COUNCIL REGULATION  (EEC) N° 3649/90  of 11 December 1990 laying down general rules for the mechanism for the  protection of the Portuguese market in fruit and vegetables provided for in Article 318 (2) of the  Act of Accession of Spain and Portugal
THE COUNCIL OF THE EUROPEAN COMMUNITIES
,
Having regard to the Treaty establishing the European Economic Community,
Having regard to the Act of Accession of Spain and Portugal, and in particular Article 234 (2)  thereof,
Having regard to the proposal from the Commission,
Whereas Article 318 (2) of the Act of Accession lays down that, should the Portuguese market be  disturbed as a result of imports from the Community as constituted at 31 December 1985, appropriate  measures may be adopted during the second stage of the transition period with regard to those fruit  and vegetables for which a reference price is fixed; whereas, the joint declaration annexed to the  Act states that, in their mutual trade in agricultural products, the new Member States are in  principle to apply, with respect to each other, the provisions and transitional mechanisms provided  for in the Act of Accession under the arrangements applicable to their respective trade with the  Community as constituted at 31 December 1985; whereas Council Regulation (EEC) N° 3792/85 of 20  December 1985 laying down the arrangements applying to trade in agricultural products between Spain  and Portugal(1), as last amended by Commission Regulation (EEC) N° 3296/88(2), did not provide for  the application of the mechanism in question; whereas it is appropriate that such a mechanism be  applied in the context of this Regulation;
Whereas the abovementioned appropriate measures should consist of a mechanism for the protection of  the Portuguese market in the products in question, to be introduced by the Commission in the event  of disruption of that market;
Whereas, for the purposes of definition, the protection mechanism should incorporate, in  simplified form in view of their exceptional nature, the provisions of the system of reference prices introduced by Council Regulation (EEC) N° 1035/72 of 18 May 1972 on the common  organization of the market in fruit and vegetables(3), as last amended by Regulation (EEC) N° 1193/90(4); whereas a representative price for the Portuguese market should  therefore be fixed and a corrective amount, over and above the customs duty, should be levied where  the price on entry into Portugal of products from the other Member States is below the  representative price;
Whereas, to enable this mechanism to be implemented rapidly and to facilitate administration  thereof, it should be laid down that Portugal is to fix the representative price and the corrective  amounts in accordance with the method set out in this Regulation;
1.  If, during the second stage of the transition period, the  Portuguese market is disrupted by imports from the other Member States, the Commission, acting at  the request of Portugal and in accordance with the procedure laid down in Article 33 of Regulation  (EEC) N° 1035/72, may introduce a mechanism for the protection of the Portuguese market from  imports from the other Member States of fruit and vegetables for which a reference price is fixed  with respect to third countries.
2.  The decision referred to in paragraph 1 shall determine the period of application of the  mechanism and the products to which it applies.
3.  The mechanism shall be based on a comparison of a Portuguese representative price, fixed in  accordance with Article 2, and a price on entry into Portugal, calculated in accordance with  Article 3. It shall be governed by the provisions of Articles 4 and 5.
1.  The Portuguese representative price shall be fixed by Portugal. It shall be  calculated:
on the basis of the arithmetical mean of producer prices in Portugal plus packaging and transport  costs from the production regions to the consumption centres representative of Portugal,
taking into account the trend in production costs.
The producer prices shall be those determined in accordance with Article 23 (3) of Regulation (EEC)  N° 1035/72.
2.  The transport costs referred to in paragraph 1 may be calculated at a standard rate.
3.  The Portuguese representative price may not exceed the reference price applied with respect to  third countries.
1.  For the products for which a Portuguese representative price has been fixed,  Portugal shall regularly monitor, for a product with defined commercial characteristics, the trend  of average prices of products imported from the other Member States in accordance with the  conditions laid down in Article 24 (1) of Regulation (EEC) N° 1035/72.
2.  The price on entry into Portugal shall be calculated by Portugal each marketing day in  Portugal, on the basis of the representative prices for imports from the other Member States,  recorded at, or converted to, the import/wholesale stage.
3.  The representative prices shall be determined in accordance with Article 24 (2) of Regulation  (EEC) N° 1035/72.
4.  The entry price shall be equal to the lowest representative price or to the average of the  lowest representative prices recorded for at least 30 % of the quantities marketed on all the  representative markets in Portugal for which prices are available, such price or prices being  reduced first by:
the customs duties in force,
any corrective amount introduced in accordance with Article 4.
If the price on entry into Portugal calculated in accordance with Article 3 is less  than the Portuguese representative price, a corrective amount equal to the difference between these  two prices shall be charged on import into Portugal.
For the purposes of implementation of Article 4, the following procedure shall apply:
1.If the price on entry into Portugal remains at least ECU 0,6 below the Portuguese representative  price for two consecutive marketing days, a corrective amount shall be introduced, save in  exceptional cases. The corrective amount shall be equal to the difference between the Portuguese  representative price and the arithmetic mean of the two latest prices on entry into Portugal  available.
2.The corrective amount shall be the same amount for all imports from the other Member States and  shall be added to the customs duties in force. It shall not be altered so long as a change in the  factors in its calculation does not lead, after it is put into effect, to an adjustment in its  amount of over ECU 1,2 for three consecutive marketing days.
3.The corrective amount shall be abolished where, from the time of actual application of that  amount, prices on entry into Portugal are at least equal to the Portuguese representative price for  two consecutive marketing days or if the prices are unavailable for six consecutive working days.  It shall also be abolished if the application of paragraph 2 results in a corrective amount of  zero.
1.  Detailed rules for the application of this Regulation shall be adopted in  accordance with the procedure laid down in Article 33 of Regulation (EEC) N° 1035/72.
2.  A decision to introduce, adjust or abolish the corrective amount shall be taken by Portugal.
3.  Portugal shall notify the Commission and the other Member States immediately, before they come  into force, of the Portuguese representative prices, the corrective amounts and the information  used in their calculation, and in particular the entry prices.
The representative prices and the corrective amounts shall be subjected to control by the  Commission before their entry into force.
Before 31 December 1992 and thereafter before the end of each year until the end of the  second stage of the transition period, the Council shall review this Regulation on the basis of a  report by the Commission accompanied, where appropriate, by proposals allowing the Regulation to be  adapted to reflect trends in trade.
This Regulation shall enter into force on 1 January 1991.
This Regulation shall be binding in its entirety and directly applicable in all  Member States.