CHAPTER IINTRODUCTORY PROVISIONS

Article 1The common organisation of the market in dried fodder shall be established and cover the following products:

CN code		Description
(a)	ex12141000	Meal and pellets of lucerne artificially heat-dried
	ex12141000	Meal and pellets of lucerne otherwise dried and ground
	ex12149090	Lucerne, sainfoin, clover, lupins, vetches and similar fodder products, artificially heat-dried, except hay and fodder kale and products containing hay
	ex12149090	Lucerne, sainfoin, clover, lupins, vetches, honey lotus, chickling pea and birdsfoot, otherwise dried and ground
(b)	ex23099099	Protein concentrates obtained from lucerne juice and grass juice
(b)	ex23099099	Dehydrated products obtained exclusively from solid residues and juice resulting from preparation of the abovementioned concentrates

Article 2The marketing year for the products listed in Article 1 shall begin on 1 April and end on 31 March of the following year.

Article 3This Regulation shall apply without prejudice to the measures provided for by Council Regulation (EC) No 1782/2003.

CHAPTER IIAID

Article 41.Aid shall be granted for the products listed in Article 1.2.Without prejudice to Article 6, the aid shall be set at EUR 33/t.

Article 51.A maximum guaranteed quantity (MGQ) per marketing year of 4960723 tonnes of dehydrated and/or sun-dried fodder for which the aid provided for in Article 4(2) may be granted is hereby established.2.The maximum guaranteed quantity provided for in paragraph 1 shall be divided among the Member States as follows:

Guaranteed national quantities (tonnes)

Belgo-Luxembourg Economic Union (BLEU)	8000
Czech Republic	27942
Denmark	334000
Germany	421000
Greece	37500
Spain	1325000
France	1605000
Ireland	5000
Italy	685000
Lithuania	650
Hungary	49593
Netherlands	285000
Austria	4400
Poland	13538
Portugal	30000
Slovakia	13100
Finland	3000
Sweden	11000
United Kingdom	102000

Article 6Where during a marketing year the volume of dried fodder for which aid as provided for in Article 4(2) is claimed exceeds the maximum guaranteed quantity set out in Article 5(1), the aid shall be reduced in each Member State in which production exceeds the guaranteed national quantity by reducing expenditure as a function of the percentage of the sum of the overruns represented by the overrun of that Member State.The reduction shall be set, in accordance with the procedure referred to in Article 18(2), at a level ensuring that budget expenditure expressed in euro does not exceed that which would have been attained had the maximum guaranteed quantity not been exceeded.

Article 71.Processing undertakings who apply for aid under this Regulation shall be entitled to an advance payment of EUR 19,80 per tonne, or EUR 26,40 per tonne if they have lodged a security of EUR 6,60 per tonne.Member States shall make the necessary checks to verify entitlement to the aid. Once entitlement has been established the advance shall be paid.However, the advance may be paid before entitlement has been established provided the processor lodges a security equal to the amount of the advance plus 10 %. This security shall also serve as security for the purposes of the first subparagraph. It shall be reduced to the level specified in the first subparagraph as soon as entitlement to aid has been established and shall be released in full when the balance of the aid is paid.2.Before an advance can be paid the dried fodder must have left the processing undertaking.3.Where an advance has been paid, the balance amounting to the difference between the amount of the advance and the total aid due to the processing undertaking shall be paid subject to application of Article 6.4.Where the advance exceeds the total to which the processing undertaking is entitled following the application of Article 6, the processor shall reimburse the excess to the competent authority of the Member State on request.

Article 8At the latest by 31 May of each year, Member States shall notify the Commission of the quantities of dried fodder that in the previous marketing year were eligible for aid as provided for in Article 4(2).

Article 9The aid provided for in Article 4(2) shall be paid on application from the party concerned, in respect of dried fodder that has left the processing plant and meets the following requirements:(a)its maximum moisture content is from 11 % to 14 % which may vary depending on the presentation of the product;(b)its minimum total crude protein content in the dry matter not less than:(i)15 % for the products referred to in point (a) and the second indent of point (b) in Article 1;(ii)45 % for the products referred to in the first indent of point (b) in Article 1;(c)it is of sound and fair merchantable quality.Further requirements, in particular on carotene and fibre content, may be adopted in accordance with the procedure referred to in Article 18(2).

Article 10Aid as provided for in Article 4(2) shall only be granted to undertakings processing the products listed in Article 1 which comply with the following conditions:(a)they keep stock records containing at least the following information:(i)the quantities of green fodder and, where applicable, sun-dried fodder processed; however, where the particular circumstances of the undertaking so require, quantities may be estimated on the basis of areas sown;(ii)the quantities of dried fodder produced and the quantities, with their quality, that leave the processor;(b)they provide any other supporting documents needed for verifying entitlement to the aid;(c)they fall into at least one of the following categories:(i)processors who have concluded contracts with producers of fodder for drying;(ii)undertakings which have processed its own crop or, in the case of a group, that of its members;(iii)undertakings which have obtained their supplies from natural or legal persons providing certain guarantees to be determined and having concluded contracts with producers of fodder for drying; such buyers shall be approved, on terms defined in accordance with the procedure referred to in Article 18(2), by the competent authority of the Member State in which the fodder is harvested.

Article 11Undertakings processing their own crops or those of their members shall each year submit to the competent body of their Member State, before a date to be set, a declaration of the areas from which the fodder crop is to be processed.

Article 121.A contract as referred to in point (c) of Article 10 shall state not only the price to be paid to the grower of the green fodder or, if appropriate, sun-dried fodder but also at least the following:(a)the area from which the crop is to be delivered to the processor;(b)the delivery and payment terms.2.Where a contract as referred to in point (c)(i) of Article 10 is a special-order contract for processing of fodder delivered by a producer, it shall specify at least the area from which the crop is to be delivered and include a clause containing an obligation for the processing undertakings to pay the producer the aid as provided for in Article 4 and received for the quantity processed under the contract.

Article 131.Member States shall introduce inspection systems for verifying that each processing undertaking has complied with the following:(a)the conditions laid down in Articles 1 to 12;(b)the quantities covered by aid applications correspond to the quantities of dried fodder meeting the minimum quality that leave the processing undertakings.2.Dried fodder shall be weighed on leaving the processing plant and samples taken.3.Before adopting provisions for the application of paragraph 1, Member States shall notify such provisions to the Commission.

CHAPTER IIITRADE WITH THIRD COUNTRIES

Article 14Unless this Regulation provides otherwise, the Common Customs Tariff duty rates shall apply to the products listed in Article 1.

Article 151.The general rules for the interpretation of the Combined Nomenclature and the detailed rules for its application shall apply to the tariff classification of products listed in Article 1. The tariff nomenclature resulting from the application of this Regulation shall be incorporated in the Common Customs Tariff.2.Unless otherwise provided for in this Regulation or in provisions adopted pursuant thereto, the following shall be prohibited in trade with third countries:(a)the levying of any charge having equivalent effect to a customs duty;(b)the application of any quantitative restriction or measure having equivalent effect.

Article 161.If by reason of imports or exports the Community market in one or more of the products listed in Article 1 is affected by or threatened with serious disturbance likely to jeopardise the achievement of the objectives set out Article 33 of the Treaty, appropriate measures may be applied to trade with non-WTO member countries until such disturbance or threat of it ceases.2.If the situation referred to in paragraph 1 arises, the Commission shall at a request of a Member State or on its own initiative decide upon the necessary measures. The Member States shall be notified of such measures which shall be immediately applicable. If the Commission receives a request from a Member State, it shall take a decision thereon within three working days following receipt of the request.3.Measures decided by the Commission may be referred to the Council by any Member State within three working days of the day on which they were notified. The Council shall meet without delay. It may, acting by qualified majority, amend or repeal the measure in question within one month from the date on which it was referred to the Council.4.Provisions adopted under this Article shall be applied having regard to the obligations arising from agreements concluded in accordance with Article 300(2) of the Treaty.

CHAPTER IVGENERAL PROVISIONS

Article 17Unless this Regulation provides otherwise, Articles 87, 88 and 89 of the Treaty shall apply to production of and trade in the products listed in Article 1 of this Regulation.

Article 181.The Commission shall be assisted by the Management Committee for Cereals instituted by Article 25 of Council Regulation (EC) No 1784/2003 of 29 September 2003 on the common organisation of the market in cerealsSee page 78 of this Official Journal., hereinafter referred to as "the Committee".2.Where reference is made to this paragraph, Articles 4 and 7 of Decision 1999/468/EC shall apply.The period laid down in Article 4(3) of Decision 1999/468/EC shall be set at one month.3.The Committee shall adopt its Rules of Procedure.

Article 19The Committee may consider any question raised by its chairman, either on his own initiative or at the request of a representative of a Member State.

Article 20Detailed rules for the application for this Regulation shall be adopted in accordance with the procedure referred to in Article 18(2), in particular on:(a)granting of the aid provided for in Article 4 and the advance provided for in Article 7;(b)verification and establishment of entitlement to the aid, including any necessary controls, all of which may make use of certain elements of the integrated system;(c)release of the securities indicated in Article 7(1);(d)criteria for determining the quality standards referred to in Article 9;(e)conditions to be fulfilled by the undertakings as set out in point (c)(ii) in Article 10 and Article 11;(f)control measure to be carried out referred to in Article 13(2);(g)criteria to be fulfilled for the conclusion of contracts as referred to in Article 10 and information which they must contain, in addition to the criteria laid down in Article 12;(h)application of the maximum guaranteed quantity (MGQ) as referred to in Article 5(1).

Article 21Transitional measures may be adopted in accordance with the procedure referred to in Article 18(2).

Article 22Member States shall notify the Commission of the measures they take in order to apply this Regulation.

Article 23Before 30 September 2008 the Commission shall, on the basis of an evaluation of the common market organisation for dried fodder, present a report to the Council on this sector dealing in particular with the development of areas of leguminous and other green fodder, the production of dried fodder and the savings of fossil fuels achieved. The report shall be accompanied, if needed, by appropriate proposals.

Article 24Regulation (EC) No 1258/1999 and the provisions adopted in implementation thereof shall apply to the expenditure incurred by the Member States in carrying out obligations under this Regulation.

Article 25Regulation (EC) No 603/95 is hereby repealed.References made to the repealed Regulation shall be construed as references to this Regulation and shall be read in accordance with the correlation table in Annex.

Article 26This Regulation shall enter into force on the seventh day following that of its publication in the Official Journal of the European Union.It shall apply from 1 April 2005.

This Regulation shall be binding in its entirety and directly applicable in all Member States.ANNEXCORRELATION TABLE

Regulation (EC) No 603/95	This Regulation
Article 1	Article 1
Article 2	Article 2
—	Article 3
Article 3	Article 4
Article 4	Article 5
Article 5	Article 6
Article 6	Article 7
Article 7	Article 8
Article 8	Article 9
Article 9	Article 10
Article 10	Article 11
Article 11	Article 12
Article 12	Article 13
Article 13	Article 14
Article 14	Article 15
Article 15	Article 16
Article 16	Article 17
Article 17(1)—(4)	Article 18
Article 17(5)	Article 19
Article 18(a)	Article 20
Article 18(b)	Article 21
Article 19	Article 22
Article 20	Article 24
Article 21	Article 25

Council Regulation (EC) No 1786/2003 of 29 September 2003 on the common organisation of the market in dried fodder