Commission Regulation (EC) No 732/2004 of 20 April 2004 opening a standing invitation to tender for the resale on the Community market of rice from the 1999, 2000 and 2001 harvests held by the Spanish intervention agency
Date: 2004-04-20
Institutions: European Commission
Subjects: Spain, award of contract, intervention agency, rice, sale, single market

21.4.2004

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COMMISSION REGULATION (EC) No 732/2004

of 20 April 2004

opening a standing invitation to tender for the resale on the Community market of rice from the
1999, 2000 and 2001 harvests held by the Spanish intervention agency

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European
Community,

Having regard to Council Regulation (EC) No 3072/95 of 22
December 1995 on the common organisation of the market in
rice (1), and in particular Article 8(b) thereof,

Whereas:

Commission Regulation (EEC) No 75/91 of 11 January
1991 laying down the procedures and conditions for the
disposal of paddy rice held by intervention agencies (2)
provides among other things that rice held by interven-
tion agencies is to be sold by tendering procedure at
prices avoiding market disturbance.

(7)

(8)

Commission Regulation (EEC) No 3002/92 (4) lays down
common detailed rules for verifying the use of products
from intervention. Procedures should also be laid down
to ensure the traceability of the products used for animal
feed.

So that the quantities awarded can be managed accu-
rately, an allocation coefficient should be fixed for
tenders offering the minimum selling price, while
allowing tenderers
to specify a minimum quantity
awarded below which they do not wish their tender to
stand.

(9) When the Spanish intervention agency notifies

the

Commission, the tenderers should remain anonymous.

(10) While respecting the tenderers' anonymity, they should
be identified by numbers so that it is evident which have
tenders and what prices they have
submitted several
offered.

Spain still has intervention stocks of paddy rice from the
1999, 2000 and 2001 harvests, the quality of which is
in danger of deteriorating if kept in prolonged storage.

(11)

For control purposes, tenders must be traceable by their
reference numbers, while safeguarding anonymity.

In the present production situation and in view of the
concessions for rice imports granted under international
agreements and the restrictions on subsidised exports,
disposing of this rice on traditional markets inside the
Community would inevitably result in the placing of an
equivalent quantity in intervention, which should be
avoided.

(12) With a view to modernising management, the informa-
tion required by the Commission should be sent by elec-
tronic mail.

(13)

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

This rice can be disposed of by processing it into either
broken rice or products derived therefrom, or into some
other form suitable for use in animal feed, on certain
conditions.

In order to ensure that the rice really is processed, the
specially monitored and the
procedure
successful
to be
released on conditions to be laid down.

should be
tenderer should provide a security,

The undertakings given by tenderers must be regarded as
primary requirements within the meaning of Commis-
sion Regulation (EEC) No 2220/85 of 22 July 1985
laying down common detailed rules for the application
of the system of securities for agricultural products (3).

(1) OJ L 329, 30.12.1995, p. 18. Regulation as last amended by
Commission Regulation (EC) No 411/2002 (OJ L 62, 5.3.2002, p.
27).

(2) OJ L 9, 12.1.1991, p. 15.
(3) OJ L 205, 3.8.1985, p. 5. Regulation as last amended by Regulation

(EC) No 1932/1999 (OJ L 240, 10.9.1999, p. 11).

HAS ADOPTED THIS REGULATION:

Article 1

The Spanish intervention agency shall launch a standing invita-
tion to tender for the sale on the internal market of the Com-
munity of quantities of rice from the 1999, 2000 and 2001
harvests held by it and previously notified to the Commission
under Regulation (EEC) No 75/91, as set out in Annex I hereto,
with a view to its processing into either broken rice within the
meaning of Annex A.3 to Regulation (EC) No 3072/95 or
products derived therefrom, or into some other form suitable
for use in animal feed (CN code 2309).

(4) OJ L 301, 17.10.1992, p. 17. Regulation as last amended by Regu-

lation (EC) No 770/96 (OJ L 104, 27.4.1996, p. 13).

(1)

(2)

(3)

(4)

(5)

(6)

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Article 2

The sale provided for in Article 1 shall take place in

1.
accordance with Regulation (EEC) No 75/91.

However, notwithstanding Article 5 of that Regulation:

(a) tenders shall be drawn up on the basis of the actual quality

of the lot to which they apply;

(b) the minimum sale price shall be set at a level which does

not disturb the cereals or rice market.

2.

Tenderers shall give the following undertakings:

(a) where the rice is to be processed into broken rice or

products derived therefrom:

(i) that they will carry out the treatment provided for in
Annex II within three months of the date of the notice
of award of contract referred to in the second para-
graph of Article 8, under
the
competent authorities and at a place determined in
agreement with them;

the supervision of

(ii) that they will use the awarded products solely in the
form of broken rice or products derived therefrom
either without further processing or by incorporating
them into another product or by processing them,
within six months of the date of the notice of award of
contract referred to in the second paragraph of Article
8, except in cases of force majeure or on the specific
instructions of the intervention agency authorising a
change in the deadline on account of exceptional
circumstances;

(iii) if they sell the products on, that they will have the

purchaser give the above undertaking;

in the second paragraph of Article 8, under the
supervision of the competent authorities and at a
place determined in agreement with them, with a
view to verifying the use made of the rice and
ensuring the traceability of the products;

— that they will ensure that this product is incorpo-
rated in feed within four months of the date of the
notice of award of contract referred to in the
second paragraph of Article 8, except in cases of
force majeure or on the specific instructions of the
intervention agency authorising a change in the
deadline on account of exceptional circumstances;

(c) that they will bear the costs of the processing and treatment

of the products;

(d) that they will keep stock records demonstrating that they

have respected their undertakings.

Article 3

The Spanish intervention agency shall publish a notice of
1.
invitation to tender at least eight days before the final day of
the first period for the submission of tenders.

The notice, and any changes to it, shall be forwarded to the
Commission before publication.

2.

The notice of invitation to tender shall contain:

(a) the additional clauses and conditions of sale compatible

with this Regulation;

(b) the places of storage and the name and address of the

storer;

(c) the main physical and technological characteristics of the
various lots established upon buying in by the intervention
agency or during checks carried out subsequently;

(b) where the rice is to be processed into a form suitable for

(d) the number of each lot;

use in animal feed,

(i) where they are feed manufacturers:

— that they will carry out the treatments described in
Annex III or IV within three months of the date of
the notice of award of contract referred to in the
second paragraph of Article 8, under the supervi-
sion of the competent authorities and at a place
determined in agreement with them, with a view to
verifying the use made of the rice and ensuring the
traceability of the products;

— that they will ensure that this product is incorpo-
rated in feed within four months of the date of the
notice of award of contract referred to in the
second paragraph of Article 8, except in cases of
force majeure or on the specific instructions of the
intervention agency authorising a change in the
deadline on account of exceptional circumstances;

(ii) where they are rice mills:

— that they will carry out the treatments described in
Annex IV within no more than three months of the
date of the notice of award of contract referred to

(e) particulars of

the competent authorities responsible for

monitoring the operation.

3.
The Spanish intervention agency shall take all additional
steps necessary to enable the parties concerned to assess the
quality of the rice put up for sale before submitting their
tenders.

Article 4

Tenders shall indicate whether they relate to processing
1.
into broken rice or products derived therefrom or into a form
suitable for animal feed.

Tenders shall be valid only if they are accompanied by:

(a) evidence that the tenderer has lodged a security of EUR 15

per tonne;

(b) evidence that the tenderer is an animal feed manufacturer

or a rice mill;

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(c) a written undertaking by the tenderer to lodge a security,
not later than two working days after the date of receipt of
the notice of award of contract, for an amount equivalent
to the difference between the intervention price for paddy
rice applicable on the tender date plus EUR 15 and the
price tendered per tonne of rice.

Once submitted, a tender may not be altered or with-

2.
drawn.

3.
In case the Commission is required to fix an award coeffi-
cient for the quantities offered for sale as provided for in the
second paragraph of Article 7, tenderers should indicate any
minimum awarded quantity below which they do not wish
their tender to stand.

Article 5

The period for the submission of tenders for the first
invitation to tender shall commence on 5 May 2004

1.
partial
and end on 11 May 2004 at 12.00 (Brussels time).

The time limit for submission of tenders under subse-
2.
quent partial invitations to tender shall be 12.00 (Brussels time)
on the next two Tuesdays: 25 May 2004 and 8 June 2004. The
period for the submission of tenders shall commence on the
Wednesday before the closing date in each case.

3.
The period for the submission of tenders for the last
partial invitation to tender shall commence on 16 June 2004
and end on 22 June 2004 at 12.00 (Brussels time).

Tenders must be lodged with the Spanish intervention agency:

Fondo Español de Garantía Agraria (FEGA)
Beneficencia 8
E-28004 Madrid
Telex: 23427 FEGA E
Fax: +(34) 915 21 98 32, +(34) 915 22 43 87

Article 6

1.
Not later than 09.00 (Brussels time) on the Thursday
following the closing date for the submission of tenders, the
Spanish intervention agency shall notify the Commission of the
information provided for in Annex V hereto, broken down by
type of processing.

2.
For each type of processing and for each partial tendering
procedure, the Spanish intervention agency shall identify the
tenderers by an individual number, starting at 1.

To ensure anonymity, the numbers shall be allocated randomly
and separately for each type of processing and each partial
tendering procedure.

The Spanish intervention agency shall give each tender a refer-
ence number in such a way as to ensure that the tenderers
remain anonymous. For the entire standing tendering proce-
dure, each tender shall be identified by its own reference
number.

3.
The notification referred to in paragraph 1 shall be made
by electronic mail to the address given in Annex V using the
form provided to the Spanish intervention agency by the
Commission for that purpose.

The notification must be made even if no tenders are
submitted. In that case, it must state that no tenders have been
received within the deadline laid down.

The Spanish intervention agency shall also notify the
the information specified in Annex V for

4.
Commission of
rejected tenders, stating why they were rejected.

Article 7

For each type of processing, the Commission shall set the
minimum sale price or decide not to award any quantities. In
the event that tenders are submitted for the same lot and for a
quantity larger than that available, the Commission may fix this
price separately for each lot.

Where tenders are offering the minimum sale price,
the
Commission may fix an award coefficient for the quantities
offered at the same time as it fixes the minimum sale price.

This decision shall be taken in accordance with the procedure
laid down in Article 22 of Regulation (EC) No 3072/95.

Article 8

The intervention agency shall immediately notify all tenderers
of the outcome of their participation in the tendering proce-
dure.

Within three working days of the notification referred to in the
it shall send notices of award of contract to
first paragraph,
successful tenderers by registered letter or written telecommu-
nication.

Article 9

Successful tenderers shall pay for the rice before it is removed,
and at the latest within one month of the date of the notice of
award of contract referred to in the second paragraph of
is not
Article 8. The risks and costs of storing rice that
removed within the payment period shall be borne by the
successful tenderers.

Following the expiry of the payment period, rice for which a
contract is awarded and which is not removed shall be regarded
for all purposes as having been removed from storage.

Where a successful tenderer fails to pay for the rice within the
period referred to in the first paragraph, the contract shall be
terminated by the intervention agency, where appropriate in
respect of the quantity not paid for.

Article 10

1.

The security referred to in Article 4(1)(a) shall be released

(a) in full for the quantities for which:

(i) no award is made;
(ii) the tender does not stand, in accordance with Article

4(3);

(iii) the sale price is paid within the period set and the
security referred to in Article 4(1)(c) has been lodged;

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(b) proportionately to the quantity not awarded where an
award coefficient is set for the quantities offered in accord-
ance with the second paragraph of Article 7.

The security referred to in Article 4(1)(c) shall be released
2.
in proportion to the quantities used only if the intervention
agency has carried out all the checks necessary to ensure that
the product is processed in accordance with this Regulation.

However, the security shall be released in full:

(a) on presentation of proof that the treatment referred to in
Annex II has been carried out and that the undertakings
provided for in Article 2(2)(a)(ii) and (iii) have been made;

(b) on presentation of proof that the treatment referred to in
Annex III has been carried out, provided that not less than
95 % of the fine broken grains and/or fragments obtained
has been used in compound feed;

(c) on presentation of proof that the treatment referred to in
Annex IV has been carried out, provided that not less than
95 % of
the milled rice obtained has been used in
compound feed.

Proof that the rice has been incorporated in animal feed
3.
as referred to in this Regulation shall be provided in accordance
with Regulation (EEC) No 3002/92.

Article 11

The obligation set out in Article 2(2) shall be regarded as a
primary requirement within the meaning of Article 20 of Regu-
lation (EEC) No 2220/85.

Article 12

In addition to the particulars provided for in Regulation (EEC)
No 3002/92, box 104 of the control copy T5 shall contain the
following entries:

(a) where processing takes place in a Member State other than
Spain, in accordance with Annex II to this Regulation, one
or more of the following entries supplemented by reference
to the undertaking provided for in Article 2(2)(a)(ii) and
(iii):

— Destinados a la transformación prevista en el anexo II
del Reglamento (CE) no 732/2004 y a la utilización de
conformidad con el compromiso previsto en los incisos
ii) y iii) de la letra a) del apartado 2 del artículo 2 de
dicho Reglamento

— Til forarbejdning som fastsat i bilag II til forordning (EF)
nr. 732/2004 og til anvendelse ifølge forpligtelsen i
i nævnte
artikel 2, stk. 2,
forordning

litra a), nr.

ii) og iii),

— Zur Verarbeitung gemäß Anhang II der Verordnung
(EG) Nr 732/2004 und zur Verwendung gemäß Artikel
2 Absatz 2 Buchstabe a) Ziffern ii) und iii) der
genannten Verordnung bestimmt

— Προορίζονται για τη µεταποίηση που προβλέπεται στο
παράρτηµα ΙΙ του κανονισµού (ΕΚ) αριθ. 732/2004 και για
χρήση σύµφωνα µε τη δέσµευση που προβλέπεται στο
άρθρο 2 παράγραφος 2 στοιχείο α) σηµεία ii) και iii) του
ίδιου κανονισµού

— Intended for processing as provided for in Annex II to
Regulation (EC) No 732/2004 and use in accordance
with the undertaking provided for in Article 2(2)(a)(ii)
and (iii) of that Regulation

— Destinés à la transformation prévue à l'annexe II du
règlement (CE) no 732/2004 et à l'utilisation conformé-
ment à l'engagement prévu à l'article 2, paragraphe 2,
points a) ii) et iii), dudit règlement

— Destinati alla trasformazione prevista all'allegato II del
regolamento (CE) n. 732/2004 e
all'utilizzazione
conformemente all'impegno di cui all'articolo 2, para-
grafo 2, lettera a), punti ii) e iii) del suddetto regola-
mento

— Bestemd om te worden verwerkt overeenkomstig bijlage
II bij Verordening (EG) nr. 732/2004 en om te worden
gebruikt met inachtneming van de in artikel 2, lid 2,
onder a),
ii) en iii), van die verordening vastgestelde
verbintenis

— Para a transformação prevista no anexo II do Regula-
mento (CE) n.o 732/2004 e para utilização em confor-
midade com o compromisso previsto no n.o 2, subalí-
neas ii) e iii) da alínea a), do artigo 2.o do referido regu-
lamento

— Tarkoitettu asetuksen (EY) N:o 732/2004 liitteessä II
tarkoitettuun jalostukseen ja kyseisen asetuksen 2
artiklan 2 kohdan a alakohdan ii
ja iii alakohdassa
säädetyn sitoumuksen mukaiseen käyttöön

— Avsedda för bearbetning i enlighet med bilaga II till
förordning (EG) nr 732/2004 och för användning i
enlighet med det åtagande som föreskrivs i samma
förordning i artikel 2.2 a ii och iii

(b) where the rice is to be used as broken rice or derived
products in a Member State other than that of processing,
after processing in accordance with Annex II, one or more
of the following entries:

— Arroz transformado en partidos de arroz o productos
derivados de conformidad con las disposiciones del
anexo II del Reglamento (CE) no 732/2004, destinado a
ser utilizado exclusivamente en forma de partidos de
arroz o productos derivados, de conformidad con el
compromiso previsto en los incisos ii) y iii) de la letra
a) del apartado 2 del artículo 2 del mismo Reglamento

— Ris forarbejdet til brudris eller afledte produkter efter
forordning (EF) nr. 732/
form af
ifølge forpligtelsen i
i samme
ii) og iii),

bestemmelserne i bilag II i
2004, udelukkende bestemt til anvendelse i
brudris eller afledte produkter
litra a), nr.
artikel 2, stk. 2,
forordning

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— Gemäß Anhang II der Verordnung (EG) Nr 732/2004
zu Bruchreis oder Nebenerzeugnissen von Bruchreis
verarbeiteter Reis, nach der Verpflichtung gemäß
Artikel 2 Absatz 2 Buchstabe a) Ziffern ii) und iii) der
genannten Verordnung ausschließlich zur Verwendung
in Form von Bruchreis oder Nebenerzeugnissen von
Bruchreis bestimmt

— Ρύζι που έχει µεταποιηθεί σε θραύσµατα ή παράγωγα
προϊόντα σύµφωνα µε τις διατάξεις του παραρτήµατος ΙΙ
του κανονισµού (EK) αριθ. 732/2004 και προορίζεται να
χρησιµοποιηθεί αποκλειστικά µε τη µορφή θραυσµάτων ή
παράγωγων προϊόντων σύµφωνα µε τη δέσµευση που
προβλέπεται στο άρθρο 2 παράγραφος 2 στοιχείο α)
σηµεία ii) και iii) του ίδιου κανονισµού

— Rice processed into broken rice or derived products in
accordance with Annex II to Regulation (EC) No 732/
2004 for use solely in the form of broken rice or
derived products in accordance with the undertaking
provided for in Article 2(2)(a)(ii) and (iii) of that Regu-
lation

— Riz transformé en brisures ou produits dérivés confor-
mément aux dispositions de l'annexe II du règlement
(CE) no 732/2004, destiné à être utilisé exclusivement
sous forme de brisures ou produits dérivés, conformé-
ment à l'engagement prévu à l'article 2, paragraphe 2,
points a) ii) et iii), dudit règlement

— Riso trasformato in rotture di riso o prodotti derivati
conformemente alle disposizioni dell'allegato II del rego-
lamento (CE) n. 732/2004, destinato ad essere utilizzato
esclusivamente sotto forma di rotture di riso o prodotti
derivati, conformemente all'impegno di cui all'articolo
2, paragrafo 2, lettera a), punti ii) e iii), del suddetto
regolamento

— Overeenkomstig bijlage II van Verordening (EG) nr.
732/2004 tot breukrijst of van breukrijst afgeleide
producten verwerkte rijst, bestemd om uitsluitend als
breukrijst of van breukrijst afgeleide producten te
worden gebruikt met inachtneming van de in artikel 2,
lid 2, onder a), ii) en iii), van die verordening vastges-
telde verbintenis

— Arroz transformado em trincas ou produtos derivados
de acordo com as disposições do anexo II do Regula-
mento (CE) n.o 732/2004, destinado exclusivamente a
utilização sob a forma de trincas ou de produtos deri-
vados, em conformidade com o compromisso previsto
no n.o 2, subalíneas ii) e iii) da alínea a), do artigo 2.o
desse mesmo regulamento

tuotteiksi

— Asetuksen (EY) N:o 732/2004 liitteen II säännösten
mukaisesti rikkoutuneiksi riisinjyviksi tai niistä johde-
tuiksi
joka on tarkoitettu
käytettäväksi yksinomaan rikkoutuneina riisinjyvinä tai
niistä johdettuina tuotteina saman asetuksen 2 artiklan
ja iii alakohdassa säädetyn
2 kohdan a alakohdan ii
sitoumuksen mukaisesti

jalostettu riisi,

— Ris bearbetat till brutet ris eller härledda produkter i
enlighet med bestämmelserna i bilaga II till förordning
(EG) nr 732/2004 och avsett att uteslutande användas i
form av brutet ris eller härledda produkter därav i
enlighet med det åtagande som föreskrivs i samma
förordning i artikel 2.2 a ii och iii

(c) where processing takes place in a Member State other than
Spain, in accordance with Annex III or IV to this Regu-
lation, one or more of the following entries, together with
the number of the Annex to this Regulation corresponding
to the treatment required:
— Destinados a la transformación prevista en el anexo …

del Reglamento (CE) no 732/2004

— Til forarbejdning som fastsat i bilag … til forordning

(EF) nr. 732/2004

— Zur Verarbeitung gemäß Anhang … der Verordnung

(EG) Nr. 732/2004 bestimmt

— Προορίζονται

για µεταποίηση που προβλέπεται
παράρτηµα … του κανονισµού (ΕΚ) αριθ. 732/2004
— For processing provided for in Annex … to Regulation

στο

(EC) No 732/2004

— Destinés à la transformation prévue à l'annexe … du

règlement (CE) no 732/2004

— Destinati alla trasformazione prevista all'allegato … del

regolamento (CE) n. 732/2004

— Bestemd om te worden verwerkt overeenkomstig bijlage

… van Verordening (EG) nr. 732/2004

— Para a transformação prevista no anexo … do Regula-

mento (CE) n.o 732/2004

— Tarkoitettu asetuksen (EY) N:o 732/2004 liitteessä …

tarkoitettuun jalostukseen

— För bearbetning enligt bilaga … till förordning (EG) nr

732/2004.

Article 13

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

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

Done at Brussels, 20 April 2004.

For the Commission

Franz FISCHLER

Member of the Commission

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ANNEX I

1

2

3

Place of storage (address)

Place of storage (identification
code) (1)

Available quantities

(in tonnes)

Silo FEGA — El Cuervo (Cádiz)

Silo FEGA — Cinco Casas (Ciudad Real)

Silo FEGA — Villafranca (Badajoz)

ES11011

ES13021

ES06140

Total

4 692,560

5 519,520

1 777,250

11 989,330

(1) The national identification code shall be preceded by the ISO code for Spain.

ANNEX II

Treatment provided for in Article 2(2)(a)(i)

At the time of being taken over, the rice must undergo the following treatment:

1. the awarded paddy rice must be milled to give the overall minimum yield and whole grain yield previously deter-
mined by the laboratory on a sample removed when the rice for which the contract is awarded was taken over, with
a tolerance of plus or minus 1 % applicable to the overall minimum yield and whole grain yield;

2. all the wholly milled rice obtained must be broken in such a way as to produce at least 95 % broken rice within the
meaning of Annex A to Regulation (EC) No 3072/95. It may also be processed directly into products derived from
broken rice.

ANNEX III

Treatment provided for in the first indent of Article 2(2)(b)(i)

At the time of being taken over, the rice must undergo the following treatment:

1. the awarded paddy rice must be husked and broken in such a way as to produce not less than 77 %, by weight of
paddy rice, of fine broken grains and/or fragments of husked rice as defined in point C of the Annex to Regulation
(EC) No 3073/95;

2. the product obtained after processing (not including the husk) must be marked using the colorant E 131 patent blue

V or E 142 acid brilliant green BS (lissamine green) to enable it to be identified.

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ANNEX IV

Treatment indicated in the first indent of Article 2(2)(b)(i) and in the first indent of Article 2(2)(b)(ii)

1. the awarded paddy rice must be milled to give the overall minimum yield and whole grain yield previously deter-
mined by the laboratory on a sample removed when the rice for which the contract is awarded was taken over, with
a tolerance of plus or minus 1 % applicable to the overall minimum yield and whole grain yield;

2. the product obtained after processing must be marked using the colorant E131 patent blue V or E142 acid brilliant

green BS (lissamine green) to enable it to be identified.

ANNEX V