31.12.86 OfficialJournaloftheEuropeanCommunities NoL387/207
AGREEMENT
intheformofanExchangeofLettersbetweentheEuropeanEconomicCommunityandBarbados,
Belize,thePeople'sRepublicoftheCongo,Fiji,theCooperativeRepublicofGuyana,theRepublicof
theIvoryCoast,Jamaica,theRepublicofKenya,theDemocraticRepublicofMadagascar ,the
RepublicofMalawi,Mauritius,theFederationofSt.ChristopherandNevis,theRepublicof
Suriname,theKingdomofSwaziland,theUnitedRepublicofTanzania,theRepublicofTrinidadand
Tobago,theRepublicofUgandaandtheRepublicofZimbabweontheguaranteedpricesforcane
sugarforthe1985/86deliveryperiod
LetterNo1
Brussels,
Sir,
1.Therepresentatives oftheACPStatesreferredtoinProtocol7onACPsugarannexedtotheThird
ACP—EECConventionandoftheCommission ,actingonbehalfoftheEuropeanEconomic
Community ,haveagreed,pursuanttotheprovisionsofthesaidProtocol,tosubmittotheir
competentauthoritiesforapproval,tobethesubjectofanExchangeofLettersbetweentheACP
StatesconcernedandtheCommunity ,thefollowing .
2.Fortheperiod1July1985to30June1986theguaranteedpricesreferredtoinArticle5(4)ofthe
SugarProtocolshall,forthepurposeofinterventionwithinthetermsofArticle6ofthat
Protocol,be:
(a)forrawsugar:44,85ECUper100kilogramsfrom1July1985to31March
1986,
44,92ECUper100kilogramsfrom1April1986to30June
1986;
(b)forwhitesugar:55,39ECUper100kilograms .
3.Theseprices,whichrepresentincreasesof1,15%and1,31%respectivelyoverthoseapplicable
fortheprecedingdeliveryperiod,shallrefertosugarofstandardqualityasdefinedinCommunity
legislation,unpacked,ciffreeoutEuropeanportsoftheCommunity .Theintroductionofthese
pricesinnowayprejudicestherespectivepositionsoftheContractingPartiesinrespectofthe
principlesappertainingtothedetermination oftheguaranteedprices.
4.Althoughretroactivityisnotprovidedforinrespectofthe1985/86prices,itisagreedthatthis
year'sdecisiondoesnotprejudicethepositionoftheACPStatesinrelationtoretroactivityinany
futurenegotiationinaccordancewithArticle4(3)ofProtocol7annexedtotheThirdACP—EEC
Convention .
5.Itwasnotedthat,intheviewoftheACPStates,theproblemofoceanfreightcostsremainedan
outstandingandpressingmatterwhichrequiredimmediateconsiderationandresolution .Further,
inthecontextofparagraph3,theconcernoftheACPStateswithregardtothemethodusedin
arrivingatthesepriceswasnoted.
Ishouldbeobligedifyouwouldacknowledgereceiptofthisletterandconfirmthatthisletterandyour
replyconstituteanAgreementbetweentheGovernments oftheACPStatesconcernedandthe
Community .
Pleaseaccept,Sir,theassuranceofmyhighestconsideration .
Onbehalfofthe
CounciloftheEuropeanCommunities

NoL387/208 OfficialJournaloftheEuropeanCommunities 31.12.86
LetterNo2
Brussels,
Sir,
Ihavethehonourtoacknowledgereceiptofyourletteroftoday'sdatewhichreadsasfollows:
'1.Therepresentatives oftheACPStatesreferredtoinProtocol7onACPsugarannexedtothe
ThirdACP—EECConventionandoftheCommission ,actingonbehalfoftheEuropean
EconomicCommunity ,haveagreed,pursuanttotheprovisionsofthesaidProtocol,to
submittotheircompetentauthoritiesforapproval,tobethesubjectofanExchangeofLetters
betweentheACPStatesconcernedandtheCommunity ,thefollowing.
2.Fortheperiod1July1985to30June1986theguaranteedpricesreferredtoinArticle5(4)of
theSugarProtocolshall,forthepurposeofinterventionwithinthetermsofArticle6ofthat
Protocol,be:
(a)forrawsugar:44,85ECUper100kilogramsfrom1July1985to31March
1986,
44,92ECUper100kilogramsfrom1April1986to30June1986;
(b)forwhitesugar:55,39ECUper100kilograms .
3.Theseprices,whichrepresentincreasesof1,15%and1,31%respectivelyoverthose
applicablefortheprecedingdeliveryperiod,shallrefertosugarofstandardqualityasdefined
inCommunitylegislation,unpacked,ciffreeoutEuropeanportsoftheCommunity .The
introductionofthesepricesinnowayprejudicestherespectivepositionsoftheContracting
Partiesinrespectoftheprinciplesappertainingtothedetermination oftheguaranteed
prices.
4.Althoughretroactivityisnotprovidedforinrespectofthe1985/86prices,itisagreedthat
thisyear'sdecisiondoesnotprejudicethepositionoftheACPStatesinrelationtoretroactivity
inanyfuturenegotiationinaccordancewithArticle4(3)ofProtocol7annexedtotheThird
ACP—EECConvention .
5.Itwasnotedthat,intheviewoftheACPStates,theproblemofoceanfreightcostsremained
anoutstandingandpressingmatterwhichrequiredimmediateconsiderationandresolution .
Further,inthecontextofparagraph3,theconcernoftheACPStateswithregardtothe
methodusedinarrivingatthesepriceswasnoted.
Ishouldbeobligedifyouwouldacknowledgereceiptofthisletterandconfirmthatthisletterand
yourreplyconstituteanAgreementbetweentheGovernmentsoftheACPStatesconcernedandthe
Community.'.
IhavethehonourtoconfirmtheAgreementoftheGovernmentsoftheACPStatesconcernedwiththe
foregoing.
Pleaseaccept,Sir,theassuranceofmyhighestconsideration .
FortheGovernments
oftheACPStatesconcerned