ANNEX ICEREALS

PART XPractical method for determining the reduction to be applied to the price of sorghum by intervention agencies

1.Basic data

P

the percentage of tannin in raw product,

0,4 %

the percentage of tannin above to which the reduction is to be applied, 11 %28 = the reduction corresponding to 1 % tannin in the dry matter.

2.Calculation of the reduction

The reduction, expressed in euro to be applied to the reference price, shall be calculated in accordance with the following formula:

11 (P - 0,4)

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