31972R2722

Official Journal of the European Communities 31

No L 291/30 Official Journal of the European Communities 28.12.72

REGULATION (EEC) No 2722/72 OF THE COUNCIL of 19 December 1972 on the financing by the EAGGF, Guidance Section, of conversion projects in the salt cod-fishing industry

THE COUNCIL OF THE EUROPEAN COMMUNI­ in particular, to encourage the salt cod-fishing TIES , industry to undertake not only conversion aimed at better satisfying the demand for fish Having regard to the Treaty establishing the which are deep-frozen on board but also European Economic Community, and in conversion to fishing for tunny, a product particular Article 43 thereof; which is particularly scarce in the Community; whereas , secondly, such a project must aim to Having regard to the proposal from the provide training and retraining for fishermen Commission ; and shore workers affected by the structural Having regard to the Opinion of the European conversion ; Parliament; Whereas it is necessary that the projects which Having regard to the Opinion of the Economic the Fund is asked to assist should satisfy and Social Committee; general criteria guaranteeing both adequate Whereas Article 10 (2) of Council Regulation guidance for the salt cod-fishing industry and (EEC) No 2141/7 01 of 20 October 1970 laying lasting economic benefits from the structural down a commcn structural policy for the improvements planned; whereas buyers in all the Member States should be able to obtain fishing industry states that common action may be decided upon in order to attain the objectives on the same terms, supplies of the fishery referred to in paragraph 1 of that Article, in products caught with the equipment financed so far as they relate to the objectives set by the funds; out in Article 39 ( 1) (a) of the Treaty; whereas Whereas it is desirable to require, not only such action may, under Article 1 (3) of that investment programmes designed to reduce Regulation (EEC) No 729/702 on the financing the salt cod-fishing fleet be coordinated, but of the common agricultural policy, be financed also that supply be adequately concentrated; by the Europear. Agricultural Guidance and whereas, moreover, detailed economic analysis Guarantee Fund, Guidance Section; of the projects which the Fund is asked to Whereas convers:on projects are necessary in assist must show that maximum productivity the cod-fishing industry in order to take into is achieved by the vessels or equipment in account the economic effects of the implement­ question; ation of the common policy for the fishing industry and in particular the total lifting of Whereas certain minimum requirements must the duties levied on imports of salt cod from be laid down for trawlers and tunny-fishing third countries in:o the Community; vessels in order to ensure that they are capable of working sea areas situated far from the Whereas joint action towards conversion of coasts of the Community; the salt cod-fishing industry must firstly channel the development of production, processing and Whereas aid from the Fund amounting to a maximum of 25% of the total investments marketing activities towards fishing for species of fish requirec. by the Community and would be an appropriate contribution to these obtaining the best return on them in accordance investments ; with Community needs; whereas it is desirable, Whereas this contribution from the Fund of 10-2 million units of account over a period of 1 OJ No L 236, 27. 10.1970, p. 1 . five years will enable the problems of converting 2 OJ No L 94, 28.4.1970, p . 13 . the salt cod-fishing industry to be solved;

32 Official Journal of the European Communities

HAS ADOPTED THIS REGULATION : 5 . Aid from the Fund shall cover only that part of the project relating to the acquisition of the equipment referred to in paragraph 3 . TITLE I

PROJECTS FOR THE CONVERSION OF THE SALT COD-FISHING INDUSTRY Article 2 CHAPTER ONE To be eligible for aid from the Fund each Measures for structural conversion of the salt cod-fishing industry project must meet all the following general criteria : Article 1 ( a) It must aim at an adaptation or reorientation of the salt cod-fishing industry made 1 . In the context of joint projects for the necessary by the economic consequences structural improvement of non-industrial in­ of the implementation of the common policy shore fishing and of deep-sea fishing, and in for the fishing industry or designed to meet order to facilitate the structural conversion of the requirements of this policy. the salt cod-fishing fleet, the European Agri­ cultural Guidance and Guarantee Fund, (b) It must offer adequate guarantees of the Guidance Section, (hereinafter referred to as lasting economic effects of the structural 'the Fund'), shall participate in the financing improvement planned . of projects for the development of production, (c) It must ensure that the catch from the processing and marketing activities in this sector, equipment provided is marketed in such a in so far as such projects contribute to the way that all buyers in Member States have attainment of the objectives referred to in free access to it . Article 10 ( 1 ) of Regulation (EEC) No 2141 /70 .

2 . 'Salt cod-fishing fleet' shall mean deep-sea fishing vessels whose catch is salted directly Article 3 on board (the vessels having been commis­ sioned exclusively or substantially for that purpose) and when landed comes under Projects shall be eligible for aid from the Fund , heading No 03.02 of the Common Customs for the activities mentioned in Article 1 (3) (a), Tariff. only if they are implemented under a joint programme of investment by more than one 3 . 'Development of production, processing recipient which reduces the productive capacity and marketing activities ' shall mean the pro­ of the salt cod-fishing fleet and where the vision of equipment for: recipients are, or undertake to become, in respect of products obtained by means of (a) fishing by vessels fitted with apparatus for equipment financed by the Fund, members of deep-freezing on board, an organisation of producers of fishery products . (b) increasing the market-value of the catch They shall join this organisation at the latest by on board by filleting or any other method the time the equipment is put into operation. of preparation or processing which guar­ antees an outlet for the products in line with consumption trends in the Member States, Article 4 (c) increasing the market-value of fishery products by means of drying-plants affected Granting of the aid referred to in Article 1 by the decrease in the productive capacity shall be subject to submission by the applicant of the cod-fishing fleet as a result of the of an economic analysis of the project, giving joint action provided for in this Regulation. all the information required to show that the equipment for which aid from the Fund is 4 . 'Project' shall mean any public, semi­ requested has adequate capacity to ensure that public or private investment intended wholly the fishery products in question are produced, or partly to develop the activities referred to preserved, packaged or processed with maximum in paragraph 3 . productivity.

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Article 5 cod-fishing fleet to improve their qualifications with a view to the new tasks resulting from In order to be eligible for aid from the Fund, the implementation of measures for the re­ the vessels referred to in Article 1 (3) (a) must structuring of this sector, the Member States satisfy the following minimum technical re­ shall grant allowances for attending vocational quirements: training centres . (a) Trawlers must: 2 . The minimum conditions which the — have a gross tonnage of one thousand measures referred to in paragraph 1 must five hundred tons minimum; satisfy shall be adopted in accordance with the — be fitted with apparatus for deep-freez­ procedure laid down in Article 16 of this ing fish at a temperature of — 40 °C or Regulation. lower. (b) In the case of tunny-fishing vessels must:' TITLE II — have a gross tonnage of approximately 600 tons minimum; GENERAL AND FINANCIAL PROVISIONS — use the purse seine method of fishing; Article 9 — be fitted with electronic fish-detection apparatus ; The measures laid down in this Regulation shall — be fitted with refrigeration apparatus together constitute a common measure within either foe preserving fish in brine at the meaning of Article 6 ( 1 ) of Regulation (EEC) — 18 °C, or for deep-freezing at a No 729/70 . temperature of — 40 °C or lower.

Article 10 Article 6 1 . The time-scale for attaining the objectives In support of each request for aid, the Member State concerned shall submit to the Commission of the common measure shall be five years. an economic analysis demonstrating that for 2 . The total cost to be borne by the Fund in the project planned the amount of fishery respect of the common measure shall be 10-2 produce envisaged is reasonable in the context million units of account. of marketing possibilities at both national and Community level, and that this is not likely to change in the short or medium term . CHAPTER ONE

Article7¶

Article 11 The Member Szates shall take the necessary steps to ensure compliance with the provisions of Article 2 (c) and shall inform the Commis­ 1 . Aid from the Fund shall take the form of sion thereof. capital subsidies, granted as a lump sum or in instalments .

2 . For any given project: CHAPTER TWO — the capital subsidies granted by the Fund Measures for vocational training of workers affected shall not exceed 25% of the total invest­ by the structural conversion of the salt cod-fishing ment; industry — recipients of aid from the Fund must con­ tribute at least 50% of the total investment; Article 8 3 . The effect of aid from the fund shall not 1 . In order to enable fishermen working in be such as to distort the conditions of com­ the salt cod-fishing industry and persons petition in any way that is incompatible with employed in dry ing-plants directly affected by the principles laid down in the relevant pro­ the decrease in :he productive capacity of the visions of the Treaty.

34 Official Journal of the European Communities

4 . The Commission shall ensure that the by its Chairman, either on his own initiative or activities of the Fund do not conflict with at the request of a representative of a Member those of the European Investment Bank and State . those of the European Social Fund. 2 . The Commission representative shall sub­ mit a draft of the measures to be adopted. Article 12 The Committee shall deliver its Opinion on these measures within a time limit which the 1 . In order to qualify for aid from the Fund, Chairman may fix according to the urgency the project must have been approved by the of the matters submitted for consideration . Member State on whose territory it is to be An Opinion shall be adopted by a twelve vote carried out . majority, the votes of the Member States being weighted as laid down in Article 148 (2) of the 2 . The Member State on whose territory the Treaty. The Chairman shall not vote. project is to be carried out shall participate in financing the project. 3 . The Commission shall adopt measures which shall apply immediately. However, if Article 13 these measures are not in accordance with the Opinion of the Committee, they shall forthwith be communicated to the Council by the Com­ The recipients of aid from the Fund shall be mission . In that event the Commission may defer the natural or legal persons , or groups of persons application of the measures for not more than who are to be finally responsible for the cost one month from the date of such communi­ of carrying out the project. cation . Article 14 The Council, acting according to the voting procedure laid down in Article 43 (2) of the Treaty, may adopt a different decision within 1 . Applications for aid from the Fund shall one month . be submitted to the Commission at half-yearly intervals, by 1 July or by 1 January. The Commission shall reach a decision during the Article 17 six months following the closure date for applications . When funds cannot be allocated to a project because the resources available are not sufficient, 2 . Applications for aid from the Fund must applications to the Commission may be deferred be made through the Member State concerned. by the Member State concerned, with the agree­ ment of the applicants , until the following period 3 . All applications for aid from the Fund for applications . Applications for deferment must be accompanied by a written undertaking must be submitted to the Commission within from the applicant to respect the obligation thirty days of the date on which the Member laid down in Article 2 (c) of this Regulation. State is notified of the result of the decision referred to in Article 15 (2). Article 15

1 . The decision to grant aid from the Fund Article 18 shall be taken in accordance with the procedure laid down in Article 16. The Commission shall 1 . Aid from the Fund shall be channelled give its decision after consulting the Fund through bodies designated for this purpose by Committee on the financial aspects . the Member State concerned .

2 . The decision shall be communicated to 2 . The Member States shall inform the the Member State concerned and to the re­ Commission of cases of failure to respect the cipients . undertaking given under Article 14 (3). Article 16 Moreover, throughout the period for which aid is granted by the Fund, the authority or 1 . Where the procedure laid down in this body designated for the purpose by the Article is used, the matter shall be referred to Member State concerned shall submit to the the Standing Committee for the Fishing Industry Commission, at the latter's request, all sup­

Official Journal of the European Communities 35

porting documents , or any other documents 2 . Applications for the refund of expenses showing that th ^ financial or other conditions incurred by Member States in each calendar imposed in the case of each project are being year shall be presented to the Commission fulfilled . before 1 July of the following year.

The Commission may, when necessary , carry out inspection oi the spot.

CHAPTER THREE Article 19 General provisions

1 . Where a project which is the subject of Article 21 a decision to grant aid is not carried out as planned, or where certain conditions are not The provisions of this Regulation shall apply met, aid from the Fund may be suspended, to equipment referred to in Article 1 (3) (a) reduced or cancelled, following the procedure and whose construction was begun on or after laid down in Article 15, the Commission making 1 June 1971 on condition that it was not put its decision after consulting the Fund Com­ into service before the submission of appli­ mittee on the financial aspects. cations for aid . The Commission shall recover unwarranted payments . Article 22 2 . The decisicn of the Commission shall be notified to the Member State concerned and The procedure laid down in Regulation (EEC) to the recipients of the aid . No 729/70 shall be followed in deciding upon: — the information which must be given in the applications referred to in Articles 13 and 19, CHAPTER TWO and the form in which applications must be presented; Financial provisions relating to Title I Chapter II — the detailed rules of application of Articles Article 20 17 and 19 .

1 . The Fund shall repay to Member States Article 23 25% of the amo-ints actually disbursed under Article 7. The expenditure may amount to 1500 units of account per fisherman and/or This Regulation shall enter into force on the employee in the drying plants who has attended third day following its publication in the a full course of vocational training. Official Journal of the European Communities .

This Regulation shall be binding in its entirety and directly applicable in all Member States . Done at Brussels , 19 December 1972. For the Council The President

T. WESTERTERP