Working document

Working document Working document GOVERNMENT OF THE REPUBLIC OF LITHUANIA RESOLUTION No. 486 ON THE ESTABLISHMENT OF MINIMUM QUARANTEED PRICES FOR MILK PURCHASING FOR MAY-OCTOBER 1999 28 April 1999 Vilnius Pursuant to Article 6 of the Law on the State Regulation of Economic Relations in Agriculture (Official Gazette No. 1-5, 1995; No. 96-2429, 1997), Having regard to the proposals of the Tripartite Council for the Regulation of Economic Relations in Agriculture; Attempting to establish favourable conditions for the establishment and development of milk farms in compliance with the requirements of the European Union and to support the incomes of farmers, The Government of the Republic of Lithuania h a s r e s o l v e d: 1. To establish the following minimum guaranteed prices for milk purchased between 1 May and 31 October 1999 (litas per tonne of milk of basic fat and protein content):

1. a)highest category of milk - minimum guaranteed price - LTL 470, subsidy - LTL 250, total price per tonne – LTL720;
2. b)first category of milk – minimum guaranteed price – LTL470, subsidy – LTL180, total price per tonne LTL650;
3. c)second category of milk – minimum guaranteed price – LTL470. 2. To establish that: 2.1. Subsidies identified in part 1 shall be paid from the funds of the Rural Support Fund, allocated to it from the 1999 national budget of the Republic of Lithuania; 2.2. Minimum guaranteed prices for the purchase of milk shall not apply to the agricultural produce purchased from the members by co-operative societies (co-operatives) consisting of natural persons where the general meeting of the members or representatives of the members of said co-operative societies (co-operatives) had adopted by no less than two-thirds of the votes a decision on abolishing the application of minimum guaranteed prices. 3. To instruct the Ministry of Agriculture: 3.1. To define in greater detail a respective target programme of the Rural Support Fund and the procedure for financing the said programme by supplementing it with provisions providing for partial compensation of the costs relating to the establishment and modernisation of milk farms and partial compensation of new investments made into milk farms by all economic entities; 3.2. To analyse the situation in the milk sector and by 15 June 1999 submit to the Government of the Republic of Lithuania the study on the situation in the milk sector and proposals on the support of milk farm operators, improvement of supply system and financial support to the export of dairy products. Prime Minister Gediminas Vagnorius Minister of Agriculture Edvardas Makelis