables. 

At the Council meeting of  10 November  1995, the Commission undertook to send the Council 
a proposal  for  a new  scheme introducing  aid to the producers  of certain  citrus  fruits. 

Under  this  new  scheme,  there  is  no  lower  limit  on  the  price  the  processor  must  pay  the 
producer.  The  former  proposal  needs to be adapted  to take this into  account. 

~AZ 

Amended  proposal 

for  a Council  Regulation  on the common  organization 

of the market in  fruit  and  vegetables 

This proposal was presented by the Commission to the Council  on 4 October  1995. 

/96 
As a consequence of the presentation of the proposal for a Council Regulation (EC) No 
introducing a system of aid to producers  of certain citrus  fruits,  the proposal  on the common 
organization  of the market in fruit and vegetables now requires the following  amendments: 

Arfafc \$ 

1. 

Paragraph 2(a)  is replaced by the  following: 

M(a)  to finance  market  withdrawals  on the terms of paragraph 3". 

2. 

In paragraph  3: 

the introductory part  of the first  subparagraph is replaced by the  following: 

"3.  Use of the operational  fund  to finance  withdrawals  shall be permissible only 
if  an  operational  programme  has  been  approved  by  the  competent  national 
authorities. Financing shall take one of the following  forms:"; 

point  (c) is deleted; 

the second subparagraph  is replaced  by the  following: 

"Member  States  may  set  a  maximum  on  the  compensation  or  supplements  thus 
decided, at a level which shall not exceed the maximum withdrawal prices applying 
in the  1995/96 marketing year in accordance with Article  16(3a), Articles  16a and 
16b and the first  indent of Article  18(l)(a)  of  Regulation  (EEC) No  1035/72." 

stY 

ISSN 0254-1475 

COM(96) 177  final 

DOCUMENTS 

EN 

03 

Catalogue number  : CB-CO-96-186-EN-C 

ISBN 92-78-03054-6 

Office  for Officiai  Publications  of the European Communities 

L-2985  Luxembourg 

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