WINE SECTOR PRODUCER ORGANISATIONS REGULATIONS

SUBSIDIARY LEGISLATION 639.08

WINE SECTOR PRODUCER ORGANISATIONS

REGULATIONS

1st May, 2008

LEGAL NOTICE 148 of 2008, as amended by Legal Notice 276 of 2016.

Part I

Preliminary

The title of these regulations is the Wine Sector Producer

Organisations Regulations.

(1)

In these regulations, unless the context otherwise

requires

"Director" means the Director of Agriculture and includes, to the

extent of the authority given, any person or authority authorised by

him to act in that behalf for the purposes of these regulations;

"environmental pressure" means something that could affect the

health or life of an animal, plant or ecological system in general

including air, land and water.

(2) Unless the context otherwise requires, words and phrases

used in these regulations shall have the same meaning as is

assigned to them in article 2 of the Producer Organisation Act.

Part II

Establishment and recognition of producer organisations

in the Wine Sector

For the purposes of these regulations a producer

organisation is any entity having a separate and distinct legal

personality from that of its members which satisfies the following

conditions

(a) it is constituted by producers of products covered by

Council Regulation (EC) 1493 of 1999 and subsequent

modifications;

(b) it is formed on the initiative of producers;

(c) it pursues a specific aim, which may in particular

relate to one or more of the following

(i)

adapting production jointly to the requirements

of the market and improving the product;

(ii) promoting concentration of supply and the

placing on the market of the products produced

by its members;

(iii) promoting the rationalisation and improvement

of production and processing;

(iv) reducing

production

costs

and

market

management costs and stabilizing producer

WINE SECTOR PRODUCER ORGANISATIONS

prices;

(v)

promoting and providing technical assistance for

the use of environmentally respectful cultivation

practices and production techniques;

(vi)

promoting initiatives for the management of by-

products of wine making and the management of

waste in particular to protect the quality of

water, soil and landscape and preserving or

encouraging biodiversity;

(vii)

carrying out research into sustainable production

methods and market developments;

(d) it applies rules of association which shall be in

conformity with regulation 5 and which require its

members, in particular, to

(i)

apply the rules adopted by the producer

organisation relating to production reporting,

production, marketing and protection of the

environment;

(ii) provide the information requested by the

producer organisation for statistical purposes, in

particular on growing areas and market

evolution;

(iii) pay penalties for infringement of obligations

under the rules of association;

(e) it has lodged an application for recognition as a

producer organisation under these regulations and the

application contains the following items

(i)

evidence that the entity meets the requirements

laid down in paragraphs (a) to (d);

(ii) evidence that it has a minimum of fifty

members;

(iii) evidence that it covers a minimum volume of

marketable production in the area where the

organisation operates and which shall not be less

than 200 tonnes of wine grapes;

(iv) evidence that it can carry out its activities

properly, both over time and in terms of

effectiveness and concentration of supply;

(v) evidence that it effectively enables its members

to obtain technical assistance in using

environmentally sound cultivation practices.

The Director shall recognise as producer organisations for

the purposes of these regulations any legal entity applying for such

recognition, on condition that

(a) they are a group of farmers registered as a cooperative

or other recognised legal entity prior to applying for

recognition as a producer organisation;

(b) they meet all the requirements laid down in regulation

3;

(c) with regard to the categories of products referred to in

regulation 3(a) they indicate any specific product they

will be producing;

(d) they effectively provide their members, where

necessary, with the technical means for storing,

packaging and marketing their produce and ensure

proper commercial and budgetary management of their

activities;

(e) they submit all the relevant documentation requested

by the Director including the duly filled in forms

provided by the Director in terms of regulation 7(b).

The Rules of Association of applicant organisations shall

provide for

(a) procedures for determining, adopting and amending

the said rules of association;

(b) public scrutiny by members

of

the

producer

organisation and its decisions;

(c) the payment by members of the financial contributions

provided for in their Rules of Association;

(d) the provision by members of the information requested

by the producer organisation for statistical purposes, in

particular on growing areas, cultivation details, yield

and direct sales;

(e) the imposition of penalties for infringement by

members of the obligations arising from the Rules of

Association or of other rules laid down by the

producer organisation;

(f)

the admission of new members, particularly

concerning a minimum membership period;

(g) the accounting and budgetary rules necessary for the

operation of the producer organisation.

(1) The minimum membership period of a producer shall

be not less than two years.

(2) Resignation of membership shall be notified to the producer

organisation and such resignation will become effective six months

after notification.

The Director shall

(a) within three months from receiving an application for

recognition as a producer organisation, decide whether

to grant such recognition or not;

(b) where he deems necessary, issue guidelines with

regards to the administrative procedures which are to

be followed mandatorily by applicants applying for

recognition as a producer organisation and issue forms

which are necessary for the compilation of the

application for recognition;

(c) carry our inspections at regular intervals to ascertain

WINE SECTOR PRODUCER ORGANISATIONS

that producer organisations comply with the terms and

conditions for recognition

Provided that in the event of non-compliance, the Director

may decide to withdraw recognition as a producer organisation.

PART III

Maintaining and Monitoring Producer Organisations

Without prejudice to any other law or regulations, Producer

Organisations shall

(a) implement proposed actions stated in the operational

programme;

(b) maintain and update their membership database;

(c) inform the Director of all meetings relative to their

Rules of Association;

(d) collaborate with the Director or any officer authorised

by him whenever inspections are carried out;

(e) provide the Director or any officer authorised by him

with any data requested;

(f)

submit by not later than the 31st December of any

calendar year, an annual report relating to that calendar

year which shall include

(i)

progress on the operational programmes

implemented during that calendar year;

(ii) any changes to the operational programmes

which were requested by the producer

organisation and approved by the Director;

(iii) variances between estimated aid and aid applied

for;

(iv) summary of problems encountered in managing

the programme and any measures taken to ensure

the quality and effectiveness of programme

implementation;

(v) in cases where environmental pressures have

been exerted, a list of the effective safeguards

which are in place in order to protect the

environment from these pressures.

Part IV

Suspension and Withdrawal of Recognition

as a Producer Organisation

(1) If the Director establishes that a producer organisation

in terms of these regulations has failed to respect any one of the

recognition criteria established by regulation 4 and, or has

otherwise breached any of the provisions of these regulations, he

shall serve a notice in writing on such producer organisation in

accordance with sub-regulation (2);

(2) A notice served upon a producer organisation in terms of

sub-regulation (1) shall

(a) indicate the failure or breach identified;

(b) require the producer organisation upon whom it is

served to take the necessary corrective measures as the

Director may determine in order to remedy, or to

prevent the continuation or repetition of, any failure or

breach to which the notice relates;

(c) state the period within which any such requirement is

to be complied with

Provided that such period shall not be longer than four

months.

(3) Without prejudice to any other laws or regulations, a failure

to take the necessary corrective measures indicated in the notice

served in terms of sub-regulation (1) within the stipulated time

period shall lead to the suspension of recognition as a producer

organisation by the Director, which suspension shall take effect

from the date when the producer organisation is served with the

said notice.

(4) In case of suspension of recognition as a producer

organisation in terms of sub-regulation (3), the Director shall notify

the producer organisation of such suspension and of the period of

suspension

Provided that the period of suspension shall not exceed

twelve months.

(5) The Director shall inform authorities managing public

funds which he deems fit of the suspension of recognition as a

producer organisation.

(6) The entity whose recognition as a producer organisation has

been suspended in terms of this regulation may apply in writing to

the Director for reconsideration of the suspension within two days

from when it is notified with notice of such suspension.

(7) If by the end of the period of suspension the producer

organisation takes the necessary corrective measures to remedy the

failure and, or breach mentioned in sub-regulation (1), the Director

shall lift the suspension.

(8) In case of lifting of the suspension, the Director shall

inform the authorities mentioned in sub-regulation (5) of the said

lifting of the suspension.

(1) Unless the producer organisation takes the necessary

corrective measures indicated in the notice served on it by the

Director in terms of regulation 9(1) by the end of the period of

suspension, its recognition as a producer organisation shall be

withdrawn by the Director

Provided that the withdrawal of recognition shall take

effect from the date on which the conditions for recognition were

not fulfilled or, if it is not possible to identify that date, from the

date when the failure to respect any one of the recognition criteria

established by regulation 4, or by the date on which the breach of

any of the provisions of these regulations was established.

(2) The Director shall inform authorities managing public

funds which he deems fit in case of withdrawal of recognition as a

producer organisation.".

(1) An appeal shall lie to the Administrative Review

Tribunal as established by article 5(1) of the Administrative Justice

Act from a decision of the Director to withdraw recognition as a

producer organisation in terms of regulation 10.

(2) An appeal in terms of sub-regulation (1) may be filed by the

entity whose recognition as a producer organisation has been

withdrawn and shall be filed within twenty days from notification

of the decision of withdrawal.

(3) Any party to an appeal to the Administrative Review

Tribunal who feels aggrieved by a decision of the Administrative

Review Tribunal, who feels dissatisfied with the decision of the

Administrative Review Tribunal, may on a question of law appeal

to the Court of Appeal as constituted in accordance with article

41(9) of the Code of Organization and Civil Procedure by means of

an application filed in the registry of that court, within twenty days

from the date of the Administrative Review Tribunal’s decision.