Filippo Galli (Judgment): ECJ 23 Jan 1975

Europa In sectors covered by a common organization of the market, and especially when this organization is based on a common price system, member states can no longer take action, through national provisions taken unilaterally, affecting the machinery of price formation as established under the common organization. Article 103, which refers to member states’ conjunctural policies, does not relate to those areas already subject to common rules such as the organization of agricultural markets. The only way compatible with community law of enabling member states to attain, in a sector covered by a common organization of the market, the objectives sought by national legislation and intended to combat a rise in prices, is for those states to take, at the community level, the necessary action for the purpose of prompting the competent community authority to institute or authorize measures which are consistent with the single market. The price system established by regulations nos 120/67 and 136/66 is applicable solely at the production and wholesale stage, with the result that these provisions leave member states free – without prejudice to other provisions of the treaty – to take the appropriate measures relating to price formation at the retail and consumption stages, on condition that they do not jeopardize the aims or functioning of the common organization of the market in question.

Citations:

C-31/74

European, Agriculture

Updated: 10 April 2022; Ref: scu.132372