Commission Regulation (EC) No 1758/2005 of 27 October 2005 opening crisis distillation as provided for in Article 30 of Council Regulation (EC) No 1493/1999 for certain wine in Hungary
Date: 2005-10-27
Institutions: European Commission
Subjects: Hungary, agricultural surplus, distillation, market intervention, table wine, viticulture

L 285/8

EN

Official Journal of the European Union

28.10.2005

COMMISSION REGULATION (EC) No 1758/2005

of 27 October 2005

opening crisis distillation as provided for in Article 30 of Council Regulation (EC) No 1493/1999 for
certain wine in Hungary

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty
Community,

establishing the European

Having regard to Council Regulation (EC) No 1493/1999 of 17
May 1999 on the common organisation of
in
wine (1), and in particular Article 33(1)(f) thereof,

the market

Whereas:

Article 30 of Regulation (EC) No 1493/1999 provides
for the possibility of a crisis distillation measure in the
event of exceptional market disturbance due to major
surpluses. Such measures may be limited to certain cate-
gories of wine and/or certain areas of production, and
may apply to quality wines produced in specified regions
(quality wines psr) at the request of the Member State
concerned.

down detailed rules for implementing Regulation (EC) No
1493/1999 on the common organisation of the market
in wine with regard to market mechanisms (2), as regards
the distillation measure provided for in Article 30 of
Regulation (EC) No 1493/1999. Other provisions of
Regulation (EC) No 1623/2000 must also apply,
in
particular those concerning the delivery of alcohol to
intervention agencies and the payment of advances.

The price distillers must pay producers should be set at a
level that permits the market disturbance to be dealt with
by allowing producers to take advantage of the possi-
bility afforded by this measure.

The product of crisis distillation must be raw or neutral
alcohol only, for compulsory delivery to the intervention
agency in order to avoid disturbing the market
for
potable alcohol, which is supplied largely by the distil-
lation provided for in Article 29 of Regulation (EC) No
1493/1999.

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

(6)

(7)

(8)

By letter of 11 July 2005, the Hungarian Government
requested that crisis distillation be opened for table wine
produced in Hungary and for quality wines psr.

HAS ADOPTED THIS REGULATION:

Considerable surpluses have been recorded on the market
in table wine and quality wines psr in Hungary, which
are reflected in a fall
in prices and a worrying rise in
stocks towards the end of the 2004/05 marketing year.
In order to reverse this negative trend, and so remedy the
difficult market
stocks of Hungarian wine
should be reduced to a level that can be regarded as
normal in terms of covering market requirements.

situation,

Since the conditions laid down in Article 30(5) of Regu-
lation (EC) No 1493/1999 are satisfied, a crisis distil-
lation measure should be opened for a maximum of
400 000 hectolitres of table wine and 100 000 hecto-
litres of quality wines produced in specified regions
(quality wines psr).

Article 1

Crisis distillation as provided for in Article 30 of Regulation
(EC) No 1493/1999 is hereby opened for a maximum of
400 000 hectolitres of table wine and 100 000 hectolitres of
quality wines produced in specified regions (quality wines psr)
in Hungary,
in accordance with the provisions of Regulation
(EC) No 1623/2000 concerning this type of distillation.

Article 2

Producers may conclude delivery contracts as provided for in
Article 65 of Regulation (EC) No 1623/2000 (hereinafter
referred to as contracts) from 31 October to 25 November
2005.

Contracts shall be accompanied by proof that a security equal
to EUR 5 per hectolitre has been lodged.

(5)

The crisis distillation opened by this Regulation must
comply with the conditions laid down by Commission
Regulation (EC) No 1623/2000 of 25 July 2000 laying

Contracts may not be transferred.

(1) OJ L 179, 14.7.1999, p. 1. Regulation as last amended by the 2003

(2) OJ L 194, 31.7.2000, p. 45. Regulation as last amended by Regu-

Act of Accession.

lation (EC) No 1219/2005 (OJ L 199, 29.7.2005, p. 45).

(1)

(2)

(3)

(4)

28.10.2005

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Official Journal of the European Union

L 285/9

Article 3

Article 5

1.
If the total quantities covered by the contracts submitted
to the intervention agency exceed the quantities laid down in
Article 1, Hungary shall determine the rates of reduction to be
applied to those contracts.

2.
Hungary shall take the administrative steps necessary to
approve the contracts not later than 23 December 2005. The
approval shall specify any rate of reduction applied and the
quantity of wine accepted per contract and shall stipulate that
the producer may cancel the contract where a reduction rate is
applied.

Hungary shall notify the Commission before 6 January 2006 of
the quantities of wine covered by approved contracts.

Hungary may limit the number of contracts that indi-

3.
vidual producers may conclude under this Regulation.

Article 4

1.
The quantities of wine covered by approved contracts
shall be delivered to the distilleries not later than 10 April
2006. The alcohol obtained shall be delivered to the inter-
vention agency in accordance with Article 6(1) not later than
15 July 2006.

The security shall be released in proportion to the quan-
2.
tities delivered when the producer presents proof of delivery to
a distillery.

The minimum price paid for wine delivered for distillation
under this Regulation shall be EUR 1,914/% vol/hl for table
wine and EUR 2,30/% vol/hl for quality wines psr.

Article 6

1.
Distillers shall deliver the product obtained from distil-
lation to the intervention agency. That product shall be of an
alcoholic strength of at least 92 % vol.

2.
The price to be paid to the distiller by the intervention
agency for the raw alcohol delivered shall be EUR 2,281 per %
vol/hl where it is produced from table wine and EUR 2,667 per
% vol/hl where it is produced from quality wines psr. The
payment shall be made in accordance with Article 62(5) of
Regulation (EC) No 1623/2000.

Distillers may receive an advance on those amounts of EUR
1,122 per % vol/hl
in the case of alcohol produced from
table wine and EUR 1,508 per % vol/hl in the case of alcohol
produced from quality wines psr. In that case, the advance shall
be deducted from the price actually paid. Articles 66 and 67 of
Regulation (EC) No 1623/2000 shall apply.

Article 7

This Regulation shall enter into force on the third day following
the European
that of
Union.

its publication in the Official

Journal of

The security shall be forfeit where no delivery is made within
the time-limit laid down in paragraph 1.

It shall apply from 31 October 2005.

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

Done at Brussels, 27 October 2005.

For the Commission

Mariann FISCHER BOEL
Member of the Commission