2000/808/EC: Council Decision of 19 December 2000 on the granting of exceptional national aid by the authorities of the Federal Republic of Germany for the distillation of certain wine sector products
Date: 2000-12-19
Institutions: Council of the European Union
Subjects: Germany, Rhineland-Palatinate, State aid, application of EU law, distillation, wine

23.12.2000

EN

Official Journal of the European Communities

L 328/49

II

(Acts whose publication is not obligatory)

COUNCIL

COUNCIL DECISION

of 19 December 2000

on the granting of exceptional national aid by the authorities of the Federal Republic of Germany
for the distillation of certain wine sector products

(2000/808/EC)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European
Community, and in particular Article 88(2), third subpara-
graph, thereof,

Having regard to the request made by the Government of the
Federal Republic of Germany on 1 December 2000,

Whereas:

(1)

(2)

(3)

Article 29 of Council Regulation (EC) No 1493/1999 of
17 May 1999 on the common organisation of
the
market in wine (1) allows Community support for the
distillation of wines in order to support the wine market
and, as a consequence,
facilitate the continuation of
supplies of wine distillate.

In the Land of Rhineland Palatinate, three successive
wine-growing years with production below 6 million
hectolitres per annum, i.e. below the annual average of
7,1 million hectolitres over a 10-year period, followed
by three successive wine-growing years with harvests of
between 7 million and over 8 million hectolitres per
annum, have caused a significant drop in wine prices
since the autumn of 1998.

The German authorities are planning to grant excep-
tional aid for the distillation of a maximum quantity of
350 000 hectolitres of wine in that region, in order to
provide additional support for the measures applied by
the Community pursuant to Article 29 of Regulation
(EC) No 1493/1999, and notified the Commission of
this planned aid on 21 September 2000.

(1) OJ L 179, 14.7.1999, p. 1. Regulation amended by Commission

Regulation (EC) No 1622/2000 (OJ L 194, 31.7.2000, p. 1).

(4)

(5)

(6)

The Commission has not at this stage given an opinion
on the nature and compatibility of the aid.

Given the current situation on the wine market, with
abnormally low prices and no prospect of rapid and
sustainable recovery, the granting of aid of EUR 7,66
(DEM 15) per hectolitre,
in addition to the aid of
EUR 17,89 (DEM 35) per hectolitre already provided
for, (as a result of application of the measure referred to
in Article 29 of Regulation (EC) No 1493/1999),
is
intended to offset this imbalance. The additional aid and
the aid already provided for may be modulated
according to the alcohol content of the wine but may in
no circumstances exceed EUR 25,56 (DEM 50) in total.

Exceptional circumstances therefore exist, making it
possible to consider such aid, by way of derogation and
to the extent strictly necessary to remedy the imbalance
which has arisen, to be compatible with the common
market on the terms specified in this Decision,

HAS ADOPTED THIS DECISION:

Article 1

Exceptional additional aid by the German authorities for the
distillation of a maximum quantity of 350 000 hectolitres of
wine in the Land of Rhineland Palatinate, amounting to a
maximum of EUR 4,38 million (DEM 8,57 million), including
administrative expenditure, shall be considered to be compat-
ible with the common market.

L 328/50

EN

Official Journal of the European Communities

23.12.2000

This Decision is addressed to the Federal Republic of Germany.

Article 2

Done at Brussels, 19 December 2000.

For the Council

The President

J. GLAVANY