Proposal for a Council Regulation amending Regulation (EEC) No 1554/95 laying down the general rules for the system of aid for cotton and repealing Regulation (EEC) No 2169/81 (COM(96)0044 - C4-0168/96 - 96/0905(CNS))

The proposal was approved with the following amendments:

(Amendment 28)

Recital 1

>Original text>

Whereas the second subparagraph of Article 5(2) of Council Regulation (EC) No 1554/952 provides in particular for the possibility of lodging an application for aid before the application for supervised storage; whereas use of this provision has caused distortions of competition between operators; whereas, therefore, the provision should be withdrawn;

2 OJ L 148, 30.6.1995, p. 48.

>Text following EP vote>

Whereas it is necessary to maintain unchanged the present system of lodging applications, since the reform of the common organization of the market in cotton entered into force only a short time ago and there is no need to make substantial changes to it at present;

(Amendment 29)

ARTICLE 1(1)

Article 5(2), second subparagraph (Regulation No 1554/95)

>Original text>

1. The second subparagraph of paragraph 2 is deleted.

>Text following EP vote>

Deleted

(Amendment 30)

ARTICLE 1(2)

Article 5(3) (Regulation (EC) No 1554/95)

>Original text>

3. Entitlement to the aid shall be acquired when the cotton is ginned. However, aid may be paid in advance from 16 October following the start of the marketing year when the unginned cotton enters the cotton ginning undertaking, provided that an adequate security has been lodged. The amount of the advance shall be calculated using the procedure laid down in Article 11(1). The level of the advance shall be equal to the guide price minus the world price and reduced further by an amount calculated using the method provided for in Article 6, but replacing actual production by the estimated production of unginned cotton plus 15%. Any aid balance outstanding shall be paid once the actual quantity produced has been determined and any adjustments to the aid as referred to in Article 2(3) and (4) of Council Regulation (EEC) No 1964/87, as last amended by Regulation (EC) No 1553/95, have been made. It shall be paid before the end of the marketing year, at the latest.

>Text following EP vote>

3. Entitlement to the aid shall be acquired when the cotton is ginned. However, aid may be paid in advance from 16 October following the start of the marketing year when the unginned cotton enters the cotton ginning undertaking, provided that an adequate security has been lodged. The amount of the advance shall be calculated using the procedure laid down in Article 11(1). The level of the advance shall be equal to the guide price minus the world price and reduced further by an amount calculated using the method provided for in Article 6, but replacing actual production by the estimated production of unginned cotton plus 8%. Any aid balance outstanding shall be paid once the actual quantity produced has been determined and any adjustments to the aid as referred to in Article 2(3) and (4) of Council Regulation (EEC) No 1964/87, as last amended by Regulation (EC) No 1553/95, have been made. It shall be paid before the end of the marketing year, at the latest.

Legislative resolution embodying Parliament's opinion on the proposal for a Council Regulation amending Regulation (EC) No 1554/95 laying down the general rules for the system of aid for cotton and repealing Regulation (EEC) No 2169/81 (COM(96)0044 - C4-0168/96 - 96/0905(CNS))

(Consultation procedure)

The European Parliament,

- having regard to the Commission proposal to the Council, COM(96)0044 - 96/0905(CNS) ((OJ C 125, 27.4.1996, p. 18.)),

- having been consulted by the Council (C4-0168/96),

- having regard to Rule 58 of its Rules of Procedure,

- having regard to the report of the Committee on Agriculture, Fisheries and Rural Development and the opinions of the Committee on Budgets, the Committee on External Economic Relations and the Committee on the Environment, Public Health and Consumer Protection (A4-0117/96),

1. Approves the Commission proposal subject to Parliament's amendments;

2. Calls on the Council to notify Parliament should it intend to depart from the text approved by Parliament;

3. Asks to be consulted again should the Council intend to make substantial modifications to the Commission proposal;

4. Instructs its President to forward this opinion to the Council and Commission.