CELEX: 51982PC0591
Language: en
Date: 1982-09-14
Title: PROPOSAL FOR A COUNCIL REGULATION (EEC) amending Regulation (EEC) No 878/77 on the exchange rates to be applied in agriculture (presented by the Commission to the Council, pursuant to the second paragraph of article 149 of the EEC treaty)

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COM (82) 591
Vol. 1982/0187
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                     COM(82)591 final
                                                     Strasbourg , 14th September 1982
                                        V \ • ! .i     - /V
                                MENDED                  ^
                                                      .**
                   PROPOSAL FOR A COUNCIL REGULATION _(EEC         (E )
                                                         f,
                                EEC )) No
          amending Regulation ( EEC    No 878/
                                           878 / 7777 onon ,the
                                                            *- h'd/ exchange
                                                                     >       rates
          to be applied in agriculture               a^
               ( presented by the Commission to the Council ,
      pursuant to the second paragraph of article 149 of the EEC treaty )
  COM(82 ) 591 final
 ---pagebreak---                        EXPLANATORY MEMORANDUM
1. In response to a French request for the devaluation of the green rate
   of the FF for pigmeat and sheepmeat , the Commission forwarded a
   proposal to the Council providing for such devaluation with effect from
   1 November 1982 for pigmeat and sheepmeat and from the beginning of the
   marketing year for the other products (Council Doc . 8305 / 82 ).
   The Council failed to reach agreement on the proposal , hoping that a
   debate could be held on the rules to be followed .      Belgium also put
   forward a request for» the devaluation of the green rate for pigmeat .
2. The Commission takes the view that guidelines should be drawn up on the
   basis of the various practices followed in the past .      A new green rate
   should always be decided on at the same time for all products .      The
   new green rate should enter into force either simultaneously in all
   sectors or in principle at the beginning of the marketing year .
   Exceptions could , however , be made in some cases , for instance when a
   monetary event occurs after the prices have been fixed and after the
   beginning of the marketing year for certain products .      In such a case
   it should be possible to apply the new rate immediately for the
   products for which the marketing year has already commenced and at the
   beginning of the marketing year for the others .
   If the decision is adopted in the autumn , when the marketing year has
   already begun for most products , it should also be possible to provide
   for the rate to enter into force at the beginning of the marketing year
   immediately following the decision so as to avoid delays of more than a
   year .   Lastly , it should be possible to make exceptions in duly
   justified cases .
3. The Commission has therefore amended its proposal with regard to
   France , proposing as the starting date for all products the beginning
   of the marketing year following the decision .
   It also proposes the same arrangement for Belgium and Luxembourg .
 ---pagebreak---                                          - 2 -
   4.      As regards the size of the devaluation , the Commission proposes that
           the full difference between the green rate and the central rate be made
           up .
   5.      Regulation (EEC ) No 878 / 77 lays down that in the wine sector the date
           of entry into force of the new green rates , in the case of certain
           distillation operations and certain aids , may differ from the date of
           entry into force of the new green rates established in principle for
           the wine sector .    This possibility remains unchanged in this
           Regulation but for the sake of clarity the relevant provision has been
           redrafted .
6.  The figures in the Table on the following page describe the monetary
     situation at present and that which would result from the present proposal .
7.   ( a) Cost of the measure compared with the situation at present
            As matters stand , applying negative MCAs in respect of France
             (- 5.3 points ) and the BLEU (- 3.1 points ) would reduce expenditure from
             the financial point of view .     Dismantling those MCAs would therefore serve
             to raise it again , by an estimated 201 mECU in 1983 .
             On the other hand , this would not affect expenditure in 1982 , given the
             proposed timetable for implementation .
      ( b ) Cost of the measure compared with the draft 1983 Budget and the
             1982 Budget
             The financial implications of the adjustments which took place on 12 June
             1982 in respect of the central rates were not included in the draft 1983
             Budget .  The financial implications in question consist , for the FF , BFR
             and LFR, of substantial savings in 1983 - estimated at 473 mECu' -
             compared with the draft Budget chosen .
             The proposed dismantling of the MCAs for France , Belgium and Luxembourg
            will serve to reduce the savings in question by 201 mECU , from 473 to
             272 MCU .
             Compared with the draft 1983 Budget , the adjustment to the central rates
             which took place of 12 June 1982 entails additional expenditure in 1983 of
             295 mECU in respect of the DM and HFL .
 ---pagebreak---                                     - 3 -
        Therefore , compared with the draft 1983 Budget , the Decision of 12 June
        concerning the FF , BFR , LFR , DM and HFL will , together with the present
        proposal , result in a change in estimated expenditure of + 23 mECU (- 272
        + 295 ).
        Such a change in the estimated level of expenditure is unlikely to lead to
        a substantial change in the overall size of the draft 1983 Budget .
  With regard to the 1982 Budget , the combined effect of the Decisions of
  12 June and of the present proposal will be a reduction in expenditure of
  89 mECU ; the latter is solely attributable to the Decisions taken in June ,
  since the present proposal will , by virtue of the date of its entry into
  force , have no effect on expenditure in 1982 .     The figure in question is
  the result of a drop in expenditure of 199 mECU in respect of the FF , BFR
  and LFR offset by an increase of 110 mECU for the DM and the HFL .
Estimated expenditure in respect of the currencies concerned :
- in the draft Budget                             :  - 43     )   ( See Annex to
- in the light of the Decisions taken in June :      - 516    )    Financial Record
                                                                    for details )
Increase in savings                               :    473
 ---pagebreak---                                                               _  L _
Keiner State Central rate              Re]presentative xzite                 Moneta ry gap          MCA   Effect on
                                                                       (without neu tral margin)   to be   prices
               (1 ECU =)   former              new         devaluation
                          (1 ECU =)         (1 ECU =)           ( % )    before          after    applied   ( % )
                                                                       devaluation    devaluation
Belgium/       44.9704      42.9772           44.9704        4.4323       - 4.6            0         0    + 4.6378
Luxembourg
Ff ance         6.61387      6 . 19564         6.61387       6.3235       - 6.75           0         0    + 6.7504
 ---pagebreak---                          Proposal for a
                  COUNCIL REGULATION ( EEC )
amending Regulation (EEC ) No 878 / 77 on the exchange rates to be applied
                                m agriculture
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community ,
Having regard to Council Regulation No 129 on the value of the unit of
account and the exchange rates to be applied for the purposes of the common
                       1      _                                       ,__2
agricultural policy , as last amended by Regulation (EEC ) No 2543 /73 , and
in particular Article 3 thereof ,
Having regard to the proposal from the Commission ,
Whereas the representative rates currently applicable were fixed by
                                3
Regulation (EEC) No 878 / 77 , as last amended by Regulation (EEC ) No
         4
1668 /82 ; whereas new representative rates closer to present economic
circumstances should be fixed for the French franc and the Belgian
franc / Luxembourg franc ; whereas , moreover , for reasons of clarity , all the
representative rates should be republished ;
Whereas the rates must be adjusted with proper regard to the effects on
prices and the situation in the Member States concerned ; whereas , for that
reason , among others , provision should be made for the new rates to enter
into effect within a reasonable period , normally linked to the beginning of
the marketing year or a change in prices , although immediate entry into
force in some cases should not be ruled out ;
Whereas Regulation (EEC ) No 337 / 79 on the common organization of the market
in wine^, as last amended by Regulation (EEC) No 2144/82^, provides for
certain distillation operations and aids ; whereas the date of application
of the new rates applying thereto may differ from the date of application
of the new rates in the wine sector in general ;
* 0J No 106 , 30.10.1962 , p. 2553 /62 .
^0J No L 263 , 19.9.1973 , p. 1 .
^OJ No L 106 , 29.4.1977 , p. 27 .
  0J No L 184 , 29.6.1982 , p . 19 .
^OJ No L 54 , 5.2 . 1979 , p . 1 .
  OJ No L 227 ,  3.8 . 1982 , p.  1.
 ---pagebreak---                                   - 2 -
Whereas , in order to avoid differing treatment of interdependent products ,
provision should be made for the new rates to apply in the cereals and the
eggs and poultrymeat , ovalbumin and lactalbumin sectors with effect from
the same date ;
Whereas the Monetary Committee will be consulted and whereas , as this is an
urgent matter , the measures envisaged should be adopted in accordance with
the conditions laid down in Article 3(2 ) of Regulation No 129 ,
HAS ADOPTED THIS REGULATION :
                              Article 1
Article 2 of Regulation (EEC ) No 878 / 77 shall be replaced by the following :
"1 . The representative rates and the dates from which they apply shall be
     as set out in Annexes I to IX .
 2.  Other dates may be specified for the distillation operations and aids
     referred to in Articles 14 and 14a of Regulation (EEC ) No 337 / 79 ."
                              Article 2
This Regulation shall enter into force on                1982 .
This Regulation shall be binding in its entirety and directly applicable in
all Member States .
Done at Brussels ,             1982 .
                                                   For the Council
 ---pagebreak---                                  - 3 -
                                 ANNEX
                                ANNEX I
                        BELGIUM/LUXEMBOURG
1 ECU = 44.9704 Belgian franc s /Luxembourg francs .
This rate shall apply from :
- 1 November 1982 for the pigmeat sector ,
- 1 November 1982 for the olive oil sector ,
- 16 December 1982 for the wine sector ,
- 1 January 1983 for the fishery products sector ,
- 1 April 1983 for the milk and milk products sector ,
- 4 April 1983 for the beef and veal sector ,
- 4 April 1983 for the sheepmeat and goatmeat sector ,
- 1 July 1983 for the sugar and isoglucose sector ,
- 1 August 1983 for the cereals , eggs and poultrymeat , ovalbumin and
  lactalbumin sectors ,
- 1 July 1984 for the seeds sector ,
- the beginning of the 1983 / 84 marketing year for the other products for
  which there is a marketing year ,
- 1 April 1983 in all other cases .
                               ANNEX II
                                DENMARK
1 ECU = 8.234 Danish kroner .
This rate shall apply from 29 June 1982 .
 ---pagebreak---                                    - L -
                               ANNEX III
                      FEDERAL REPUBLIC OF GERMANY
1 .   1 ECU = 2.57524 German marks .
      This rate shall apply from :
      - 20 May 1982 for the milk and milk products sector ,
      - 20 May 1982 for the beef and veal sector ,
      - 20 May 1982 for the sheepmeat and goatmeat sector ,
      - 1 July 1982 for the sugar and isoglucose sector ,
      - 1 August 1982 for the cereals , eggs and poultrymeat , ovalbumin and
        lactalbumin sectors ,
      - 1 November 1982 for the pigmeat sector ,
      - 16 December 1982 for the wine sector ,
      - 1 January 1983 for the fishery products sector ,
      - 1 July 1984 for the seeds sector ,
      - the beginning of the 1982 /83 marketing year for other products for
        which the marketing year has not started by 17 May 1982 ,
      - 20 May 1982 in all other cases .
2.    Until the date given in point 1 , the following rate shall apply for the
      seeds sector :
      1 ECU = 2.65660 German marks .
                               ANNEX IV
                                FRANCE
1 ECU = 6.61387 French francs .
This rate shall apply from :
-   1 November 1982 for the pigmeat sector ,
-   1 November 1982 for the olive oil sector ,
-   16 December 1982 for the wine sector ,
-   1 January 1983 for the fishery products sector ,
-   1 April 1983 for the milk and milk products sector ,
-   4 April 1983 for the beef and veal sector ,
-   4 April 1983 for the sheepmeat and goatmeat sector ,
-   1 July 1983 for the sugar and isoglucose sector ,
-   1 August 1983 for the cereals , eggs and poultrymeat , ovalbumin and
    lactalbumin sectors ,
- 1 July 1984 for the seeds sector ,
- the beginning of the 1983 /84 marketing year for the other products
    for which there is a marketing year ,
- 1 April 1983 in all other cases .
                                                                  •*
 ---pagebreak---                                   - 5 -
                                ANNEX V
                                GREECE
1 ECU - 66.5526 Greek drachmas .
This rate shall apply from :
- 1 September 1982 for dried grapes ,
- 1 November 1982 for olive oil ,
- 29 June 1982 in all other cases .
                               ANNEX VI
                               IRELAND
1 ECU = 0.691011 Irish pound .
This rate shall apply from 29 June 1982 .
                               ANNEX VII
                                 ITALY
1 ECU = 1 289.00 Italian lire .
This rate shall apply from :
- 17 May   1982 for the milk and milk products sector ,
- 17 May   1982 for the beef and veal sector ,
- 17 May   1982 for the sheepmeat and goatmeat sector ,
- 1 July . 1982 for the sugar and isoglucose sector ,
- 1 July   1982 for the seeds sector ,
- 1 August 1982 for the cereals , eggs and poultrymeat , ovalbumin and
  lactalbumin sectors ,
- 1 November 1982 for the pigmeat sector ,
- 6 May 1982 for the wine sector ,
- 1 January 1983 for the fishery products sector ,
- the beginning of the 1982 / 83 marketing year for other products for
  which the marketing year has not started by 1 April 1982 ,
- 6 May 1982 in all other cases .
 ---pagebreak---                                     - 6 -
                                 ANNEX VIII
                                 NETHERLANDS
1 ECU = 2.75563 Dutch guilders .
This rata shall apply from :
- 20 May  1 982 for the  r.iilk and milk products sector ,
- 20 May  1982  for the  beef and veal sector ,
- 20 May  1982  for the  sheepmeat and goatmeat sector ,
- 1 July  1982  for the  sugar and isoglucose sector ,
- 1 August 1982 for the cereals , eggs and pcultryreeat , ovalbumin and
  lacc albumin sectors ,
- 1 November 1982 for the pigmeat sector ,
- 16 December 1982 for the wine sector ,
- 1 January 1983 for the fishery products sector ,
- 1 July 1984 for the seeds sector ,
- the beginning of the 1982 / 83 marketing year for other products for
  which the marketing year has not started by 17 May 1982 ,
- 20 May 1982 in all other cases .
                                  ANNEX IX
                               UNITED KINGDOM
1 ECU = 0.618655 pound sterling .
This rate shall apply from 20 May 1982 .
 ---pagebreak---                       FüVAIVClÄL                 STATEMENT
                                                                                      Date
                                                                                               10 September 1982
      BUDGET HEADING
                                       Title ! and 2                                  APPROBIATI ONS : 1982 : i3217.3mECU §
                                                                                                        1983 : 14050       mECU f
  2 . TITLE           Cc'Kc 1 L Regulation amending Regulation (EEC ) No 878 / 77 on the exchange
                      rates to be applied in agriculture .
  3 . LEGAL BAS /.S
                              Council Regulation No 129
  U. A I :•••$ 0F PROJECT
                           ' ' A -< -^ grunent of the representative rate on the central rate in the case
 of the French franc and the Belgian franc /Luxembourg franc :                                 from 1 November 1982
 for pigmeat and oliv^ oil , from 16 December 1982 for wine and fr-v; the beginning of
 the 1983 / 84 marketing year^for the other products .                                                          m ECU
  5 . FINAUCIAI.     IMPLICATIONS                   PERIOD OF 12 MONTHS CURRENT FINANCIAL YEAR   FOLLOWING FINANCIAL YEAR
  5.0 EXPENDITURE
                                                                               MQ87     )               ( 1983   2
       - CHARGED TO THE EC BUDGET
            ( REFUNDS / INTERVENTIONS )
                                                                            - 199 ( 1 )                - 272 ( 1 )
       - raxxgcKxwnsoacatK
       - KOGKBC
  5.1 RECEIPTS
       - OWN RESOURCES OF THE EC
            ( LEVIES / CUSTOMS DUTIES )                                     -   24                     -   18
       - &CÎXOUIK
  5.0.1 ESTIMATED EXPENDITURE
  5.1.1 ESTIMATED RECEIPTS
  5.2 METHOD OF CALCULATION
      See Annex
 6 .0 CAN THE PROJECT BE FINANCED FROM APPROBATIONS ENTERED IN THE RELEVANT CHAPTER OF           THE CURRENT BUDGET ?
                                                                                                                      YES / BCK
 6. 1         >»4#.                                                Mrg·  ^t                  ?
                                                                                                                      JBSXHOC
 6.2 IS A SUPPLEMENTARY BUDGET BE NECESSARY ?
                                                                                                                    XJB6 / N0
 6.3 WILL FUTLSC BUDGE * APPRCBI « ΓΙ ONS BE NECESSARY ?
                                                                                                                      YESXJKJC
 OBSERVATIONS : The following financial implications concerning the DM ana the HFL arise
from the monetary events of 12 June 1982 :
1 ^ 82 :       + 1 10 m ECU
1983 :         + 295 m ECU
Accordingly , the Decision of 12 June 1982 and this proposal would result in the
following changes in expenditure :
1:982 :        - 89 m ECU
1983 :         + 23 m ECU .
 ---pagebreak---                                        ANNEX
  1.   For the French franc there was no MCA and the dual-rate coefficient was 1
       in the case of the 1982 budget and the draft 1983 budget .
       For the Belgian franc/Luxembourg franc there was no MCA and the dual-rate
       coefficient was 1 in the case of the 1982 budget ; there was an MCA of
       - 2.5 points and a dual-rate coefficient of 0.962 in the case of the draft
       1983 budget .
       The budget appropriations in respect of those currencies were therefore :
       Table I                                                             m ECU
I
                                  1982                              1983
                         FF      BFR/LFR     Total        FF      BFR/LFR     Total
     Expenditure
     MCAs                 0         0          0          0       -   3       -  3
     MCAs to be
     deducted from
     the refunds          0         0          0          0       - 14        - 14
     Dual rate :
     common organ-
     izations of
     the market          0          0          0          0       - 26        - 26
     TOTAL                0         0          0          0       - 43        - 43
     Income
     Levies               0         0.         0          0       - 19        - 19
     Sugar levy           0         0          0          0       -   3       -  3
     TOTAL                0         0          0          0       - 22        - 22
                         ..... .
 ---pagebreak---                                          - 2 -
  2.   If the representative rate had remained the same as before the monetary events
       in question and if an MCA of - 5.3 points for France and - 3.1 points for
       the BLEU had been fixed , the adjustment of the central rate which took place on
        12 June 1982 would have resulted in the following agri-monetary expenditure for
       the Member States in question :
       Table II                                                                  m ECU
j
                                   1982                             1983
                            FF    BFR /LFR       Total       FF    BFR / LFR   Total
     Expenditure
     MCAs                - 35      -   2       - 37      -   94     -    4     -   98
     MCAs to be
     deducted from
     the refunds         - 50      -   8       - 58      - 134      - 17       - 151
     Dual rate :
     common organ-
     izations of
     the market          - 89      - 15        - 104     - 237      - 30       - 267
     TOTAL             - 174       - 25        - 199     - 465      - 51       - 516
     Income
     Levies            -     6     -   9       -   15    -   17     - 23       -   40
     Sugar levy              8     -   1            9    -   21     -    3     -   24
     TOTAL             -    14     - 10        -   24    -   38     - 26       -   64
  3.   The expenditure arising from the proposed Regulation aligning the representative
       rate on the central rate in the case of the French franc and the Belgian franc /
       Luxembourg franc , as from the beginning of the 1982 /83 marketing year in the case
       of pigmeat , olive oil and wine and from the beginning of the 1983 /84 marketing
       year in the case of other sectors is as follows :
       Table   III                                                             m ECU
                   •
                                   1982                             1983
                            FF    BFR /LFR       Total       FF    BFR /LFR    Total
     Expenditure
     MCAs                 -    35  -   2         -  37     -  81    +    7     -   74
     MCAs to be
     deducted from
     the refunds          -    50  -   8         -  58     -  84    -    6     -   90
     Dual rate :
     common organ-
     izations of
     the market           -    89  - 15          - 104     - 134    - 17       - 151
     TOTAL                - 174    - 25          - 199     - 299    - 16       - 315
     Income
     Levies                     6  -   9         -  15     -   10   - 16       -   26
     Sugar levy                 8  -   1              9    -  12    -    2     -   14
     TOTAL                -    14  - 10          -  24     -  22    - 18       -   40
 ---pagebreak---                                               - 3 -
   4.   The estimated cost of the measure as such is therefore :
   fable VI = Table III - Table II                                            m ECU
 i                                    1982                            1983
                           FF      ! BFR/LI'R   Total        FF      BFR /LFR    Total
      Expenditure     :
                                   j
      MCAs                 0      !     0         0        +    13    + 11       +  24
                                   *
                                   «
      MCAs to be
      deducted from
      the refunds          0      i 0
                                  !
                                                  0        +   50     + 11       +  61
      Dual rate :
                                  Ì
      common organ-
      izations of                 !                                                         ¡
      the market           0       !    0         0           103     + 13       + 116      1
      TOTAL                0      :     o         0        +  166     + 35       + 201 !
                                  i
      Income
                                  i
      Levies               0      ;     °         0        +     7    +   ï      + 14 j
      Sugar levy           0            0         0        +     9    +   1      +  10      ]
                                                                                             1
!     TOTAL                0       !    o         0        +    16    +   8      + 24 i
  5.    Compared with the budget , the financial implications arising from the monetary
        events of 12 June 1982 and of this proposal are as follows :
  Table V = Table III - Table I                                              m ECU
                                                             -■           –           1   ■
I
I                                     1982                            1983
j                          FF        BFR/LFR    Total        FF      BFR /LFR    Total
      Expenditure              -
      MCAs              -  35         -   2     -   37   -   81       + 10       -  71
      MCAs to be
i     deducted from
      the refunds       -  50         -   8     -   58   -   84       +   8      -  76
      Dual rate :
      common organ-
      izations of
      the market        -  89         - 15      - 104    - 134        +   9      - 125
      TOTAL             - 174         - 25      - 199    - 299        + 27       - 272
      Income
      Levies            -    6        -   9     -   15   -    10      +   3             7
      Sugar levy        -    8        -   1          9   -   12       +   1      -  1 1
      TOTAL             -  14         - 10      -   24   -   22       +   4      -  18