The difficult situation in the European and Spanish dairy sector, as a result of the confluence of a number of factors that have led to a major market imbalance and a prolonged fall in prices. The European Commission, as well as the Ministry of Agriculture, Food and the Environment, has encouraged producers to articulate numerous measures to support the sector, with short, medium and long-term effects. These measures include the granting of direct aid to dairy farmers in order to provide them with short-term liquidity so that their holdings can continue their activities as long as the rest of the measures have effects and prices on the markets are beginning to recover.

With this objective, the Commission, by Commission Delegated Regulation (EU) 2015/1853 of 15 October 2015 establishing exceptional temporary aid for producers in the livestock sectors, has put forward at the disposal of the Member States a total of EUR 420 million, of which EUR 25,526,629 corresponds to Spain.

Article 2 of the Regulation allows Member States to grant additional aid to those granted in the field of Community aid. Spain decided to make use of the above possibility by means of Royal Decree 849/2015 of 28 September 2015 laying down the regulatory rules for the direct granting of de minimis aid to compensate for the economic difficulties in the milk sector, for which it has already provided a sum of EUR 20 million from the full national funding.

In this way, a total of EUR 45,526,629 has been provided for cash-strapped liquidity support for dairy farms, plus the two tranches.

As a whole, the liquidity aid is directed to the cattlemen who have made deliveries during the months of April, May, June and July 2015, and is thus articulated, as has been stated, in two tranches: a basic tranche, to be collected for all holdings consisting of one aid per kg, equal to all, in proportion to the deliveries declared to the Spanish Agricultural Guarantee Fund during the months and an additional, additional tranche for the producers in one more precarious situation.

It is the complementary stretch that was set up early by the Government of the Nation, aimed at cattle ranchers whose settlements during each of the months of April, May, June, and July have been located below a few. Previously established profitability thresholds, by means of Royal Decree 849/2015 of 28 September, for reasons of urgency to ensure the availability of the financial envelope from the national budget.

In this way, all dairy farmers are going to receive a liquidity aid that will allow them to cushion the effects of the price crisis in recent months. The direct grant of such aid is foreseen, since, in accordance with Article 22.2.c) of Law 38/2003, of 17 November, General of Grants, there are reasons of social and economic interest, for the reasons already exposed.

Given the urgency of taking measures to address the situation described above and the principle of administrative simplification and reduction of charges, the aid is granted on its own initiative. The basic tranche of the aid will be paid in addition to the direct aid of the CAP, to all beneficiaries who have submitted the single application in 2015, provided for under Royal Decree 1075/2014 of 19 December 2014 on the application to from 2015 onwards of direct payments to agriculture and livestock and other aid schemes, except in the case of holdings located in the autonomous community of the Canary Islands, for which it is envisaged that the same may be established by the corresponding procedure.

In this way, being a single aid, it is appropriate to repeal Royal Decree 849/2015 of 28 September in order to integrate the two tranches of that aid into this new regulation. The supplementary tranche will be applied retroactively from 30 September 2015, in which Royal Decree 849/2015 of 28 September entered into force, since the only change in operation is the abolition of the "de minimis" character of the aid, which is more beneficial while clarifying that the aid is not isolated but rather than the additional tranche of the single aid.

In its virtue, on the proposal of the Minister of Agriculture, Food and Environment, prior to the report of the Minister of Finance and Public Administrations and after deliberation of the Council of Ministers at its meeting of the 27th of November 2015,

DISPONGO:

Article 1. Purpose, purpose and amount.

1. The purpose of this royal decree is to lay down the rules governing the direct granting of exceptional liquidity aid in order to alleviate the economic consequences resulting from market disturbances on the producers of cow's milk.

2. The maximum amount to be granted in this aid shall be EUR 45,526,629, which shall be divided into two instalments:

(a) A basic tranche, with a maximum funding of EUR 25,526,629.

b) A complementary tranche, with a maximum funding of EUR 20,000,000.

Article 2. Beneficiaries.

1.It will be beneficiaries of this aid for dairy farmers, who do not submit express waiver, provided that:

(a) Be holders, as of 1 October 2015, of holdings registered in the general register of livestock holdings (REGA) with the holding type "Production and reproduction". At the sub-farm level they shall be classified as bovine holdings with a zootechnical classification of 'reproduction for milk production' or 'reproduction for mixed production'.

(b) Be aware of their tax and social security obligations, and do not have any obligation to return to public subsidies.

2. In order to receive the basic tranche of the aid, the beneficiaries must also:

(a) Haber submitted in 2015 the single application provided for in Royal Decree 1075/2014 of 19 December 2014 on the application from 2015 of direct payments to agriculture and livestock and other aid schemes. This requirement shall not apply to producers whose holdings are located within the territorial scope of the autonomous community of the Canary Islands.

b) Haber made deliveries of milk to first buyers for one month within the period of April, May, June and July 2015.

3. In order to receive the additional tranche of the aid, the beneficiaries will have to meet the following additional requirements:

(a) Not having reached during the months of April, May, June and July 2015, some of the determined profitability thresholds to be calculated in accordance with Article 4.

b) Hayan made milk deliveries to first buyers during the months of April, May, June and July 2015.

4. Livestock farmers in which one of the circumstances referred to in Article 13 (2) and (3) of Law 38/2003 of 17 November, General Grant, shall not be eligible for the grant shall not be eligible.

Article 3. Basic tranche.

1. The amount of the basic tranche of the aid:

(a) consist of a single payment, amounting to EUR 0,0107 for each kg of milk delivered by the beneficiaries in the months of April, May, June and July 2015, on the basis of the data declared by the buyers and workers in the Unified Dairy Information System (INFOLAC).

(b) It shall be limited to a maximum amount of EUR 50,000 per beneficiary.

(c) No aid shall be granted to farmers whose corresponding amount for this tranche is less than EUR 100.

Where the amount of this tranche exceeds the amount referred to in Article 1 (2) (a), the proportion shall be apportioned among the beneficiaries of this tranche of the aid.

2. The aid shall be granted directly, without application, to all the beneficiaries referred to in Article 2 (1), who do not give up the aid.

The competent authorities of the Autonomous Communities shall inform the beneficiaries of the amount of the basic tranche of the aid, in accordance with the information on deliveries provided by the FEGA, after verifying that they are holders of holdings registered in the REGA, in accordance with Article 2 (1) (a).

3. The paying agencies of the autonomous communities shall pay the basic tranche of the aid together with the payment for 2015 of those provided for in Royal Decree 1075/2014 of 19 December 2014 in the current account entered by the Commission. producer for the payment of the single request.

4. Where the recipient does not express his waiver of the basic tranche of the aid within 10 days of the entry into force of this provision, the aid shall be deemed to have been accepted.

The producer wishing to give up the basic tranche of the aid shall do so by writing to the competent authority of the paying agency of the autonomous community in which he submitted the single application in the year 2015, within the ten-day period, through any of the places laid down in Article 38.4 of Law No 30/1992 of 26 November 1992. The waiver may also be submitted by electronic means in application of Law 11/2007, of 22 June, of electronic access of citizens to Public Services.

Article 4. Profitability thresholds for the supplementary tranche.

1. The profitability thresholds shall be set by the determination of an amount corresponding to the balance point for the beneficial profit or profit on the basis of the holding account, as appropriate in each case.

2. The first threshold is calculated as the amount necessary to achieve an effective profit, without taking into account the non-effective costs and the opportunity costs, according to the latest data available in the Benefits and Cost Analysis Bulletins (http://www.magrama.gob.es/es/ganaderia/temas/produccion-and-markets-ganaders/sectors-ganaders/network-of-farms-tipps/bovet/lechero/) relating to the three typical dairy farms of the National Network of Typical Farms (RENGRATI).

3. The second threshold is calculated as the amount necessary to achieve a profit on the basis of the operating account, i.e. the actual benefit minus the non-effective costs (depreciation costs, +/-changes in animal inventory and +/-earnings) and/or capital losses) and without taking into account the cost of the opportunity, according to the latest available data, also in the profit analysis and production costs reports prepared by the MAGRAMA (http://www.magrama.gob.es/es/ganaderia/temas/produccion-and-markets-ganaders/sectors-ganaders/network-of-farms-tips/bovet/milkero/) relating to the three typical dairy farms of the National Network of Typical Farms (RENGRATI).

4. The profitability thresholds applicable to this aid will be published on the website of the Ministry of Agriculture, Food and the Environment.

Article 5. Animals eligible for the supplementary tranche.

1. The supplementary tranche of the aid shall consist of a single payment, and shall be granted per eligible animal.

2. Female animals of the bovine species of milk fitness belonging to one of the breeds listed in Annex XIII to Royal Decree 1075/2014 of 19 December 2014 on the application from 2015 of direct payments shall be eligible animals. agriculture and livestock farming and other aid schemes, as well as on the management and control of direct payments and payments to rural development, or those races which the competent authority in the field determines as being eminently dairy, aged 24 months or more on 1 October 2015, and who are enrolled in the General Register of Individual Identification of Animals (RIIA), as set out in Royal Decree 728/2007 of 13 June, on that date.

Without prejudice to the above, for the purposes of determining the eligibility of animals, animals located in temporary movements to pasture, trade fairs and markets shall be taken into account, provided that they have been properly notified to the Comprehensive Animal Traceability System (STRAN).

3. In order to determine the eligible animals, the competent authority shall make a check of the animals present on the receiving holding on 1 October 2015 through the said register.

Article 6. Amount of supplementary tranche.

1. A single amount of EUR 300 per eligible animal is established for holdings below the threshold referred to in Article 4 (2) and EUR 110 for holdings below the threshold of the threshold laid down in Article 4 (1) of Regulation (EC) No 74/2001. threshold referred to in Article 4 (3

.

2. The maximum amount per holding shall be EUR 10,000.

3. Where the amount of this tranche exceeds the amount referred to in Article 1 (2) (b), exceeds the budgetary availability, the proportion shall be apportioned among the beneficiaries of this tranche.

Article 7. Instruction, resolution and payment of the supplementary tranche.

1. The instruction in the procedure shall be carried out by the Directorate-General for Agricultural Productions and Markets, which, after verifying the requirements laid down in Article 2, shall make a proposal for a provisional resolution, which shall be published in the website of the Ministry of Agriculture, Food and Environment, granting the beneficiaries a period of ten days for:

a) Submit allegations.

b) Register your bank details, in a web link enabled for this purpose, to make the payment at the time.

c) Submit an express authorization to the Ministry of Agriculture, Food and the Environment, so that it directly collects the documentation relating to compliance with the tax and social security obligations, or, in its defect, to provide the corresponding certificates.

2. The instructor body shall raise the final proposal for a final decision to the President of the Spanish Agricultural Guarantee Fund of the Ministry of Agriculture, Food and the Environment, which shall decide on the granting of the additional tranche of the aid.

The deadline for resolving and publishing the resolution will be three months from the date of effect of this royal decree.

The grant resolution will be published in the "Official State Gazette", and against it, which will not end the administrative route, will bring an appeal to the Minister of Agriculture, Food and the Environment. Environment, within a maximum of one month from publication.

3. The payment of the aid shall be made by the FEGA, within the maximum period of one month from the publication in the 'Official State Gazette' of the decision granting the aid, in the current account entered by the producer.

Article 8. Acceptance and waiver of the supplementary tranche of the aid.

1. Where the recipient does not express his or her waiver of the decision to grant the supplementary tranche of the aid within ten days of the publication in the Official Gazette of the State of the aid, it shall be deemed to have been accepted.

2. The producer wishing to give up this tranche of aid will do so by writing to the President of the Spanish Agricultural Guarantee Fund, which will be presented in the General Register of the Ministry of Agriculture, Food and the Environment, or through any of the places set out in Article 38.4 of Law 30/1992 of 26 November. The waiver may also be submitted by electronic means in application of Law 11/2007, of 22 June, of electronic access of citizens to Public Services.

Article 9. Funding.

1. The European Union will finance the aid provided for in this royal decree, amounting to EUR 25,526,629.

2. The Ministry of Agriculture, Food and the Environment will provide additional funding for the aid provided for in this royal decree, amounting to a maximum of EUR 20,000,000, from the appropriation provided for in the budgetary implementation. 23.114.412-M. 472 of the current General Budget of the State.

Article 10. Incompatibility.

The aid provided for in this royal decree shall be incompatible with any other aid which, for the same purpose, may be granted by other public or private, national or international authorities.

Article 11. Refit.

The recovery of the amounts received and the requirement of the corresponding delay interest from the moment of payment of the subsidy until the date on which the origin of the refund is agreed, in the case of any of the cases provided for in Article 37 of Law 38/2003 of 17 November.

Single additional disposition. Procedure of the basic section in the autonomous community of the Canary Islands.

In the case of producers whose holdings are located within the territorial scope of the autonomous community of the Canary Islands, the latter may establish the appropriate procedure for the granting and payment of the basic tranche of the (a) the aid provided for in this royal decree, as well as, where appropriate, provide for the replacement requirement laid down in Article 2 (1) (c).

Single transient arrangement. Actions taken.

In accordance with the provisions of the Third Final Disposition, the actions carried out pursuant to Royal Decree 849/2015 of 28 September shall be maintained.

Single repeal provision. Regulatory repeal.

Royal Decree 849/2015 of 28 September 2015 laying down the regulatory rules for the direct granting of de minimis aid to compensate for economic difficulties in the milk sector is hereby repealed.

Final disposition first. Implementing rules.

In all that is not foreseen in this royal decree, the provisions of Law 38/2003, of 17 November, and in its Rules of Procedure, approved by Royal Decree 887/2006, of July 21, and in Regulation (EU) No 1408/2013, of the Commission, of 18 December 2013.

Final disposition second. Competence title.

This royal decree is dictated by the exclusive competence in terms of bases and coordination of the general planning of economic activity, which corresponds to the State in accordance with Article 149.1.13. Spanish.

Final disposition third. Entry into force and application.

This royal decree shall enter into force on the day following that of its publication in the "Official Gazette of the State", with effect, for the supplementary tranche of the aid, from 30 September 2015.

Given in Madrid, on November 27, 2015.

FELIPE R.

The Minister of Agriculture, Food and the Environment,

ISABEL GARCÍA TEJERINA