Proposal for a COUNCIL REGULATION (EC) setting for the 1996/97 marketing year the percentages referred to in Article 3(1)(a) of Regulation (EEC) No 426/86 in connection with the premium granted for products processed from tomatoes
Date: 1996-10-18
Institutions: European Commission
Subjects: EU aid, fruit vegetable, production aid, support policy, vegetable product

COMMISSION OF THE EUROPEAN  COMMUNITIES 

Brussels,  18.10.1996 
COM(96) 505 final 

Proposal  for  a 

COUNCIL  REGULATION (EC) 

setting for the  1996/97  marketing year the percentages  referred  to in Article 3(1 )(a) 
of Regulation  (EEC) No 426/86 in connection with the premium 
granted for  products  processed  from  tomatoes 

(presented by the  Commission) 

EXPLANATORY  MEMORANDUM 

This measure must be taken at Community level, since this is an 
area in which only the Community has power to act. Its intensity 
and proportionality are described  in detail below. 

Article  3(1) (a) of Regulation  (EEC) No 426/86 provides  for the 
grant  of  a  premium  equivalent  to  2%  of  the  aid  payable  in 
respect of those quantities of finished products produced from 
tomatoes obtained  from the quantity of fresh tomatoe-s supplied 
under contracts concluded with producers' associations. 

The  premium  is  only  paid  if  the  processors  or  their 
associations: 

-  have  accepted  all  the  fresh  tomatoes  covered  by  the 

contracts, 

-  can  prove  that  the  tomatoes  processed  under  the  said 
contracts  represent  a  significant  percentage  of  the  total 
quantity of processed tomatoes. 

The purpose of this proposal is to set the percentage applicable 
to  the  1996/97  marketing  year  at  the  same  level  as  for  the 
previous year, taking into account the role currently played by 
producers' associations in the Community. 

It  should  be  recalled  that  the  aim  of  the  measure  is  to 
encourage concentration of the supply of fresh tomatoes in order 
to  achieve  a  better  administration  of  the  quantities  to  be 
produced  and  the  possible  outlets,  in  particular  those 
quantities going to processing. 

Proposal  for  a 

COUNCIL  REGULATION  (EC) 

setting  for  the  1996/97  marketing year  the  percentages  referred  to in Article  3(l)(a) 
of  Regulation  (EEC) No 426/86  in connection with  the premium 
granted  for  products  processed  from  tomatoes 

THE  COUNCIL  OF THE EUROPEAN  UNION, 

Having  regard  to the Treaty  establishing  the European  Community, 

Having regard to Council Regulation (EEC) No 426/86 of 24 February  1986 on the common 
organization  of the market in products processed  from  fruit  and vegetables1, as last  amended 
by  Regulation  (EEC) No 2314/952,  and  in  particular  Article 3(3) thereof, 

Having  regard  to the proposal  from  the  Commission, 

Whereas,  in  order  to  encourage  the  conclusion  of  contracts  between  groups  of  tomato 
producers  on  the  one  hand  and  associations  of  processors  or  processors  on  the  other, 
Regulation  (EEC)  No 426/86  provides,  in  this  case,  for  the  grant  on  certain  terms  of  an 
additional  premium; 

Whereas  the  "significant  specific  percentage"  for  the  total  quantity  of  processed  tomatoes 
covered by contracts concluded with producers' groups  must be set for the 1996/97 marketing 
year; 

Whereas, in view  of the important  role played  by tomato producers' groups  in the  producer 
Member  States, it is desirable to maintain at the same level as for the 1995/96 marketing year 
the percentage  of the quantities  of tomatoes  covered by  contracts concluded with  producers' 
associations  in  relation  to the total  quantity  of  processed tomatoes; 

HAS ADOPTED  THIS  REGULATION: 

1  OJ No L  49, 27.2.1986, p. 1. 

2  OJ No L  233, 30.09.1995, p. 69. 

3 

Article 1 

For the  1996/97  marketing year the percentage  mentioned  in  Article  3(1 )(a)  of  Regulation 
(EEC) No 426/86  shall be 80%. 

Article 2 

This  Regulation  shall  enter  into  force  on  the  seventh  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. 

Done at 

For the Council 

4-

BUDGET  HEADING:  1511 

TITLE: 
Proposal  for  a  Council  Regulation  fixing,  for  the  1996/97  marketing year,  the percentages referred to in Article  3(la) of 
Regulation  (EEC)  No  426/86 as regards the grant of aid for  processed  products based on tomatoes 

LEGAL  BASIS: Regulation  (EEC)  No 426/86 

AIMS: To  promote  the conclusion  of contracts between  associations  of producers and  processors 

5. 

FINANCIAL  IMPLICATIONS: 

5.0. 

EXPENDITURE 
-  CHARGED  TO  THE  EC BUDGET 

(REFUNDS/INTERVENTION) 

5.0.1. 

ESTIMATED  EXPENDITURE 

PERIOD  OF 
12 MONTHS 

(ECU  million) 

CURRENT 
FINANCIAL 
YEAR 
(96) 
(ECU  million) 

FOLLOWING 
FINANCIAL 
YEAR 
(97) 
(ECU  million) 

1998 

1999 

2000 

2001 

5.2. 

6.0. 

6.1. 

6.2. 

6.3. 

METHOD  OF  CALCULATION: 
Expenditure  for  tomato  processing  in the  1996/97 marketing year  is estimated  at ECU  361 million.  The  amount  of the 
aid being 2% of that  sum, the cost of the measure  is: 
ECU  361 million  x 2% x 80% x  1.034  (DT) «  ECU  5.97  million 

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 

YES 

NO 

YES 

OBSERVATIONS  The  1997 draft  budget  includes an appropriation  corresponding  to that  amount. 

ISSN 0254-1475 

COM(96) 505 final 

DOCUMENTS 

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03 

Catalogue number  : CB-CO-96-507-EN-C 

ISBN 92-78-09981-3 

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