CELEX: 51991PC0557
Language: en
Date: 1992-01-09
Title: Proposal for a COUNCIL REGULATION ( EEC ) on temporary compensation for the impact of the situation in Yugoslavia on transport of fresh fruit and vegetables from Greece

COMMISSION OF THE EUROPEAN CŒvMDNÏTÎES
                                        C0M(91) 557 final
                                        Brussels,  9 January 19S2
                             Proposal for a
                       COUNCIL REGULATION (EEC)
    on temporary compensation for the impact of the situation
     in Yugoslavia on transport of fresh fruit and vegetables
                            from Greece
                     (presented by the Commission)
 ---pagebreak---                               '6
                           Explanatory Memorandum
Subject :  Proposal for a Council Regulation on temporary compensation for
           the impact of the situation in Yugoslavia on transport of fresh
           fruit and vegetables from Greece
The events in Yugoslavia in 1991, of a type unprecedented since
introduction of the common agricultural policy, have seriously affected
consignment of Greek fruit and vegetables to the other Member States. Most
of this normally goes by road across Yugoslavia and have had to be
rerouted, by rail or road, either via Bulgaria, Romania, Hungary and
Czechoslovakia or via Italy.
This has substantially increased transport costs and has also lengthened
transport times, which given the perishable nature of the products has a
marked impact on its quality and hence value.
Fruit and vegetables account for 20% of final production in Greek
agriculture and consignments to other Member States produce covered by the
market organization amounted to 336 000 tones on average for the period
1987-1990. It is accordingly necessary to grant to the operators concerned
compensation for their additional consignment costs in 1991 in order to
permit them to adjust to the new situation as rapidly as possible. This is
the purpose of the attached proposal for a Regulation that the Commission
submits to the Council.
 ---pagebreak---                             Proposal for a
                        Council Regulation (EEC) No
                                      of
         on temporary compensation for the impact of the situation
          in Yugoslavia on transport of fresh fruit and vegetables
                                  from Greece
THE COUNCIL OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Economic Community,
and in particular Article 43(2) thereof,
Having regard to the proposal from the Commission1,
Having regard to the opinion of the European Parliament2,
Whereas the state of war that has arisen in Yugoslavia in 1991 has caused
sudden and prolonged blockage of the road and rail routes normally used for
transport of fresh fruit and vegetables from Greece to Member States other
than Italy;
Whereas this situation, unprecedented since the common agricultural policy
was introduced, is liable, given its duration, the highly perishable nature
of the products and the need to ensure that quality standards are observed
throughout the distribution process, to have a damaging impact on the Greek
fruit and vegetables sector, which is an important part of that Member
State's economy;
Whereas the operators concerned must be given temporary assistance to
1  OJ No C,
2  OJ No C,
 ---pagebreak---                                    -4-
                                     -2-
permit them to adopt as rapidly as possible to the new situation; whereas
none of the existing instruments of common organization of the sector can
be used;
Whereas special temporary compensation should therefore be granted, equal
to the increased road and rail transport costs incurred in avoiding
Yugoslavia, for consignments made by lorry or refrigerated wagon in 1991
from Greece to other Member States except Italy of fresh fruit and
vegetables as listed in Article 1 of Council Regulation (EEC) No 1035/72 of
18 May 1972 on the common organization of the market in fruit and
vegetables3, as last amended by Regulation (EEC) No 1623/914; whereas
compensation under the present measure should be limited to ECU 4 million;
Whereas the present measure is in line with the objectives of Article 39 of
the Treaty; whereas it should therefore financed by the Guarantee Section
of the European Agriculture Guidance and Guarantee Fund (EAGGF),
HAS ADOPTED THIS REGULATION:
                                  Article 1
Financial compensation shall be given, for the additional costs incurred by
the need to avoid Yugoslavia, on consignments made in 1991 by lorry or
refrigerated wagon from Greece to Member States other than Italy of fresh
fruit and vegetables as listed in Article 1 of Regulation (EEC) No 1035/72.
3  OJ No L 118 of 20.5.1972, p.1,
4  OJ No L 150 of 15.6.1991, p.8,
 ---pagebreak---                                      -3-
                                  Article 2
1. The Community expenditure required on financial compensation as specifed
    in Article 1 is estimated at ECU 4 million.
2. The budget authority shall determine the appropriations available for
   each financial year.
                                  Article 3
Compensation shall be paid to the consignor on presentation to the
consequent authorities of documents substantiating his claim.
The Commission, in accordance with the procedure referred to in Article 4,
shall determine what documents are required.
                                  Article 4
The Commission in accordance with the procedure laid down in Article 33 of
Regulation (EEC) No 1035/72, shall adopt rules for application of this
Regulation, including the amount of the compensation.
                                  Article 5
For the purposes of Article 3 of Council Regulation (EEC) No 729/70 of
21 April 1970 on the financing of the common agricultural policy5, as last
amended by Regulation (EEC) No 2048/886, compensation paid under this
Regulation shall want as intervention intended to stabilise the
agricultural markets and shall be financed by the EAGGF Guarantee Section.
5  OJ No L 94, of 28.4.1970, p. 13
6  OJ NO L 185, of 15.7.1988. P. 1
 ---pagebreak---                                  Article 6
This Regulation shall enter into force from the third day following 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 Brussels,                                       For the Council
                                                        The President
 ---pagebreak---                                                               £-
     FINANCIAL                       STATEMENT
                                                                        DATE: 29 November 1991
1. BUDGET HEADING: 1509                                                 APPROPRIATIONS: p.m. ECU mi 11 ion
2. TITLE:
Draft Oouncil Regulation concerning compensation for the effects of the current situation in Yugoslavia on
the transport of certain fresh fruit and vegetables from Greece
3. LEGAL BASIS:
Article 43(2) of the Treaty of Rome
4. AIMS OF PROJECT:
   To compensate for the extra cost of transporting certain fruit and vegetables from Greece to the rest of
   the Oonmunity as a result of the current situation in Yugoslavia
                                    Period of 12 months    Current Financial Year    Following Financial Year
5. FINANCIAL IMPLICATIONS                                          1992                      1993
5.0 EXPENDITURE
    - CHARGED TO THE EC BUDGET      ECU 4.4 mi 11 ion       ECU 4.4 mi 11 ion
      (INTERVENTION)
5.1 REVENUE
    - OWN RESOURCES OF THE EC
      (LEVIES/CUSTOMS DUTIES)
    - NATIONAL
                                        1994                    1995              1996                1997
5.0.1 ESTIMATED EXPENDITURE
5.1.1 ESTIMATED REVENUE
5.2 METHOD OF CALCULATION:
Article 2 provides for expenditure of ECU 4 mi 11 ion.
ECU 4 mi 11 ion (A) x 1.092 (DR) - ECU 4.368 mi 11 ion (B)
6.0 CAN THE PROJECT BE FINANCED FRCM APPROPRIATIONS ENTERED IN THE RELEVANT CHAPTER OF THE CURRENT BUDGET?
                                                                                                           YES
6.1 CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF THE CURRENT BUDGET?
                                                                                                           xxxxxx
6.2 IS A SUPPLEMENTARY BUDGET NECESSARY?
                                                                                                               ND
6.3 WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY?
                                                                                                               ND
OBSERVATIONS:
This is an exceptional measure. Appropriations are available in chapter 15 of the draft budget for 1992.
 ---pagebreak---  ---pagebreak---                                                                      BSN 0254-1475
                                                              COM (91) 557 final
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