CELEX: 51981PC0499
Language: en
Date: 1981-08-26
Title: Proposal for a COUNCIL REGULATION (EEC) derogating from the provisions of Regulation (EEC) No 343/79 in respect of certain rules relating to the distillation of table wines decided upon in accordance with Article 12a of Regulation (EEC) No 337/79

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (81) 499
Vol. 1981/0149
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 ---pagebreak---      COMMISSION OF THE EUROPEAN COMMUNITIES
                         t
                                                     COM(81)499 final
                                                     Brussels - 26 August 1981
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                                     Proposal for a
                                COUNCIL REGULATION ( EEC )
              derogating from the provisions of Regulation ( EEC ) No 343 / 79
              in respect of certain rules relating to the distillation of
              table wines decided upon in accordance with Article 12a of
                               Regulation ( EEC ) No 337 / 79
«
    C0M(81 ) 499 final
  *
 ---pagebreak---                          EXPLANATORY MEMORANDUM
This Regulation makes provision , within the " performance guarantee "
distillation arrangement , for waiving the provisions in Regulation ( EEC ) No
343 / 79 in respect of payment of the minimum purchase price and payment' of ,
the aid .    On account of the serious crisis on the table wine market which
is resulting in cash flow problems for producers , it is proposed that
payment of the aid due to them be advanced as far as possible ,, whi le
guaranteeing the proper conduct of operations by means of an appropriate
deposit system .
 ---pagebreak---                    .                            Proposal tor
          .     -                   COUNCIL. KEGULATION ( EEC )
        derogating from the provisions of Regulation ( EEC ) No 343 / 79 . in respect
        of certain rules relating to the distillation of table wines decided upon AT
        ip accordance with Article 12a of Regulation ( EEC ) No 337 / 79
THE COUNCIL OF TI!E EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community,'
Having regard to, Council Regulation ( EEC ) No 337 / 79 of 5 February 1979 on the
coraraon organization of the market in wine ( l),'as last amended by Regulation
( EEC ) No 3456 / 80 ( 2 ) and in particular Article 12a(4 ) thereof ,
Having regard to the proposal from the Commission , ,
Whereas the present serious crisis on the table wine Market is resulting in cash
flow problems tor producers/ whereas , in these circumstances , it is
essential to advance the payment of aid due to them under the -j is t i 1 1 at ion
Measures decided upon pursuant to Article 12a of Regulation '.(EEC ) No 337 / 79 as
far as possible , while guaranteeing that operations are correctly carried out
by means' of an appropriate system of securities ;             whereas it is therefore
necessary to derogate from the 'provisions of Council Regulation ( EEC ) No 343/ 79 ( 3 ),
by making provision for payment of the aid in accordance with a procedure comparable to
that laid , down for the except ional disti I lation of table wines decided upon during
the 1980/ al wine-growing year , adjusted in the light of experience ;
( 1 ) O.J No L 54 ,    5 . 3 . ! 979 , p ." 1 :
U ) OJ Xo L 360 , 31 . 12 . 1980 , p . 18
( 3 ) OJ No L 54 , 5.3.1979 , p.64
 ---pagebreak---                                                    -   2    -
   Whereas the quantity of table wine which may be' distil led pursuant to Article
    12a of 'Regulation ( EEC ). No 337 / 79 is liihite.1 for each producer to a certain
   percentage of his production ; ' whereas control of compliance with that provision entai Is
   detailed checks 6n producers' harvest declarations and records at the timeof approval of
   delivery contracts ;                                           .         ' -
   Whereas the ' provision ir* Article. 8(2 ).- of Regulation' ( SRC ) No 343 / 79 , whereby
 ' the competent intervention .- agency is that of the Member State on whose
   territory distillation takes place , could give rise to serious administrative ,
   difficulties where distillation takes plaice in a Member State other than that
• in which" the wine was produced ;          whereas a derogation shbuld t herefore be made to t he
   said provision and provision made for the competent intervention agency to be that
   of the Member State where the wine is situated at the time the contract is concluded-
   for the purposes of approval of the abovementioned delivery contracts ;
                  '                                           -•        %       . .   '
   HAS ADOPTED THIS REGULATION :               ~                    ,     ,         '
                                                 Art i c le      1
        For distillation decided upon pursuant to Article' 12a of Regulation ( CEC )
        Wo 337 / 79 in the context of measures reserved for holders .of long-^tem .- -
        storage contracts concluded during the 1980 / 31 wine-growing year and by way of dero
        gation from         'Article 4 of Regulation ( EEC )- No 343 / 7S , the provisions
        applicable in respect of payment of the minimum purchase price and payment
        of aid snail be those laid down in Article 2 . -              *                        '
              > -   '                            Article 2
   1 . When the t ot a L . quant i ty' of wine covered by the delivery contract enters the
        distillery , the distiller' shall pay the producer " at least the difference
        between the • in i'ninun; purchase price and the aid laid down .
   2 . By way of derogation from paragraph 1 , the minimum purchase price shal I be paid by
                                     ■                    ■    '                        <
      . the dLstiller within the time limits to be laid down :
    .   - when distillation takes place in a Member State other than that where the
          wine was subject to a long-term storage contract , or                                     ,
        - where provision to this effect is made in the delivery contract .
 ---pagebreak--- Where proof is f n f n i s Ivecl Chat the total quantity of wine given in the
contract has been distilled tlie intervention agency shall pay the aid laid
down to the producer or , in the circumstances referred to in paragraph 2 , ~
to the distiller .             •                               '
Where the aid is paid to the distiller , the latter shall provide proof that
he has paid the ininimuTn , purchase price to the producer,.
The producer or , in the circumstances referred to in paragraph 2 , the
                                          S•
distiller may request that the aid be advanced on condition that a security
oi 1 10% ol" the amount of the aid is provided for the benefit of the
intervention agency . The security shall take the form of a guarantee
provided by an establishment which complies with criteria fixed by the x
Member State to. which the intervention agency is responsible .
The advance                           may be paid only after the date of the approval
referred to in Article 1(1 ) of Regulation ( EEC ) No 343 / 79 .
The advance may be paid to the distiller only on condition that the
distiller undertakes to pay the producer
- at least 65% of the minimum purchase price not later than 30 days after
  the date 'when he receives the a.dvance ,
- the difference between the minimum purchase price and the amount referred
  to in the first indent not later than 30 days after distillation of all.
                                 ■ ■             •     . : "     ■       *         '
  the wine covered by the delivery contract . '
Subject to Article 6a of Regulation ( EEC ) No 343 / 79 , the security referred
to in the first'- sub-paragraph shall be released only if , within a time
limit to be determined , proof is provided that : -
- the total quantity of wine covered by the delivery contract has been
  disti lied ,  .                    ■-■                               -   ,
- and , where the security was provided by the distiller , the minimum
  purchase price has been paid to the producer wi thin . the time limits .
  referred to in the third subparagraph .
At the tir.se of re Lease of, the security , the intervention agency shall make
                                             f '                               *
the necessary adjustments to take account of the tolerances referred to in
Article 6 of Regulation ( EEC ) No 343 / 79 .        '       -
 ---pagebreak---                                           - 4 -
                                        Article 3
 1 . For the purposes of the distillation referred to in Article 1 , and by way of dero­
     gation from      Article 8(2 ) of Regulation ( EEC ) No 343 / 79 , the     .
     intervention agency competent for approval of the delivery contract shall
     be the. intervention agency of the Member State where the wine is situated
     at the time the contract is concluded .
2 . Where distillation takes place in a Member State other than that in which
     the contract is approved , the intervention agency which approved the
     contract shall send a copy to the intervention agency of the Member State
     where distillation takes place .
                                        Article 4                       ...
This Regulation shall enter into force on the day of its publication in the
Official Journal of the European Communities .
                                 t                                       ■
It shall apply .with effect from 16 . September 19dl .
This Regulation shall be binding in its entirety and directly applicable in
all Member States .
Done at trussels ,                                             For the Council
 ---pagebreak---                       FINANCIAL             STATEMENT
                                                                                   Date
                                                                                        • 11 August 1981
    1 . BUDGET HEADING :            1981 : 6912                         initial « APPROPRIATIONS , : 287.14 million EC
                                    1982 : 1611
                                                                        ––-,                  ;           ;     ni
   2 . TITLE
                      Proposed Council Regulation waiving Regulation 343/79 in respect of the
                                                                                         decided upon in
   3 . LEGAL BASIS :            Regulation 337/ 79 Article 12a
      I AIMS OF PROJECT ;
                      Advancing payment of aid due under the "performance guarantee'
        distillation arrangements to make such distillation more attractive.
   5 . FINANCIAL IMPLICATIONS                    PERIOD OF 12 MONTHS
                                                                     CURRENT FINANCIAL YEAR   FOLLOWING FINANCIAL YEAR
  5.0 EXPENDITURE
         - CHARGED TO THE EC BUDGET
            ( REFUNDS / INTERVENTIONS )            0.0 Mio ECU          + 80 Mio ECU *           - 80 Mio ECU*
         - NATIONAL ADMINISTRATION
  \
         - OTHER
  5.1 RECEIPTS
         - OWN RESOURCES OF THE EC
            ( LEVIES / CUSTOMS DUTIES )
         - NATIONAL
  5.0.1 ESTIMATED EXPENDITURE                                 only covers one marketing year
  5.1.1 ESTIMATED RECEIPTS
  5.2 METHOD OF CALCULATION
     * Introducing a system of advances should accelerate payments and shift a sub­
         stantial part of expenditure into November / December 1981 rather than early
         1982 .      This expenditure is estimated at a total of 9 Mio hi x 1.7 ECU X vol . x
         10.5% vol . average = 161 Mio ECU, at least half of which would fall in the
         1981 financial year .
  6.0    CAN THE PROJECT BE FINANCED FRO« APPROPRIATIONS ENTERED IN THE «ELEVANT CHAPTER OF   THE CURRENT BUDGET ?
       "
           ' -                '          .           -                .  ·'                 '                     X IOC NO
I 6-1    CAN THE PROJECT BE FINANCED BY TRANSFER . BETWEEN CHAPTERS OF THE CURRENT BUDGET ?
                                                                                                                   YES / X0C
1 6-2    WILL A SUPPLEMENTA«Y BUDGET BE NECESSARY ?
                                               *
                                                                                                                  *K#N0
I 6" 3 WILL     FUTURE BUDGET APPROPRIATIONS BE NECESSARY ?   ,
                                                                                                                  XRVN0 ,
  OBSERVATIONS :■
           (1 ) The draft amending budget No.T increases these appropriations to
                   348 Mio ECU, which is already fully committed in measures decided upon
                   earlier .
                    Supplementary appropriations necessary in 1981 will be covered by transfers
                    from the cereals and sugar sectors .