12.2.2000 Official Journal of the European Communities L37/31 COMMISSION DECISION of 25 November 1999 on the measure which Germany is planning to implement for the promotion of agricultural products of Mecklenburg-Vorpommern (notified under document number C(1999) 4227) (Only the German version is authentic) (2000/132/EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, and in particular the first subparagraph of Article 88(2) thereof, Having called on interested parties to submit their comments pursuant to those provision(s) (), Whereas: I. PROCEDURE By letter dated 24 December 1997, Germany notified the Commission of a measure granting aid for the promotion of agricultural products. It provided the Commission with further information by letters dated 20 May 1998, 17 September 1998 and 17 February 1999. As the aid concerned both aids for fishery products and for agricultural products the dossier was split. State aid N 22/A[98 (now C 23/99) concerned the aid related to agricultural products, State aid N 22/B/98 concerned the aid related to fishery products. State aid N 22/B/98 was approved by the Commission by letter SG (98) D[4799 of 15 June 1998. The present Decision only concerns State aid N 22/A[98 (now C 23/99). By letter dated 3 May 1999, the Commission informed Germany that it had decided to initiate the procedure laid down in Article 88(2) of the Treaty in respect of the measure. The Commission Decision to initiate the procedure was published in the Official Journal of the European Communi- ties (3). The Commission called on interested parties to submit their comments. The German authorities submitted their comments by letter of 8 September 1999. The Commission received no comments from interested parties. II. DESCRIPTION The measure is meant to promote the development towards a market driven production process in the agri- cultural sector in Mecklenburg-Vorpommern, Germany. Especially small and medium sized enterprises encounter difficulties in adjusting their production process and in organising their marketing activities. Therefore, the State () O] C 213, 24.7.1999, p. 19. () See footnote 1. of Mecklenburg-Vorpommern wants to lower the threshold to start marketing activities and wants to promote the development of marketing skills among the agricultural entrepreneurs in the area. The measure subsidies promotional activities and mesures to improve the marketing possibilities in general. The measure concerns in particular subsidies for: — the organisation of the restaurant competition ‘Essen und Trinken in Mecklenburg-Vorpommern’ — the developement of promotional concepts, — participation in fairs and trade markets, — the development of quality labels and trademarks, — the participation in seminars and workshops concerning sales promotion, — market research, — promotional activities and sales supporting activities (advertising), — the development and maintenance of a regional label, — the use of brochures and leaflets. The measure grants support to producer associations, undertakings that are active in the processing and marketing of agricultural products, organisations for the support of sales promotion, and agricultural associa- tions. According to the original notification the benefi- ciaries had to have a legal seat in Mecklenburg-Vorpom- mern in order to be eligible for support. The aid is given in the form of direct grants. Maximally 50 % of the eligible costs may be reimbursed (60 % if the beneficiary is a small or medium sized undertaking). However, the maximum amount that may be granted as subsidy is DEM 150 000. The measure will be in force in the period 1999 to 2002. The aid consists of several measures that can be divided into ‘soft aids' and promotional aids. In the decision initiating the procedure under Article 88(2) of the Treaty the Commission stated that she had no objections to the measure in as far as it concerned soft aids as such. This concerned the organisation of the restaurant competition, the participation in fairs and trade markets, the participation in seminars and workshops concerning sales promotion, the development of promotional concepts, the development of quality labels and trade- marks, and market research.