Communication from the Commission to the Council - Action programme to promote milk consumption in the Community and expand the markets for milk and milk products: 1997/98 milk year
Date: 1997-07-18
Institutions: European Commission
Subjects: action programme, consumption, market enlargement, milk, milk product

COMMISSION  OF THE  EUROPEAN  COMMUNITIES 

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Brussels,  18.07.1997 
C.'()M(97)377  final 

COMMUNICATION  FROM  THE  COMMISSION  TO  THE  COUNCIL 

Action  programme to promote milk consumption  in the  Community 
and expand  the markets for milk and milk products:  1997/98 milk year 

COM MISSION  COMMUNICATION  TO THE  COUNCIL 

Action  programme to promote  milk consumption  in the  Community 
and  expand  the markets for milk and  milk products:  1997/98 milk year 

SUBJECT 

Article  1(2)  of Council  Regulation  (EEC)  No  2073/92 '  lists  in  full  the  measures  that 
may  be  adopted  by  the  Commission  in  order  to  promote  milk  consumption  in  the 
Community and expand the markets in milk and milk products. 

Article  2  of  the  Regulation  requires  the  Commission  to  notify  the  Council  before 
1 April of the action  programme it plans for the forthcoming  marketing year. 

Article  2  of  Commission  Regulation  (EC)  No  3582/93^  requires  the  programme  to 
specify  a  choice  of  one  or  more  of  the  measures  listed  in  Regulation  (EEC1) 
No 2703/92,  indicate  the  subjects  to  be  covered  by  the  action  under  these  measures, 
give a breakdown  of the amount  available  for  financing  action  under  the  measures  and 
set a timetable  for the procedures  for  consideration  and  selection  of the applications  for 
financing. 

This communication  is in six parts: 

summary of the results of previous campaigns, 
strategy for the  1997/98 marketing year; 
monitoring 
resources for the  1997/98 campaign 
presentation  of proposals, 
procedure for  processing and  selecting applications. 

II 

SUMMARY  OF THE  RESULTS  OF THE  1994/95 CAMPAIGN 

The  latest  reports  available  relate  to  the  1994/95  campaign.  The  1995/96  campaign  began  in 
May/June  1996.  The final  reports will be submitted  to the Commission  in  September/October 
1997.  As  far  as  the  1996/97  campaign  is  concerned,  the  contracts  were  signed  in  June  1997 
and the actions are not yet  executed. 

In  1994/95, five  countries (Germany,  Ireland,  Greece,  Italy and  the  United  Kingdom)  used  the 
traditional  media  of  the  press  and  television.  In  the  United  Kingdom,  for  example,  the 
campaign,  which  employed  two  commercials  and  the  press  in  its  media  support,  was  highly 
successful.  Milk  consumption  grew by 8%  among  infants  aged  up to two  years  and by  5%  for 

O J N o L 2 1 5,  30.7.1992,  p. 67. 
O J N o L 3 2 6,  28.12.1993,  p. 23. 

children  aged  between  2  and  4  years.  Economic  analysis  predicts  future  sales  of  an  extra  7.4 
million  litres  of  milk  over  the  next  two  years.  Awareness  of  the  benefits  of  milk  has  also 
increased  substantially.  In  Germany,  milk  consumption  increased  by  4.1% and  demand  from 
households also increased. 

Three  countries  (Belgium,  France  and  Denmark)  organised  sporting  events.  Assessments 
suggest  that these are an excellent  way of drawing the attention  of young  people to  milk. They 
place  the  product  in  a  sporting  context  attractive  to  young  people  while  sending  a  positive 
message  about  the benefits  of  milk.  Several  thousand  active  contacts  were  formed  in this  way 
and the activities were noticed  in a number of daily papers and on television. 

Integrated  campaigns  were  organised  in  Portugal  and  Spain.  There  can  be  no  doubt  that 
promotional  campaigns  helped  boost  the  consumption  of  pasteurised  milk,  for  example  by 
23%  in  Spain  during  the  first  nine  months  of  1995.  The  campaigns  included  publicity,  public 
relations  and  activities.  The  'milk  and  health'  week  in  Spain  attracted  84  000  potential 
consumers.  In  Portugal,  one  of  the  three  main  strands  was  a  'milk  caravan'  which  visited  31 
beaches and established  44 500 active contacts. 

The  scientific  information  made  available  to  all  the  Member  States  by  CERIN  in  France  is 
being  consulted  more frequently.  This database,  which  is updated  daily,  is a very valuable  tool 
for information  on scientific  data. 

HI 

STRATEGY  FOR THE  1997/98 CAMPAIGN 

Action  in  1997/98  must  fit  into  a  comprehensive  promotion  strategy  based  on  the  experience 
of previous years. 

During  1996/97,  four  different  kinds  of  programmes  designed  to  boost  consumption  of  milk 
and  milk  products  and  aimed  principally  at  young  people  aged  between  15  and  25  are  being 
carried  out  in  14 Member  States.  In  11 Member  States  (Belgium,  Denmark,  France,  Greece, 
Ireland,  the  Netherlands,  Austria,  Spain,  Finland,  Sweden  and  the  United  Kingdom),  the 
programmes  are,  wholly  or  in  part,  a  continuation  and  development  of  the  programmes 
implemented  in  1994/95 and  1995/96. 

With three exceptions (two of the French  programmes  and one of the Dutch programmes),  the 
programmes accepted  in  1996/97 are primarily targeted  at young people under 25 years. 

1. 

2. 

3. 

Traditional  press and/or TV:  Austria,  Ireland, Greece and  Italy; 

Activities such as sport  activities, Milk Days, competitions and other activities aimed 
at young people: Belgium, France, Germany, the Netherlands.  France and  Germany 
have reinforced  their  programmes by making  use of the media. 

Integrated  campaigns  (advertising,  information,  public relations,  sport  and/or  other 
activities): the United  Kingdom,  Sweden, Finland, Portugal,  Spain and  Denmark 

2-

4. 

Programmes aimed at providing information  about the nutritional qualities of milk: 
France (two programmes)  and the Netherlands. 

These  programmes,  100%  financed  by  the  Community,  are  in  most  cases  running  parallel  to 
national  campaigns  financed  from  'compulsory  contributions'  that  have  replaced  the  co-
responsibility  funds.  In  some  Member  States  (Spain,  Portugal,  Italy  and  Greece)  these 
contributions  do  not  exist,  hence  the  need  to  expand  action  closer  to  the  market,  while  in 
others  action  can  be targeted  upstream  and  carry  an essentially  nutritional  message.  Great  care 
must,  however,  be taken to ensure that the message transmitted  is scientifically  justified. 

It will be easily understood  that  whatever  its apparent  economic  interest  a single  pan-European 
campaign  is an  impossibility.  A diversified  strategy  must  therefore  be formulated  that  respects 
the characteristics of the various geographical  areas of consumption. 

As  in previous  years,  for  the  1997/98  campaign  the  measures  selected  must  fit  the  indications 
given  in Article  l(2)(a) and (c) of Regulation (EEC)  No 2073/92. 

1. 

Aims 

Total  consumption  of milk  and  milk  products  decreased  slightly  in  1996 (provisional  results). 
For example, the consumption  in terms of kilograms per capita decreased  from  76,1  kg in  1995 
to  75,4  kg  in  1996.  This  was  mainly  due  to  the  fact  that  the  consumption  of  whole  milk 
decreased  by 8%.  However,  consumption  of semi-skimmed  milk and  skimmed  milk  increased. 

The  average  total  consumption  of  milk  and  milk  products  in  the  Community  in  whole-milk 
equivalent terms have increased from 306 kg per head in  1990 to 315 kg per head in  1995. The 
consumption  rates range  from  163 kg per  head  in Portugal  - an  increase with  two  kg/year  per 
head  compared  to  the  previous year  - to  422  kg  per head  in Finland  - a decrease  from  430  kg 
per  head  in  1994.  It  should  be  noted  that  the  consumption  of  milk  products  in  whole  milk 
equivalent  terms  in the Community  between  1990 and  1995  decreased  in the Netherlands,  the 
United  Kingdom,  Denmark,  Italy,  Ireland,  Austria,  Finland  and  Sweden,  whereas  the 
consumption  increased  in  Germany,  Greece,  Spain  and  Portugal,  while  remaining  stable  in 
France, Belgium  and Luxembourg  (Annex  1). 

With  reference  to  the  European  Commission's  working  document  'Situation  and  Outlook  in 
the  Dairy  sector'  published  in  May  1997,  cow  milk  production  is forecast  to  decrease  slightly 
every year  in the medium term  -  from  121,6 mio t in  1996 to  around  119,4 mio t in 2001  and 
around  118,1 mio tin  2005. 

The  main  aim  of the  1997/98  campaign  will  be  to  increase  total  average  consumption,  i.e.  to 
halt  the  decline  in  high-consumption  Member  States  and  boost  its  rise  in  those  where 
consumption  is  low.  Given  the  specific  characteristics  of  the  markets,  these  aims  will  be 
attainable by spotlighting various positive aspects of milk products,  particularly their  nutritional 
qualities. 

3, 

2. 

Targets 

As  in  previous  years,  the  under-25s  (without  regard  to  income)  will  be  the  main  target.  The 
idea  is that  milk  should  no  longer  be  something  they  are given  to  drink  but  a drink  chosen  by 
this fairly  socially undifferentiated  age group. 

Certain  specific  population  segments  considered  at  high  nutritional  risk  (pregnant  women, 
young  children,  old  people,  immigrants)  are  secondary  targets  to  whom  the  nutritional  aspect 
(calcium and vitamins) is relevant. 

3. 

Choice of subject 

As  in  1994/95,  1995/96 and  1996/97,  the  proposals  selected  will  be  concerned  with  either  or 
both: 

nutrition,  milk and/or milk products  as a healthy food  providing  calcium  and vitamins, 
the lack of which can lead to serious  deficiencies, 

a  modern  image  for  milk  and  the  pleasure  aspect:  milk  and/or  milk  products  as 
perfectly  adapted  to current consumer trends while remaining pure  and  natural; also  as 
a source of pleasure chiming with current values and tastes. 

Extension  to  milk  products  is permitted  on  condition  that  they  are  not  specified:  the  products 
promoted  will be liquid  milk and/or all milk  products. 

IV 

MONITORING 

Since this campaign  is under indirect  management,  the national  contracting  body  is  responsible 
for  monitoring the measures envisaged  in the programme (Articles 7 and  8 of Regulation  (EC) 
No 3582/93).  To  this end,  the competent  body  will receive,  with  a view to  payment,  quarterly 
invoices  accompanied  by  supporting  documents  and  an  interim  report  on  performance  of  the 
contract  along  with  a  request  for  the  balance  accompanied  by  supporting  documents,  a 
statement  summarising  measures  carried  out  and  a  report  assessing  the  results  achieved.  The 
competent  body  must  take  the  necessary  measures  to  verify  the  accuracy  of  the  information 
and  documents  provided  and  fulfilment  of all contractual  obligations,  in particular by means  of 
technical,  administrative  and  accounting  checks  on  the  premises  of the  contracting  parties  and 
any  associates they may have. 

The Commission  may, if necessary,  carry  out  accounting  and  on-site  checks on the premises  of 
the contracting  parties and any associates they may have. 

M 

V 

RESOURCES  FOR THE  1997/9X CAMPAIGN 

The total budget  of ECU  8,765,521  in  1996/97 was used as follows: 

Traditional  media 

59,8% of which: 

TV 
press 
radio 
others' 

37,4% 
17,0%o 
4,9% 
0,5% 

Materials4 
7,5% 
Traditional  Public Relations 
3,1% 
Sport activities, Milk Week  etc.  19,6% 
Other activities5 
5,7% 
Personnel6 
3,7% 
1,0% 
Overheads 

Compared  to  the  1995/96  campaign,  the  spending  on  traditional  media  has  decreased,  while 
especially  sports  and  other  activities  have  increased.  In  addition,  the  post  'personnel'  has 
decreased.  This  is  partly  due  to  the  fact  that  agencies  are  now  executing  some  of  the  work 
which  in  the  past  was  carried  out  by  the  contractor  and  thus  appeared  under  the  heading 
'personnel'.  Another  explanation  of the decrease  in the post  'personnel'  is that  the  contractor, 
because  of budgetary  constraints,  has  been  obliged  to  bear  the  personnel  costs  by  itself,  i.e.  it 
has  not  been  included  in  the  budget  financed  by  the  EC.  However,  the  figures  prove  that  the 
guidelines given  in point  V of the Commission  communication  on the  1996/97 campaign  have 
by and  large been  followed. 

In  1997/98,  assuming  an  appropriation  of  ECU  10 million  in  the  1998  budget  for  promotion 
campaigns in the  milk  sector,  the  appropriation  under the headings  'personnel'  and  'overhead' 
should  be  kept  at  a  minimum  so  that  the  appropriations  for  the  other  resources  can  be 
increased.  Assessments  of previous  campaigns  indicate very  good  results  for  sports  and  other 
activities  aimed  at  strengthening  the  link  between  milk  products  and  attributes  such  as 
'activity',  'energy',  'health',  'freshness'  and  'fun'.  In  this  context  it  is  important  to  underline 
that  the  activity  must  be used  as an  instrument  to  promote  milk  consumption,  i.e.  there  must 
be  a  clear  connection  and  a  natural  relationship  between  the  activity  in  question  and  milk 
products.  The  activities  arranged  should  preferably  be  combined  with  traditional  PR-activities, 
tastings  etc.  In  addition,  assessments  of  previous  campaigns  do  indicate  good  results  for 
publicity  and  awareness  activities.  As  a  result,  the  applicants  are  encouraged  to  develop 
programmes using sport  and/or  other activities (such  as Milk Days) and/or publicity as a means 
to  promote  the  consumption  of  milk  products.  In  this  respect,  it  should  be  stressed  that  in 
future  publicity  or  promotion  activities linked  to  mail-order  sales or  sales by  radio  or  television 
should  be  excluded  from  financing.  Point-of-sale  promotions  should  also  be  treated  with 
caution  in case commercial  brands are thereby  favoured. 

3  Internet,  Billboards 
4 Publishing,  Leaflets  etc 
5 Database  on  scientific  aspects  of milk  products,  medical  visits  etc 
6  Agency  fees,  partly  and  indirectly  comprising  personal  costs  not  included 
7O J N o C 2 2 6,  3.8.1996,  p. 9. 

VI 

PRESENTATION  OF  PROPOSALS 

Proposals must include the following  sections. 

1. 

2. 

3. 

4. 

5. 

6. 

7. 

Specification  of  the  aims,  targets  and  means  proposed  showing  how  they  fit  into  the 
general  strategy set out in II above. 

A preliminary cost-effectiveness  analysis of the proposal  (as set out  in the Annex  to 
this notice) 

The  proposal  shall  include  a detailed  proposal  on  how  the  results  of  the 
programme  will be  assessed  ex  post.  This  description  shall  include  information 
on  the  actions to  be  evaluated,  the  evaluation  methods  to  be  used  as well  as a 
budget.  The  costs  for  the  said  assessment  study  are  to  be  included  in the  overall 
budget.  The  indépendant  evaluator  is to  be  selected,  prior  to  the end  of  the 
contract,  by the  competent  authority  after  prior  approval  by the Commission.  The 
selection  is to  be made  on the basis  of not  less than  three  proposals  submitted  by 
the  contractor. 

A clear  and  detailed  budget,  expressed  in ECU.  The budget  shall  contain  detailed 
information  on  all the  activities  proposed.  In the case  of publicity  campaigns,  a 
provisional  media  plan  including  the foreseen  coverage,  the  cost  per 
spot/advertisement  and  the  agency  fees  shall  be  presented.  As  far  as  personnel 
costs  are concerned,  the  cost  per  hour,  the  number  of  persons  working  and  the 
duration  of the  action  shall  be  presented  for  each  activity  and  for  each  category 
of staff.  As  many  details  as possible  shall  be  provided  regarding  all  other 
activities.  For  example,  in the  case  of production  of leaflets:  the  cost  per  unit  and 
the  number  of units which  are to  be  produced. 

A commitment  to  convey  exclusively  positive  messages  and  not  to  make  comparisons 
with other products. 

A  commitment  not  to  use  publicity  messages  associated  with  the  sale  of  products  by 
mail-order and/or radio or television (tele-sales). 

A commitment  to  submit  a report  assessing  the  results  of the  programme  prepared  by 
an independent body in accordance with 2 above. 

The action  proposed  must  of course  conform  with  the  provisions  of Article 3(2) of  Regulation 
(EC) No 3582/93. 

VII 

PROCEDURE  FOR CONSIDERING  AND  SELECTING  APPLICATIONS 

1. 

By the 30  September  1997,  proposals  , including a summary,  must be submitted  to  the 
competent bodies in triplicate 

By  the  3 1  October  1997,  all  proposals  will  be  forwarded  to  the  Commission  in 
duplicate  accompanied  by  a  reasoned  opinion  drawn  up  by  the  competent  body.  This 
opinion will list the proposals in order of priority. 

3. 

The  Commission  will  draw  up  the  list  of  proposals  selected  and  notify  the  Member 
States. Priority will be given to projects  which: 

highlight the positive aspects ('qualities')  of milk and  milk  products, 

are  clearly  presented  and 
proposed  as well as a detailed  budget  expressed  in ECU. 

include  detailed  descriptions  of  the  activities 

respect the guideline on resources in chapter  V above, 

are justified  by  the  assessment  report  on  previous  campaigns  where  the  body 
concerned took part in those campaigns. 

Account will also be taken  of the preference  criteria  set  out  in Article  5(3) of Regulation  (EC) 
No 3582/93. 

VIII 

CONCLUSION 

The  first  three  years  of  application  of Regulation  (EC)  No 3582/93  allowed  the  development 
of  coherent  programmes  of  sufficient  diversity  to  reflect  the  specific  concerns  of  consumers. 
The  Commission  intends  to  pursue  this  approach  in  1997/98  and  will  endeavour  to  select 
proposals  which  offer  the  best  cost-effectiveness  relationship  and  promise  the  most  elfective 
synergy for durable consolidation  of the European  market  in milk and  milk  products. 

ANNEX 1 

CONSUMPTION  PER CAPITA OV MILK  AND MILK  PRODUCTS, 
IN WHOLE-MILK  EQUIVELENT TERMS. 

Germany 
France 
Italy 
Netherlands 
Belgium / Luxembourg 
United Kingdom 
Ireland 
Denmark 
Greece 
Spain 
Portugal 
Sweden 
Finland 
Austria 

1990 (in kg)  1994 (in kg)  1995 (in kg) 

362 
403 
285 
311 
367 
308 
360 
465 
189 
154 
145 
358 
460 
351 

375 
399 
274 
277 
368 
274 
342 
405 
197 
170 
161 
347 
430 
340 

379 
401 
278 
285 
365 
283 
350 
420 
202 
170 
163 
405 
422 
334 

ANNEX II 

COST-EFFECTIVENESS ANALYSIS 

1. 

Specific quantifiable aims, target population 

Specific aims: links with general aim 

Target  population,  distinguishing  by  aim  if  appropriate,  specify  the  final 
the 
beneficiaries  of  the  spending  from 
intermediaries used. 

the  Community  budget  and 

2. 

Grounds of proposal 

Need for spending from Community budget 

Choice of action 
* 

advantages over alternative action (comparative advantages) 

* 

analysis of similar projects mounted at Community or national level 

Main uncertainty factors affecting  specific achievements of project 

3. 

Monitoring and evaluation of project 

Performance indicators 
* 

output indicators (measurement of activity deployed) 

* 

impact indicators (by aim pursued) 

Details and frequency of evaluation planned 

Assessment of results obtained. 

3 

ISSN 0254-1475 

COM(97) 377 final 

DOCUMENTS 

EN 

03  10 

Catalogue number  :  CB-CO-97-373-EN-C 

ISBN  92-78-22851-6 

Office  for Official  Publications of the European Communities 

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