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TITLE IVPRODUCTION POTENTIAL

CHAPTER IITransitional planting right regime

Article 63Anticipated replanting rights

1.According to Article 92(2) of Regulation (EC) No 479/2008, Member States may grant replanting rights to producers who undertake to grub up an area of vines before the end of the third wine year after the area was planted. This can be done only where that producer can show that he has no, or insufficient, planting rights in his possession which could be used to permit the entire area concerned to be planted with vines. A Member State shall grant no more rights to a producer than are necessary to permit the entire area concerned to be planted with vines, taking into account any rights already in his possession. The producer shall specify the particular area to be grubbed up.

2.When giving the undertaking referred to in paragraph 1, a producer shall lodge a security. The obligation to grub up the area concerned shall constitute the ‘primary requirements’ within the meaning of Article 20(2) of Regulation (EEC) No 2220/85. The amount of the security shall be set by the Member State concerned on the basis of objective criteria. The security shall be set at a level which is proportionate and sufficient to dissuade producers from failing to carry out their undertaking.

3.Until the undertaking to grub up has been carried out, Member States shall ensure that, in any given wine year, there is not simultaneously a commercial production of wine from both the area to be grubbed up and the newly planted area, by ensuring that, the products made from grapes coming from either of the areas may be put into circulation only for the purposes of distillation, at the expense of the producer. These products may not be used in the preparation of alcohol having an actual alcoholic strength of 80 % vol. or less.

4.If the undertaking to grub up is not carried out by the deadline set, then the particular area which has not been grubbed up shall be treated as having been planted in breach of the restriction on planting in Article 90(1) of Regulation (EC) No 479/2008.

5.Member States shall monitor the planting and grubbing-up of the areas concerned.

6.Member States shall keep a record of all case dealt with under paragraphs 1 to 5.