CELEX: 51975PC0550
Language: en
Date: 1975-11-05
Title: PROPOSAL FOR A REGULATION (EEC) OF THE COUNCIL amending Regulation (EEC) No 1955/75 on production refunds in the cereals and rice sectors (submitted to, the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (75) 550
Vol. 1975/0206
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                        COM(75)550 final
                                        Brussels . 5 November 1975
                     I
                         PROPOSAL FOR A
                REGULATION ( EEC ) OP THE COUNCIL
         amending Regulation ( EEC ) No 1955/75 on pro­
         duction refunds in the cereals and rice
         sectors
         ( submitted to, the Council by the Commission )
COM(75 ) 550 final
 ---pagebreak---                            EXPLANATORY MEMORANDUM
1. The purpose of this proposed amendment is to fix the production refund
   on maize used for the manufacture of groats and meal for use in the
   "brewing of "beer .
2. In document COM ( 75 ) 327 of 26 June 1975 ) proposing amendments to
   Regulations No 120/67 and No 359/67 and a new Regulation on staroh
   production refunds ( the present Regulation 1955/75)* the Commission
   included a proposal to grant production refunds on maize used for
   this purpose and on "broken rice used for brewing at the same rates
   as those paid on maize and "broken rice used for starch .
3. However , "before a refund could "be fixed for these purposes it was first
   necessary to introduce the possibility of granting such refunds in
   Regulations No 120/67 and No 359/67 * ( This was the reason for the
   proposed amendments to these two regulations mentioned in paragraph 2 ) .
   Amendments to either of these Regulations require the opinion of
   Parliament . At its session of 26 September , the Parliament declined
   to adopt a resolution drafted by the Agriculture Committee approving the
   Commission proposals .
4* The present proposal Betoks to modify slightly the one contained in Doc .
   COM ( 75 ) 327 in so far as no refund is proposed for broken rice for beer.
   To grant a production refund on broken rice ( for beer) would at the
   present time merely serve to emphasise the advantageous position this
   product already enjoys vis a vis competing products as a result of market
   conditions .
5. The maintenance of a refund on maize for groats equal to that on maize
   for starch is proposed because to suppress or reduce the refund on the
   former but to grant it on the latter would seriously damage its competitive
   position as a brewing raw material . Both products are substitutable one for
   the other in the brewing process so that to grant a refund on only one
   would give it considerable advantage .
6. The proposals for modifying Regulations No 120/67 and No 359/6 ? remain
   unaltered .                                                      u
                                                                    < *
                        )                                            ! !
7. Because of the substitutability of these products in the brewiyj process
                             ■ '               ;                      ; \
   it is estimated that this proposal will have no effect on Budgt/ i ' provisions .
                                            '                          V*
 ---pagebreak---                               'REGULATION ( EEC ) OF THE COUNCIL '
            amending Regulation (EEC ) No 1955/75 on production refunds in the
                                       oereale and rice sectors
THE COUNCIL OP THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community;
Having regard to Council Regulation No 120/67/EEC             of 13 June 1967 on the
common organization of the market in cereals , as last amended "by Regulation
 (EEC) No /75^» and. in particular Article 11(3) thereof}
Having regard to Council Regulation No 359/67/EEC ^ of 25 July 1967 on the
common organization of the market in rice , as last amended "by Regulation (EEC )
No                 and in particular Article 9(2 ) thereof}
Having rega.rd to the proposal from the Commission}
Whereas Council Regulation (.EEC) No 1955/75 ^ of 22 July 1975 fixes production
refunds for certain products used for the manufacture of starch , or intended
 for the manufacture of glucose and for potato starch , "but does not fix a refund
 for the production of maize' groats and meal for U3e by the brewing industry in
the manufacture of beer }
Whereas the absence of such a refund for the production of maize groats and
meal for use by the brewing industry in the manufacture of beer could , in the
circumstances likely to exist , disturb the balance between the cost of supplying
the brewing industry with maize starch on the one hand , and with maize groats
and meal on the other; it therefore appears necessary to fix a refund for
the production of maize groats and meal , used for th9 aforementioned purpose ,
HAS ADOPTED THIS REGULATION J
12 )) OJ
      OJ No
         No L117 , 29 . 6.1967 1 p . 2269/67 .
 3 ) OJ No 174 , 31 . 7.1967 » p. 1 .
 4 ) OJ No L
 5 ) OJ No L 200 , 31 . 7.1975 » P. 1 .
 ---pagebreak---                                   Article 1
The text of Articles 4 and 5 of Regulation (EEC) No 1955/75 shall "be replaced :
"by the following !
 • Artide 4
   1*     Member States shall grant a production refund on maize used "by the maize
          industry for the manufacture of groats and meal used "by the "brewing in­
          dustry in the production of beer of 10,00 units of account per metric
          ton less any accession compensatory amount applicable *
   2* \   Member States shall grant a production refund on maize groats and meal
          for the manufacture of glucose under subheading 17*02 B II of the
          Common Customs Tariff    "by the process known as direct hydrolysis .
          The production refund per metrio ton of maize groats and meal so used
          shall be 10 units of aocount less any applicable aocession compensatory
          amount for maize and multiplied by the coefficient , 1.23 .
   Article 5
   Member States shall take all necessary measures to ensure that the refunds
   mentioned in Article 4 are limited to the quantities of maize groats and
   meal actually used in the Community by the brewing industry in the production
   of beer or by the glucose industry.' ■      '  >
                                     Article 2
 This Regulation shall 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 all
 Member States .
 Done at 3russels t                                         For the Counoil
                                                             The President
 1) Pursuant to Reg. No I89/67/EEC the products falling within tariff subheading
      17.02 B I are subject to the same arrangements as those laid down for products
      falling within subheading 17*02 B II .
 ---pagebreak---                                                                                      -  Annex .to Doc.    .•
                   FINANCIAL               STATEMENT
                                                                       y                           22.10.J3                      v
     I. Line of the ftidget concerned : 6012 ( Production Refunds )
    2. Title of the action t Draft Council Regulation amending Regulation (EEC) No 1955/75 i j
         on production refunds in the cereals and rice sectors *                                                             i i
    3. Legal basts :       Art . Hi 3), Regulation I20/67 /EEC
                            Art . 9(2), Regulation 359/67 /EEC
    4.   Objectives of the action :      To fix the production refund on maize used for groats and
         meal for use in the' brewing of "beer.
I 5.0 Cost of the action                                wrlrn the caapalgn       current exercise (     )  following exerclsef   J
I           charge to the EC Budget                            4*3 mio ua                                       4*3 mio ua
I .         charge to the national adilnlstratlons
I           charge to other national sectors
    5.1 Mtlaated costs         Year ..1276         Year . J.9.77.      Year . 1928.
                                 m ua                  m ua               m ua
    5.2   Method of calculation
                                      430.000 tons x 10 ua
    6.1   Possible financing by credits written Into the relative chapter of the current Budget
                             Yes               MX
    6.2   Possible financing by transfers between chapters of the current Budget
    6.3   Necessity for a supplementary Budget
    6.4 Credits to be written Into future budgets          Yes
    Consents :    ( l ) Beoause it is possible to substitute maize starch for maize groats in
                        the brewing process v it is unlikelyf that this measure will involve
                        additional FEOGA expenditure, to the extent indicated *