No L 78/2 Official Journal of the European Communities 30. 3. 79 COUNCIL REGULATION (EEC) No 591/79 of 26 March 1979 laying down general rules concerning the production refund for olive oils used in the manufacture of certain preserved foods THE COUNCIL OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, Having regard to Council Regulation No 136/66/EEC of 22 September 1966 on the establishment of a common organization of the market in oils and fats (), as last amended by Regulation (EEC) No 1562/78 (2), and in particular the second paragraph of Article 20a thereof, Having regard to Council Regulation (EEC) No 2749/78 of 23 November 1978 on trade in oils and fats between the Community and Greece (*), and in particular Article 9 thereof, Having regard to the proposal from the Commission, Whereas Article 20a of Regulation No 136/66/EEC lays down that olive oil used in the manufacture of preserved fish and vegetables may benefit from a system of production refunds or from full or partial suspension of the import levy ; whereas, account being taken of the characteristics of the market in olive oil and of experience gained, the system of production refunds would appear the most appropriate ; whereas general rules for the implementation of this system must be adopted ; Whereas the production refund must enable benefici- aries to purchase on the Community market at prices close to world market prices the quality of oil which they use most frequently in their manufactures; whereas, for this purpose, the production refund must be fixed on the basis of the variable component of the import levy on oils obtained by refining virgin olive oil ; Whereas interested parties must be ensured a certain degree of stability in the cost price of olive oil used in preserved products; whereas, for this purpose, the refund must be fixed for a fairly long period and without account being taken of relatively small altera- tions in the import levies ; Whereas Article 11 of Regulation No 136/66/EEC provides for the granting of aid for the consumption (') OJ No 172, 30. 9. 1566, p. 3025/66. (2) O] No L 185, 7. 7. 1978, p. 1. () O] No L 331, 28. 11. 1978, p. 1. ! of olive oil of Community origin ; whereas, according to Article 1 of Regulation (EEC) No 3089/78 (%), this aid shall be granted only to approved olive oil pack- aging plants ; whereas, however, in order to avoid placing oils of Community origin at a disadvantage as compared with imported oils, it is necessary to increase the refund to be granted in respect of oils of Community origin by an amount equal to the consumption aid ; Whereas Regulation (EEC) No 2751/78 (®) provides that the import levies shall be fixed by tender when certain conditions obtain ; whereas, in the event of this procedure being applied, the Commission shall fix a minimum import levy in respect of refined olive oils ; whereas, in that case, it is necessary to provide for the fixing of the production refund on the basis of these minimum levies ; Whereas, in order to ensure the proper functioning of the refund system, account should be taken, when the refund is fixed, of any significant change in the threshold price envisaged at the beginning of the period of application of the refund in question, and of any significant change in the import levy during the said period ; Whereas the refund must be granted only in respect of quantities actually used in the preserved products ; whereas Member States must therefore ensure the application of an appropriate system of checking; Whereas this Regulation replaces Regulations (EEC) No 155/71(¢) and (EEC) No 1794/76 (), whereas those Regulations must be repealed, HAS ADOPTED THIS REGULATION : Article 1 Olive oil used in the manufacture of preserved fish and vegetables shall benefit from a system of produc- tion refunds. The general rules for applying this system are defined - in the following Articles. (¥) OJ No L 369, 29. 12. 1978, p. 12. () OJ No L 331, 23. 11. 1978, p. 6. (¢) O] No L 22, 28. 1. 1971, p. §. (') OJ No L 201, 27. 7. 1976, p. 3.