Commission Regulation (EC) No 1194/2006 of  4 August 2006  opening crisis distillation as provided for in Article 30 of Council Regulation (EC) No 1493/1999 for table wine in Portugal
Date: 2006-08-04
Institutions: European Commission
Subjects: Portugal, distillation, market intervention, table wine, viticulture

5.8.2006

EN

Official Journal of the European Union

L 215/13

COMMISSION REGULATION (EC) No 1194/2006

of 4 August 2006

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

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

particular those concerning the delivery of alcohol to
intervention agencies and the payment of advances.

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 point (f) in the second subparagraph
of Article 33(1),

the market

(6)

(7)

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 psr at the request of the
Member State concerned.

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.

(8)

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

Portugual has requested that crisis distillation be opened
for table wine produced in its territory.

HAS ADOPTED THIS REGULATION:

Considerable surpluses have been recorded on the table
wine market in Portugal, which are reflected in a fall in
prices and a worrying rise in stocks towards the end of
the 2005/06 marketing year.
In order to reverse this
negative trend, and so remedy the difficult market
situation, stocks of table wine should be reduced to a
level that can be regarded as normal in terms of covering
market requirements.

Article 1

Crisis distillation as provided for in Article 30 of Regulation
(EC) No 1493/1999 is hereby opened for a maximum of
200 000 hectolitres of table wine in Portugal,
in accordance
with the provisions of Regulation (EC) No 1623/2000
concerning this type of distillation.

Article 2

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
200 000 hectolitres of table wine.

Producers may conclude delivery contracts as provided for in
Article 65 of Regulation (EC) No 1623/2000 (hereinafter
referred to as ‘the contract’) from 16 August to 15 September
2006.

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
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
in
Regulation (EC) No 1623/2000 must also apply,

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

Contracts may not be transferred.

Article 3

(1) OJ L 179, 14.7.1999, p. 1. Regulation as last amended by Regu-

lation (EC) No 2165/2005 (OJ L 345, 28.12.2005, p. 1).

(2) OJ L 194, 31.7.2000, p. 45. Regulation as last amended by Regu-
lation (EC) No 1820/2005 of 8 November 2005 (OJ L 293,
9.11.2005, p. 8).

1.
If the total quantity covered by the contracts submitted to
the intervention agency exceeds the quantity laid down in
Article 1, Portugal shall determine the rate of reduction to be
applied to the above contracts.

(1)

(2)

(3)

(4)

(5)

L 215/14

EN

Official Journal of the European Union

5.8.2006

Portugal shall take the administrative steps necessary to
2.
approve the contracts by 31 October 2006 at the latest. 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 the quantity to be
distilled is reduced.

Portugal shall notify the Commission before 15 November
2006 of the quantities of wine covered by approved contracts.

Portugal may limit the number of contracts that individual

3.
producers may conclude under this Regulation.

Article 4

1.
The quantities of wine covered by approved contracts
shall be delivered to the distilleries by 15 February 2007 at
the latest. The alcohol obtained must be delivered to the inter-
vention agency in accordance with Article 6(1) by 15 May 2007
at the latest.

The security shall be released for the quantities delivered

2.
when the producer presents proof of delivery to a distillery.

Article 5

The minimum price paid for wine delivered for distillation
under this Regulation shall be EUR 1,914 per % volume per
hectolitre.

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 % volume.

2.
The price the intervention agency must pay distillers for
raw alcohol delivered shall be EUR 2,281 per % volume per
hectolitre. The payment shall be made in accordance with
Article 62(5) of Regulation (EC) No 1623/2000.

Distillers may receive an advance of EUR 1,122 per % volume
per hectolitre on that amount. 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 16 August 2006.

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

Done at Brussels, 4 August 2006.

For the Commission

Mariann FISCHER BOEL
Member of the Commission