Council Regulation (EC) No 1256/1999 of 17 May 1999 amending Regulation (EEC) No 3950/92 establishing an additional levy in the milk and milk products sector
Date: 1999-05-17
Institutions: Council of the European Union
Subjects: agricultural levy, milk, regulation of agricultural production

26.6.1999

EN

Official Journal of the European Communities

L 160/73

COUNCIL REGULATION (EC) No 1256/1999

of 17 May 1999

amending Regulation (EEC) No 3950/92 establishing an additional levy in the milk and
milk products sector

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European
Community, and in particular Article 37 thereof,

Having
regard
Commission (1),

to

the

proposal

from the

Having regard to the opinion of
Parliament (2),

the European

Having regard to the opinion of the Economic and
Social Committee (3),

Having regard to the opinion of the Committee of the
Regions (4),

Having regard to the opinion of
Auditors (5),

the Court of

(1) Whereas, pursuant to Council Regulation (EEC)
No 3950/92 of 28 December 1992, establishing
an additional levy in the milk and milk products
sector (6), the additional levy scheme, which had
originally been introduced from 2 April 1984 in
the said sector, was extended by another seven
12-month periods; whereas the purpose of this
scheme was to reduce the imbalance between
supply and demand on the milk and milk-
products market and the resulting structural
surpluses; whereas the scheme remains necessary
in the future in order to achieve a better market
balance; whereas it should therefore continue to
be
consecutive
12-month periods starting on 1 April 2000;

applied

further

eight

for

(2) Whereas the level of price support in the dairy
sector will be gradually reduced by 15 % in total
over three marketing years from 1 July 2005;

(1) OJ C 170, 4.6.1998, p. 60.
(2) Opinion delivered on 6 May 1999 (not yet published in

the Official Journal).

(3) OJ C 407, 28.12.1998, p. 203.
(4) OJ C 93, 6.4.1999, p. 1.
(5) OJ C 401, 22.12.1998, p. 3.
(6) OJ L 405, 31.12.1992, p. 1. Regulation as last amended
by Commission Regulation (EC) No 751/1999 (OJ L 96,
10.4.1999, p. 11).

whereas the effects of this measure on internal
consumption and export of milk and milk
products justify a well balanced increase in the
total
the
Community following the respective price cuts
on the one hand and targeting certain structural
problems at an earlier stage on the other;

for milk

reference

quantity

in

(3) Whereas the individual reference quantity should
be defined as the quantity available, irrespective
of
any quantities which may have been
transferred temporarily, on 31 March 2000, the
expiry date of the seven periods of application of
the
following its prolongation
decided in 1992;

levy scheme

the

can prevent

(4) Whereas the underuse of reference quantities by
producers
sector of milk
production from developing properly; whereas in
order to avoid such practices Member States
in
the possibility
should have
general principles of
accordance with the
Community law that,
in cases of substantial
underuse over a significant period of time, the
unused reference quantities will revert
to the
national reserve with a view to their reallocation
to other producers;

to decide

(5) Whereas in order to strengthen the possibilities
for decentralised management of
reference
quantities for restructuring of milk production or
environmental
States
should be given the power to implement certain
the appropriate
provisions in that context at
territorial level or in collection areas;

improvement Member

(6) Whereas the experience with the additional levy
scheme has shown that the transfer of reference
quantities through legal constructions such as
leases which do not necessarily lead to a
permanent allocation of the reference quantities
concerned to the transferee, can be an additional
cost factor for milk production hampering the
improvement of production structures; whereas,
in order to strengthen the reference quantities’
character as a means of regulating the market of
the Member States
milk and milk products,
should be authorised to allocate
reference
quantities, which have been transferred through
leases or comparable legal means, to the national
re-distribution, on the basis of
reserve

for

L 160/74

EN

Official Journal of the European Communities

26.6.1999

to

the

active

criteria,

producers

individual

transfer of

to organise

objective
in
particular to those who have used them before;
whereas Member States should also have the
right
reference
quantities in a different way than by the means
transactions between producers;
of
whereas
in
particular with a view to taking account
adequately of existing legal rights, that, when
using these authorisations, Member States are to
take the necessary measures to comply with the
general principles of Community law;

should be explicitly provided,

it

non-transferable and used exclusively on behalf of
producers whose right
to take up production
again will be affected as a result of accession.

increase

The
in overall quantities, and the
conditions under which the individual reference
quantities
preceding
for
subparagraph shall be granted, shall be decided
upon in accordance with the procedure referred to
in Article 11.’

provided

the

in

(7) Whereas a certain number of provisions

in
Regulation (EEC) No 3950/92 have become
obsolete and should therefore be deleted,

4. Article 3(3) shall be deleted.

5. Article 4 shall be replaced by the following:

(cid:28)Article 4

HAS ADOPTED THIS REGULATION:

Article 1

Regulation (EEC) No 3950/92 is hereby amended as
follows:

1. Article 1, first subparagraph shall be replaced by

the following:

(cid:28)For eight new consecutive periods of 12 months
commencing on 1 April 2000, an additional levy
shall be payable by producers of cow’s milk on
quantities of milk or milk equivalent delivered to
a purchaser or sold directly for consumption
during the 12-month period in question in excess
of a quantity to be determined.’

1.
The individual reference quantity available
on the holding shall be equal to the quantity
available on 31 March 2000. It shall be adjusted,
the periods
where appropriate,
concerned, so that
the individual
reference quantities of the same type does not
quantities
exceed
referred to in Article 3, taking account of any
reductions made for allocation to the national
reserve provided for in Article 5.

for
the sum of

corresponding

each of

global

the

Individual

reference quantities

shall be
2.
increased or established at
the duly justified
request of producers to take account of changes
affecting their deliveries and/or direct sales. The
increase or establishment of such a reference
quantity shall be subject
to a corresponding
reduction or cancellation of the other reference
quantity the producer owns. Such adjustments
may not lead to an increase in the sum of the
deliveries and direct sales referred to in Article 3
for the Member State concerned.

2. The table in Article 3(2) shall be replaced by the

table in Annex I to this Regulation.

3. Article 3(2) shall be replaced by the following:

Where the individual reference quantities undergo
a definitive change, the quantities referred to in
Article 3 shall be adjusted in accordance with the
procedure laid down in Article 11.’

(cid:28)2.
The total quantities set out in the Annex
shall be fixed without prejudice to possible review
in the light of the general market situation and
particular conditions existing in certain Member
States.

The overall quantity for the Finnish deliveries
quota may be increased to compensate Finnish
“SLOM” producers, up to a maximum of
200 000 tonnes, to be allocated in accordance
with Community legislation. This reserve must be

6. Article 5 shall be replaced by the following:

(cid:28)Article 5

Within the quantities referred to in Article 3, the
Member State may replenish the national reserve
following an across-the-board reduction in all the
individual reference quantities in order to grant
additional or
to producers
specific quantities
determined in accordance with objective criteria
agreed with the Commission.

26.6.1999

EN

Official Journal of the European Communities

L 160/75

to Article 6(1),

reserve and may be

Without prejudice
reference
quantities available to producers who have not
marketed milk or other milk products for one of
the 12-month periods shall be allocated to the
reallocated in
national
accordance with the first subparagraph. Where
the producer resumes production of milk or other
milk products within a period to be determined
by the Member State, he shall be granted a
reference quantity in accordance with Article 4(1)
no later than 1 April following the date of his
application.

Where during at least one 12 months period a
producer does not make use, either
through
deliveries or direct sales, of at least 70 % of the
individual reference quantity available to him,
Member States may decide in compliance with the
general principles of Community law:

to the national

— whether and under which conditions the total
or part of the unused reference quantity shall
revert
reserve. However,
unused reference quantities shall not revert to
the national reserve in case of force majeure
and in duly justified cases affecting the
production
producers
concerned and recognised by the competent
authority;

capacity

the

of

— under which conditions a reference quantity
producers

reallocated

the

to

be

shall
concerned.’

7. Article 6(1), first subparagraph shall be replaced

by the following:

Before a date that they shall determine and
(cid:28)1.
by 31 March at the latest, Member States shall
for the 12-month period concerned,
authorise,
temporary
reference
of
quantities which producers who are entitled
thereto do not intend to use.’

individual

transfers

8. Article 7(1) shall be replaced by the following:

lease or

(cid:28)1.
Reference quantities available on a holding
shall be transferred with the holding in the case of
transfer by inheritance to the
sale,
producers
in accordance with
detailed rules to be determined by the Member
States taking account of the areas used for dairy

taking it over

production or other objective criteria and, where
applicable, of any agreement between the parties.

Any part of the reference quantity, which is not
transferred with the holding, shall be added to the
national reserve. However, if a part reverted to
the national reserve on the occasion of a transfer
of reference quantities the reduction shall not
apply to cases where reference quantities are
transferred back.

The same provisions shall apply to other cases of
transfers involving comparable legal effects for
producers.

carried out

However, where land is transferred to public
authorities and/or for use in the public interest, or
where
for non-
the
transfer
is
shall
purposes, Member
agricultural
provide that the measures necessary to protect the
legitimate interests of the parties are implemented,
and in particular that the departing producer is in
a position to continue milk production, if such is
his intention.’

States

9. Article 8 shall be replaced by the following:

(cid:28)Article 8

With a view to completing restructuring of milk
production or
improvement,
to environmental
Member States may take one or more of the
following actions in accordance with detailed
rules which they shall lay down taking account of
the legitimate interests of the parties:

(a) grant compensation in one or more annual
instalments to producers who undertake to
abandon definitively all or part of their milk
production and place the reference quantities
thus released in the national reserve,

a

of

12-month

at
period,

(b) determine on the basis of objective criteria
the conditions under which producers may
the
obtain,
in return for payment,
beginning
the
reallocation by the competent authority or by
the body designated by that authority, of
reference quantities released definitively at
the end of the preceding 12-month period by
other producers in return for compensation
in one or more annual instalments equal to
the abovementioned payment,

L 160/76

EN

Official Journal of the European Communities

26.6.1999

(c) provide, in the case of land transferred with a
view to improving the environment, for the
allocation of the reference quantity available
on the holding concerned to the departing
continuing milk
intends
producer
production,

if he

(d) determine, on the basis of objective criteria,
the regions or collection areas within which
the definitive transfer of reference quantities
without transfer of the corresponding land is
authorised, with the aim of improving the
structure of milk production,

(e) authorise, upon application by the producer
to the competent authority or
the body
designated by that authority, the definitive
reference quantities without
transfer of
the corresonding land, or vice
transfer of
versa, with the aim of
improving the
structure of milk production at the level of
the holding or to allow for extensification of
production.

(c) and (e) may be
(b),
The rules under (a),
the
or
national
implemented
appropriate territorial level or in collection areas.’

level

at

at

10. The following shall be inserted after Article 8:

(cid:28)Article 8a

or

by

other means

leases
involving
comparable legal effects, Member States may
decide on the basis of objective criteria
whether and under which conditions all or
the transferred reference quantity
part of
shall revert to the national reserve.

This provision shall not apply to temporary
transfers under Article 6.

(b) Member States may decide not to apply the
provisions on transfer of reference quantities
in Article 7(1).’

11. The Annex set out in Annex II to this Regulation
is hereby added to Regulation (EEC) No 3950/92.

Article 2

Where transitional measures are necessary to facilitate
the implementation of the amendments provided for in
Article 1, they shall be adopted in accordance with the
procedure referred to in Article 11 of Regulation
(EEC) No 3950/92.

Article 3

The Council undertakes to conduct a mid-term review
in 2003, on the basis of a Commission report, with
the aim of allowing the present quota arrangements to
run out after 2006.

Acting in compliance with the general principles
of Community law, Member States may take the
following measures, with the aim of ensuring that
reference quantities are solely attributed to active
milk producers:

Article 4

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

(a) Without prejudice to Article 7(1), second
subparagraph, where
reference quantities
have been or are transferred with or without
the corresponding land by means of rural

It shall apply from 1 April 2000, save for Article 1,
point 2, which shall apply from the date of entry into
force thereof.

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

Done at Brussels, 17 May 1999.

For the Council

The President

K.-H. FUNKE

26.6.1999

EN

Official Journal of the European Communities

L 160/77

ANNEX I

(cid:28)Total reference quantities as applicable from 1 April 1999 to 31 March 2000

Member States

Deliveries

Direct sales

(in tonnes)

Belgium

Denmark

Germany

Greece

Spain

France

Ireland

Italy

3 140 696

169 735

4 454 640

708

27 767 036

97 780

629 817

5 457 564

23 793 932

5 236 575

696

109 386

441 866

9 189

9 698 399

231 661

Luxembourg

268 098

951

Netherlands

10 991 900

82 792

Austria

Portugal

Finland

Sweden

2 543 979

205 422

1 835 461

2 394 528

3 300 000

37 000

10 000

3 000

United Kingdom 14 373 969

216 078’

L 160/78

EN

Official Journal of the European Communities

26.6.1999

ANNEX II

(cid:28)ANNEX

(a) Total reference quantities referred to in Article 3(2) as

(c) Total reference quantities referred to in Article 3(2) as

applicable from 1 April 2000 to 31 March 2001

applicable from 1 April 2002 to 31 March 2005

(in tonnes)

(in tonnes)

Member States

Deliveries

Direct sales

Member States

Deliveries

Direct sales

Belgium
Denmark

Germany

Greece
Spain

France

Ireland
Italy

Luxembourg

Netherlands
Austria

Portugal

Finland
Sweden

3 140 696
4 454 640

27 767 036

674 617
5 807 564

23 793 932

5 332 575
10 082 399

268 098

10 991 900
2 543 979

1 835 461

2 394 528
3 300 000

United Kingdom

14 386 577 (*)

169 735
708

97 780

696
109 386

441 866

9 189
231 661

951

82 792
205 422

37 000

10 000
3 000

216 078

Belgium

Denmark

Germany

Greece

Spain

France

Ireland

Italy

Luxembourg

Netherlands

Austria

Portugal

Finland

Sweden

3 140 696

4 454 640

27 767 036

699 817

6 007 564

23 793 932

5 386 575

10 298 399

268 098

10 991 900

2 543 979

1 835 461

2 394 528

3 300 000

(*) Specific quota increase for allocation to Northern Ireland.

United Kingdom

14 393 669

169 735

708

97 780

696

109 386

441 866

9 189

231 661

951

82 792

205 422

37 000

10 000

3 000

216 078

(b) Total reference quantities referred to in Article 3(2) as

(d) Total reference quantities referred to in Article 3(2) as

applicable from 1 April 2001 to 31 March 2002

applicable from 1 April 2005 to 31 March 2006

(in tonnes)

(in tonnes)

Member States

Deliveries

Direct sales

Member States

Deliveries

Direct sales

Belgium
Denmark

Germany

Greece
Spain

France

Ireland
Italy

Luxembourg

Netherlands
Austria

Portugal

Finland
Sweden

3 140 696
4 454 640

27 767 036

699 817
6 007 564

23 793 932

5 386 575
10 298 399

268 098

10 991 900
2 543 979

1 835 461

2 394 528
3 300 000

United Kingdom

14 393 669 (*)

169 735
708

97 780

696
109 386

441 866

9 189
231 661

951

82 792
205 422

37 000

10 000
3 000

216 078

Belgium

Denmark

Germany

Greece

Spain

France

Ireland

Italy

Luxembourg

Netherlands

Austria

Portugal

Finland

Sweden

3 157 248

4 476 917

27 906 360

699 817

6 007 564

23 915 111

5 386 575

10 298 399

269 443

11 047 273

2 557 726

1 844 823

2 406 551

3 316 515

(*) Specific quota increase for allocation to Northern Ireland.

United Kingdom

14 466 619

169 735

708

97 780

696

109 386

441 866

9 189

231 661

951

82 792

205 422

37 000

10 000

3 000

216 078

26.6.1999

EN

Official Journal of the European Communities

L 160/79

(e) Total reference quantities referred to in Article 3(2) as

(f) Total reference quantities referred to in Article 3(2) as

applicable from 1 April 2006 to 31 March 2007

applicable from 1 April 2007 to 31 March 2008

(in tonnes)

(in tonnes)

Member States

Deliveries

Direct sales

Member States

Deliveries

Direct sales

Belgium

Denmark

Germany

Greece

Spain

France

Ireland

Italy

Luxembourg

Netherlands

Austria

Portugal

Finland

Sweden

3 173 800

4 499 193

28 045 684

699 817

6 007 564

24 036 290

5 386 575

10 298 399

270 788

11 102 647

2 571 473

1 854 186

2 418 573

3 333 030

United Kingdom

14 539 569

169 735

708

97 780

696

109 386

441 866

9 189

231 661

951

82 792

205 422

37 000

10 000

3 000

216 078

Belgium

Denmark

Germany

Greece

Spain

France

Ireland

Italy

Luxembourg

Netherlands

Austria

Portugal

Finland

Sweden

3 190 352

4 521 470

28 185 008

699 817

6 007 564

24 157 469

5 386 575

10 298 399

272 134

11 158 020

2 585 220

1 863 548

2 430 596

3 349 545

169 735

708

97 780

696

109 386

441 866

9 189

231 661

951

82 792

205 422

37 000

10 000

3 000

United Kingdom

14 612 520

216 078’