TITLE IIIPROCESSING AID

CHAPTER IFruit and vegetables

Article 22Processing contracts

1

The contracts referred to in Article 13(1) of Regulation (EC) No 1452/2001, hereinafter called ‘processing contracts’, shall be concluded in writing before the beginning of each marketing year. They shall take one of the following forms:

a

a contract between an individual producer or a producer organisation recognised under Regulation (EC) No 2200/96, on the one hand, and a processor or an association or group of processors approved by the national authorities, on the other;

b

an undertaking to deliver supplies, where the producer organisation referred to in (a) acts as processor.

2

Contracts shall each cover a calendar year and the same two contracting parties may not conclude more than one contract per year between themselves.

3

Processing contracts shall specify, in particular:

a

the business names of the parties to the contract;

b

a precise description of the product(s) covered by the contract;

c

the quantities of raw materials to be supplied;

d

the timetable for deliveries to the processor;

e

the price to be paid for the raw materials, excluding in particular costs connected with packing, transport and the payment of fiscal charges, which shall, where applicable, be indicated separately. The price shall not be lower than the minimum price referred to in the second subparagraph of Article 13(1) of Regulation (EC) No 1452/2002;

f

the finished products to be produced.

4

On terms laid down for each product by the competent authorities, the contracting parties may decide, by means of a written amendment, to increase the quantities originally stipulated in the contract by no more than 30 %.

5

Where producer organisations also act as processors, the processing contracts covering their own production shall be deemed to have been concluded after the following particulars have been forwarded to the competent authority within the time limit laid down in paragraph 6:

a

the total area on which the raw material is grown, together with land register reference numbers or a reference recognised as equivalent by the inspection body;

b

an estimate of the total harvest;

c

the quantity intended for processing;

d

the forecast processing schedule.

6

The processor or association of processors shall forward a copy of each processing contract and any amendments thereto to the competent authorities within the deadline fixed by those authorities.