CELEX: 51979PC0541
Language: en
Date: 1979-10-15
Title: Proposal for a COUNCIL REGULATION (EEC) fixing for the 1979/80 marketing year the market representative price and the threshold price for olive oil and the percentage of the consumption aid intended to promote the consumption of olive oil (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (79) 541
Vol. 1979/0188
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 ---pagebreak---   COMMISSION OF THE EUROPEAN COMMUNITIES
                                                        COM(79)541 final
                                                        Brussels / 15 October 1979
                           O /■ -               < v"LA
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                                  Proposal for a
                            COUNCIL REGULATION ( EEC )
           fixing for the 1979 / 80 marketing year the market representative
          price and the threshold price for olive oil and the percentage
          of the consumption aid intended to promote the consumption of
                                    olive oil
                    ( submitted to the Council by the Commission )
C0M(79 ) 541 final
 ---pagebreak---                               EXPLANATORY MEMORANDUM
1 . The proposal for a Regulation in question provides for the fixing of the represen­
     tative market price and of the threshold price for olive oil for the -1979 / 80 marke­
     ting year as well as the percentage of consumption aid to be used for certain mea­
     sures to promote the consumption of olive oil .
2 . Article 7 of Council Regulation No 136 / 66 / EEC provides that the representative -
     market price for olive oil shall be fixed at a level permitting the normal disposal
     of production , having regard , among other things , to the prices of competing pro­
     ducts , and in particular of prospects for their development over the marketing year .
3 * Recent experience shows that periods of sharp decline in olive oil consumption occur
     when the relationship of olive oil prices to seed oil prices is equal to , or greater
     than , 2.5 : 1 . Thus the Commission is aware of the need to ensure a more favourable
     relationship in order to enable olive oil consumption to pick up again .
4 . In view of the level of prices for seed oils currently prevailing in Italy and , also
    of the fact that , according to available information , the prices of seed oils should
    not show great variations during the 1979 / 80 marketing year , the Commission consi­
    ders that    fixing      for the 197-9 / 80 marketing year the representative market price
                                                 at 148,00 ECU/ 100 kg , which means a price
    relationship of olive oil to seed oil of around 2,3 : 1 , should make it possible
     to attain the desired objective .
5 . As regards the percentage to be deducted from the consumption aid' for certain infor­
    mation measures , the Commission considers that it should be 3% . In view of the
     sums deducted under the 1978 / 79 marketing year and which are still available and
    of measures undertaken and yet to come , a deduction of 3 % from the consumption
     aid is sufficient .
     It this percentage were to be deducted , the funds released would be of the order
    of 3,5 to 4 Mio ECU .
6. The'threshold price is derived from the representative market price, with account
    taken of a certain difference representing in particular unloading costs and the
    costs of forwarding the product imported as well as of the effect of the deduction
     from the consumption aid referred to at point-5 .
     Since the" elements takeninto consideration for the purpose of-deciding on the diffe­
     rence from the representative market price have not varied , the difference in .
   question may be mattained at 3,62 ECU .
    Given the deduction of 3% from the consumption aid , i.e. 1,02 ECU/ 100 kg , and also
    of the difference to be taken into consideration , the Commission proposes that the
    ■ hreshaid price be fixed at 145 fyo ECU/ 100 kg .
 ---pagebreak---                               /
                      COUNCIL REGULATION ( EEC )
fixing for the 1979 / 80 marketing year the market cepresentative price and the
threshold price for olive oil and the percentage of the consumption aid
intended to promote the consumtion of olive oil v ■              ■
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 esta-
                                                                          (1)
blishment of a commoTiorganization of the market in oils and fats             , as last amended
                                   ( 2)
by Regulation ( EEC ) No 590 / 79       , and in particular the second subparagraph of
Article 4(4 )    and - Article 11(3 ) thereof ,
Having regard to the proposal from the Commission,
                                                                           »
Whereas the representative market price should be fixed in accordance with the cri­
teria laid down in Articles 7 and 10 of Regulation No 136 / 66 / EEC ;
Whereas the threshold price should be fixed in such a way that the selling price for
the imported product at the frontier crossing point fixed pursuant to                  Article 9
of Regulation No 136 / 66 / EEC is the same as the representative market price , account
being taken of the effect of the measures referred to in ArticleU ( 3 ) of-'that-
Regulation ;                                       ,       ~
Whereas it follows from the application of these criteria that the representative             -
market price and the threshold price should be fixed at the Levels given in Article 1
of this Regulation ;                                        \
Whereas, under Article 11(3 ) of - Regulation . No 136/ 66 / EEC, a certain percentage of the     j
consumption aid should be used during each olive oil marketing year to finance mea­
sures to promote the consumption of olive oil in the Community ; whereas such          percentage
should be fixed for the 1979 / 80 marketing year ,
HAS ADOPTED THIS REGULATION      :
( 1 ) 0J No 172 , 30.9.1966 , p. 3025 / 66
( 2 ) 0J No L 78 , 30.3.1979, p. 1
 ---pagebreak---                                    - 2 -
                                Article 1
For the 1979 / 80 marketing year the representative market price and the threshold .
price for olive oil are heheby fixed as follows :
- representative market price :                148.00   ECU / 100 kg
- threshold pricé :                            145.40   ECU / 100 kg
                                Article 2
For the 1979 / 80 marketing year the percentage of the consumption aid to be allocated
for the projects referred to in Article 11(3 ) of Regulation No 136 / 66 / EEC is hereby
                          ι
fixed at 3 /4 .
                                Article 3
This Regulation shall enter into force on 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 all
Member States-
Done at                                               For the Counci l
 ---pagebreak---                          FINANCIAL               STAT EMENT
                                                                                        Dal * :   3 October 1979
   1*   BUDGET HEADING         :         631                                            APPRO&IATIONS : 320,6 Mio UCE
   2 . TITLE : Draft Council Regulation fixing for 1979 / 80 the market representative price
    and the threshold price for olive oil , and the percentage of consumption aid .
   J. LEGAL BASIS :                 Articles 4 and 11 of Reg . 136 / 66 / EEC .
   4.    AIMS OF PROJECT :
                                    Fixing the market representative price and the threshold price for
    olive oil and the percentage of consumption aid to finance promotion actions .
Î}                                                                                              ,
                                                                                                   FOLLOWING ^NANCIAL YEAR      j
1 5. f 1 NA\C I AL IMPLICATIONS
                                                      PERIOD OF 12 MONTHS CURRENT FINANCIAL YfAR
                                                                                 £   dSL   î
   5.0 EXPENSITORE                                                                              f
          - CHARGED TO T HE EC BUDGET
             (( ESQEFFL
                E3Ê£KS // INTERVENTIONS
                            INTERVENTIONS ))            110,5 to 126,4                             110,5 to 126,4               I
          - NATIONAL ADMINISTRATION
                                                             MUCE                                            MUCE
          - OTHER
                                                                                                                                É
   5.1    RECEIPTS
          - OWN RESOURCES OF THE EC                                                                                             »
              ( LEVIES / CUSTOMS DUTIES ) ■
          - NATIONAL         •
                                                                     Π                                          ;
                                                                                                                                ]
                                                                                                                                 t
|   5 . C.I ESTIMATED EXPENDITURE
I   5.1.1    ESTIMATED RECEIPTS
! 5.2-«ETHOD OF CALCULATION      .      . .    '
                                             Quant it i
                                             Quantitive     hypothesis 350 to 400 000 t ;
                                                                                                                                 F
                                                                                                                                 i
j               rate of aid ,34'1,4ECU/t . '
                Foreseeable expenditure :                   119,5    to 136,6 Mio ECU
                                                          = 110,5    to 1 26,4.'Mio UCE                                          !
 s                                                                                                                    UtfSUtf .
     3.3 » LWL     F WT W R£ SUDGT T APPROBATIONS BE NECESSARY  ?
                                                                                                                       YES1
     OBSERVATIONS .-           JHG amount withheld from aid amounts to 3 % - 3,5 to 4 MUCE which
            ' is designated for promotion actions .
                               The credit proposed for 1980 amounts to 106,6 MUCE and includes 6 MUCE
                withheldlbr promotion actions .