CELEX: 51979PC0629
Language: en
Date: 1979-11-15
Title: Proposal for a COUNCIL REGULATION (EEC) amending Regulation (EEC) No 939/79 laying down general rules for the supply of milk fats to certain developing countries and specialized bodies under the 1979 food-aid programme#Proposal for a COUNCIL REGULATION (EEC) amending Regulation (EEC) No 940/79 on the supply of milk fats to certain developing countries and specialized bodies under the 1979 food-aid programme (submitted by the Commission to the Council)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (79) 629
Vol. 1979/0211
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                               COM(79 ) 629 final
                                               Brussels, 15 November 1979
                              Proposal for a
                          COUNCIL REGULATION ( EEC )
              amending Regulation ( EEC ) No 939 /79 laying down
              general rules for the supply of milk fats to certain
              developing countries and specialized bodies under
                        the 1979 food-aid programme -
                              Proposal for a
                          COUNCIL REGULATION ( EEC )
              amending Regulation ( EEC ) No 940/ 79 on the supply of
              milk fats to certain developing countries and speci­
              alized bodies under the 1979 food-aid programme
                                                           <\ -
              (submitted by the Commiission to the Council)              A
                                                   r r>. ;      •» – v w
C0M(79 ) 629 final
 ---pagebreak--- 1 . Since 1974 , the amount of butteroil earmarked by the Budget Authority
  to be supplied as food aid to developing countries has remained static at
  45 000 tonnes . This represents a failure to keep pace with the growing
  demand manifested by potential recipient countries . In 1979 , applications
  for this product totalled 149 000 t , as against 92 000 t in 1978.'
  Because of this , the Commission was obliged to reject a large number of :
  applications when drawing up the 1979 programme , and to cut back on the
  quantities granted .
                                                                /
  In its Preliminary Draft Budget for 1979 , the Commission had therefore
  proposed raising the quantity of butteroil from 45 000 t to 55 000 t .
  The increase was turned down by the Budget Authority , and accordingly the
  Commission again requested an increase in Community butteroil food aid
  to 55 000 t as part of its agricultural price proposals for the 1979-80
  farm year .  On 22 June 1979 , the Council of Ministers ( Agriculture ) gave
   its support to such an increase , particularly in view of the persistent
   imbalance on the butter market .                                     -
 ---pagebreak--- 2.   The Commission 's view is that this supplementary quantity should go
as a matter of priority to applicant countries whose needs could not be
satisfactorily taken into account in the allocation of the first instal­
ment of the 1979 programme .                                        -
The annexed table is based on this criterion , and sets out the relevant
data on the countries in question , it being understood that the general
aid allocation criteria remain those applicable to the first instalment
of 45 000 T.
3 . In budgetary terms , the increase involves raising the appropriation
for food aid by an estimated 13 million EUA at world prices, or 39.1 million
EUA at internal prices .    The Commission , following the decision of the
 Council on this communication, will present the appropriate proposals to
the Budgetary Authority .
CONCLUSION
To arrive at a decision as soon as possible, as agreed at the Council
meeting of 22 June 1979 , and to meet the most pressing needs of the
developing countries , the Commission proposes that the Council , by the
adoption of the Regulations attached :
- to increase to 55 000 T. the quantity of butteroil allocation under
     the 1979 butteroil aid programme ;
- to allocate the additional quantity of 10 000 T. between the different
     countries and bodies .
 ---pagebreak---                             FINANCIAL MEMORANDUM
   1.  Relevant "budget headings
   Title 9 , Article 921 " Pood aid in milk products"
   Title 6 , Chapter 62 "Milk and milk products"
             Article 620 "Export refunds ".
   2.  Légal oasis                        .         .
   Article 43          of the EEC Treaty and Regulation No 804/68 of 27 June 1968
   on the common organization of the market in milk and milk products .
   3.  Description , objectives and .justification of the, operation
   The 10 000 T increase in the amount of "butteroil to "be supplied as food
   aid under the 1979 programme is designed to cover the most urgent needs
   stated "by developing countries , particularly those whose requirements
- were not fully met when the first 45 000 T instalment of the 1979 programme
   was allocated .
 . 4*  Type of expenditure                   .   .
                               . /             .
   The expenditure is to cover the cost of purchasing and - packing the
   butteroil and transporting it to the port of loading .
   In line with the 1979 "budget format , this expenditure is entered partly
   under Ttile 9 (world market price of product + packing + transport costs )
   and partly under Title 6 (export refunds ).
 ---pagebreak--- 5 . Method of calculation
      1 . Title 9 : item 9213
                                                                      EUA
      - amount to be supplied at world price
          10.000 T. x 951.8 u.a. / t . ( 1 ) x 1.2244 ( 2 ) =  . 11.653.000
       - transport costs
                                                 (2)
          6.465 T. x 180 u.a. / t , x     1.244              =    1.425.000
     2 . Tit le_ 6_2_.it em_6202
     export refunds
                                                     (2)
          10.000 T. x 2.130 u.a. / t . x 1.2244              =   26.079.000'
                                                      TOTAL      39.157.000
 ( 1 ) This figure represents the intervention price for butter (2 357.2 u.a. / t )
         multiplied by the butter/ butteroi I conversion rate ( 1.22 ) plus the cost
         of transforming butter into butteroil < 196 u.a. / t ) and carriage to the
         FOB stage ( 10 u . a. / t ). minus the refund ( 2.130 u.a. / t ) :
         2.357.2 x 1.22 = 2 875.8 + 196 + 10 = 3 081.8 - 2 130 = 951,8 u.a. / t .
 ( 2 ) Dual rate coefficient .
                  \
 ---pagebreak---                                                          BUTTEROIL (2nd INSTALMENT)
                                                                                                                                             t
                 Amount                       Uso                                                                  Proposed amoun
               requested            FD : free distribution                       Direct aid                        I      (*>
    Country
                in 1979             SPC : sale to final
                                          consumer
                                                             I
                                                                     Heeds     ' 1978 (t )        1979 00 I            Financing '         Remarks
                                    SDI : sale to dairy-                                                             arrangement b
                                          industry
                                                                                                 WWIIHIW il I I '1
                                                               ι
                      12 000          SPC , SDJ                ,     12 000        3 000 '          3 000             1 000 pu
Bangladesh
                                                               7
Egypt (R.A. )      • 15 000 •       SDI for sale at            ! - 7 000            • ¿> 00 ' :
                                    reduced price                      •   \
                                                                              (♦ 1960 reservé 71 ) .2 800             1 2 00 PL   .
                                                                                                                                                     «
                                                                 f. 2 925          1 500'                                500 pu      1978 aid delivered at
Ethiopia             ; 1 500               FD
                          a
                                                                                                                                    "beginning of 1979
                                i
    κ
                                                                        2 350          200            200 :              300 pu
Ghana                 10 000    ;         SDI
                        *   f    '
                                                                   ,      530          185         token                '200 P?
Guinea Conakry             500   i        FD
                                                                                                   anixy.
Honduras               2 000              SPC
                                                t
                                                             Ρ 1.500                   515           515                500 PL
                                                                                                                                      \
India            ,    20 000       SDI ( Operation Flood        : 20 000        . 12 700     .    12 700              1 500 PU
                                         II )                                        .  '   >
                              }                                                                            t
                                                                                       m
                                                                                                                        100 PL
Mal ta                                                           I         •
                                                                ι
                                                  /
                       5 000              FD                         , 1 868           900            500               400 PU
Mauritania
 ---pagebreak---                                                                                                                                       Λ
Mozambique                      920             SPC            800           100            250                     150 PU
Pakistan                  10 000          . .   SPC       10 000         2 000          1 000                      500    PL
                                                                                                                            ■:  .
Peru                •   ~    2 000              SDI       11 000                   token entry                      600   PI
El Salvador                     835         ' H) ,      /      832           m                                     200    PL          Nutrition programme
                                      *       .     •
                                                                                      «                                               started 1976
                                                                             • ν
Somalia                      6 000  V      -    FD         4 500             500 >          300                    600 PU
                                                                                                                   -    ■ F
                                                                     (reserve 78)                  c ••
                                                                                                                                    ι
Syria                        « 000              SPC   .    8 500                            2ÛÔ •                  300 . PL
                                                                                         »•
                                             r fd '                                                            ( 200 )    DD          World 's 13th largest
Uganda                     -  * •
                                                             i
                                                               - - m
                                                                                                                                      groundnut producer , but
                                                                                              •v .                                    situation catastrophic
                                                                                                                ,-   ·            I
UNHCR                         3 500             FD                         • m
                                                                                          1 500 •                1 000 DD
                                                                                                                          ,    »j
                                                                                                                     750
Reserve
TOTAL                                                     87 205      . 24 560 -        22 965          -      10 000
                                                                                                          i :•
                                        »
*PL = port of loading
 PU = port of unloading
 DD = delivered destination
 ---pagebreak---                                     ANNEX 3
                       - .       Proposal for a
             COUNCIL    REGULATION   ( EEC )            '
amending             Regulation ( EEC ) No . 939/ 79 of                 laying
down general rules for the supply of milk fats to certain developing
countries and specialised bodies under the 1979 food-aid programme
                                                                               Λ  /
THE COUNCIL OF THE EUROPEAN COMMUNITIES-
                                                                    4 • 4
Having regard to the Treaty establishing the European Economic
Community' and in particular Article y 43 thereof ,
Having regard to Council Regulation ( EEC .) No . 804 / 68 of 27 June 1968
                                                                                 (1)
on the common organization of the market in milk and - milk products                 , as
                                                       (2)
last amended      by Regulation ( EEC ) No . 1761 / 78     , and in' particular
Article 6 ( 6 ) thereof .
Having regard to the proposal from the Commission /
Having regard to the opinion of the European Parliament
Whereas certain developing countries and specialized bodies have
indicated their requirements in milk fats .
Whereas these fats may be supplied in the form of butter or butteroil
produced         in the Community and meeting certain quality standards /
Whereas the amounts available at present in the Community enable the
allocation of an additional quantity of 10 000 tonnes of butteroil to the   t
45 000 tonnes already allocated under the 1979 food-aid programme by
                                         (4)
Council Regulation ( EEC ) No . 939 / 79     /
( 1 ) O.J. No L 148 / 28.6.68 / p. 13
 ( 2 ) O.J. No l 204 / 28.7.78 / p. 6
 ( 3 ) O.J. No C
 ( 4 ) O.J. No L 119 , 15.5.79 , p. 5
 ---pagebreak---  HAS ADOPTED THIS REGULATION :
                          , Article 1
   In Article 1 of Regulation ( EEC ) 939 / 79 , the .quantity J^SOQ "
■ shall be replaced by the quantity " 5500".
                            Article 2
 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 entirely and directly
 applicable in all Member States .
  Done at
                                   For the Council
                                   The President
 ---pagebreak---                              ANNEX 4
                          Proposal for a !
             COUNCIL   REGULATION (   EEC )
amending             Regulation ( EEC ) No . 940/ 79            _
on the supply of milk fats to certain developing countries and
specialised bodies under the 1979 food-aid programme
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty ^ establishing the European Economic
Community ,
Having regard to Council Regulation ( EEC ) No . 939 / 79 of 8 May 1979 ,
laying down general rules for the supply of milk fats to certain
developing "countries and specialised bodies under the 1979 food-aid
programme ^^, as amended by Regulation No.           /79 ^^, and in
particular Articles 3 and 8 thereof .
Having regard to the proposal from the Commission ,
                                                                        a*      –
Whereas Regulation ( EEC ) No .        / 79 amending Regulation ( EEC ) No 939 / 79
increased      to 55,000 tonnes the quantity of butter.oil to be supplied under
the 1979 food-aid programme , whereas the additional quantity of
10,000 tonnes should be allocated among the various countries and
bodies from which applications have been accepted and arrangements
for financing        specified ; whereas    1230 tonnes of
butteroil      should be kept as a. contingency reserve for future
allocation ;     whereas Council Regulation ( EEC ) No 940 /79 should
therefore be amended ;
( 1 ) O.J. No . L 119 , 15.5.79 , p.5
( 2 ) O.J. No . L
 ( 3 ) O.J. No L 119 , 15.5.79 , p. 7
 ---pagebreak--- HAS ADOPTED THIS REGULATION
                               Article 1
Regulation ( EEC ) No 940 / 79 is hereby amended as follows :
In Article 1 , the quantity "4500 " shall be replaced by the
quantity "5500 ".                   - ^
The Annex ; s h a L L be replaced by the Annex to this Regulation .
                               Article 2
This Regulation shall enter into force on the third day following
its publication on the Official Journal of the European Communities
This Regulation shall be binding in its entirety and directly
applicable to all Member States .
Done at                                                  •
                                  '   For the Counci I
                                     The President
 ---pagebreak---                                                ANNEX
                               BUTTEROIL FOOD-AID PROGRAMME 1979
                                                  Quantities allocated                 Arrangements
Recipient countries                                    ( tonnes )                      for fi nanti ng CD
and bodies
COUNTRIES
                                                         4 000                                   PU
Bangladesh .                                                  100                                DD
Chad                        .                            4 000                                   PL
Egypt                                                         200                                PL
El Salvador                                                                                  •   PU
                                                              500
Ethiopia                                                      500                                PU
Ghana                                                                                     -      PU
                                                              200
Guinea ,                                                                                         PU
Guinea Bissau                                                 175
                                                              100                                PL
Guyana                                                    1 015-                                 PL
Honduras                                                                                         PU
 India
                                                        14 200
                                                              200                                PL
 Jamaica                                                                          ....     -     PL
 Jordan
                                                          1 125
                                                              650                                PL
 Lebanon                                                                                          DD
                                                               100
 Lesotho                                                                                          DD
 Mali                                                          105
                                                               100  .                             PL
 Malta                                                                                            PU
                                                               900
 Mauritania "                                                                                     PL
                                                               100
 Mauritius        v<                                                                              PU
 Mozambique                                                    400    ■ - ,'
                                                               500           - ... . ,         .  PL
 North Yemen                                                                                      PL
 Pakistan                                                  1 500
                                                               600                                PL
 Peru                                                                                             PU
                                                               250
 Republic of Cape Verde                                        200                                DD
  Rwanda                                                                                          PU
                                                          "    200
 Sao Tome and Principe                                                                            PU
                                                               200
  Sierra Leone .            -                   Λ
                                                               900                      ,         PU
  Somalia                                                                                         PU
                                                               200
  Sri Lanka                                                                                        PL
                                                                500
  Sudan                                                                                            PL
                                                                500
  Syria                                                         400                                PU
  Tanzania                                                                                         DD
                                                                200
  Uganda                                                        250                                DD
  Upper Volta                                               4 000                                  PU
  Vietnam                                                                                          PL
                                                                500
   Zambia
  BODIES
                                                            2 000                                   DD
   CRS                                                                                              DD
                                                            1 000
   ICRC 1                                                                                           DD
                                                                500
   LICROSS                                                                                          DD
                                                            2 500 .
   UNHCR                                                                                            DD
   UNRWA
                                                            3 200
                                                             5 000                                  DD
   WFP
                                      RESERVE                1 230
                                      TOfAL                55 000
    ( 1 ) PL- - Port of Loading; PU = Port ol Unloading,- DD « Delivered Destination
    (2) Emergency schemes may include financing to cover the cost of transport between the
          port of destination and the cost of distribution where aid is channelled via a
          specialised body. Such financing may be wholly or partly in the form of a lump sum
          contribution .