CELEX: 51989PC0541
Language: en
Date: 1989-11-08
Title: PROPOSAL FOR A COUNCIL REGULATION ( EEC ) LAYING DOWN DEROGATING PROVISIONS AS REGARDS STORAGE CONTRACTS FOR OLIVE OIL IN GREECE, SPAIN AND PORTUGAL AND AS REGARDS THE DEFINITION OF OLIVE OIL INTENDED FOR EXPORT

COMMISSION OF THE EUROPEAN COMMUNITIES
                                      COM(89) 541 final
                                      Brussels, 8  November 1989
                            Proposal for a
                       COUNCIL REGULATION (EEC)
   laying down derogating provisions as regards storage contracts
     for olive oil in Greece, Spain and Portugal and as regards
           the definition of olive oil Intended for export
                    (presented by the Commission)
 ---pagebreak---                          EXPLANATORY MEMORANDUM
1. Article 20d of Regulation No 136/66/EEC provides that where prices on
   the Community market for olive oil are close to the Intervention
   price during a period to be determined, It be decided to permit the
   conclusion of storage contracts.   Such contracts may only be
   concluded with recognized producer groups or recognized associations
   within the meaning of Regulation (EEC) No 1360/78.
    In view of the special structural situation In Spain, Portugal and
   Greece, where such groups and associations were not set up,
   derogating measures have been adopted to permit other organizations
   to conclude storage contracts.
   Since then the situation has not changed substantially.    In fact,
   owing to the special features of production and marketing structures,
   a limited number of groups have been set up and recognized within the
   meaning of Regulation (EEC) No 1360/78.    Consequently, a very small
   number of producers are able to have access to storage contracts In
   those countrles.
   Under these conditions, until such time as the application of the
   abovementloned Regulation produces Its full effects and In order not
   to damage the producers, a derogation should be provided, for two
   additional production years, from Article 20d of Regulation
   No 136/66/EEC by making provision In addition for bodies other than
   those provided for In Regulation (EEC) No 1360/78 to be able to
   conclude storage contracts.
2. The second indent of Article 35 (3) of Regulation No 136/66/EEC
   provides that the description "pure" can be used until 31 December
   1989 for exports to non-member countries of olive oil as referred to
   in point 3 of the Annex thereto.
   However, until such time as the descriptions defined within the
   framework of International Olive Oil Agreement are adapted and in
   order not to damage Community exporters, the abovementloned
   derogation should be maintained until 31 December 1990.
                                                                         2
 ---pagebreak---                                   Proposal for a
                             COUNCIL REGULATION (EEC)
              laying down derogating provisions as regards storage
           contracts for olive oil in Greece, Spain and Portugal and
          as regards the definition of olive oil intended for export
THE COUNCIL OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Economic Community,
Having regard to Council Regulation No 136/66/EEC of 22 September 1966 on
the establishment     of  a common   organization   of  the market   In oils and
      1
fats* *,    as   last  amended   by  Regulation   (EEC)   No 1225/89<2>,  and   in
particular Article 36 thereof,
Having regard to the proposal from the Commission,
Whereas Article 20d (3) of Regulation No 136/66/EEC provides that where
prices on the Community market for olive oil are close to the Intervention
price over a period to be determined,         it be may decided    to permit   the
conclusion of storage contracts; whereas such contracts may be concluded
solely with recognized producer groups or recognized associations thereof
within   the meaning    of  Council  Regulation   (EEC) No 1360/78*3>,   as   last
amended by Regulation (EEC) No 3875/88<4>;
(1) OJ No L 172, 30.9.1966, p. 3025/66.
 (2) OJ No L 128, 11.5.1989, p. 15.
 (3) OJ No L 166, 23.6.1978, p. 1.
 (4) OJ NO L 346, 15.12.1988, p. 3.
                                                                                   3
 ---pagebreak---                                         - 2
Whereas,   In  the   case   of   Greece,   Spain   and  Portugal,   their   special
structural conditions in recent years have not permitted the setting up of
a  sufficient   number   of   organizations   necessary   for  the  conclusion   of
storage  contracts    within    the meaning   of   Regulation   (EEC)  No 1360/78;
whereas at present the situation has not changed significantly; whereas, as
a consequence,    in those Member States a very small number of producers
would be able to conclude storage contracts; whereas, until such time as
the application of      the abovementioned    Regulation    in Greece, Spain    and
Portugal  achieves    its full    effects and    in order  not   to prejudice   the
producers in those Member States, a derogation should be laid down for a
limited period from Article 20d of Regulation No 136/66/EEC by providing,
in addition, for the possibility of storage contracts to be concluded with
bodies other than those laid down in Regulation (EEC) No 1360/78;
Whereas the second     indent of Article 35 (3) of Regulation No 136/66/EEC
provides  that   the term    "pure" may be used until       31 December   1989 for
exports to third countries of olive oil as referred to In point 3 of the
Annex thereto; whereas until such time as the terms defined within              the
framework of the International Olive Oil Agreement are amended and In order
not to prejudice Community exporters, the abovementioned derogation should
be maintained for a limited period for export to third countries,
HAS ADOPTED THIS REGULATION:
                                                                                    4
 ---pagebreak---                                      - 3 -
                                   Article 1
By way of derogation from Article 20d (3) of Regulation No 136/66/EEC and
for the 1989/90 and 1990/91 marketing years, storage contracts for olive
oil may also be concluded      in Greece, Spain and Portugal     by  recognized
producers' organizations or     recognized  associations   thereof  within  the
meaning   of  that  Regulation,  who  hold  olive oil   of   Community  origin,
produced by their own members and who have suitable facilities for          Its
storage.
                                   Article 2
By way of derogation from the second Indent of Article 35 (3) of Regulation
No 136/66/EEC and for a period extending to 31 December 1990, the Member
States may authorize the .use of the expression "pure olive oil" for oil as
referred to In point 3 of the Annex to that Regulation and Intended for
export.
                                   Article 3
This Regulation may enter Into force on the day of its publication in the
Official Journal of the European Communities.
This Regulation shall be binding In its entirety and directly applicable in
a 11 Member States.
Done at                                         For the Council
                                                                                5
 ---pagebreak---        FINANCIAL                      STATEMENT
                                                                       DATE: 9 October 1989
 1. BUDGET HEADING: 1239 Other Intervention In the                    APPROPRIATIONS: ECU 15 ml 11 Ion
                      form of storage                                                   (1990 draft budget)
 2. TITLE: Council Regulation laying derogating provisions as regards storage contracts for olive oil in
            Greece, Spain and Portugal and descriptions of olive oil Intended for export.
3. LEGAL BASIS: Article 36 of Council Regulation No 136/66/EEC
4. AIMS OF PROJECT: To make possible the application in Greece, Spain and Portugal of any regulations
     authorizing the conclusion of storage contracts and to avoid damage to Connunlty exporters as regards
     descriptions.
                                     Period of 12 months  Current Financial Year    Following Financial Year
5. FINANCIAL IMPLICATIONS                                         1989                         1990
5.0 EXPENDITURE
      - CHARGED TO THE EC BUDGET
      - (REFUNDS/ INTERVENT ION)            NIL                    NIL                          NIL
      - NATIONAL ADMINISTRATION
      -OTHER
5 . 1 REVENUE
      - OWN RESOURCES OF THE EC
        (LEVIES/CUSTOMS DUTIES)
      - NATIONAL
5.0.1 ESTIMATED EXPENDITURE
5.1.1 ESTIMATED REVENUE
5.2 METHOD OF CALCULATION:
6.0 CAN THE PROJECT BE FINANCED FROM APPROPRIATIONS ENTERED IN THE RELEVANT CHAPTER OF THE CURRENT BUDGET?
                                                                                                         YES/ND
6.1 CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF THE CURRENT BUDGET?
                                                                                                         YES/ND
6 . 2 IS A SUPPLEMENTARY BUDGET NECESSARY?
                                                                                                         YES/ND
                                                                                                                _i
6.3 WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY?
                                                                                                         YES/ND
OBSERVATIONS:
                                                                                                                   6
 ---pagebreak---                       FICHE D'IMPACT SUR LA COMPETITIVITE ET L'EMPLOI
     I.     Guelle est La justification principale de la mesure ?
           - Permettre aux producteurs d'huile d'olive en Espagne , au Portugal et en
             Grèce de bénéficier du régime des contrats de stockage ainsi que ce dernier
             existe dans le reste de la Communauté.
           - Permettre aux exportateurs de concurrencer sur un pied d'égalité les exporta-
             tions des autres pays producteurs sur les marchés tiers.
    II. Caractéristiques des entreprises concernées. En particulier :
            (a) Y a - t - U un grand  nombre de PME ? NON
            (b) Note-t-on des .concentrations dans des régions
                i.éligibles aux aides résionales des Etats membres ?
                            OUI
               Inéligibles au Feder ?       OUI
   III. Quelles sont les obligations impesées directement       aux entreprises ?
               NEANT
  IV.     Quelles sent les obligations susceptioies o'être imposées       indirectement
          aux entreprises via les autorités locales ?
               NEANT
  V.      Y a-t-il.des mesures spéciales pour les PKÏ     ?       '*    Lesquelles ?
               NON
 VI.     Quel est l'effet      prévisible
        a) sur la compétitivité des entreprises ?
               EFFET POSITIF INDIRECT
        3   sur L ' emploi ?
               EFFET POSITIF INDIRECT
                                                            CUI
VII. Les partenaires sociaux ont-ils été ccrsulrés ?                 Quels sont   lz<jrs
       avis ?
                   NEANT
                                                                                         7-
 ---pagebreak---  ---pagebreak---                                                                       ISSN 0254-1475
                                                               COM(89) 541 final
                                                      DOCUMENTS
EN                                                                               03
                                 Catalogue number : CB-CO-89-527-EN-C
                                                             ISBN 92-77-54838-X
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