Council Regulation (EEC) No 2075/1992 of 30 June 1992 establishing the Common Organisation of the Market (COM) in the raw tobacco sector lays down a system of premiums, a system for the control of production, measures for the (a) production orientation, a regime of trade with third countries and control measures. Council Regulation (EC) No 1636/1998 of 20 July substantially reforming the common organisation of the markets in the raw tobacco sector in order to promote the improvement of the quality and value of Community production in the sector, at the same time ensuring the income support of producers.

Regulation (EC) No 546/2002 of 25 March 2002 laying down, by groups of varieties and by Member States, the premiums and guarantee thresholds for leaf tobacco for the 2002, 2003 and 2004 harvests and amending the Regulation (EEC) No 2075/1992 contains, as one of the amendments mentioned above, the possibility of setting up a national quota reserve for each Member State, which is compulsory.

Commission Regulation (EC) No 2848/98 of 22 December 1998 laying down detailed rules for the application of Council Regulation (EEC) No 2075/1992 as regards the premium scheme, the production quotas and the Specific aid granted to producer groups in the raw tobacco sector has been amended by Commission Regulation (EC) No 1441/2001 of 16 July 2001 determining the amount to be paid to producers whose quotas are readwanted for the 2001 and subsequent harvest. Regulation (EC) No 486/2002 of 18 March 2002 amending Regulation (EC) No 2848/98 as regards the establishment of certain deadlines in the raw tobacco sector for the 2002 harvest.

The premium comprises a fixed part, a variable part and a specific aid. The ratio between the variable part and the premium may vary according to the groups of tobacco varieties, the harvest and the Member States of production. The fixed part of the premium must be paid to all producers for the quantity of leaf tobacco delivered to the first processing company, in accordance with the contract concluded, irrespective of the quality of the product, provided that it is respect the minimum quality. In order to promote the improvement of the quality and value of tobacco production, producer groups are established to pay the variable part of the premium to their members by comparing the market price in the pool. obtained for each batch delivered by each individual producer member of the pool.

The producer groups receive the specific aid equivalent to 2 per 100 of the premium, which must be used not only to carry out correctly the new management tasks incumbent on them, but also to finance measures aimed at improving respect for the environment, to the effect that new conditions have been defined so that producer groups can be recognised. Furthermore, in order to ensure that public health requirements and respect for the environment are taken into account, the allocation of the tobacco fund has been increased by a retention equivalent to 2 per 100 of the premium for the 2002 harvest and 3 per 100 of the premium for the 2003 harvest, all in accordance with the provisions of Regulation (EC) 546/2002.

in order to avoid exceeding the guarantee thresholds allocated to Spain, which is fixed by the Council for three consecutive harvests, the distribution of tobacco production quotas among producers will be carried out by the Ministry of Agriculture. Agriculture, Fisheries and Food, which will make it possible to make full use of the resources made available to the Member States when the quotas of producers are not used on the date fixed for their procurement, and when they are not distributed initially the whole of the quotas. Also, where the market situation so requires, the Ministry of Agriculture, Fisheries and Food, in accordance with the Autonomous Communities, may propose to the Commission the amendment of the guarantee thresholds for a given harvest, by the transfer of amounts from the guarantee threshold for one group of varieties to another, by verifying that no additional expenditure is incurred by the EAGGF. Also, the threshold quantities applicable to the harvest may be higher than those fixed for the previous harvest for certain groups of varieties, and lower for other groups; therefore, the Ministry of Agriculture, Fisheries and Power to distribute the additional quantities to the producers concerned.

According to the option granted to the Member States, by Regulation (EC) 546/2002, as regards the creation of a national quota reserve, it is not considered appropriate to maintain it at the current juncture. The experience gained in its implementation during the last three harvests has led to an administrative complexity that is superior to the advantages it reports.

In order to improve production structures, the transmission and transfer of production quotas between producers has been made more flexible. A system of quota repurchasing is established to which producers who wish to leave the sector and who do not find a buyer for their quotas will be eligible.

A procedure for the recognition of the first processing companies that can sign cultivation contracts is contemplated, when participating in the determination of the purchase price of the delivered tobacco and therefore, play a key role in the calculation of the premium to be paid to each individual producer.

Royal Decree 604/1999 of 16 April 1999 laying down the rules for the regulation of the raw tobacco sector for the 1999-2001 triennium, supplemented the Community rules in the sector for three harvests consecutive.

Terminated the validity of that rule, it is considered appropriate to the publication of another that replaces it, this time of an indefinite nature, having regard, on the one hand, that the existence of that has been considered positive in order a greater understanding of the regulation of the sector by the parties concerned and, secondly, the legal uncertainty which would result in the absence of a provision of internal law in the field, having existed for three years.

Thus, this provision contains, in large part, the contents of Royal Decree 604/1999, which are not other than those laid down by the applicable Community legislation and to which it has been mentioned in the preceding paragraphs, incorporating the new developments identified by the European legislation which appeared after the publication of the said Royal Decree 604/1999, as well as systematizing, for reasons of effectiveness, certain aspects of the latter, particularly in concerning the quota allocations and their possible modifications. This is without prejudice to the principle of direct applicability of the Community regulations.

This Royal Decree has been consulted in the project phase with the sectors concerned and with the Autonomous Communities.

In its virtue, on the proposal of the Minister of Agriculture, Fisheries and Food, prior to the report of the Ministry of Public Administrations, in agreement with the State Council and after deliberation of the Council of Ministers at its meeting on 12 July 2002,

D I S P O N G O:

Article 1. Object.

The purpose of this Royal Decree is to lay down the basic rules applicable in the tobacco sector with regard to the system of production quotas (hereinafter referred to as quotas), premiums and specific aid granted to the producer groups.

Also, the conditions to be met by the groupings and the first processing companies to be authorized are defined.

CHAPTER I

Tobacco Production Quotas

Article 2. Determination of quotas.

1. The Ministry of Agriculture, Fisheries and Food, within the limit of the guarantee thresholds laid down in accordance with Article 9 (2) of Council Regulation (EEC) No 2075/1992 of 30 June 1992 establishing the Common organization of the market in raw tobacco, shall distribute the quotas corresponding to each group of varieties for three consecutive harvests, to individual producers who are not members of a group and to the groups of producers, in proportion to the average of the quantities delivered to the first processing (hereinafter referred to as deliveries) by each individual producer or producer group during the three years preceding the year of the last harvest (reference period) in accordance with the provisions of Title II of the Regulation (EEC) Regulation (EC) No 2075/1992 and Title V of Regulation (EC) No 2848/98.

When a producer joins or leaves a producer group, it will retain the right to its own quota.

2. Where a producer transmits or has transmitted its holding to another producer, in whole or in part, including the quota of a group of varieties, in some of the harvests of a three-year period, the deliveries of the varieties shall also be considered as crops corresponding to that pre-transmission quota, which shall be cumulated with those of the acquiring producer. In the partial quota transmissions of a group of varieties, the proportionality between the quota and the deliveries transmitted in respect of the entire quota and deliveries of the producer must be respected.

3. Where an individual producer provides proof that his production was abnormally low during a harvest of his reference period, due to exceptional circumstances, the Ministry of Agriculture, Fisheries and Food shall determine, application by the person concerned, submitted to the competent authority of the Autonomous Community before 31 July of the following harvest, of the quantity to be taken into consideration in that harvest in order to draw up the quota certificate. That quantity shall not exceed the quantities shown in the quota certificates allocated to the producer for the harvest in question.

The competent authority of the Autonomous Community concerned shall send to the Ministry of Agriculture, Fisheries and Food before 31 October of the following harvest the data relating to the quantities to be recognised. corresponding to the previous harvest, in computer support containing the records of the same.

4. Producers whose quota has increased because of a temporary disposal, as defined in Article 11 (2) (a) of this Royal Decree, in one of the harvests of a three-year period, shall obtain, when the quotas are distributed, a production quota (a) the average of the quantities delivered, without considering, for the purpose of deliveries of that harvest, the production deliveries corresponding to the temporary disposal.

When the increase is due to a final disposal, as defined in Article 11.2.b) of this provision, in any of the harvests of a three-year period, a quota shall be obtained when the quotas are distributed proportional to the average of the quantities delivered, including for the purposes of quantities delivered, the production deliveries corresponding to the final disposal.

5. Within each three-year period, the Ministry of Agriculture, Fisheries and Food shall determine each year the quotas for producers, groups of varieties, taking into account the quota movements between producers approved in the previous year, any changes to the quotas for legally intended reductions or for administrative or judicial decisions, as well as the quantities from production quotas not used for the conclusion of contracts.

Article 3. Quota allocations.

1. Producers who have tobacco deliveries recognised in all or some of the harvests of the reference period, and have not transmitted all their quotas before the date set out in the following paragraph, shall be entitled to: to request, on its own or through its groupings, the initial allocation of quota for each three-year period, as well as the initial allocation of quotas for the three-year period for the second and third year of the three-year period.

2. Annual applications for quota allocations to the Ministry of Agriculture, Fisheries and Food shall contain at least the data set out in Annex 1 and shall be submitted to the body before 10 January of the year of the harvest. the competent authority of the Autonomous Community concerned or any other of the channels provided for in Article 38 of Law No 30/1992 of 26 November 1992 on the Legal Regime of Public Administrations and the Common Administrative Procedure. The producer group applying for quota allocations shall provide a list of names of its member producers.

3. The competent authority of the Autonomous Community shall forward to the Ministry of Agriculture, Fisheries and Food within a period of 15 calendar days following its submission, the corresponding proposal for the resolution of applications, together with copy of the computer media that contains the records of the same.

4. In the light of the proposal referred to above, the Ministry of Agriculture, Fisheries and Food shall give the decisions referred to in paragraphs 5 and 6 of this Article and notify them to the parties concerned, in accordance with Articles 58 and 58. 59 of Law 30/1992.

5. Initial allocation of quota for each three-year period: The Ministry of Agriculture, Fisheries and Food, in accordance with Article 2 of this Royal Decree, shall issue a decision on the allocation of quotas in the first year of the three-year period, by group of varieties, for each three-year period, to producer groups, with an indication of the individual quotas of their member producers, and to individual producers not affiliated to a producer group, which shall be duly notified. to those concerned. The Ministry of Agriculture, Fisheries and Food shall attach a computer medium containing the information of each individual producer affected by the decisions given.

6. Initial quota allocation for the three-year period for the second and third year of the three-year period:

The Ministry of Agriculture, Fisheries and Food, in accordance with Article 2 (5) of this Royal Decree, will issue a quota allocation resolution in the second and third years of each three-year period, per group of varieties, producer groups and individual producers not affiliated to a producer group, which shall be duly notified to the parties concerned. The Ministry of Agriculture, Fisheries and Food shall attach a computer medium containing the information of each individual producer affected by the decisions given.

Article 4. Amendment of quota allocations.

1. The Ministry of Agriculture, Fisheries and Food may amend the initial allocation of quotas for each three-year period, and the initial allocation of quotas for the three-year period for the second and third year of the three-year period, in the following cases:

(a) As a result of the power granted to producer groups by the existing legislation, to distribute the allocated quota differently, in order to improve the distribution of production, according to Article 5.5 of this Royal Decree.

(b) As a result of the annual movements of shares communicated or authorized, in accordance with the provisions of Chapter III of this Standard.

(c) As a result of annual modifications of the guarantee threshold for each group of varieties, in accordance with the provisions of Chapter II of this Royal Decree.

2. The Ministry of Agriculture, Fisheries and Food shall, in accordance with paragraph 1, give a decision to amend the quota allocated, by group of varieties, for the procurement of each crop, to the producers and individual producers not affiliated to a producer group, which will be duly notified to the parties concerned. The Ministry of Agriculture, Fisheries and Food shall attach a computer medium containing the information of each individual producer affected by the decisions given.

Article 5. Issue of quota certificates to members of producer groups.

1. Where the decisions on allocation or change of quota per group of varieties, in any of the situations referred to in the preceding Article, are carried out by a recognised producer group, the producer group shall communicate to each member of the same quota, in accordance with the corresponding resolution issued by the Ministry of Agriculture, Fisheries and Food.

2. The communication of the quota, for each producer member of the producer group, shall be made by the issue of the corresponding quota certificate, which shall contain at least the data set out in Annexes 2A, 2B and 2C. the provisions of Chapter I of Title V of Regulation (EC) No 2848/98.

3. Producer groups shall issue to each individual producer member, signed by the relevant organ of the group, the different production quota certificates referred to in the previous point, by group of varieties, in a unique original document indicating the name, tax identification number and address of the group, as well as the identifying data of the individual producer: name and surname or social reason, number or tax identification code, domicile, local term of cultivation, deliveries of the reference period, if any, and quota allocated. These certificates shall be delivered to the persons concerned within 10 calendar days from the date of the corresponding notification of the allocation of the quota to the group.

4. Producer groups shall communicate to the competent authority of the Autonomous Community concerned within five calendar days from the end of the period of notification of the corresponding certificates of quota to the individual producers in the group, the supporting documents showing that the individual producers have received the notification of their corresponding quota certificates.

5. Where a producer group receives the initial quota allocation decisions referred to in Article 3 (5) and (6) of this Royal Decree, the latter may carry out a different distribution in order to improve the organization of the production, with the agreement of all the members of the group.

The competent authority of the Autonomous Community shall propose to the Ministry of Agriculture, Fisheries and Food the exact data of quotas and reference deliveries of the distribution carried out, which shall comply with the provisions of the Article 2 (1), (2), (3) and (4) of this Royal Decree, and shall transmit a copy of the agreement referred to above, as well as a copy of the computerised support containing the records thereof, within 20 calendar days, date of notification of the allocation of quota to the pool.

On the basis of the request made, and carrying out the appropriate checks, the Ministry of Agriculture, Fisheries and Food will issue a decision to amend quotas for the three-year period within 10 days. natural, counted from the date of receipt of the proposal of the new distribution. For the communication to the producers of the new distribution of quotas and deliveries of references, the provisions of the preceding paragraphs shall be included.

CHAPTER II

Annual Warranty Threshold Changes

Article 6. Transfer of amounts from the guarantee threshold for one group of varieties to another.

1. In accordance with Article 9 (4) of Regulation (EEC) No 2075/1992, the Ministry of Agriculture, Fisheries and Food shall, where appropriate, propose through the course of the European Commission, for the purposes of its authorization, transfers of the guarantee threshold between groups of varieties for each harvest. This proposal will be carried out on the basis of market conditions and after consultation by the Ministry of Agriculture, Fisheries and Food to producers, agricultural producer organisations and first processing companies. as regards the need for the transfer of quantities between groups of varieties and their quantification. The transfers shall be carried out on the basis of objective and published criteria laid down by the Ministry of Agriculture, Fisheries and Food, taking into account the opinion of the interbranch organisations, and the principle of budgetary neutrality by applying, where appropriate, weightings to the kilograms transmitted.

2. Applications for transfers of quantities by producer groups and individual producers shall be submitted to the competent authority of the Autonomous Community concerned before 1 April of the year of the year for each harvest. harvest, with the expression of the quantities for which the transfer of a group is requested to another group of varieties, and shall contain at least the data listed in Annex 3 and the original of the decision or quota certificate shall be attached from the producer. The competent authority of the Autonomous Community shall forward to the Ministry of Agriculture, Fisheries and Food within a period of 15 calendar days, from its presentation, the corresponding proposal for the resolution of applications, together with the copy of the computer media containing the records of the same.

CHAPTER III

Production Quota Movements

Article 7. Communication or request, resolution and notification of quota movements.

1. Where, by virtue of the provisions of Community legislation, their quotas are transferred, unified, exchanged or transferred, with their corresponding reference deliveries, the producers, with the indication, where appropriate, of the group of producers from which they are members, shall communicate or request this movement, in writing addressed to the Ministry of Agriculture, Fisheries and Food, containing at least the data set out in the Annexes to this Royal Decree, before 21 March of the year of the harvest, which shall be submitted to the competent authority of the Autonomous Community in which the holding, or most of the holding, of the producer which transmits its quota, together with the documentation specified in this Royal Decree for each case.

2. The competent authority of the Autonomous Community concerned shall send to the Ministry of Agriculture, Fisheries and Food before 21 April of the year of the harvest, and once the required documentation has been verified, a proposal for a a resolution accompanied by the originals of the communication or application files ordered by type of movement and grouping of producers of the transmission, together with a copy of the computer support containing the records of the same.

3. In any event, the ownership of the quota to be transmitted must be credited, together with the original of the allocation resolution or the quota certificate for the triennium of the group of varieties. Where more than one movement of the quota is requested, of a group of varieties of the transmitte, it shall be indicated in which case the original of the quota is made, accompanied by the other copies of the original.

4. Each year, the Ministry of Agriculture, Fisheries and Food shall issue a decision amending the quota for the three-year period resulting from the quota movements authorised in each harvest by group of varieties to producer groups. and to individual producers not affiliated to a producer group, which shall be duly notified to the parties concerned.

The Ministry of Agriculture, Fisheries and Food shall attach a computer support containing the information of each individual producer affected by the decisions given.

5. Partial quota transmissions for a group of varieties shall be authorised only where the resulting quota, for the transmission and for the acquirer, is at least 500 kilograms.

Article 8. Transfer of production of tobacco production.

A tobacco production operation may be transferred to a third party, whether for consideration or free of charge, in whole or in part, regardless of the transfer mode, with its corresponding production quota entitlement, in accordance with Article 31 (1), (2) and (3) of Regulation (EC) No 2848/98. Except in the case of "mortis causa" transmissions, the new producer shall obtain the right to the production quota certificate provided that his application for transfer has been submitted before 21 March of the year of the harvest to the body. competent authority of the Autonomous Community. In any event, the transfer of the holding must be credited. The competent bodies of the Autonomous Communities and the Ministry of Agriculture, Fisheries and Food may request the documentation they consider necessary in each transfer mode.

The application shall be submitted to the competent authority of the Autonomous Community and shall contain at least the data set out in Annex 4A and the following documentation:

a) Communication or request for the transfer by the holder of the quota, indicating the quantity and group of varieties transferred, as well as the identifying data of the comparatives: the number or the tax identification code, name, address, identification of the holding and identification of the producer group of the transferor and the acquirer of the quota.

(b) Original of the allocation resolution or the quota certificate of the transmission for the triennium of the group of varieties to be transferred.

(c) Fehaciente accreditation of the transfer of ownership of the holding by public deed, or of the lease by means of the corresponding contract, as well as a document proving to have practiced self-settlement the tax on capital transfers and documented legal acts, which shall affect a surface suitable for the cultivation of tobacco and sufficient for the production of the transferred quota. The aforementioned accreditation shall reflect the cadastral reference of the parcel or parcels that are the object of the transaction and specify that the farm transfers the quota and its corresponding reference deliveries, except for contractual provisions contrary. In cases where the surface area of the transfer occupies only a part of the cadastral parcel, a sketch shall be accompanied where the portion transferred for this purpose is reflected.

(d) In the case of a lease, the transfer shall last at most for the duration of the lease, with no effect at the request of the party, upon full accreditation of the termination of the lease, presenting a document in specifying the quotas corresponding to the lessor and lessee, and the original of the allocation resolution or the quota certificate for the triennium of the group of varieties to be transferred.

e) In the case of "mortis causa" transmissions, communication or application by the legal heirs, accrediting the allocation of the quota corresponding to the causative and the condition of heirs of the same.

Article 9. Family reunification of quotas.

When several members of the same family exploit, or have exploited in common, a tobacco holding must apply for unification in a single quota, by group of varieties, of the individual family quotas, which they shall correspond to the totality of the data, presenting at least the data set out in Annex 4A and the following documentation:

(a) Request for unification by the holders of the quotas, indicating the quantities per group of variety to be unified, as well as the identifying data of the transmission and the acquirer of the unified quota.

(b) Original of the allocation resolution or the quota certificate of the transmission for the triennium of the group of varieties to be unified.

(c) Accreditation that the acquirer has a quota of the group of varieties that is unificant.

d) Fehaciente accreditation of the family nexus.

(e) a responsible statement by the transferor and the acquirer that the same holding is involved.

Family unification may be without effect at the request of a party, on the basis of an agreement specifying the quota, for each group of varieties, which corresponds to the parties involved.

Article 10. Exchange of quotas.

Producers who, in accordance with the provisions of Community legislation, agree to exchange production quotas belonging to two different groups of varieties, shall submit to the competent authority of the Community Autonomous in which it radiuses the largest holding, or most of it, at least the data set out in Annex 4B, and the following documentation: the agreement for the exchange of production quotas, the originals of the resolutions of the the allocation or the quota certificates for the triennium of the groups of varieties to be exchanged.

The exchange will amount to a definitive disposal.

Article 11. Temporary and definitive transfer of quota.

1. By virtue of the provisions of Community legislation, an individual producer may, on a temporary or permanent basis, give to another individual producer the whole or part of the quota allocated to him, by application containing at least one of the following: the data set out in the model in Annex 4C.

2. In accordance with Article 1 of Regulation 2848/98, for the purposes of this Royal Decree, it shall be deemed to be:

a) Temporary transfer. The transfer of the quantities stipulated in the production quota certificates for a maximum period of one non-renewable year during the three-year quota allocation period.

b) Final Cession. The transfer of the quantities stipulated in the production quota certificates over a period of more than one year within the three-year quota allocation period.

3. Quota disposals must conform to the following requirements:

(a) That the quota for the allocation resolution or the certificate of quota of the transferor for the group of varieties subject to the transfer is not yet covered by a cultivation contract.

(b) The recipient of the disposal already has a production quota, to which effect it shall present a photocopy of the allocation resolution or the certificate of quota for the triennium of the transferee for the group of varieties which owns. Where the transfer of quota relates only to part of the quantities recorded in the allocation resolution or in the quota certificate, the recipient of the transfer must have a production quota for the group of varieties which are the subject of the quota. cession.

(c) that the transfer has been the subject of an agreement written between the parties concerned, in which reference is made to the allocation resolution or the production quota certificate in which part or all of them are registered of the quantities covered by the transfer.

(d) that the prior written agreement has been submitted for registration with the competent authority of the Autonomous Community in which the holding, or the majority of the holding, of the producer giving the quota, within a period of Thirty calendar days from February 20 of the year of the harvest.

(e) The original of the allocation resolution or the quota certificate of the transmission for the three-year period of the group of varieties to be transferred is presented.

(f) That, if the transferor of the quota certificate is a member of a producer group, the transfer has been authorised by the group in the event that the recipient of the transfer does not belong to the same pool of producers. The authorisation shall be granted by the producer group where none of its members has shown an interest in using the quota under the conditions offered.

If the transfer takes place between producers in the same producer group, the transfer must be informed. For this purpose, the group shall issue a document certifying the authorization of the transfer or having been informed.

(g) In the case of definitive disposals, the producers who yield must provide proof that they have concluded cultivation contracts during the previous three years using the quotas which are the subject of the transfer.

4. The competent authority of the Autonomous Community in which the holding, or the majority of the holding, of the quota producer, shall record the agreement referred to in paragraph 1 (c) within 15 calendar days of the date on which the of their submission, after verifying that the conditions referred to in paragraphs (a), (b), (d), (e), (f) and (g) are met, verifying that the appropriate documentation has been submitted.

5. The competent authority of the Autonomous Community concerned shall send to the Ministry of Agriculture, Fisheries and Food within the preceding period, a proposal for the resolution of transfers, accompanied by the originals of the transfer files, by producer groups of the quota transferors, together with a copy of the computerised support containing the corresponding records.

The Ministry of Agriculture, Fisheries and Food shall give the producers the relevant resolutions within 15 calendar days following receipt of the proposal made by the Community. Autonomous, communicating it to the Autonomous Communities affected.

6. The quota transfers referred to in paragraph 1 shall not be carried out for quantities of less than 100 kilograms, except in the case of production quotas of less than 100 kilograms which are ceded in their entirety.

7. Temporary disposals may be authorised only for a maximum period of one year, not renewable, during each three-year period of quotas.

Article 12. High and low producer quotas in clusters.

When a producer joins, or leaves a producer pool, all of its quotas will cause high or low in the producer pool. The producer and the group shall submit to the competent authority of the Autonomous Community at least the data set out in Annex 5 and the following documentation:

a) Communication of the high or low by the producer group and the individual producer, indicating the quota per group of varieties, as well as the identifying data of the comparatives. Such communication shall be signed by the intervening parties.

b) Original of the allocation resolution or the individual producer's quota certificate for the triennium of each group of varieties.

(c) Fehaciente accreditation of the applicant's admission or discharge agreement to the producer group.

CHAPTER IV

Fee Reacquisition Program

Article 13. Beneficiaries and applications.

1. In order to facilitate the conversion of producers who, individually and voluntarily, decide to leave the sector, a quota buy-back programme will be implemented with a corresponding reduction of the guarantee thresholds, if the quotas are acquired by the EAGGF Guarantee Section.

2. Only producers who have the proof of having concluded a cultivation contract for the previous three years using their corresponding quotas shall be entitled to this programme.

3. The producer who is not a member of a producer group and decides to leave the sector shall submit an application to the competent authority of the Autonomous Community where the holding is located, to the Ministry of Agriculture, Fisheries and Food, containing at least the data listed in Annex 6, before 1 September of each harvest. Where the producer belongs to a producer group, the producer group must also submit the application and the producer group concerned must do the same.

4. For a period of four months, from 1 September to 31 December, the Ministry of Agriculture, Fisheries and Food shall make public the intention to sell so that other producers may buy the quota before the end of the period. the effective reacquisition of the EAGGF Guarantee Section.

5. The individual producers belonging to the same group as the producer who has decided to leave the sector and the group itself shall have priority, in that order, on the other producers for the purchase of the quotas offered to the reacquisition programme.

6. The quotas acquired by this procedure are regulated in accordance with the provisions of the definitive quotas in Article 11 of this Royal Decree.

7. Producers whose quotas have been re-acquired shall be entitled to receive the amounts referred to in Article 36 of Regulation (EC) No 2848/98.

CHAPTER V

Producer Pools

Article 14. Recognition.

1. For the purposes of this Royal Decree, agricultural cooperatives, agricultural processing companies and any other entity with legal personality may be recognised as groups of tobacco producers. fulfil the conditions laid down in Community and national legislation.

2. Producer groups may not engage in the business of first processing. A tobacco producer may also belong to a group only.

3. Institutions wishing to be recognised as producer groups shall submit the application before 15 November of the year preceding the year of the harvest for which recognition is sought, to the competent authority of the Community. The Ministry of Agriculture, Fisheries and Food, in accordance with the provisions of paragraph 5.

4. Producer groups shall comply with the conditions of recognition laid down in Article 3 of Regulation (EC) No 2848/98.

In accordance with the provisions of Article 3 (1) (e) of Regulation (EC) No 2848/98, producer groups must have quotas for a minimum quantity of 850 metric tonnes. and with a minimum number of 100 producers. In the production regions of Castilla y León, Navarra and the area of Campezo, in the Basque Country, the minimum quantity will be 168 metric tonnes, with a minimum number of 50 producers. These minimum quantities may be modified by the variation of the guarantee thresholds in force for each harvest of the three-year period.

5. The recognition of producer groups shall be:

(a) To the competent authority of the Autonomous Community:

1. When the geographical scope of the entity does not exceed that of an Autonomous Community.

2. When the geographical scope of the entity exceeds that of an Autonomous Community, and at least 90 per 100 of the area of cultivation of the members of the entity is located therein.

b) To the Ministry of Agriculture, Fisheries and Food, in other cases.

The competent body shall give a reasoned decision within 60 calendar days from the date of submission of the applications. The Autonomous Communities shall communicate to the Ministry of Agriculture, Fisheries and Food the decisions of recognition given.

The Ministry of Agriculture, Fisheries and Food will have a Register of Tobacco Producers ' Groups, in which the previously recognized entities will be registered, as well as those that agree with this Royal Decree.

6. Each producer group shall submit by 15 November each year the updating of the data necessary for the recognition and shall communicate to the competent authority any changes which may have taken place in respect of the previous period.

7. The producer group which meets the conditions of recognition on 15 September may maintain the recognition for the harvest of the following year.

8. The producer group which no longer meets the conditions of recognition on 15 November may submit a request for recognition, in accordance with the provisions of this Article, before the expiry of the period for the conclusion of the of the cultivation contracts laid down in Article 10 (1) of Regulation (EC) No 2848/98 in order to be able to maintain recognition for the harvest of the same year.

Article 15. Declaration of extinction of recognition.

The competent authority which has issued the recognition decision to a producer group may declare that recognition to the producer group be extinguished in the cases referred to in Articles 6 and 51. of Regulation (EC) No 2848/98.

CHAPTER VI

First-stage tobacco companies

Article 16. Recognition of first-processing undertakings.

1. The first processing companies for tobacco, in order to be able to carry out their activities under the tobacco production aid scheme and to be able to sign the cultivation contracts, must have the status of authorised.

2. The authorisation of the first processing undertakings shall be:

(a) To the competent authority of the Autonomous Community:

1. When the geographical scope of the company does not exceed that of an Autonomous Community.

2. Where the geographical scope of the undertaking exceeds that of an Autonomous Community, but has facilities with processing capacity of at least 90 per 100 of its total capacity.

b) The Ministry of Agriculture, Fisheries and Food, in other cases.

Applications for authorisation from the companies concerned must be submitted to the competent body before 30 November of the previous year, together with the documentation showing the compliance of the companies concerned. requirements for authorisation laid down in Community legislation.

3. The competent authority shall give a reasoned decision within 60 calendar days from the date on which the application has entered the Register competent for processing.

Article 17. Requirements of the first processing undertakings.

1. For the purposes of obtaining the authorisation, the first processing undertakings concerned shall provide sufficient guarantees as regards the capacity for processing, efficiency and experience in the exercise of their activities.

2. The essential requirements for obtaining recognition shall be as follows:

(a) Management on behalf and on behalf of suitable facilities for the first processing of tobacco. The suitability of the first processing facilities must be in line with the characteristics set out in Article 18 of this Royal Decree.

b) Dispose of a first-transformation facility under ownership, lease or any other form of legally obtained use.

(c) The first-processing undertaking must, at least, transform its plant into its premises by 50 per 100 of the tobacco contracted annually. For a first-processing company to start its activities in Spain, it requires the exclusive availability of the facilities at least two years and a sufficient financial capacity in relation to the tobacco which contracts.

d) Presentation of the appropriate certificate of registration in the Register of Agricultural Industries.

Article 18. Characteristics of a first-processing company.

To be considered appropriate, the facilities of a first-transform enterprise must have:

1. Local offices suitable for the reception of raw tobacco, inspection, storage, fermentation and industrial processing (leaf and smoothie processing), as well as for storage of finished product in farts or boxes.

2. The first suitable processing equipment, according to industrial process, must include the following specific machinery:

a) Humidity conditioners.

b) Power tapes.

c) Humidifiers.

d) Classification tape.

e) Tunel continuous drying (resected).

f) Press and evacuation line.

g) Laboratory of analysis with moisture measurement equipment suitable for the Community regulations.

These characteristics should be reflected in the appropriate control act, with the corresponding drawings of the equipment, installations and buildings being attached.

Article 19. Extinction and loss of authorization.

First-processing business authorisation shall be declared to be extinguished, subject to the hearing of the data subject, where it is established that one or more of the conditions and conditions of authorisation referred to therein have been discontinued. in this Royal Decree, or in the cases provided for in Articles 7 and 53 of Regulation (EC) No 2848/98.

Article 20. Registration of authorised first processing undertakings.

The Ministry of Agriculture, Fisheries and Food shall have a General Register of first processing companies in which the previously authorized persons are entered, as well as those that are in agreement with this Royal Decree.

CHAPTER VII

Premium Regime

Article 21. Cultivation contract.

1. The cultivation contract shall be concluded between an individual producer who is not a member of a group or a group of recognised producers who have a quota allocation, on the one hand, and a recognised tobacco processing undertaking, on the other.

This contract shall be concluded for a variety of tobacco, within each group of varieties, and its duration may not exceed a harvest.

2. Individual producers may only carry out a single contract for each variety with a single recognised first processing undertaking. Producer groups may make contracts for a particular variety with more than one company.

Each producer member of a group may only be included in a single contract made by that group with a first processing company for a given variety.

3. The contract shall require the first processing undertaking to take charge of the quantity of leaf tobacco listed in the contract and the individual producer, or the producer group, to deliver this quantity to the first undertaking. transformation, within the limits of its actual production.

4. The contract must contain at least the data referred to in Article 9 (3) of Regulation (EC) No 2848/98, including the undertaking of the first processing undertaking to pay the producer the purchase price stipulated in the contract. in the contract, as appropriate, for the net quantity of tobacco actually delivered.

5. The tobacco growing area reflected in the contract, corresponding to a given quota within a parcel, shall be physically delimited from the remaining ones.

6. The interested parties to a cultivation contract may, by way of an additional written clause, increase the quantities contracted within a maximum limit of 10 per 100 of the quota allocated to the producer for that harvest, provided that there is no delivered surplus during the previous harvest.

Article 22. Conclusion of the contracts.

1. Except in cases of force majeure, duly accredited, the cultivation contracts shall be concluded until 30 May, including the year of the harvest.

2. Also, except in case of force majeure, duly accredited, the cultivation contracts must be sent to the competent authority of the Autonomous Community, in which the cultivated parcels are located, for registration, within 10 days natural after the deadline set for its conclusion. Copies of the said documentation shall be sent to the Ministry of Agriculture, Fisheries and Food, which, in the event that the processing of the tobacco is carried out in another Member State, shall be transmitted immediately, through the appropriate course, a copy of the contract registered with the competent body of that State.

3. If the conclusion of the contract shall exceed the deadline referred to in paragraph 1 for a maximum of 15 calendar days or the period referred to in paragraph 2, the premium to be reimbursed shall be reduced by 20 per 100.

4. Cultivation contracts to be concluded between a processing undertaking and a producer group shall be accompanied by a nominative relationship between the producers and their respective tobacco-grown areas and a list of producers. summary of their corresponding certificates or quota resolutions, of the surplus tobacco of the previous harvest which would have been reported to the harvest referred to in the contracts, and the difference between the two quantities, the grouping responsible for the veracity of all the data supplied by it in the contracts. The grouping shall also take appropriate measures to update the information referred to above.

5. Producer groups and individual producers not belonging to any group shall submit to the competent authority of the Autonomous Community where the initial cultivation contract was registered by 25 April at the latest. of the year following that of the harvest, and always after the deliveries initially contracted, the additional clause indicated in Article 21 (6) of this Royal Decree, for registration. Such registration shall be provisional, until it has been established that the producer has not delivered surplus during the preceding harvest, or as a result of having received a quota from another producer which he had made surplus deliveries in that harvest.

Article 23. Calculation of the premium.

1. The detailed rules for the distribution of the premium referred to in Article 4a of Regulation (EEC) No 2075/1992, the relations between the variable part and the total of the premium applicable in Spain from the 2002 harvest, as well as the calculation of the variable part of the premium shall be as set out in Annex V to Regulation (EC) No 2848/98 and its subsequent amendments.

2. The fixed part of the premium payable to the producer on the basis of his quota certificate for the marketing year concerned shall be calculated on the basis of the weight of the variety of tobacco in question in respect of the minimum quality required and received by the producer. First transformation company.

The weight of leaf tobacco for each group of varieties shall be adjusted according to the degree of humidity and the tolerance limits fixed for each variety in Annex 4 to Regulation (EEC) No 2848/98 and according to the methods for their use. determination laid down in Community legislation.

3. For each lot delivered, the amount of the variable part of the premium payable to a producer group, which in turn will be redistributed in full to each member, will be calculated on the basis of the purchase price paid by the company first conversion for the purchase of each batch delivered, in accordance with the qualities laid down in the contract.

4. In accordance with Article 18 (6) of Regulation (EC) No 2848/98, the purchase price fixed by lot at the time of delivery shall be taken to calculate the variable part of the premium. However, in the event that specific analytical determinations of tobacco quality are required, as agreed in the cultivation contract, the competent bodies of the Autonomous Communities may accept a delay within a period of time. reasonable, for the fixing of that price.

Article 24. Payment of the premium.

1. From the 2002 harvest, the paying agencies of the Autonomous Communities shall make the payment of the premium directly to producer groups and individual producers not belonging to any group, in accordance with a certificate of inspection, provided by the competent authority of control of the Autonomous Community, containing the daily deliveries of each of the producers, whether or not they are members of a group, and a proof of their perception by the competent authority of the of the purchase price amount set out in the contract.

2. The paying agency of the Autonomous Community where the control of such deliveries shall be carried out shall, for the reference period of deliveries, be determined by:

(a) The amount of the fixed part of the premium to producer groups and individual producers who are not members of any grouping and the specific aid to the groups, corresponding to those deliveries, in a a period of 30 calendar days from the date of submission of the documents referred to in paragraph 1.

(b) The amount of the variable part of the premium for the producer group within 30 calendar days from the date of submission of the documents referred to in paragraph 1 and of a a declaration issued by the producer group concerned confirming the end of the deliveries of each group of varieties.

3. The groups shall pay their producers the fixed part of the premium and, where appropriate, the variable part, within 30 calendar days of the date of receipt of those amounts.

4. The paying agencies shall make payments for the amounts corresponding to producer groups or individual producers by bank transfer or postal order, to the numbers of the accounts for those payments, which have been communicated by those to the competent bodies of the Autonomous Communities, and which must be linked, in the case of producer groups, with the payment to the members of the latter, also by bank transfer or transfer postal, so that the collected amounts of the premiums can be known for each of these producers.

5. The surplus production tobacco, delivered in accordance with the additional clause of the contract, may benefit from the premium granted in the following harvest, upon application by the group or individual producers, to the body. the competent authority of the Autonomous Community where the control of such deliveries is carried out, paying that premium from 16 October of the year of the following harvest.

Article 25. Premium advance.

1. The groups, or individual producers, may apply for an advance on the premium for the quantities of tobacco from the current harvest which they may supply, in accordance with their quota and the contract concluded, the maximum amount of which shall be equal to the fixed part of the premium eligible for payment, subject to the lodging of a security for that amount increased by 15 per 100. Such security shall comply with the rule laid down in this respect by the paying agencies of the Autonomous Communities, by reference to the provisions of Article 19 of Regulation (EC) No 2848/98.

2. The advance shall be paid to the beneficiaries by the paying agencies of the Autonomous Communities, from 16 October of the year of the harvest and, at the latest, 30 calendar days after the application has been made and the proof provided of the lodging of the corresponding security. If the application had been submitted by 16 September, the time limit for the payment of the application shall be 70 and seven calendar days.

3. The amount of the advance paid shall be deducted from the amount of the premium to be paid from the first instalment.

4. The security shall be returned in accordance with the certificate of inspection issued by the competent authority of the Autonomous Community and, in addition, in the case of groupings, of the presentation of the justification for the payment of the premium to the producers of the They are entitled to it.

5. The 50 per 100 of the security lodged shall be returned when the 5 per 100 of the premium payable has been reached, in accordance with the tobacco deliveries made, and the rest of the guarantee where the total amount of the premium payable has been deducted the total amount of the advance granted.

6. Except in cases of force majeure, where the date of 15 April of the year following that of the harvest, the deadline for the delivery of the contracted tobacco, has not been carried out all those which permit the deduction of all the advance granted from the the amount of the premium to be paid, the security shall be forfeited for the amount of the advance not recovered.

7. A single application for advance payment shall be made for each of the varieties contracted and for each of the Autonomous Communities in which the purchasing centres are located, where the deliveries of tobacco are expected to be carried out. However, in the event that, for reasons justified, the provision for deliveries corresponding to that advance is not wholly carried out in the Autonomous Community in which the aid was applied for, for the release of the security lodged, the the contribution of a certificate of inspection of such deliveries by the competent authority of the other Autonomous Community.

8. For each of the varieties, the competent bodies of the Autonomous Communities may not accept applications for advance payment of the premium, after the corresponding deliveries have been initiated.

9. Payment of the amount of the advance can only be made by bank transfer or postal transfer to the accounts indicated in Article 24.4 of this Royal Decree.

Article 26. Tobacco deliveries.

1. Except in cases of force majeure, in order to qualify for the premium, the producer shall supply all of his production to the first processing undertaking not later than 15 April of the year following that of the harvest.

2. The delivery of tobacco shall be carried out at the processing centre or at the purchasing centre approved by the competent control body of the Autonomous Community, in accordance with the conditions and conditions to be determined.

3. If the moisture content, calculated in accordance with the methods for determining it laid down in Community legislation, is greater than or less than the level laid down in Annex IV to Regulation (EC) No 2848/98 for the variety concerned, the weight of the leaf tobacco according to the degree of humidity and tolerance limits set out in the Annex.

4. The tobacco to be delivered to the processing undertaking must be of sound, fair and commercial quality and shall be exempt from the characteristics set out in Annex III to Regulation (EC) No 2848/98.

5. Each producer shall communicate in writing to the competent control authority of the Autonomous Community not later than 25 April of all the quantities of leaf tobacco which he has not delivered to the first processing undertaking and the place in which he is Tobacco is stored for the purposes of its control.

6. Producers who are not members of a producer group may only give to a single processing undertaking tobacco of a given variety for the same harvest.

7. The competent authority of the Autonomous Community shall send to the Ministry of Agriculture, Fisheries and Food before 15 June of the following harvest, with the specifications determined by it, the data relating to the deliveries made by the individual and controlled producer groups and producers corresponding to the previous harvest, correctly validated.

Article 27. Specific help.

1. The specific aid to producer groups referred to in Article 4a of Regulation (EEC) No 2075/1992 shall be equal to 2 per 100 of the premium.

2. Such aid may be used only by the groups for the purposes and under the conditions referred to in Article 40 (2) and (3) of Regulation (EC) No 2848/98.

3. A group of recognised producers who have entered into a contract with a first processing undertaking may, as from 16 October of the year of the harvest, request an advance payment of the specific aid to the competent authority of the Autonomous Community, the amount of which shall be determined on the basis of a maximum of 50 per 100 of the quantity of tobacco which the group has included in the cultivation contract at the time of submission of the application for advance, with the of a security, the amount of which shall be at least equal to that of the advance, increased by 15 per 100.

4. The security shall be returned to the pool, upon request of the pool accompanying the following documentation:

(a) A certificate of control issued by the competent authority of the Autonomous Community, in respect of 50 per 100 of the deliveries made.

(b) A proof of the amount of the purchase price by the pool for the above 50 per 100 of those deliveries.

5. A single application for an advance payment of specific aid shall be submitted for each of the varieties contracted and for each of the Autonomous Communities in which the purchasing centres are located where the deliveries are expected to be made tobacco.

However, in the event that, for justified reasons, the forecast of deliveries corresponding to that advance does not take place entirely in the Autonomous Community in which it has been requested, for the release of the guarantee It shall serve the purpose of providing a certificate of inspection for such deliveries by the competent authority of the other Autonomous Community.

CHAPTER VIII

Controls, penalties, and penalties

Article 28. Controls.

By the competent bodies of the Autonomous Communities, administrative checks and on-the-spot checks shall be carried out, as well as controls on the supply of leaf tobacco and the first processing and packaging of the Tobacco, as referred to in Articles 43 to 48 of Regulation (EC) No 2848/98, which ensure an effective verification of compliance with the provisions of that Regulation and Regulation (EEC) 2075/1992, taking all appropriate additional measures for this purpose.

In the case of movements of raw tobacco intended for processing and conditioning in another Member State, or in third countries, the competent authority of the Autonomous Community shall immediately put it to the attention of the Ministry of Agriculture, Fisheries and Food for monitoring purposes. This will also apply to raw tobacco from other Member States or from third countries.

Article 29. Penalties and penalties.

1. In the cases referred to in Articles 6.1 and 2; 7.3; 19.6 and 8; 40.2 bis; 50; 51 (except in paragraph 3), and 53 (except in paragraph 1) of Regulation (EC) No 2848/98, the losses or reductions of duties as laid down in those provisions shall apply. are collected.

2. In addition, in the cases referred to in Articles 6.3, 52 and 53.1 of the same Regulation, the penalties provided for therein shall apply.

3. However, the measures referred to in Articles 19.8 and 50 to 53 of Regulation (EC) No 2848/98 shall not apply in the case of force majeure.

CHAPTER IX

Technical coordination and provision of information

Article 30. Database of the quota system.

The Ministry of Agriculture, Fisheries and Food shall maintain the computerised database established in accordance with Article 38 of Regulation (EC) No 2848/98.

Article 31. Actions for technical coordination and the provision of information.

1. The FEGA, as a coordinating body for the paying agencies, for the purposes of Article 4 (1) (b) of Council Regulation (EC) 1258/1999 of 17 May 1999

of financing

of the common agricultural policy, and in Article 2 of Royal Decree 2206/1995 of 28 December 1995 regulating inter-administrative action in respect of the expenditure of the Guarantee Section of the European Guidance Fund and Agricultural Guarantee, shall carry out the necessary action with the Autonomous Communities concerned in order to ensure the application and harmonised implementation of the Community and national rules of the aid scheme referred to in this Royal Decree throughout the national territory.

2. As provided for in Articles 4 and 9 of Law No 30/1992, as well as the provisions of the aforementioned Royal Decree 2206/1995, the various public administrations will be obliged to supply the information necessary for the application. of the Community regulations and, in particular, for their communication to the European Commission by the Ministry of Agriculture, Fisheries and Food.

Single additional disposition. Conclusion of contracts for the 2002 harvest.

Without prejudice to the provisions of Article 22 (1) of this Royal Decree, cultivation contracts shall be concluded for the 2002 harvest, except in cases of force majeure, by 30 June 2002 at the latest, with the provisions of Regulation (EC) No 486/2002 of 18 March 2002 amending Regulation (EC) No 2848/98 as regards the establishment of certain deadlines in the raw tobacco sector.

Final disposition first. Competence title.

This Royal Decree is issued under Article 149.1.13.a of the Constitution, which attributes to the State exclusive competence in the field of bases and coordination of the general planning of economic activity.

Final disposition second. Development and implementation faculty.

The Minister for Agriculture, Fisheries and Food is empowered to adopt, in the field of his competence, the precise measures for the development and implementation of this Royal Decree and, in particular, to amend the Annexes and the dates referred to in the text, so that it is coordinated with what the Community rules set for this purpose.

Final disposition third. Entry into force and application.

This provision shall enter into force on the day following that of its publication in the "Official Gazette of the State" and shall apply to the 2002 and subsequent harvests.

Given in Madrid to July 12, 2002.

JOHN CARLOS R.

The Minister of Agriculture, Fisheries and Food,

MIGUEL ARIAS CANETE

ATTACHMENTS

(SEE IMAGES, PAGE 25770 TO 25782).