No C 237/8 Official Journal of the European Communities 3.9. 87 
II 
(Preparatory Acts) 
COMMISSION 
Proposal for a Council Regulation amending Regulation (EEC) No 389/82 on producer groups 
and associations thereof in the cotton sector 
COM(87) 361 final 
(Submitted by the Commission to the Council on 23 July 1987) 
(87/C 237/12) 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European 
Economic Community, 
Having regard to the Act of Accession of Greece, and in 
particular paragraphs 9 and 11 of Protocol 4 thereto, as 
amended by Protocol 14 to the Act of Accession of 
Spain and Portugal, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European 
Parliament, 
Whereas, pursuant to paragraph 11 of Protocol 4 to the 
Act of Accession of Greece, no later than five years after 
the implementation of the system introduced pursuant to 
that Protocol, the system is to be the subject of a review; 
Whereas, in accordance with the abovementioned 
Protocol, the common measures provided for by Council 
Regulation (EEC) No 389/82 O apply also in Spain, 
and consequently the needs of cotton production in this 
Member State should be taken into account; 
Whereas, in accordance with the said Regulation, Greece 
adopted provisions for the establishment of groups and 
associations thereof in the cotton sector and 
implemented a programme of aids for investments by 
those groups and associations thereof; 
Whereas the implementation of the common measures 
provided for has aroused great interest among cotton 
producers, particularly as regards investments by cotton 
producer groups in mechanized harvesting equipment; 
Whereas, in order to streamline the application of the 
measures provided for in Articles 4 and 5 of Regulation 
(EEC) No 389/82, certain conditions, in particular those 
relating to the duration and the limits on the aid for the 
launching of groups and associations thereof, should be 
relaxed; 
(") OJ No L 51, 23. 2. 1982, p. 1. Whereas producer groups and associations thereof may 
often not be established while complying with the 
conditions laid down in Article 2 (1) (b) of Regulation 
(EEC) No 389/82 in order to qualify for certain aids for 
investments, in particular in packaging, ginning and 
storage facilities; whereas access to such aids should 
consequently be extended to private undertakings also, 
on condition that the participation of producers of the 
basic product in the economic advantages arising from 
their investments is ensured; 
Whereas the encouragement of cotton production in the 
Community constitutes a worthwhile alternative to the 
replacement of intensive irrigated crops of which there is 
often a surplus in the Community; 
Whereas, to achieve that objective, efforts in this sector 
should be intensified taking into account in addition the 
limited financial resources of the regions concerned; 
whereas, as a consequence, the common measures should 
be extended, adequate financial resources should be 
provided for the requirements of those regions and the 
Community rates of contribution should be raised from 
40 % to 50 % of eligible expenditure by the Member 
States, 
HAD ADOPTED THIS REGULATION: 
Article 1 
Regulation (EEC) No 389/82 is hereby amended as 
follows: 
1. Article 4 (1), (2) and (3) are replaced by the 
following: 
'1. The Member States concerned shall grant aid to 
groups and associations, in respect of the five years 
following the date of their recognition, to encourage 
their formation and to facilitate their administrative 
operation. Such aid may be paid over seven years 
following the date of recognition. 
2. The amount of aid granted to producer groups 
for the first, second, third, fourth and fifth years 
respectiveley: 
3.9.87 Official Journal of the European Communities No C 237/9 
(a) shall be equal to a maximum of 5 °/o, 5 °/o, 4 %, 
3 % and 2 % of the value of products: 
— coming from producer groups as referred to in 
Article 1 (1), 
— to which recognition relates and which are 
placed on the market; 
(b) may not, however, exceed the actual formation 
and administrative operating expenditure.' 
2. The following subparagraph is added to Article 5 (1): 
'However, the aid referred to in the first subpara­
graph relating to storage, ginning and packaging 
facilities may also be granted to private undertakings 
provided that the programmes referred to under (c) 
include: 
— investments which the said undertakings 
contemplate making in storage, ginning and 
packaging facilities, 
— an assurance as to the adequate, lasting parti­
cipation of cotton producers in the economic 
advantages arising from the investments, and/or 
the obligation to conclude supply contracts 
between groups and the said undertakings, of a 
duration of at least five years.' 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European 
Economic Community, and in particular Articles 42 and 
43 thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European 
Parliament, 
Whereas, pursuant to Council Regulation (EEC) No 
1942/81 0), as amended by Regulation (EEC) No 3768/ 
85 O, the United Kingdom is implementing an agri­
cultural development programme in the less-favoured 3. Article 10 is replaced by the following: 
'Article 10 
1. The period for carrying out the common 
measures shall be 10 years from the date of entry into 
force of this Regulation. 
2. Before the end of the period provided for in 
paragraph 1, the Commission shall submit to the 
Council a report on progress in the common 
measures. 
3. The estimated total cost of carrying out the 
common measures to be borne by the Guidance 
Section of the Fund shall be 45 million ECU, 3 
million ECU of which are provided for the 
application of Title I. 
4. Article 6 (5) of Regulation (EEC) No 729/70 
shall apply to this Regulation.' 
4. In Article 11 (2), '40 %' is replaced by '50 %'. 
Article 2 
This Regulation shall enter into force on the day of its 
publication in the Official Journal of the European 
Communities. 
It shall apply with effect from 26 February 1987. 
This Regulation shall be binding in its entirety and 
directly applicable in all Member States. 
areas of Northern Ireland to bring about a significant 
improvement in agricultural structures and in agricultural 
production possibilities in the areas concerned; 
Whereas the programme has been reviewed after its first 
four years of implementation in accordance with Article 
2 (4) of Regulation (EEC) No 1942/81; 
Whereas Council Directive 84/169/EEC of 28 February 
1984 concerning the Community list of less-favoured 
farming areas within the meaning of Directive 
75/268/EEC (United Kingdom) (3), extended the less-
favoured areas of Northern Ireland; Proposal for a Council Regulation amending Regulation (EEC) No 1942/81 for the stimulation 
of agricultural development in the less-favoured areas of Northern Ireland 
COM(87) 371 final 
(Submitted by the Commission to the Council on 28 July 1987) 
(87/C 237/13) 
(') OJ No L 197, 20. 7. 1981, p. 17. 
O OJNoL362, 31. 12. 1985, p. 8. O OJ No L 82, 26. 3. 1984, p. 67.