Due to the current pandemic of COVID-19 and the resulting extensive movement restrictions, exceptional difficulties have been encountered by farmers, wine growers, olive oil producers and beekeepers in all Member States. Logistical problems and shortage of workforce have made them vulnerable to the economic disruption caused by the pandemic. In particular, they experience financial difficulties and cash-flow problems. In view of the unprecedented nature of those combined circumstances, it is necessary to alleviate those difficulties by derogating from certain provisions of different Implementing Regulations applicable in the area of the common agricultural policy.

The measures taken by governments over the last months to address the crisis due to the pandemic of COVID-19, especially the closure of hotels, bars and restaurants, the limitation of circulation of people and goods to the essential, the closure of certain borders within the Union, are having a negative impact on the Union wine sector. It is estimated that the closure of hotels, bars and restaurants directly affects 30 % of the volumes of wine consumed in the Union, corresponding to 50 % of the value of wine consumed in the Union. Furthermore, the labour shortage and the logistical difficulties caused by the pandemic are putting pressure on wine growers and the whole wine sector. Wine growers are facing increasing problems for the upcoming harvest: low prices, reduced consumption, transport and sales difficulties.

In addition, the Union wine market has been already subject to aggravating conditions throughout 2019 and wine stocks are at their highest level since 2009. This development is due primarily to a combination of the record harvest in 2018 and general decreasing wine consumption in the Union. Furthermore, the imposition by the United States of America, the Union’s main wine export market, of additional import tariffs on Union wines has impacted exports. The pandemic of COVID-19 has delivered a further blow to a fragile sector that is no more able to market or distribute its products effectively, due mostly to the closure of major export markets and to the measures taken to ensure a proper confinement and lockdown in particular the interruption of all catering activities and the impossibility to supply usual customers. All this is leading to losses of income for all actors of the wine sector. The uncertainty regarding the length of the measures taken to address the pandemic and their impact on prices, consumption patterns and incomes are putting further pressure on the Union wine sector.

Article 2(1) of Commission Implementing Regulation (EU) 2016/1150 provides that changes in respect of applicable support programmes, as referred to in Article 41(5) of Regulation (EU) No 1308/2013, shall not be submitted more than twice per financial year. In order to enable Member States to quickly adapt their national support programmes for reasons related to the crisis due to the COVID-19 pandemic, it is appropriate to allow that such changes may be submitted more than twice per financial year as long as those changes are submitted before 15 October 2020. Member States should be able to react quickly to the exceptional circumstances related to the crisis due to the COVID-19 pandemic and submit changes to their programme as early and as often as is considered necessary. Such flexibility would allow Member States to optimise the measures already in place, increase the number of interventions and make adjustments more frequently taking account of the market situation. Furthermore, it would make it possible also for Member States that wish to include further measures in their national support programme to do so immediately upon entry into force of this Regulation rather than having to wait for the next deadline for amendments. With this improved flexibility, more opportunities would be available to operators including newcomers, to submit applications for support. This is intended to provide relief to the wine sector and ensure the flexibility necessary in the face of the consequences resulting from the crisis due to the COVID-19 pandemic.

In view of the crisis resulting from the COVID-19 pandemic and the resulting lack of human resources, it is materially impossible for producers to carry out the planned operations in relation to green harvesting. It is therefore appropriate to postpone for the year 2020 the deadline for the submission of applications for support for green harvesting as well as the deadline for carrying out such operations as set out respectively in points (b) and (d) of Article 8 of Implementing Regulation (EU) 2016/1150. This should provide producers with additional time to plan and to find the necessary labour force to carry out such operations.

In addition, with regard to the crisis due to the COVID-19 pandemic and the resulting growing wine surpluses on the market, it appears obsolete to request from Member States to provide a specific justification for the application of green harvesting. Therefore, it is appropriate to derogate from point (c) of Article 8 of Implementing Regulation (EU) 2016/1150 and suspend temporarily for the year 2020 the requirement that Member States establish an expected market situation justifying the application of green harvesting to restore market balance and prevent crisis.

Article 4(3), (4) and (5) and Article 5(3) of Implementing Regulation (EU) 2017/39 lay down the period that aid applications for the supply and distribution of products and for the accompanying educational measures may cover, and the time limit for the submission of aid applications and for the payment of the aid under the school scheme. In view of the extension of the duration of the 2019/2020 school year, a derogation from Article 4(3), (4) and (5) and Article 5(3) of Implementing Regulation (EU) 2017/39 should be provided for with regard to the aid applications for the school scheme activities taking place after 31 July 2020, so that they may cover periods of less than two weeks and to lay down the time limits for the submission of aid applications and for the payment of the aid.

Article 7(3) of Implementing Regulation (EU) 2017/39 sets out the rules for the reallocation of unrequested Union aid amongst the Member States participating in the school scheme that have notified their willingness to use more than their indicative allocation. The amount of indicative allocation that may be reallocated to another Member State is to be based on the level of use of the definitive allocation of Union aid in the previous school year by that Member State. The confinement rules put in place by the Member States to address the COVID-19 pandemic, which include the temporary closure of educational establishments, might lead to a lower use of Union aid in 2019/2020 school year. It is therefore appropriate to provide for a derogation from Article 7(3) of Implementing Regulation (EU) 2017/39, in order not to take into account the level of use of Union aid in the 2019/2020 school year for the reallocation of unrequested Union aid amongst the Member States participating in the school scheme in the 2021/2022 school year.

In view of the necessity to take immediate action, this Regulation should enter into force on the day of its publication in the Official Journal of the European Union.

The measures provided for in this Regulation are in accordance with the opinion of the Committee for the Common Organisation of the Agricultural Markets,