COMMISSION ITSELF ADMITS, THAT SCHEMES SUCH AS THE CHRISTMAS BUTTER SCHEME ARE OF LIMITED EFFECTIVENESS, AND ARE VERY COSTLY FROM THE POINT OF VIEW OF COMMUNITY FINANCES, IT DOES NOT APPEAR THAT THE CONTESTED MEASURE WAS UNSUITABLE FOR THE PURPOSE OF ACHIEVING THE DESIRED AIMS OR THAT IT WENT FURTHER THAN WAS NECESSARY TO ACHIEVE THEM . THEREFORE, THE SUBMISSION ALLEGING BREACH OF THE PRINCIPLE OF PROPORTIONALITY MUST BE REJECTED .
THE SUBMISSION ALLEGING THAT THE CONTESTED REGULATION IS VITIATED BY AN EXCESS AND A MISUSE OF POWERS TO THE EXTENT THAT ITS PURPOSE IS TO STIMULATE THE CONSUMPTION OF BUTTER
35 IT CAN BE SEEN FROM THE ARGUMENTS PRESENTED IN THAT REGARD BY THE APPLICANTS THAT THIS SUBMISSION IS IN FACT COMPOSED OF TWO PARTS :
( I ) THE COUNCIL GAVE THE COMMISSION POWERS TO ADOPT MEASURES TO ENSURE THE DISPOSAL OF STOCKS BUT NOT TO SEEK TO INCREASE THE CONSUMPTION OF BUTTER;
( II ) THE MEASURES ADOPTED BY THE COMMISSION MAY NOT GO BEYOND THE PROVISIONS OF ARTICLE 6 ( 4 ) ( A ) OF REGULATION NO 804/68, ACCORDING TO WHICH THE INTERVENTION SYSTEM IS TO BE SO APPLIED THAT THE COMPETITIVE POSITION OF BUTTER ON THE MARKET IS MAINTAINED . IT CANNOT THEREFORE GIVE THAT PRODUCT AN ARTIFICIAL COMPETITIVE ADVANTAGE COMPARED TO MARGARINE . THE COMMISSION THEREFORE SOUGHT TO ACHIEVE AN OBJECTIVE OTHER THAN THAT FOR WHICH THE POWERS WERE CONFERRED ON IT .
FIRST PART OF THE SUBMISSION
36 THIS PART OF THE SUBMISSION MERGES INTO THE MORE GENERAL SUBMISSION ALLEGING LACK OF POWERS ON THE PART OF THE COMMISSION . IT IS SUFFICIENT THEREFORE IN ORDER TO REPLY TO IT TO REFER TO WHAT HAS BEEN SAID ABOVE IN REGARD TO THE COMMISSION' S POWERS .
SECOND PART OF THE SUBMISSION ALLEGING AN INFRINGEMENT OF ARTICLE 6 ( 4 ) ( A ) OF REGULATION NO 804/68
37 IT SHOULD BE NOTED IN THAT REGARD, AS THE COMMISSION RIGHTLY EMPHASIZES, THAT ALTHOUGH, ACCORDING TO ARTICLE 6 ( 4 ) ( A ) OF REGULATION NO 804/68, THE INTERVENTION SYSTEM IS TO BE SO APPLIED THAT THE COMPETITIVE POSITION OF BUTTER ON THE MARKET IS MAINTAINED, THAT PROVISION DOES NOT MEAN THAT THE COMPETITIVE RELATIONSHIP BETWEEN BUTTER AND OTHER PRODUCTS WHICH ARE PARTIAL SUBSTITUTES FOR IT MAY BE REGARDED AS FIXED AND UNCHANGEABLE . ON THE CONTRARY, HAVING REGARD TO THE IMPORTANCE OF THE PLACE OF BUTTER IN THE COMMON ORGANIZATION OF THE MARKET IN MILK PRODUCTS, THE INSTITUTIONS MUST ENSURE THAT THE COMPETITIVE POSITION OF THAT PRODUCT DOES NOT DETERIORATE AND, IF NECESSARY, ENSURE THAT IT IS IMPROVED IN ORDER TO RESTORE THE BALANCE OF THE COMMON ORGANIZATION OF THE MARKET IN MILK PRODUCTS . IT IS FOR THAT PURPOSE THAT THE COMMISSION WAS GRANTED POWERS TO ADOPT, AT TIMES WHEN IT IS DIFFICULT TO DISPOSE OF BUTTER, MEASURES LEADING TO AN INCREASE IN THE CONSUMPTION OF BUTTER BY VIRTUE OF A REDUCTION IN THE PRICE OF THAT PRODUCT, WHICH ALSO PERMITS