Commission Regulation (EC) No 1795/2002 of 9 October 2002 amending Regulation (EC) No 1623/2000 laying down detailed rules for implementing Regulation (EC) No 1493/1999 on the common organisation of the market in wine with regard to market mechanisms
Date: 2002-10-09
Institutions: European Commission
Subjects: aid system, common organisation of markets, vinification, viticulture

10.10.2002

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Official Journal of the European Communities

L 272/15

COMMISSION REGULATION (EC) No 1795/2002

of 9 October 2002

amending Regulation (EC) No 1623/2000 laying down detailed rules for implementing Regulation
(EC) No 1493/1999 on the common organisation of the market in wine with regard to market
mechanisms

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European
Community,

Having regard to Council Regulation (EC) No 1493/1999 of 17
May 1999 on the common organisation of the market in
wine (1), as last amended by Regulation (EC) No 2528/2001 (2),
and in particular Article 33 thereof,

Whereas:

(1)

(2)

(3)

(4)

Title III, Chapter II of Commission Regulation (EC) No
1623/2000 of 25 July 2000 laying down detailed rules
for implementing Regulation (EC) No 1493/1999 on the
common organisation of the market in wine with regard
to market mechanisms (3), as last amended by Regula-
tion (EC) No 1315/2002 (4), provides for an aid scheme
for the distillation of wine to produce potable alcohol.
The scheme was introduced for the first time in the wine
year 2000/01. Experience gained from the first
two
years of application indicate the need for adjustments.

The period during which distillation may take place
needs to be redefined to bring it more into line with the
production of wine in all producer Member States. For
the same reason there should be a continuous period for
the conclusion or approval of distillation contracts
instead of the two-week periods currently in force.

Experience from previous wine years has shown that
producers are making more use of subcontracted distilla-
tion; this results in a risk of disturbance on the alcohol
market since the minimum purchase price of the wine
cannot be verified. It is therefore necessary to stop that
opportunity by amending Article 65 of Regulation (EC)
No 1623/2000.

in certain Community regions,
However,
there are,
special production and market
including
structures,
distillery structures which were already identified by
European legislators when the compulsory distillation
scheme for by-products of wine-making was being intro-
duced. These are producers in wine-growing zone A, in
the German part of wine-growing zone B or in the areas
planted with vines in Austria who, for the identified
structural reasons, have been exempted from compul-
sory distillation.
those regions the rules
governing crisis distillation have had to be amended to
take account of the high costs of transport to the distil-
leries given their small number and geographical spread.
If there were no opportunity to use sub-contracted distil-

In one of

(1) OJ L 179, 14.7.1999, p. 1.
(2) OJ L 345, 29.12.2001, p. 10.
(3) OJ L 194, 31.7.2000, p. 45.
(4) OJ L 192, 20.7.2002, p. 24.

(5)

(6)

ling, producers in those regions would have practically
no access to the distillation of wine to make potable
alcohol. In order not to exclude those producers from
availing themselves of that Community measure, provi-
sion should be made for them to continue to use distil-
ling on a subcontracting basis.

It is also necessary to redefine the periods and condi-
tions for the storage of alcohol obtained from such
distillation, including the definition of the unit of meas-
the
urement
economic realities in the alcohol sector.

to take better account of

for the aid,

revealed certain omissions

Experience has
in the
wording of Regulation (EC) No 1623/2000, in particular
concerning the release of the security in the event that a
contract is not quite performed in its entirety, the dead-
line for aid applications and the introduction of a
margin of tolerance for the volume of distillation prod-
ucts stored. New provisions should be included in this
Regulation in order to remedy those omissions.

(7)

The measures provided for in this Regulation are in
accordance with the opinion of
the Management
Committee for Wine,

HAS ADOPTED THIS REGULATION:

Article 1

Regulation (EC) No 1623/2000 is hereby amended as follows:

1. Chapter II of Title III is replaced by the following:

‘CHAPTER II

OPTIONAL DISTILLATION

Article 63

Purpose

This chapter lays down the detailed rules for applying the
arrangements for distilling wine to produce potable alcohol
as referred to in Article 29 of Regulation (EC) No 1493/
1999.

Article 63a

Opening of distillation

1.
The distillation of table wine and wine suitable for
yielding table wine referred to in Article 29 of Regulation
(EC) No 1493/1999 shall be opened for the period from 1
October to 15 December each wine year, but
from 1
October to 30 December for the wine year 2002/03.

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Official Journal of the European Communities

10.10.2002

The volume of

table wine and wine suitable for
2.
yielding table wine for which each producer may sign
contracts shall be limited to a percentage to be specified of
his wine production declared during one of the last three
wine years including the production for the current year if
already declared. During a given year the producer may not
change the production year chosen as the reference for the
calculation of that percentage. For the wine year 2002/03
that percentage shall be 25 %.

The volume of table wine and wine suitable for yielding
table wine produced shall be only that given as wine in the
column headed “Table wines” in the declaration of quant-
ities produced referred to in Table C of Commission Regu-
lation (EC) No 1282/2001 (*).

3.
Each producer who, during the current wine year, has
produced table wine or wine suitable for yielding table
wine may conclude one or more contracts or make one or
more declarations as referred to in Article 65 of this regula-
tion. The contracts or declarations shall be accompanied by
evidence of the lodging of a security of EUR 5 per hecto-
litre. Such contracts or declarations may not be transferred.

4.
The Member States shall notify the Commission by
10 January of the current year at the latest of the total
volume covered by contracts or declarations submitted
under Article 65(1)
for distillation during the period
referred to in paragraph 1. However, for the wine year
2002/03 the above date shall be 15 January.

5.
If the quantities covered by contracts or declarations
notified to the Commission by the date referred to in
paragraph 4 exceed or may exceed the quantities corre-
sponding to available budget resources or are substantially
in excess of the absorption capacity of the potable alcohol
sector, the Commission shall set a single percentage for
acceptance of the quantities covered by the contracts or
declarations concerned. In that case, the security referred to
in paragraph 3 shall be released for the quantities notified
but not accepted.

The Member States shall approve such contracts or

6.
declarations between 25 January and 15 February:

— for the entire quantity if the Commission has not set
the reduction percentage referred to in paragraph 5,

— for the quantity resulting from application of the reduc-

tion percentage if one has been set.

However, for the wine year 2002/03 the above dates shall
be 1 February and 20 February.

The Member States shall notify the Commission of the total
volume under approved contracts by 20 March of the
current wine year at the latest.

Contracts or declarations submitted to the competent
authorities in the Member States but not notified to the
Commission pursuant to paragraph 4 cannot be approved.

Notwithstanding paragraph 5, the Member States may
7.
approve contracts or declarations before 25 January for a
quantity not exceeding 30 % of the quantity given in the
contracts or declarations. However, for the wine year 2002/
03 that percentage shall be 35 %.

8.
The amounts of wine to be supplied under contract
shall be delivered to a distillery by 15 July of the wine year
at the latest.

9.
The security referred to in paragraph 3 shall be
released in proportion to the quantities supplied when the
producer provides evidence of delivery to a distillery.
Where a contract is performed for at least 95 % of the
quantity for which it is concluded the security shall be
released in its entirety.

10.
The wine supplied to the distillery shall be distilled
by 30 September of the following wine year at the latest.

(*) OJ L 176, 29.6.2001, p. 14.

Article 64

Amount of aid and rules applying

The primary aid referred to in Article 29(4) of
1.
Regulation (EC) No 1493/1999, to be paid to distillers
or, in cases as referred to in Article 65(3) of this Regula-
tion, to producers for wine distilled under this chapter
in terms of alcoholic strength by volume
shall be fixed,
per hectolitre of product obtained from distillation, as
follows:

— EUR 1,751/% vol/hl

for raw alcohol, wine distillate

and spirits distilled from wine,

— EUR 1,884/% vol./hl for neutral alcohol.

Aid applications must be submitted to the competent
authority no later than 30 November of the following
wine year.

The competent authority shall pay the aid within three
months of the date of submission of the proof referred
to in Article 65(8) of this Regulation.

The

secondary aid for

2.
alcohol
obtained from distillation referred to in Article 29(6) of
Regulation (EC) No 1493/1999 shall be EUR 0,00042/
% vol/hl of product obtained from distillation per day.

storage of

the

Storage applications must be submitted to the competent
authority not later than one month before the date on
which storage is to begin. Applications may concern
only alcohol which has already been produced. They
shall state at least the quantity and the characteristics of
the product to be stored and the anticipated dates of the
beginning and end of storage.

Unless the competent authority objects within the above
one-month time limit, the date when storage is sched-
uled to begin shall be deemed to be the actual beginning
date.

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The secondary aid shall be paid solely to distillers and
only:

— for at least 100 hectolitres of product obtained from
distillation stored in containers of a capacity of at
least 100 hectolitres, and

— for no less than six months and no more than 12
months. From the seventh month, distillers who have
not claimed the advance referred to in Article 66 of
in
this Regulation may
advance by specifying the final date in a statement
addressed to the competent authority at
least one
month before the chosen date.

terminate

contract

the

The quantity of alcohol
for which a distiller may
conclude storage contracts during a given wine year may
not exceed the quantity of products obtained by that
this chapter during that
distiller by distillation under
wine year or one of the two years preceding it.

Distillation products eligible for storage contracts shall
have been obtained by the distiller himself during the
wine years referred to in the above paragraph or, where
applicable, during preceding wine years.

A margin of tolerance of 0,2 % per month calculated in
relation to alcohol content
the
stored volume of products obtained from distillation.
Where that percentage is not exceeded the aid shall
it is exceeded no aid shall be paid.
remain payable;

shall be allowed for

if

Aid applications must be submitted to the competent
authority no later than six months after the end of the
storage period. The Member States shall establish the
detailed rules for this.

The competent authority shall pay the secondary aid no
later than three months after the date on which the aid
application was submitted.

3.
Distillation products qualifying for aid under this
Article may not subsequently be bought in by the public
authorities. Should distillers nevertheless wish to sell their
alcohol to the public authorities, they must first reim-
burse the aid they have received.

As an exception, the first subparagraph shall not apply
to quantities of alcohol sold by public authorities under
programmes that do not interfere with traditional uses,
such as agrienvironmental programmes for the sale of
alcohol to the fuel sector.’

2. Article 65 is amended as follows:

Producers as referred to in paragraph 1 of this
‘3.
article who themselves possess distillation facilities
and who intend to carry out the distillation covered
by this chapter shall submit a declaration of delivery
for distillation, hereinafter referred to as the “declara-
tion”, to the competent authority for approval before
a date to be specified.

Producers in wine-growing zone A or in the German
part of wine-growing zone B or in areas planted with
vines in Austria as referred to in Article 27(7) of
Regulation (EC) No 1493/1999 may have the distilla-
tion referred to in this chapter carried out on the
premises of an approved distiller working on a
subcontracting basis. To that end they shall submit a
declaration of delivery for distillation, hereinafter
referred to as the “declaration”,
to the competent
authority for approval before a date to be specified.’

(b) In paragraph 7, the following sentence is added:

‘Member States may stipulate shorter time limits or
specific dates for the presentation of that proof to
the competent authorities.’

(c) In paragraph 8, the first subparagraph is replaced by

the following:

Distillers

‘8.
competent
forward
authority, within the time limit set by the Member
State:

shall

the

to

(a) details of the quantity, colour and actual alcoholic
strength by volume of the wine in each delivery
from whom they have
from each producer
received deliveries of wine,
together with the
number of the document provided for in Article
70 of Regulation (EC) No 1493/1999 used for
the transport of the wine to the distiller's prem-
ises;

(b) proof that the total quantity of wine stipulated in
the contract or declaration has been distilled
within the time allowed;

(c) proof

that

they have paid the producer

the
purchase price referred to in paragraph 6 within
the time allowed.’

Article 2

Entry into force

(a) In paragraph 3, the first subparagraph is replaced by

the following:

This Regulation shall enter into force on the day following
its publication in the Official Journal of the European Communi-
ties.

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

Done at Brussels, 9 October 2002.

For the Commission

Franz FISCHLER

Member of the Commission