(1)

Council Regulation (EC) No 1782/2003 of 29 September 2003 establishing common rules for direct support schemes under the common agricultural policy and establishing certain support schemes for farmers and amending Regulations (EEC) No 2019/93, (EC) No 1452/2001, (EC) No 1453/2001, (EC) No 1454/2001, (EC) 1868/94, (EC) No 1251/1999, (EC) No 1254/1999, (EC) No 1673/2000, (EEC) No 2358/71 and (EC) No 2529/2001 (2) provides among other things for a dairy premium and additional payments in the form of premium supplements applicable from 1 January 2004.

(2)

The dairy premium was first introduced by Council Regulation (EC) No 1255/1999 on the common organisation of the market in milk and milk products (3) in conjunction with the progressive reduction in market support in the milk and milk products sector. The level of the premium is to rise each year until 2007 to offset the reduction in market support, which applies annually on 1 July, the start of the milk year.

(3)

The operative event for the exchange rate for the purposes of the dairy premium should therefore be set at 1 July of the year for which the aid is granted. For the sake of consistency, it should also be laid down that the same operative event for the exchange rate is to apply to the dairy premium and to additional payments.

(4)

Commission Regulation (EC) No 2808/98 of 22 December 1998 laying down detailed rules for the application of the agrimonetary system for the euro in agriculture (4) should therefore be amended accordingly.

(5)

The measures provided for in this Regulation are in accordance with the opinion of the Management Committees concerned,