Proposal for a COUNCIL REGULATION (EC) No . . .

of . . .

fixing the derived intervention prices for white sugar, the intervention price for raw sugar, the minimum prices for A and B beet, the threshold prices and the amount of compensation for storage costs for the 1994/95 marketing year (94/C 83/09)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EEC) No 1785/81 of 30 june 1981 on the common organization of the markets in the sugar sector (1), as last amended by Regulation (EC) No 133/94 (2), and in particular Articles 3 (5), 5 (5), 8 (4) and 14 (5) thereof,

Having regard to the proposal from the Commission,

Whereas Council Regulation (EC) No . . . of . . . fixing certain sugar prices and the standard quality of beet for the 1994/95 marketing year (3), fixes the intervention price for white sugar at ECU 52,33 per 100 kilograms for non-deficit areas;

Whereas Article 3 (1) of Regulation (EEC) No 1785/81 provides that derived intervention prices for white suagr are to be fixed for each deficit area; whereas, when these prices are fixed, account should be taken of the regional variations which, given a normal harvest and free movement of sugar, might be expected to occur in the price of sugar under natural conditions of price formation on the market;

Whereas a short supply situation is to be foreseen in the areas of production in Ireland, Italy, the United Kingdom, Spain and Portugal;

Whereas Article 3 (5) of Regulation (EEC) No 1785/81 provides that an intervention price for raw sugar is to be fixed; whereas that price should be determined using the intervention price for white sugar as a basis;

Whereas Regulation (EC) No . . . fixes the basic price for beet at ECU 39,48 per tonne, whereas Article 5 (2) of Regulation (EEC) No 1785/81 provides that the minimum price to be fixed for A beet is to be 98 % of the basic for beet and the minimum price to be fixed for B beet is in principle to be 68 % of the said basic price notwithstanding Article 28 (5) of that Regulation;

Whereas Article 14 (2) of Regulation (EEC) No 1785/81 provides that the threshold price for white sugar is to be equal to the target price, plus the costs, calculated at a flat rate, of transport from the Community area having the largest surplus to the most distant deficit area of consumption in the Community, plus a flat-rate amount which takes into account the storage levy; whereas, given the state of supplies within the Community, account should be taken of transport charges between the departments of northern France and Palermo;

Whereas the threshold price for raw sugar is to be derived from the threshold price for white sugar account being taken of flat-rate amounts for processing and a standard yield;

Whereas the threshold price for molasses must be fixed in such a way that the receipts from sales of molasses may reach the level of receipts of undertakings taken into account when the basic price for beet is fixed;

Whereas Article 5 of Council Regulation (EEC) No 1358/77 of 20 June 1977 laying down general rules for offsetting storage costs for sugar and repealing Regulation (EEC) No 750/68 (4), as last amended by Regulation (EEC) No 3042/78 (5), provides that the repayment in the context of the compensation for storage costs is to be fixed per month and per unit of weight, taking account of financing costs, insurance and specific storage costs; whereas, for financing costs, account should be taken of a 6,25 % interest rate,

HAS ADOPTED THIS REGULATION:

Article 1

For the deficit areas of the Community, the derived intervention price for white sugar shall be:

(a) ECU 53,54 per 100 kilograms for all the areas in the United Kingdom;

(b) ECU 53,54 per 100 kilograms for all the areas in Ireland;

(c) ECU 53,54 per 100 kilograms for all the areas in Portugal;

(d) ECU 53,73 per 100 kilograms for all the areas Spain;

(e) ECU 54,27 per 100 kilograms for all the areas in Italy.

Article 2

The intervention price for raw sugar shall be ECU 43,37 per 100 kilograms.

Article 3

1. The minimum price for A beet applicable in the Community shall be ECU 38,69 per tonne.

2. Except where Article 28 (5) of Regulation (EEC) No 1785/81 is applied, the minimum price for B beet applicable in the Community shall be ECU 26,85 per tonne.

Article 4

The threshold price shall be:

(a) ECU 63,18 per 100 kilograms of white sugar;

(b) ECU 53,99 per 100 kilograms of raw sugar;

(c) ECU 6,80 per 100 kilograms of molasses.

Article 5

The reimbursement referred to in Article 8 of Regulation (EEC) No 1785/81 shall be ECU 0,35 per 100 kilograms white sugar per month.

Article 6

This Regulation shall enter into force on the third day following its publication in the Official Journal of the European Communities.

It shall apply for the 1994/95 marketing year.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at . . .

For the Council

. . .

(1) OJ No L 177, 1. 7. 1981, p. 4.

(2) OJ No L 22, 27. 1. 1994, p. 7.

(3) See page 13 of this Official Journal.

(4) OJ No L 156, 25. 6. 1977 p. 4.

(5) OJ No L 361, 23. 12. 1978 p. 8.