Council Regulation (EC) No 1786/2003 of 29 September 2003 on the common organisation of the market in dried fodder
Date: 2003-09-29
Institutions: Council of the European Union
Subjects: common organisation of markets, fodder, production aid, trading operation

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COUNCIL REGULATION (EC) No 1786/2003

of 29 September 2003

on the common organisation of the market in dried fodder

THE COUNCIL OF THE EUROPEAN UNION,

single rate applicable to both dehydrated and sun-dried
fodder.

Having regard to the Treaty establishing the European
Community, and in particular Articles 36 and the third
subparagraph of Article 37(2) thereof,

Having regard to the proposal from the Commission,

(6)

Since production in southern countries begins in April,
the marketing year for dried fodder on which aid is
granted should be from 1 April to 31 March.

Having regard to the opinion of the European Parliament (1),

(7)

Having regard to the opinion of the European Economic and
Social Committee (2),

Having regard to the Opinion of
Regions (3),

the Committee of

the

Whereas:

(1)

(2)

(3)

(4)

Council Regulation (EC) No 603/95 of 21 February
1995 of the common organisation of the market in
dried fodder (4) establishes a common organisation of
that market with aid granted at two flat rates, one for
dehydrated fodder and one for sun-dried fodder.

Regulation (EC) No 603/95 has been substantially
amended several
further
amendments it should be repealed and replaced in the
interests of clarity.

times. As a consequence of

The main part of fodder production under the scheme
established by Regulation (EC) No 603/95 relies on the
use of fossil fuel for dehydrating and, in some Member
States, on the use of irrigation. Due to concerns about
its effects on the environment, the scheme should be
amended.

Council Regulation (EC) No 1782/2003 of 29 September
2003 establishing common rules for direct support
schemes under
the common agricultural policy and
establishing support schemes for farmers (5).

(5)

the two aid rates set by
Following these elements,
Regulation (EC) No 603/95 should be reduced to a

(1) Opinion delivered on 5 June 2003 (not yet published in the Official

Journal).

(2) OJ C 208, 3.9.2003, p. 41.
(3) Opinion delivered on 2 July 2003 (not yet published in the Official

Journal).

(4) OJ L 63, 21.3.1995, p. 1. Regulation as last amended by Regulation

(EC) No 806/2003 (OJ L 122, 16.5.2003, p. 1).

(5) See page 1 of this Official Journal.

To guarantee budget neutrality for dried fodder there
the volume of Community
should be a ceiling for
production. To that
end a maximum guaranteed
quantity should be set covering both dehydrated and
sun-dried fodder.

(8)

(9)

That quantity should be divided among the Member
States on the basis of the historical quantities recognised
for the purposes of Regulation (EC) No 603/95.

excess production throughout

To secure respect for the guaranteed maximum quantity
and discourage
the
Community, the aid should be reduced if that quantity is
exceeded. That reduction should be applied in each
Member State which has
exceeded its guaranteed
national quantity, in proportion to the excess recorded
for it.

(10)

The aid amount finally due cannot be paid until
it is
known whether the guaranteed maximum quantity has
been exceeded. An advance on the aid should therefore
be paid once the dried fodder has left the processor.

(11) Minimum quality requirements for entitlement to the

aid should be set.

(12)

(13)

(14)

a

steady flow of green fodder

to
To encourage
processors, eligibility for the aid should in certain cases
require conclusion of a contract between producers and
processing undertakings.

To promote transparency of the production chain and
facilitate
in
contracts should be made compulsory.

certain particulars

checking,

essential

To receive the aid, processors
should therefore be
required to keep stock records providing necessary
information for checking entitlement and to furnish any
other supporting document needed.

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(15) Where there is no contract between the producers and
the processing undertakings, the latter should have to
provide other information allowing entitlement to be
checked.

(23) Due to the application of the single payment scheme
from 1 January 2005, this scheme should apply from 1
April 2005,

(16)

should be ensured that, where a contract

It
is a
special-order one for processing of fodder delivered by
the grower, the aid is passed back to him.

HAS ADOPTED THIS REGULATION:

(17)

The proper working of a single market in dried fodder
would be jeopardised by the granting of national aid.
Therefore, the provisions of the Treaty governing State
aid should apply to the products covered by this
common market organisation.

(18)

In view of simplification, the committee assisting the
Commission should be the Management Committee for
Cereals.

(19)

(20)

(21)

The measures necessary for the implementation of this
Regulation should be adopted in accordance with
Council Decision 1999/468/EC of 28 June 1999 laying
down the procedures for the exercise of implementing
powers conferred on the Commission (1).

in
The internal market and the custom duties could,
exceptional circumstances, prove inadequate,
In such
cases, so as not to leave the Community market without
the
that might ensue,
defence against disturbances
Community should be able
to take all necessary
measures without delay. All such measures should be in
conformity with
international
obligations.

Community's

the

the

an evaluation of

In order to take account of possible evolution of the
dried fodder production, the Commission should, on the
basis of
common market
organisation for dried fodder, present a report to the
Council on the sector dealing in particular with the
development of areas of
leguminous and other green
fodder, the production of dried fodder and the savings
of
should be
accompanied, if needed, by appropriate proposals.

achieved. The

report

fossil

fuels

CHAPTER I

INTRODUCTORY PROVISIONS

Article 1

The common organisation of the market in dried fodder shall
be established and cover the following products:

CN code

Description

(a) ex 1214 10 00

and pellets of

Meal
heat-dried

lucerne

artificially

Meal and pellets of lucerne otherwise dried
and ground

ex 1214 90 91 and
ex 1214 90 99

Lucerne, sainfoin, clover, lupins, vetches and
similar fodder products, artificially heat-dried,
except hay and fodder kale and products
containing hay

sainfoin,

Lucerne,
lupins, vetches,
clover,
honey lotus, chickling pea and birdsfoot,
otherwise dried and ground

(b) ex 2309 90 98

Protein concentrates obtained from lucerne
juice and grass juice

Dehydrated products obtained exclusively
from solid residues and juice resulting from
preparation of the concentrates in the first
indent

(22)

Expenditure incurred by the Member States as a result
of the obligations arising from the application of this
Regulation should be financed by the Community in
accordance with Council Regulation (EC) No 1258/1999
of 17 May 1999 on the financing of
the common
agricultural policy (2).

Article 2

The marketing year for the products listed in Article 1 shall
begin on 1 April and end on 31 March of the following year.

Article 3

(1) OJ L 184, 17.7.1999, p. 23.
(2) OJ L 160, 26.6.1999, p. 103.

This Regulation shall apply without prejudice to the measures
provided for by Council Regulation (EC) No 1782/2003.

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CHAPTER II

AID

Article 4

The reduction shall be set, in accordance with the procedure
referred to in Article 18(2), at a level ensuring that budget
expenditure expressed in euros does not exceed that what
would been attained if the guaranteed maximum quantity had
not been exceeded.

1.

Aid shall be granted for the products listed in Article 1.

Article 7

2. Without prejudice to Article 6, the aid shall be set at
EUR 33/t.

Article 5

1.
Processing undertakings who apply for aid under this
Regulation shall be entitled to an advance payment of EUR
19,80 per tonne, or EUR 26,40 per tonne if they have lodged
a security of EUR 6,60 per tonne.

1.
A maximum guaranteed quantity (MGQ) per marketing
year of 4 855 900 tonnes of dehydrated and/or sun-dried
fodder for which the aid provided for in Article 4(2) may be
granted is hereby established.

Member States shall make the necessary checks to verify
entitlement to the aid. Once entitlement has been established
the advance shall be paid.

2.
in
The maximum guaranteed quantity provided for
paragraph 1 shall be divided among the Member States as
follows:

Guaranteed national quantities (tonnes)

Belgo-Luxembourg Economic Union (BLEU)

Denmark

Germany

Greece

Spain

France

Ireland

Italy

Netherlands

Austria

Portugal

Finland

Sweden

United Kingdom

(tonnes)

8 000

334 000

421 000

37 500

1 325 000

1 605 000

5 000

685 000

285 000

4 400

30 000

3 000

11 000

102 000

Article 6

Where during a marketing year the volume of dried fodder for
which aid as provided for in Article 4(2) is claimed exceeds the
guaranteed maximum quantity set out in Article 5(1), the aid
to be paid in that marketing year shall be reduced in each
Member State in which production exceeds the guaranteed
national quantity by a percentage proportionate to that excess.

However, the advance may be paid before entitlement has been
established provided the processor lodges a security equal to
the amount of the advance plus 10 %. This security shall also
serve as security for the purposes of the first subparagraph. It
shall be reduced to the level specified in the first subparagraph
as soon as entitlement to aid has been established and shall be
released in full when the balance of the aid is paid.

Before an advance can be paid the dried fodder must

2.
have left the processing undertaking.

3. Where an advance has been paid, the balance amounting
to the difference between the amount of the advance and the
total aid due to the processing undertaking shall be paid
subject to application of Article 6.

to which the
4. Where the advance exceeds the total
processing undertaking is entitled following the application of
Article 6,
the processor shall reimburse the excess to the
competent authority of the Member State on request.

Article 8

At the latest by 31 May of each year, Member States shall
notify the Commission of the quantities of dried fodder that in
the previous marketing year were eligible for aid as provided
for in Article 4(2).

Article 9

The aid provided for
in Article 4(2)
application from the party concerned,
fodder
following requirements:

shall be paid on
in respect of dried
the processing plant and meets the

that has left

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(a)

its maximum moisture content is from 11 % to 14 % which
may vary depending on the presentation of the product;

Article 11

(b)

its minimum total crude protein content in the dry matter
not less than:

Undertakings processing their own crops or those of their
members shall each year submit to the competent body of
their Member State, before a date to be set, a declaration of the
areas from which the fodder crop is to be processed.

(i) 15 % for the products referred to in point (a) and the

second indent of point (b) in Article 1;

Article 12

(ii) 45 % for the products referred to in the first indent of

point (b) in Article 1;

(c)

it is of sound and fair merchantable quality.

requirements,

Further
in particular on carotene and fibre
content, may be adopted in accordance with the procedure
referred to in Article 18(2).

Article 10

Aid as provided for in Article 4(2) shall only be granted to
undertakings processing the products listed in Article 1 which
comply with the following conditions:

1.
A contract as referred to in point (c) of Article 10 shall
state not only the price to be paid to the grower of the green
fodder or, if appropriate, sun-dried fodder but also at least the
following:

(a)

the area from which the crop is to be delivered to the
processor;

(b) the delivery and payment terms.

2. Where a contract as referred to in point (c)(i) of Article
10 is a special-order contract for processing of fodder delivered
by a producer, it shall specify at least the area from which the
crop is to be delivered and include a clause containing an
obligation for the processing undertakings to pay the producer
the aid as provided for in Article 4 and received for the
quantity processed under the contract.

(a)

they keep stock records containing at least the following
information:

Article 13

(i)

the quantities of green fodder and, where applicable,
sun-dried fodder processed; however, where
the
particular circumstances of the undertaking so require,
quantities may be estimated on the basis of areas sown;

1. Member States shall
introduce inspection systems for
verifying that each processing undertaking has complied with
the following:

(a)

the conditions laid down in Articles 1 to 12;

(ii) the quantities of dried fodder produced and the
quantities, with their quality, that leave the processor;

(b) the quantities covered by aid applications correspond to
the quantities of dried fodder meeting the minimum
quality that leave the processing undertakings.

(b) they provide any other supporting documents needed for

verifying entitlement to the aid;

(c)

they fall into at least one of the following categories:

(i) processors who

have

concluded

contracts with

producers of fodder for drying;

(ii) undertakings which have processed its own crop or, in

the case of a group, that of its members;

(iii) undertakings which have obtained their supplies from
natural or legal persons providing certain guarantees to
be determined and having concluded contracts with
producers of fodder for drying; such buyers shall be
approved, on terms defined in accordance with the
procedure
the
competent authority of the Member State in which the
fodder is harvested.

referred to in Article 18(2), by

Dried fodder shall be weighed on leaving the processing

2.
plant and samples taken.

Before

adopting provisions

3.
application of
paragraph 1, Member States shall notify such provisions to the
Commission.

the

for

CHAPTER III

TRADE WITH THIRD COUNTRIES

Article 14

this Regulation provides otherwise,

Unless
the Common
Customs Tariff duty rates shall apply to the products listed in
Article 1.

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Article 15

Article 18

1.
The general rules for the interpretation of the Combined
Nomenclature and the detailed rules for its application shall
apply to the tariff classification of products listed in Article 1.
The tariff nomenclature resulting from the application of this
Regulation shall be incorporated in the Common Customs
Tariff.

1.
The Commission shall be assisted by the Management
Committee for Cereals instituted by Article 25 of Council
Regulation (EC) No 1784/2003 of 29 September 2003 on the
common organisation of the market in cereals (1), hereinafter
referred to as ‘the Committee'.

Unless otherwise provided for in this Regulation or in
2.
provisions adopted pursuant thereto, the following shall be
prohibited in trade with third countries:

(a)

the levying of any charge having equivalent effect to a
customs duty;

(b) the application of any quantitative restriction or measure

having equivalent effect.

Article 16

If by reason of

1.
imports or exports the Community
market in one or more of the products listed in Article 1 is
affected by or threatened with serious disturbance likely to
jeopardise the achievement of the objectives set out Article 33
of the Treaty, appropriate measures may be applied to trade
with non-WTO member countries until such disturbance or
threat of it ceases.

2.
If the situation referred to in paragraph 1 arises, the
Commission shall at a request of a Member State or on its own
initiative decide upon the necessary measures. The Member
States shall be notified of such measures which shall be
immediately applicable. If the Commission receives a request
from a Member State, it shall take a decision thereon within
three working days following receipt of the request.

3. Measures decided by the Commission may be referred to
the Council by any Member State within three working days of
the day on which they were notified. The Council shall meet
without delay. It may, acting by qualified majority, amend or
repeal the measure in question within one month from the
date on which it was referred to the Council.

2. Where reference is made to this paragraph, Articles 4
and 7 of Decision 1999/468/EC shall apply.

The period laid down in Article 4(3) of Decision 1999/468/EC
shall be set at one month.

3.

The Committee shall adopt its Rules of Procedure.

Article 19

The Committee may consider any question raised by its
chairman, either on his own initiative or at the request of a
representative of a Member State.

Article 20

Detailed rules for the application for this Regulation shall be
adopted in accordance with the procedure referred to in
Article 18(2), in particular on:

(a) granting of

the aid provided for in Article 4 and the

advance provided for in Article 7;

(b) verification and establishment of entitlement to the aid,
including any necessary controls, all of which may make
use of certain elements of the integrated system;

(c) release of the securities indicated in Article 7(1);

(d) criteria for determining the quality standards referred to in

Article 9;

4.
Provisions adopted under this Article shall be applied
having regard to the obligations arising from agreements
concluded in accordance with Article 300(2) of the Treaty.

(e) conditions to be fulfilled by the undertakings as set out in

point (c)(ii) in Article 10 and Article 11;

CHAPTER IV

GENERAL PROVISIONS

Article 17

Unless this Regulation provides otherwise, Articles 87, 88 and
89 of the Treaty shall apply to production of and trade in the
products listed in Article 1 of this Regulation.

(f) control measure to be carried out referred to in Article

13(2);

(g) criteria to be fulfilled for the conclusion of contracts as
referred to in Article 10 and information which they must
contain, in addition to the criteria laid down in Article 12;

(h) application of the maximum guaranteed quantity (MGQ) as

referred to in Article 5(1).

(1) See page 78 of this Official Journal.

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Article 21

Article 24

Transitional measures may be adopted in accordance with the
procedure referred to in Article 18(2).

Regulation (EC) No 1258/1999 and the provisions adopted in
implementation thereof shall apply to the expenditure incurred
by the Member States in carrying out obligations under this
Regulation.

Article 22

Article 25

Member States shall notify the Commission of the measures
they take in order to apply this Regulation.

Regulation (EC) No 603/95 is hereby repealed.

Article 23

Before 30 September 2008 the Commission shall, on the basis
of an evaluation of the common market organisation for dried
fodder, present a report to the Council on this sector dealing
in particular with the development of areas of leguminous and
other green fodder, the production of dried fodder and the
savings of
shall be
accompanied, if needed, by appropriate proposals.

achieved. The

report

fossil

fuels

References made to the repealed Regulation shall be construed
as references to this Regulation and shall be read in accordance
with the correlation table in Annex.

Article 26

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

It shall apply from 1 April 2005.

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

Done at Brussels, 29 September 2003.

For the Council

The President

G. ALEMANNO

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ANNEX

CORRELATION TABLE

Regulation (EC) No 603/95

This Regulation

Article 1

Article 2

—

Article 3

Article 4

Article 5

Article 6

Article 7

Article 8

Article 9

Article 10

Article 11

Article 12

Article 13

Article 14

Article 15

Article 16

Article 17(1)—(4)

Article 17(5)

Article 18(a)

Article 18(b)

Article 19

Article 20

Article 21

Article 1

Article 2

Article 3

Article 4

Article 5

Article 6

Article 7

Article 8

Article 9

Article 10

Article 11

Article 12

Article 13

Article 14

Article 15

Article 16

Article 17

Article 18

Article 19

Article 20

Article 21

Article 22

Article 24

Article 25