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DOCUMENTS "COM"
COM(74)1874
Vol.1974/0296

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(74)1874 final
Brussels.15November1974
Proposalfora
REGULATION(EEC')OPTHECOUNCIL
amendingRegulationNo359/67/EEConthecommon
organisation ofthemarketinrice
(submittedtotheCouncilbytheCommission)
COM(74)1S74final

EXPLANATORY MEMORANDUM
Paragraph4ofArticle17ofRegulation359/^7/ESGprovidesthatwhenan
exportrefundisfixedinadvanceacorrectiveamountshallbeapplied.
However,experiencehasshownthatthesystematicapplicationofcorrec­
tivesdoesnotalwaysmeettheneedsoftheexportmarket.Itisproposed
thatinthiscaseadifferentapproachshouldbetaken.
ItisatpresentthecasethatthemeasuresprovidedforinArticle21of
Regulation359/67anddefinedbyCouncilRegulation(EEC)No2737/73
(OJNoL282,p.13)shouldonlybetriggeredifthecifpriceexceeds
thethresholdbyatleast2percent.Thisarrangement hasbeenshown,
intheframeworkofCommunityexports,tobeinsufficienttocopewith
asituationofhighpricesontheworldmarket.Infact,ariskofdis­
turbancecouldexistassoonastheworldmarketpriceapproachesthe
thresholdprice.Inaddition,inthecontextofexports,thecifprice
establishedforCommunityportsisonlyoneofthecriteriawhichcan
serveinassessingthesituationontheworldmarket.Otherpricesormarket
questionsshouldequallybetakenintoaccount.Inthiscircumstance ,it
isproposedtoadaptArticle21totherequirements ofabettermanagement
ofthemarket.

PROPOSAL PORA
RKRJIATiafí(EEC)OPT33COUITCIL
amendingRegulationHo359/67/EECon"thecommon
organistionofthemarketinrice
TEECOUNCILOPTHEEUROPEMTCOISOIITIES,
τ
HavingregardtotheTreatyestablishingtheEuropeanEconomicCommunity,
andinparticularArticle43thereof;
HavingregardtotheproposalfromtheCommission;
EavingregardtotheOpinion'''oftheEuropeanParliament;
WhereasArticle17(4)ofCouncilRegulationEo359/c7/EEC^of25July19^7onthe
commonorganizationofthemarketinrice,aslastamendedbyRegolation(EEC)
ITo1129/74^1providesthatacorrectiveamountisto"beappliedtoexportrefunds
onricewhicharefixedinadvanceJwhereasexperiencehasshownthatconditionson
theexportmarketdonotalwaysrequirethesystematicapplicationofcorrective
amounts;whereasprovisionshouldthereforebemadetoallowdifferentdecisions
tobetakeninsuchcases;
WhereastheobjectofArticle21ofRegulationBo359/67/EECistopreventdis­
turbanceoftheCoEEzmitymarketandtoensureitsstabilityintheeventof'major
priceincreasesontheworldmarket;whereasthereisnoprovisionforappropriate
measurestobetakenuntilthelevelofthecifpriceliasrisenabovethatofthe
thresholdprice;whereasthethreatofdisturbanceoftheinternalCommunitymarket
mayinfactalreadyexistwhenquotationsorpricesontheworldmarkethavereach;
alevelolosetothatofthethresholdprice;whereasprovisionshouldthereforebe
madeforappropriate measurestobetakenwhenquotationsorpricesontheworld
markethavereachedsuchalevel;
OJ5o
20JSo174,31.7.1967,p.l
30JEoL123.10.5.1974,p.20

LLSiU/jPIEB'i'HIGiEGfULATION :
Article1.
ThetextofArticle17(4)ofRegulationHo359/67/ESCisreplaced "bythe
following: ■
"4.However,asregardsth'oexportationof"productsspecifiedinArticle
l(l)(a)and(b),therefundapplicableonthedayonwhichtheappli­
cationforalicenceislodged,adjustedforthethresholdprice
whichv;illboinforceduringthemonthofexportation ,shall,ifthe
applicantsubmitsarequesttothateffect "before13*00hourson"thedayonwhi.oh
heappliesforthelioonco#"beappliedtoenexportoperationtobeearriedouto
anytime'duringtheperiodofvalidityofthelicence.Insuchcase,
acorrectiveamount,whichmaybe'1fixedatthesametimeastherefund
andunderthesameprocedure,shallbeappliedtotherefund;however,incases
.ofurgentneed,theCommissionmay,attherequestofaKemborStaie
oronitsoiminitiative ,,takeadifferentdecisionintheintervening ■,..
period.
Theprovisionsoftheprecedingsubparagraph maybeappliedinwholeor
inparttoanyoftheproductsspecified'inArticlel(l)(c)andin
AnnexB."
Article2
ThetextofArticle21ofRegulationHo359/67/SECis.replacedbythefollowing:
"1.Wherethequotationsorpricesontheworld/marketforoneormoreofthe
,productsspecifiedinArticlel(l)(a)and(b)becvoreachedalevelolosototha-£
ofthethresholdprice,andthatsituation .islikelytocontinueandto
deteriorate ,therebydisturbingorthreateningto-disturbtheCommunity
.market,-appropriate measuresmaybetaken.• ;
2.TheCouncil,actinginaccordancewiththevotingprocedurelaiddownin
Article43(2)oftheTreatyonaproposalfromtheCommission,shall
adoptgeneralrulesfortheapplicationofthisArticle.
3.DetailedrulesfortheapplicationofthisArticleshallbeadoptedin
accordancewiththeprocedurelaiddowninArticle26.."

ThisRegulationshallenterintoforceonthethirddayfollowingitspublica­
tionintheOfficialJournaloftheEuropeanCommimities «
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicableinall
MemberStates.
DoneatBrussels, FortheCouncil
ThePresident