CELEX: 51975PC0561
Language: en
Date: 1975-11-11
Title: Proposal for a REGULATION (EEC) OF THE COUNCIL fixing the activating prices for table wines for the period from 16 December 1975 to 15 December 1976 (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (75) 561
Vol. 1975/0210
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 ---pagebreak--- COMMISSION OF THE EUROEBAN COMA
                                                  COM(75)561 final .
                                                  Brussels , 11 November 1975
                                  Proposal for a
                          REGULATION ( EEC ) OF THE COUNCIL
                fixing the activating prices for table wines for the
                period from 16 December 1975 "to 15 December 1976
                    ( submitted to the Council by the Commission)
   CCMC 75 ) 561 final .
 ---pagebreak---                          EXPLANATORY MPMORAHDU!!
1 . Article 3 ( l ) of Regulation (EEC ) NO 816/ 70 laying down additional
provisions for the common organization of the market in wine provides
that "the Commission shall fix annually before 16 December a threshold
price activating the intervention system , herineafter called the
" activating price " for each type of wine for which a guide price is
fixed .
It provides for the activating price to be fixed in the light of the
following factors :
a ) the state of the market and in particular the extent of price
     fluctuations ;
b ) the need to ensure price stability on the markets without causing
   : structural surpluses to build up in the Community ;
c ) the quality of the harvest ;
d ) the information contained in the forward estimates provided for in
     Article 3 of Regulation No 24 on the progressive establishment of
     a common organization of the market in wine .
2 . a) Observation of the Community markets reveals that the average
         weighted prices were lower during the previous wine-growing
         year and at the beginning of the 1975/76 wine-growing year than
         the activating price for all types of table wine . Substantial
         intervention measures , including distillation , were necessary in
         order to avoid a complete slump in prices .
     b ) The need to ensure price stability on the market without causing
         structural surpluses to build up in the Community implies a
         careful choice of methods which guarantee a fair income for the
         producer , without this being conducive to increases in produc­
         tion .                                                    /
 ---pagebreak---                                           - 2 -
         It was estimated* in view of the general rise in prices recently, that
         a reasonable increase in the activating price was justified in order to
         guarantee a fair income for the producer , without the risk of creating
         structural surpluses . Too large an increase could jeopardise the
         future particularly in view of the quantities currently available.
   ( c ) The quality of the harvest may generally be considered average . In
         certain regions of the Community, however , it is good.
   ( d) The forward estimate will show, in keeping with rthe latest assesments
         some reduction in supplies of wine compared with the previous marketing
         year .                                 -
   CONCLUSION
It seems legitimate to make provisions for an increase in the activating prices
   of each type of table wine , especially since the guide price for all wines
   has been increased by 8 % for the period between 16 December 1975 euacL 15
   December 1976 ( Council Regulation no 611/75 of 20 March 1975 - OJ No L "J2
   of 20 March 1975 , p. 10 ).
          However , it should be borne in mind that although the guide price remains
   the objective , the activating price is linked rather to the short-term mar--" ■
   lcet situation , seen mainly from the supply standpoint .
          It , therefore , seems reasonable to provide that the increase in the
   activating prices for all wines should be less than the increase approved
   for the guide "price .
                                                                           /•
 ---pagebreak---           Table wine of type R II is , however , a special case , the prices for
this wine having been fixed in the past at a lower level than for wines
of type R I. In order to take account of the special situation of the R II
type , the Council decided , when last fixing guide prices , to bring the
price of this wine into line with the price of the R I type . This situation
should , therefore , be borne in mind when fixing the activating price .
          It should seem to be indicated , in view of the factors set out
above , that the activating prices should be fixed at a slightly lower percen­
tage of the guide price than that fixed for the wine-harvest year 1974/75
( 94 f°) » it is therefore proposed to fix the activating price at 93 $ of the
guide price for all types of table wine .
 ---pagebreak---                            ι
                 REGULATION (33C ) Ho    ,   OP THE C0UHC7.L OP
fixing        activating prices for table wines for the period
                    1C December 1975 to 15 December 197-
THE CC'UITGIL 0? TH3 EUROPEAN CGEHOHITRS ,
Having regard to the Treaty establishing the European Economic Community ;
Having regard to Council Regulation (SoC ) Ho 316/70 ^ of 23 April 1970
laying down additional provisions for the common organization of the mar-
                                                                 f2)
ket in wine , as last amended "by Regulation ( EEC ) Ho 1932/ 75     » and in
particulr-r Article 3 ( l ) thereof ;
Having regard to the proposal from the Commission?
IThereas an activating price must be fixed annually for each type of wine
for which a guide price is fixed , taking into consideration the factors
set out in Article '3 ( 2) of Regulation ( EEC ) . No 816/70 ;
IJhereas the quality of the 197 5/ 7 ^ harvest can generally be regarded as
average ;
Miereas there has been a slight increase in average tvine prices since the
and of the 1974/75 wine year ; whereas the prices for each type of
table wine , as recorded in at least in one marketing centre for
each auch type , are below the activating prices ;               /
( 1 ) JJ i:o L Ç9 , 3.5.1970 . p. 1 .
( 2 ) OJ ¡lo L 152 , 29.7.1975 - p.l?.
 ---pagebreak---  ■There as , because of the lower level of stocks brought forward
 from the previous wine-growing year and. the fact that the harvest
 is of average quantity forward estimates show that the quantity
 available is lower than that recorded for last year ;
Whereas the level of activating prices must take account of the
 factors' mentioned above ; whereas therefore the activating prices
 for the period 16 December 1975 to 15 December 1976 should be
 increased in comparison with the prices for the previous wine
 year , without , however , encouraging production by too 1'arge
 an increase ; '                                                        -■
Ilhereas the guide prices for the period.        15 December 1574
15 December 1975 were fixed by Regulation (3i£C ) No uC'l/75       J
'Jhereas Article 2 ( 3 ) of Regulation (JSC ) Ho f. 15/70 provides that the
activating price shall be fixed at the same stage and shall be valid
during the seme period as the guide price ; whereas Regulation (EEC )
Ho 945/ 70 ^ ' ^ determines the types of table wine to which these prices
apply ,
HAS ADOPTED THIS FJiXJULATlON t
                                  Article 1
                                                           «
The activating prices for the period .        lo December 1975 to 15
December 197 " are hereby fixed as follows :
1.      1.71 u.a. per degree/hi for table wine of type R Ij
2.      1.71 u.a. per degree/hi for table wine of type RII *,
                                                               /            1
                                                             •/ •
( 3 ) OJ No L 72 , 20.3.1975 , p. 10 .
(4 ) OJ No L 114 , 27.5.1970 . p. 1 .
 ---pagebreak---                                      -2>è
3.     2 . . 70 u.a . per hi for tablo wine of type 'd III*,
4.      l.'l u.a. per degree/hi for table wine of type A I ;
5.     3^.3'- u.a . per hi for table wine of type A II. J
6.     A0.,'3'u.a. per hi for table wine of type A III .
                                 Article 2
This Regulation shall enter into force on 16 December 1975 *
This Regulation shall be binding in its entirety and directly appli­
cable in all -Hember States .
Done at Brussels .                                For the Council
                                                    The President