EWE ' S MILK . OTHERWISE THERE WOULD BE NO REASON FOR MENTIONING THEM , ANY MORE THAN THE OTHER LIVESTOCK THAT APPLICANTS FOR PREMIUMS MAY KEEP ON THEIR FARMS WITHOUT BEING COVERED IN ANY WAY BY THE REGULATIONS IN QUESTION . IT IS ALSO WRONG TO ASSUME THAT THE NUMBER OF SHEEP MUST BE STATED ONLY IN CONNECTION WITH THE CONVERSION PREMIUM : ARTICLE 4 ( 2 ) ( B ) ( CC ), WHICH STATES THAT IN THE CASE OF THE CONVERSION PREMIUM THE APPLICATION MUST INCLUDE PARTICULARS OF ' THE NUMBERS OF OTHER ANIMALS CLASSIFIED IN ACCORDANCE WITH ARTICLE 2 ( 1 ) ( B ) ' , WHICH INCLUDE SHEEP , IS IN FACT AN ADDITIONAL REQUIREMENT IN RELATION TO ARTICLE 4 ( 2 ) ( B ) IN SO FAR AS ITS AIM IS TO MAKE IT POSSIBLE TO CHECK WHETHER THE RECIPIENT OF A CONVERSION PREMIUM HAS COMPLIED WITH THE OBLIGATION LAID DOWN IN ARTICLE 3 ( 2 ) ( C ) OF REGULATION NO 1078/77 TO ' KEEP ON HIS HOLDING DURING THE CONVERSION PERIOD AN AVERAGE NUMBER OF BOVINE OR OVINE UNITS EQUAL TO OR GREATER THAN THE NUMBER KEPT ON THE SAME HOLDING ON THE REFERENCE DATE ' .
13 THOSE CONCLUSIONS ARE ALSO BORNE OUT BY ANOTHER FINDING BASED ON THE AIM OF THE PREMIUM SYSTEM .
14 AS APPEARS FROM THE FIRST RECITAL IN THE PREAMBLE TO REGULATION NO 1078/77 , THE AIM OF THE PREMIUM SYSTEM IS TO DEAL WITH A SITUATION IN WHICH MILK AND MILK PRODUCTS ARE ' SUBSTANTIALLY AND INCREASINGLY IN SURPLUS ' . IN ORDER TO ATTAIN THAT AIM , THE REGULATION MAKES PROVISION - AS THE SECOND RECITAL IN ITS PREAMBLE INDICATES - FOR THE GRANT OF ' NON-MARKETING PREMIUMS ' TO FARMERS WHO CEASE TO MARKET MILK AND MILK PRODUCTS AND OF ' CONVERSION PREMIUMS ' TO FARMERS WHO CONVERT THEIR DAIRY HERDS TO MEAT PRODUCTION .
15 THE AIM OF REDUCING MILK SURPLUSES OR AT LEAST OF PREVENTING THEIR INCREASE REQUIRES THE OBLIGATIONS IMPOSED ON THE RECIPIENTS OF THE PREMIUMS TO BE INTERPRETED IN THE SENSE WHICH IS THE MOST CONDUCIVE TO ITS ACHIEVEMENT .
16 IT IS THEREFORE NECESSARY TO CONSIDER WHETHER FOR THOSE PURPOSES THE UNDERTAKING GIVEN BY THE RECIPIENTS OF A NON-MARKETING PREMIUM ALSO APPLIES TO EWE ' S MILK .
17 IT MUST BE BORNE IN MIND THAT ONE OF THE MAJOR USES OF COW ' S MILK IS THE MAKING OF CHEESE WITH WHICH , TO SOME EXTENT AT LEAST , CHEESE MADE FROM EWE ' S MILK COMPETES . AN INCREASE IN THE PRODUCTION OF EWE ' S MILK CHEESE WOULD LEAD TO A FALL IN THE SALES OF COW ' S MILK CHEESE AND THEREFORE TO NEW SURPLUSES SINCE LESS COW ' S MILK WOULD BE USED FOR THIS PURPOSE .
18 THE COMMISSION OBSERVES IN THIS REGARD THAT CONSIDERABLE QUANTITIES OF COW ' S MILK ARE USED IN THE PRODUCTION OF CERTAIN TYPES