CELEX: 51981PC0402
Language: en
Date: 1981-10-14
Title: PROPOSAL FOR A COUNCIL REGULATION (EEC) amending Regulation (EEC) No 2511/69 laying down special measures for improving the production and marketing of Community citrus fruit (presented by the Commission to the Council)

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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                      COM(81 ) 402 final
                                                      Brussels - 14th October 1981
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                     PROPOSAL FOR A COUNCIL REGULATION ( EEC )
            amending Regulation ( EEC ) No 2511 / 69 laying down special
            measures for improving the production and marketing of
            Community citrus fruit
                  ( presented by the Commission to the Council )
COM ( 81 ) 402 final
 ---pagebreak---          proposal for a Council Regulation amending Regulation ( EEC) No 2511/69
  laying down special measures for improving the production and marketing of
  Community citrus fruit .
                              EXPLANATORY MEMORANDUM   -
  On 9 December 1969 » the Council , in its Regulation 2511/69 , adopted special
  measures for improving production and marketing in the Community citrus
  fruit sector. An analysis of the market situation in this sector and parti­
  cularly that of oranges and mandarins showed that there were , in fact , severe
  difficulties of disposal , due first of all to the varietal composition of
  production , which did not meet the quality requirements of Community
' buyers , and     secondly to       a lack of marketing and processing equipment
   for- the3e citrus fruit s .
  As a result , Regulation 2511/69 introduced on the one hand medium term
   measures at the level of production and marketing structures , and , on the
   other hand , "the granthg of a marketing premium to sellers in the producer
   Member States for citrus fruit sold in the remainder of the Community. The
   marketing premium is financed by the Guarantee Section of the EAGCF.      By
   contrast , the Guidance Section pays 50 $ of the cost of the medium term
   measures which are the subject of a plan submitted by the producer Member
   States and approved by the Commission.
   Thus in 1972     a citrus fruit plan presented by Prance and envisaging an
   eligible expenditure amounting to 2.46 MUC .       and     a citrus fruit plan
   presented by Italy and comprising an eligible expenditure amounting to 289 MUC.
   were approved .                         »
   By 31.12.1979 , the total commitments of the Member States were estimated at
   0.57 MUC for France and at 65 MUC for Italy.
   Of the eligible amounts approved in 1972 , over 220 MUC remains , half of
   which , 110 MUC , is the responsibility of the EAGGF.
   An analysis of the available information shows that the implementation of
   the medium term measures met with very big difficulties in Italy, the
 ---pagebreak---     Member State where the problem is most acute .   Whereas over 42,000 ha of
    oranges and mandarins are estimated to be in need of        conversion there ,
    it in to be noted that in reality the total area       converted or for which
     a request for : conversion was made , amounted to. less thane one–fifth of this)
Furthermore .
  I scarcely one third of producers applying these measures have been able to
    benefit from the complementary aid destined, to facilitate       conversion
    through partially compensating small farmers for losses during the period
    of non–production.
    In the meantime the disposal possibilities of these products on Community
    markets have not improved .
    This record shows that the aim of upgrading the agricultural production of
    the Community through the application of Regulation 2511/69 has not been
     achieved#
    The main reason for this state of affairs arises because of the existence
    of two adverse factors which have had a cumulative effect
    – the insufficient incentive effect of the amounts fixed in the Regulation
       for the complementary aid and of those envisaged for            conversion
    – the restrictions imposed by the       Regulation on the granting of the
      complementary aid for     conversion.
   Furthermore the productivity and therefore the competitivity of numerous
   farms which are not in need of reconversion has substantially deteriorated
   owing to structural shortcomings ,                  « r
    The current proposal aims to adapt certain provisions of Regulation 2511/69
    in accordance with the experience gained and in the light of existing ,
    conditions .
    The proposed amendments mainly concern
                                                            . ^
   – the extension of the scope of the medium term measures to include lemons ,
       so as to enable Community producers to prepare themselves to meet the
      increased competition arising from the enlargement , especially insofar
      as quality is concerned ;
   – the geographic limitation of the area of application of the medium term
      measures       to those Member States which are experiencing major problems as
      regards the varietal composition of production*
 ---pagebreak---                                                                       3 .-
 – the relaxation of conditions domanded aa regards the complementary
     aid which nay bo given to small farmers who undertake               oonvoraion
     of their orchards .
  Acong these , the> most restrictive condition was that .
■ farming had to be the main occupation. Because of this , producers who
  had undertaken a non-agricultural activity in order to assure themselves
  of an adequate total income , were not able to reconvert their orchard
      nir.ee      this reconversion  meant .* the lossr 6f their agricultural         •
  income for several years .
  Tbo Commission believes that this problem can be partly overcome by •
   not Excluding part–time farmers if they undertake conversion within
   the framework of a oollective operation and so contribute to the
   qualitative improvement of production in a given area.           '
                   r          .                             "
   .. the increase     in the amount of the complementary aid to a level
V                                                                                   .
       vorresi-v.;^r.5 to the actual loss during the period of      conversion and
       therefore , having a real incentive effect :               *
                                                    Ν
  – the introduction of structural improvement measures with & view to
        allowing the citrus sector to adapt its produotion conditions to the
     new requirements of the market ;                 -v                         ~
    – insofar aa the marketing premium is concerned , limitng it to sellers
        of only those Member States who implement a plan with regard to the
        medium term measures .
    This is envisaged until 1985/86 for lemons and Clementines and until '
    1992/93 at the latest for citrus fruit . Its amount shall be established
    each year at the time of the agreement on agricultural prices according
    to the procedure of Article 43(2) of the Treaty. It shall be degressive
    during its three final years .
    In this connection, the relationship between the penetration premium
    a*Kl the reference prices for the products in question should be borne '
    in mind. The Commission willtake this into account during the
   annual farm prices review.
      1
 ---pagebreak---  The Commission is convinced, that the proposed amendments shall oreate
 the conditions required for a vigorous implementation
 of the measure undertaken to improve the competitiveness of Community
 citrus fruit.   It considers that this implementation is a necessary and
 urgent task , particularly in view of the forthcoming enlargement of the
 Community,
 Insofar as the financial aspects of this revision are concerned , the
 estimated cost of the measures exceeds the "balance of 110 MUC still
 remaining on the amount approved "by the Commission for the implementation
 of the citrus fruit plan for Italy. This cost increase is explained on
 the one hand , by the increase in the real costs of conversion , by the
 increase in the amount of complementary aid and by the fact that a
 considerably larger area will probably be converted than in
  the past . Community financial participation will also extend to structural
 measures which were not part of the citrus fruit plan.
Furthermore , the whole measure shall be applicable in Greece.
 ---pagebreak---   THE COUNCIL OF THE EUROPEAN COMMUNITIES ,,
. Having regard to the Treaty establishing the European Economic Community ,
  and in particular Article A3 thereof ,
  Having regard to the proposal from the Commission ,
  Having regard to the . opinion of the European Parliament ( 1 ),
  Having regard to the opinion of the Economic and Social Committee ( 2 ),
  Whereas little progress has been made on the measures providing for the
  conversion of citrus production to better varieties ; and whereas all
                                               Λ
  efforts should therefore be concentrated on the conversion of orange ,
  mandarin and lemon plantations to varieties better suited to consumer
  requirements ;
  Whereas in order to strenghten the possibilities of Community producers
  to prepare themselves to meet increased competition following enlargement ,
  particularly from a quality point of view, steps should be taken to extend
  the field of application of the medium term measures to lemons ;
  Whereas in the Member States where asubstanfi a I number of varieties of    -
  citrus fruit are not acceptable to consumers , this situation has affected
  development efforts relating to the total production of those countries ;
  that it is necessary therefore to provide for structural improvement mea­
  sures to assist production in the Member States concerned ;
  Whereas conversion , marketing and processing measures should be encouraged
  only in Member States in which there is a very great need for , conversion
  to different varieties ;   .                    '      .
Whereas however Regulation ( EEC ) No 2226 / 79 of 9 October 1979 authorised France
to undertake measures concerning the replanting of citrus fruit plantations and
the improvement of processing and marketing conditions in the citrus fruit sector
insofar as those measures are undertaken before 31.12.1983 and completed by
31.12.1986 at the latest ; that it is therefore necessary to authorise the
application of these measures , under the conditions of the present Regulation and
within the aforesaid time limit ;
  Whereas in view of the changes in purchasing power since the adoption of
  Council Regulation ( EEC ) No 2511 / 69 of 9 December 1969 , the amount of the
  additional aid should be increased ;-                    ■     N
  Whereas reconversion also necessitate joint operations and the achievement
  of such operations necessitates the same incentives for all participants ;
  ( 1 ) OJ No
  ( 2 ) OJ No
 ---pagebreak---                                                                            2 .-
    Whereas the granting of financial compensation is justified only in
    Member States in which a conversion plan has been established ; whereas
    the Community markets other than those of the producer Member States
    are more receptive to Community lemons and Clementines than to oranges
    and mandarins , 'and whereas financial compensation could therefore be
    withdrawn more rapidly for lemons and Clementines ,
    HAS ADOPTED THIS REGULATION :
                                   Article 1
    Regulation ( EEC ) No 2511 / 69 is amended as follows :
1 . Article 1(1 ) is amended to read as follows :
    " 1 . Aid shall be granted for measures on which a start has been made up
          to 31 December 1990 within the framework of the plan referred to in
          Article 2 , which are designed.to :
          a ) convert existing plaptatioVis.ofiorange , mandarin or lemon trees to
              other varieties of dran^es',. mandarins or lemons or other citrus
               fruit of the satsuma.'or Clementine type with a view to adapting such
              plantations to suit consumer demand ;
          b ) establish , improve and enlarge :
              - handling centres for citrus fruit where sorting , sizing , disinfection
                 and packaging are carried out and which have storage space
                                                         I I
                 available , as an annex , should the need arise ;
              - storage centres for citrus fruit ;
              - processing installations for citrus fruit with storage space
                 available , as an annex , should the need arise .
          c ) restructure the citrus fruit sector towards greater competitiveness
              by
              - making reproductive material available
              - modernizing holdings
              - renewing plantations
              - the action necessary to orient production and stimulate sales .
          This aid shall be granted in accordance with the provisions of Article 5 .
                                                                          ./.
 ---pagebreak---                    τ
Article 1(2 ) is amended to read as follows :
      ι
" Community farmers producing oranges and mandarins who undertake to
  replant within the . meaning of paragraph 1(a ) shall qualify , at their
  own request and under che coM^itior.r laid down in Article 4 , for
   additional aid granted in order xr.vt an > cJei-cit ontuiled by such
   replanting may be taken into account ".
 This aid shall be granted in accordance with the provisions of Article 5 .
 The first subparagraph of Article 2 is amended to read as follows :
  " The measures provided for in Article 1(1 ) ( a ) shall apply only in Member
    States where
    - for oranges , at least 20% of total production consists of fruit of
         the varieties " biondo comune " and " sanguigno comune ";
    - for small - fruited citrus , at least 50% of total production consists
         of mandarins ;                      ,
              'nmons at least 50% of production consists of fruit of varieties
         other than " Eureka " and " Verna "            i : \     •
     and insofar as they concern the measures referred to under Article 1(1 ) ( c )
     where the Member States give proof simultaneously of major structural
     deficiencies .                    /                      ' .                 ,
     However , insofar as they are undertaken before the 31 December 1983 and
      completed by 31 December 1986 at the latest , these measures provided
        for in Article 1 ( 1 ) under a ) and b ) may equally apply in Corsica ."
     The Member States concerned shall by 31 December 1982 , draw up a plan of
     the measures they consider most suitable for carrying out the work
     referred to in Article 1 , or amending the existing plan .       This plan must
     specify in particular the production areas to be replanted , the varieties
     to be changed , the location of installations technically equipped for
     storage , handling and packing and processing and the parts of capital
    expenditure incurred in work referred to in Article 1         (1)(b ) which are not
    financed by the EAGGF ( European Agricultural Guidance and Guarantee Fund )
    and which are respectively chargeable to the Member State concerned and to
    the beneficiary .                                    1
 ---pagebreak---   Work involved in drawing up the plan shall be done in conjunction
  with the Commission which may forward any recommendation to the Member
  State concerned ".
The following subparagraph is added to Article 3(1 ):
" with respect to the work referred to in Article 1(1)(c ):
  - to guarantee , with the aid of technical and health controls , the use
     of better reproductive material ,
  - to allow for the reduction of production costs on holdings where the   _
     orchards permit adequate production but the means of production
     require improvement ,
  - to encourage the abandonment of citrus fruit growing on less suitable
     land and its transfer to land particularly suitable for varieties in
    greater demand on the market ,
  - to improve the competitiveness of production by improving quality
    in line with market demand ".
Article 4(1 ) is amended to read as follows :
" The aid referred to in Article 1(2 ) shall be paid to farmers who practise
  agriculture as their main occupation and who grow oranges , mandarins or
  lemons on cpndition that
 - the income derived from their holding during the year preceding the
    operation does not exceed the income derived from five hectares of
    orange , mandarin or lemon trees ,
 - at least 40% of the area used for growing orange , mandarin and lemon
    trees is converted at one time ,
 - an area of at   least 20 ares is converted .
 Where a collective conversion measure is concerned the aid may also be
 paid to farmers involved in the operation who cannot meet the above
 conditions .   For the purposes of this Regulation a collective measure
 shall refer to any reconversion measure realised by farmers within the
 framework of a mandatory agreement concluded between these farmers .
 ---pagebreak---   The amount of . aid per hectare converted shall be as follows :
     2200 ECU per year for the first four years ,
     1500 ECU for the fifth year ,
     1000 ECU for the sixth and seventh years , .only for growers who replant
   The above amounts shall be increased by 10% per converted hectare of
   mandarin and lemon trees .
  The first instalment shall be paid during the two months following the
   start of conversion .
  The amount of aid may be adjusted in or after the year following that in
   which this Regulation enters into force in the light of the general
  economic situation , by a Council decision , arrived at by a qualified
  majority , following a proposal from the Commission ."
Article 5(1 ) is amended to read as follows :
"1 . The aids specified in Article 1 shall be granted by the Member States
      They must cover :
      - all expenditure in implementation of the measures specified at ( a )
        and at the first and fourth indents under ( c ) in paragraph 1 , and
        of the additional aid provided for in ; paragraph 2 ;
      - all expenditure in implementation of the measures specified at ( b )
        and at the second and third indents under ( c ) in paragraph 1 , less
        the proportion of this expenditure to be met by the recipient of th
        aid ."
Article 6 is amended to read as follows :
" Sellers established in the producer Member States who have drawn up a
  conversion plan within the meaning of Article 2 shall qualify , subject
  to the conditions set out below , for financial compensation in respect
  of oranges , : mandarins , Clementines and lemons originating in the said
  Member States and marketed in the other Member States ".
 ---pagebreak---                                                                            6 .-
8 . Article 7 is amended to read as follows :
    " 1 . For oranges and mandarins the amount of financial compensation shall
           be fixed each year before the beginning of the marketing year in
           accordance with the procedure laid down in Article 43(2 ) of the
           Treaty ,
          a ) up to and including the 1989 / 90 marketing year , on the basis of the
              previous amount adjusted for changes in the basic and buying-in
              prices for the products in question , subject to the condition ,
              however , that the percentage change of the financial compensation
              compared with the preceding marketing year may not exceed the
              percentage change of the basic and buying-in prices ;
          b ) with effect from the 1990/ 91 marketing year , on the basis of the
              previous amount reduced, successively, by one quarter , one third
              and one half .                          ,
          Financial compensation shall be abolished with effect from 199j/ 9^
          marketing year .                           ;-
     2 . For lemons and Clementines the amount of the financial compensation
          shall be fixed each year before the beginning of the marketing year ,
          in accordance with the procedure laid down in Article 43(2 ) of the
          Treaty, on the basis of the previous amount reduced, successively,
          by one quarter , one third and one half .
          Financial compensation shall be abolished with effect from 1985 / 86
          marketing year .
     3 . Financial compensation shall be granted only in'respect of products
          belonging to quality classes Extra and I ".
               r                  Article   2
     The measures referred to in title I of Regulation ( SEC ) No 2511/69 and
     initiated after the entry into force of this Regulation constitute com­
    mon measures', within the meaning of Article 6 of Regulation ( 3SC ) No
    729/70 whose estimate cost is 285»7 SUA.
                                  Article   3
    Tins Regulation shall enter into force on the third day following its
    publication in the Official Journal of the European Communities .
    This Regulation shall "be binding in its entirety in all Member States .
    Done at Brussels ,
                                                         For the Council ,          •
 ---pagebreak---                      FINANCIAL               STATEMENT
                                                                      ■
                                                                                       1 Date : 11 .6 . 1981
1 . BUDGET HEADING :           8330                                                      APPROBATIONS :   I98I ;
2. TITLE : proposal for Council Regulation (EEC) amending Regulation (SEC)
               No 2511/69 laying down special measures for improving the production and
               marketing of Community citrus fruit .
                                                                                                                                    Í
 J. LEGAL BASIS :          Article 43 of the Treaty.
       AIMS OF PHOJECT •. To adapt citrus fruit production to market "requirements and promote
               the marketing of citrus fruit .                              ' '            .
  5 .ADDITI0NAL' FINANCIAL IMPLlr                 PERIOD Of 12 MONTHS   CURRENT FINANCIAL YEAR
                                                                                < 1981       >      FOLLOWING F IR^NC IAL YEAR
  5.0 EXPENDITURE                   CATIONS
         - CHARGED TO THE EC BUDGET                                             p. m .                       p«fn «
           ( REFUNDS / INTERVENTIONS )
         - NH <- Î.ONAL ADMINISTRATION                                          p. m .                       p.m .
         - OTHER
  5.1 RECEIPTS
         - OWN RESOURCES OF Ti ;? EC
            ( LEVIES / CUSTOMS DUTIES )
         - NATIONAL
                                                     1985                 1986                   1987                 1988
   5.0.1 ESTIMATED EXPENDITURE·           \     21.5 mio ECU       23.65 mioECU              25.8 mio ECU      27.9 mio ECU
   5.1.1 ESTIMATED RECEIPTS           :
   5 «C METHOD OF CALCULATION           S60 AlUldX
   6.0
                                    ■                                             1                                      X3SUEGX
   6 · 1 ÄMMXüÖüaXXJüiXXXX&XKQßüC^^                                          J£M3iXXXXS£XX ? .
                                                                                                                     XXX5ÖQS6X
   6 · * iXXXXXXX3üC2MXXXXXXXXXJECXjS£ ?                 ·
                                                                                    1'
                                                                                                                    xmsPTvéx
   6.3 WILL FUTURE BUDGET APPROBiATIONS S£ NECESSARY ?
                                                                                                                          YES / lKX
  OBSERVATIONS
 ---pagebreak---                                            ANNEX
1 . Link between the existing measure and the proposal
    a) as regards application in Italy
    The citrus fruit plan adopted on 16 February 1975 -provides for a total sum
     of 144 . 5 million units of account for the execution of this plan . So far
    commitments entered into by the Member States concerned are put at
    65 million units of account , of which the EAGGF will reimburse 50 /&. The
     situation at 31 December 1980 was as follows : the EAGGF had reimbursed
    20.1 million ECU to Italy,        Of the amount approved 110 million still
    remained available .
    b ) as regards France
    The French citrus fruit plan adopted "by the Commission on 16 February 1973 , will
    remain in being until 31 Deoember 1985 . It is estimated that tnere will be no
    additional costs over and above these envisaged in the approved plan.
2 « Hypothetical breakdown cf the implementation of the amended Regulation in Italy
    a) Conversion aid – .calculation hypothesis
        – The average cost of conversion is estimated at 7000 ECU/ha of which
          the EA.GCEF will reimburse 50 %,
        – the work will be oompleted within 2 years of being started ,
        – the reimbursement by the EAGGF wikll be spread over the period from
          1985 to 1994 ,
        - the number of hectares involved is estimated at 25.000.
              t                     Area         Expenditure by
                                                the Member State  M"tø^ment
                Year
                                  ha             million    ECU    mi I lion . ECU
                 1984           2 . 500                17,5
                 1985           2 . 500                17,5              8,75
                 1986           2 . 500 ,              17,5          -   8,75
                 1987        '  2.500                  17,5              8,75
                 1988        '  2.500                  17,5              8,75
                 1989           2.500                  17,5              8,75
                 1990 .         2 . 500                17,5              8,75
                 1991           2 . 500                17,5              8,75
                 1992           2.500                  17,5              8,75
                 1993           2 . 500                17,5              8,75
                 1994               -
                                                                         8,75
                Total          25.000                 175                8?5
                                        )
 ---pagebreak---                                                                                               2 .-
b ) Additional aid
     Basis £f_cal£ulati on
     – The cost per hectare is estimated at : 2.^00 ECU for the first 4 years -
                                    •        '                        1.500 ECU for the fifth year
                                                                      1.000 ECU for the sixth and seventh
                                                                                                              year ,
     – Payment will be made within 2 months following the beginning of the
        conversion operations ( i.e , operative event up to 28 February 1991 ),
     – Reimbursement by the EAGCF will be spread over the- period from 1985
          to 1998 .
     – The number of hectares involved is estimated at 12.000 .                                      The number of hec­
        tares converted by replanting is estimated at th ree-quater , of the number
        converted , i.e. 9 000 ha .                                                                ^
                                                      Aid granted by Kember State
Year             Area                                                 Year                         Total        Reimbur-
                                  •
                                         1       2         3      4      5       6          7      per          sement
                      U «
                                      < 2200 < 2200    < 2200 < 2200 < 1000    < 500      ( 500    budget      by
                      Πa
                                        ECU )   ECU )    ECU )  ECU )  ECU )   ECU )     ECU )     year        EAGGF
  1984        .  1.500                  3,3    •         •      _      _
                                                                                                      3,3
  1985           1.5 00                 3,3     3,3      -      -      -      -          -
                                                                                                      6,6          1,65
  198Ó           1.500                  3,3     3,3      3,3    -      -      -          -
                                                                                                      9,9          3,30
  1987           1.500                  3,3     3,3      3,3    3,3    -      -   .·     ~
                                                                                                     13,2          4,95
  1 938 :   -    1.5 00                 3,3     3,3      3,3    3,3    2,25   -          -
                                                                                                     15,45         6,60
  1989           1.500                  3,3     3/ 3     3,3    3,3    2,25 1                        16,45         7,72
  1990           1.500                  3,3    3,3       3,3    3,3    2,25 ' 1         1            17,45         8,23
  1991           1.500          '       3,3    3,3       3,3    3,3    2,25' 1 .        1            17,45         8,73
  1992                                         3/ 3      3,3    3,3    2,25 1           1            14,15         8,72
  1993                                 -       -
                                                         3,3    3,3    2,25 1           1            10,85         7,08
                  • ν I       ι [
  1994                                 -       -
                                                         -   .  3,3    2,25 1 ''        1             7,55         5,42
  1995              .   ; - ■          -       -        -
                                                                –
                                                                       2,25 1'          1             A , 25       3,78
  1996               ,    -            -       -
                                                                       – "
                                                                             Λ          1             2,00         2,12
  1997                    -            - "     -        –      -       –
                                                                                     J
                                                                                        1-- . ·       1,00         1,00
  1998                                                                                                             0,50 .
                                                                                                             »   -
 Total          12.000          '   26,4       26,4    26,4    26,4   18,0    8         8 " 139,6                69,8
 o ) Aid to encourage investment in handling, storage and processing facilities
     Method_of £al_culation ■                     .                                                            _
     – The aid granted by the Member State will "be fO % of the cost of investment ,
        of which the EAGGF will reimburse half, i.e. 35                                of the total ,
     – the beneficiary must contribute 30
     – the work will be completed three years after it was started ,
     -• the total cost of investment is estimated at 40 million ECU,
 ---pagebreak---                                                                       Million ECU
          Year           Total cost of      Member States             EAGGF
                           investment              aid
        a
                                                   70 %          reimbursement
      1984                     4                   2,8
      1935                                        2,8                    1 ,4
      1986                                        2,8                    1 .4
      1987                    4                   2,8                    1' / 4
                                                                              ^
      1983
                                                  2,8                    1' * L
                                                                              H
      1989                    4                   2,8                    1Λ
      1990                                        2,8                    1 .4
      1991                    4                   2,8                    ï ,**
      1992                    4                   2,8               •    1,4
      1993                                        2,8                   1,4
      1994
                                                                        1.4
      Total                 40
                                                28             j       14
Aid for restructuring
The cost of improving propagating material is estimated at 10 million ECU ,
including setting up or enlarging nurceries and producing mother plants .
Of this sum 50% will be met by the EAGGF . A total of 6.000 ha of citrus
orchards will be grubbed .
Of this area , of 6 000 ha 3 000 ha will be replanted with various annual crops
and 3 000 ha will be planted in more suitable areas .
The grubbing aid will be 5 million lire , i.e. 4 000 ECU / ha . The aid for
successive replanting is estimated at 70% of a cost of 4 000 ECU / ha , i.e.
2 800 ECU / ha .
The total public cost of the operation will thus be :
       (6 000 x 4 000 ) + (3 000 x 2 800 ) = 32.40 million ECU
of which 16.2 million Ecu will be met by the EAGGF .
The structural improvement of holdings will consist essentially of improving
the structure of land holding . The public aid per hectare will be 70% of an
estimated cost of 4 000 ECU / ha , the number of hectares concerned being
15 000 . This gives a total public cost of 42 million ECU , of which the EAGGF
would meet 21 million ECU .
The total cost to the EAGGF of the restructuring aids will therefore be
5 + 16.2 + 21 = 42.2 million ECU .     The action will extend from 1984 to
1993 , i.e. the same period as the conversion operation . The co~t of the
 EAGGF will thus be spend out between 1985 and 1994 at an approximate
 annual amount of 4.7 million ECU .
 ---pagebreak---                                                                                                                  4 .-
     e > Summary of costs to the Community of implementation in Italy
                                Addi tional               Aids for marketing               Rest ructuri ng
 Year         Conversi on                                                                                             Total
                                      ai d                 and processing                           ai ds
 19*4             p.m .                p. πι .               •        p.m .                        p.m . .                p.m .
 19?5             8,75                 1,65                 •         1,4                          4,7                 16,5
 19δό             8,75           •     3,3                            1,4              . .         4,7                 18,1-5
 1987             8,75   .             4,95                           1,4    ·                     4,7                 19,8
 19Γ.0         . 8,75 .                6,6     ■                "
                                                                                                   4,7         .       21,45
                  8,75                7 ,7 . «                 :      1,4      · .       .         4,7                 22,55 .
 1990             8,75                 8,2 .                ,         1,4         !'               4,7                23,05
 1991             8,75              ■ 8,7                             1,4                   •      4,7                23,55
 1992             8,75                8,7                         ' 1,4                            4,7                23,55
 1993             8,75                7,1          .                ■ 1,4   -                      4,7                21,95
 1994 ,           8,75                5,4                             1,4                          4,7                20,25
 1995             –
                                      3,8                            –                             –   ■
                                                                                                                        3 8
 1996     ,·      -
                                      2,1'                                                         –
                                                                                                                        2C. , 14
 1997             –
                                      1 ,0
                                                                         1
                                                                         /    Π r             •    –
                                                                                                                        iι Λ πυ
 1993
                                   ; 0.5                                                                                0,5 '
                            -
                                                                                                 /          -
Total           87,5 '     n         69,8                          14          nn               47                   218,2
           General assessment with regard to implementation in Greece
           In the absence of a Greek national plan for the citrus fruit sector , it is
           possible to indicate only an order of magnitude*
           The area under oranges in Greece is 30.300 ha compared with 96.929 ha in Italy
          Assuming that the cost , of implementation in Greece would be* similar to that
           in Italy an estimated total of 67.5 million ECU can be envisaged on the basis
          of the* total area under oranges . ' ~
      4 . The  total annual cost of implementation in the Community in the five-year
           period 1985-89 is estimated at :
                    Year                                 Implementation in                                 Total
                                                     Italy                       Greece
                      1985    ■    ·                  16,5                           5                        21,5
                      1986                            18,15                          5,5                      23,65
                      1987                            19,8                           6                        25,8
                      1988                            21,45                          6,45                •    27,9
                      1989                       .    22,55                          à, 7                   29,25
                 Total 85 - 89                        98,45                     , 29 / 65                  128,1
 ---pagebreak---                   FINAN C i A L            STATEMENT
                                                                                   Date : 26 January I98I
  ï . BUDGET HEADING : 6012 ( compensation for promotion of                        APPROBATIONS : 16·7 million ECU
                          Community citrus fruit )
  2. TITLE : Proposal for a Council Regulation amending Regulation (EEC) No 2511 laying
            down special measures for improving the production and marketing of Community-
            citrus fruit .
  3. LEGAL BASIS : Article 43 of the Treaty,
  4 . AIMS of PROJECT ;     Marketing aspect :
            1 . To link the grant of compensation to structural measures to "be undertaken·
            2 » To limit the duration of compensation for oranges , mandarins and clementines
            3· To extend compensation for lemons for a specific period.
  5.    FINANCIAL IMPLICATIONS                PERIOD Of  12 MONTHS  CURRENT  FINANCIAL YEAR  FOLLOWING  FINANCIAL YEAR
                                                                            ( 19ol )                ( 1982    »
  5.0 EXPENDITURE
         - CHARGED TO THE EC BUDGET
           ÛQCXJOC,/ INTERVÎNT IONS )                                         -
                                                                                                5 . 8 million ECU
         - ocxxx
  5.i3uoaaat
         - jucxjocxxjauoaooDGC
           ^ YYrrryymrvrW
         - iiäüäöQc
                                                    83                . 84
  5.0.1    ESTIMATED EXPENDITURE              4*4 million         2.9 million
  5.1.1    ESTIMATED RECEIPTS                      ECU                ECU
  5.2 METHOD OF CALCULATION           See annex
                                                                               »
   6.oXXXXXXXXXXX5ÜQCXXXXXXXX}OüiXXXXXmJÜQQKX}£XXiüüËX^^                                                                     ι
                                                                                                                  γ MM.
   6 .1 XXXJCXXÄÜOXXXXXXXXXXXXXXÄXXXXXXÄCXXXXKJsa[XXXXX3ÜÜÜÜ
                                                                                                                  XMM !
   6 . ? XXXMQKmimxmXXmMÍ^^
                                                                                                                  mu
i 6.3 WILL FUTURE BUDGET APPROBATIONS DT     NECESSARY  ?
                                                                                                                   YES / JQC
   OBSERVATIONS : See also Financial Statement for the conversion measures ( EAGGF
            Guidance Section)
 ---pagebreak---                               .LrrrsX  ;■ Method of calculation
     iU-vti.^te of additional expenditure ( at I9S0/SI prices ) on financial
      compensation for citrus fruit marketed in other lies£>er States ( markei
     promotion premiums ).
                                                                        Million ECU
                                      I
                                         8l/ 82 narlcoting yr , 8£/ S!3 " marketing yr, 183/84 marketing yr,
                                         = 82 financial yr . - 83 financial yr.          » 84 financial yr.
  A – Lemons : measures
     oxt erica and phased out
    up to 1984/25
 eur-9 - 80.000 t x 71 Ecu/t              χ 4 / 4 » 5,7           χ 3 / 4 - 4,3           χ 2 / 4 » 2,8
                             (1)          1                         •
CLceec8 – $,000 t x 71 ECll/t             χ 4 / 4 χ 1 / 5» 0,1    χ 3 / 4x 2 / 5 - 0,1    χ 2 / 4 χ 3/ 5=0,1
                       ( 1) (2)                                  •
 Total EUR-10        '   " '                          .    5,8        ""           ^                     2,9
  3 – Crar.iTGG , mandarir.s and          no change in experidi ture ; long-term síiving resulting ·
     fclementinos ;                       from the proposed abolition
     ( existing measures ) ( l )
  C - Total EUR–10
                                                          5,3                      4,4 1                 2,9 '
     ( 1) Taking account of the phasing-out of compensation over the last
          three marketing years,
     (2) The accession transitional period is five years for these products,
     (3) For these products expenditure on financial compensation will amount
          to 11.8 million ECU for 1982 , 12.8 million ECU for 1983 and 13.7 million
          for 1984«        •:
                                                                                                             1