20.2.93 OfficialJournaloftheEuropeanCommunities NoC50/9
II
(PreparatoryActs)
COMMISSION
ProposalforaCouncilRegulation(EEC)introducingadiversification anddevelopment
programmeforcertainbanana-producing countriesofLatinAmerica
(93/C50/07)
COM(92)496final
(SubmittedbytheCommissionon4February1993)
THECOUNCILOFTHEEUROPEAN COMMUNITIES ,HASADOPTEDTHISREGULATION :
Article1
Aprogrammetoprovidesupportfordiversification and
development,hereinafterreferredtoas'theprogramme',
isherebyinstitutedfortheAndeancountriesandthe
countriesoftheCentralAmericanisthmuslistedinthe
Annex,foraperiodoffiveyears.HavingregardtotheTreatyestablishingtheEuropean
EconomicCommunity ,andinparticularArticle235
thereof,
HavingregardtotheproposalfromtheCommission ,
HavingregardtotheopinionoftheEuropean
Parliament,
WhereasCouncilRegulation(EEC)No...(onthe
commonorganizationofthemarketinbananas)
providesforcommonarrangementsgoverningimportsof
bananasintotheMemberStates;
WhereastheeconomiesofmanyLatinAmerican
countries,inparticularthepoorestamongthem,depend
onalimitednumberofexportproductsandwhereasthe
diversification ofsuchproductscallsforconsiderable
financialresourceswhichthosecountriescannotat
presentprovideinthepresentstateoftheireconomies;
WhereastheCommunitysupportstheeffortsofthe
AndeanandCentralAmericancountriesintheirprocess
ofconductingeconomicrestructuringinadifficultsocial
context,dueinparticulartotheproblemscreatedby
drugproductionandtrafficking;TITLEI
TheProgramme'sobjectivesandresources
Article2
Theobjectivesoftheprogrammeshallbe:
—todevelopeconomic,industrialandtechnical
cooperationbetweentheCommunityandthe
beneficiarycountriesbyencouragingthedevel­
opmentofsectorsrelatingtonon-traditional
products,therebyreducingthosecountries'
dependenceonarestrictednumberofexport
products,
—tostrengthencooperationandregionalintegration,in
particularbetweenpoorcountriesandrelativelymore
advancedcountries .
Article3
1.Withaviewtoachievingtheobjectivesofthis
Regulation,theprogramme'sresourcesshallbeusedto
supportmeasureswhichmaybesupplementary toand
differentfromthoseimplementedundertheaidprovided
forinRegulation(EEC)No443/92(*).
2.Theprogramme'sresourcesshallbeemployed
withintheframeworkdefinedinArticles1and2of
Regulation(EEC)No443/92.WhereastheCommunityattachesspecialimportanceto
dialoguewiththeLatinAmericancountriesandtothe
strengtheningoftheirregionalbodies;
WhereastheCommunityactivelysupportsinitiativesto
preservenaturalresourcesandenvironmental balance;
WhereasforthosereasonsCommunitycooperationwith
thebanana-producing countriesofLatinAmericashould
besteppedupbyintroducingadiversification anddevel­
opmentprogrammetoassistthem;
WhereastheTreatyprovidesnopowersotherthanthose
inArticle235fortheadoptionofthisRegulation, (»)OJNoL52,27.2.1992,p.1.

NoC50/10 OfficialJournaloftheEuropeanCommunities 20.2.93
Article7
1.Financialsupportundertheprogrammemaycover
expenditureinforeignaswellasnationalcurrencyif
suchexpenditureisnecessarytoachievethemeasures
selected.3.Themeasuressupportedbytheprogrammemust
notdistortfreecompetition .
4.Themeasuressupportedbytheprogrammemust
takeaccountoftheneedtoprotecttheenvironmentand
naturalresources .
Article4
1.Themeasureseligibleforfinancialsupportunder
theprogrammemustbegearedtoproduction,special
attentionbeingpaidtothedevelopmentandmarketing
ofproductswhicharenottradedinsignificantquantities
atthetimeoftheentryintoforceofthisRegulation.2.Maintenanceandcurrentadministrative expen­
dituremaybechargeableundertheprogramme,withthe
provisothat,withtheexceptionoftrainingandresearch
programmes,thedefrayalofexpendituremaycoveronly
thestarting-upphaseandshallbedegressive .
3.Recipientsoffinancialsupportmustcontribute
towardsthefinancingofameasure,withinthelimitsof
theirresourcesandinaccordancewiththetypeof
measureconcerned . 2.Measureseligibleshallcompriseinparticular:
Article8
Theresourcesoftheprogrammeshallconsistofan
appropriationfixedonanannualbasisbythebudget
authority.
TITLEII
Administration oftheprogramme
Article9
1.TheCommissionshalladministertheprogramme .
ItshallbeassistedbytheCommitteeprovidedforin
Article15(2)ofRegulation(EEC)No443/92.
2.ProjectsqualifyingforaCommunitycontribution
inexcessofECU1million,togetherwithsubstantial
amendmentstoandanyoverrunsinapprovedprojectsin
excessof20%oftheamountoriginallyapproved,shall
beadoptedinaccordancewiththeprocedureprovided
forinArticle15(3)ofRegulation(EEC)No443/92.(a)atthepre-investment stage:
—sectoralorproduct-specific analysesorstudies,
—measuresconcerningtraining,researchandtech­
nologytransfer,
—reinforcingproducerassociations,
—improvingthelegalframework;
(b)attheinvestmentstage:
—basicinfrastructures relatingtotheproduction
process,
—creditlineswithaviewtocreatingorextending
enterprises,
—cropdiversificationprogrammes ,
—technicalassistanceandthetrainingoflocal
personnel.
Article5
TheStateslistedintheAnnex,togetherwiththeir
regionalorlocalunits,theinternationalregionalorgan­
izations,publicagencies,localcommunities,private
institutesandoperators,cooperatives,producerorganiz­
ationsandnon-profit-making bodiesmayqualifyfor
financialsupportunderthisprogramme .
Article6
Financialsupportundertheprogrammemaybegranted
intheformofspecialloans,subsidies,oracombination
thereof.Article10
Whenimplementingtheprogramme,theCommission
shallendeavourtoestablishdialogueandcooperation
withthecompetentinternationalinstitutionsandwith
thecontributors concerned .Itshallendeavourto
stimulateasfaraspossiblethemobilizationoflocal
savingsandtheparticipationoflocal,regionalandmulti­
lateralfinancialoperators.
Article11
WhenexaminingmeasurestheCommissionshallconsult,
asandwhentheneedarisesandinaccordancewith
suitablerules,thecompetentauthoritiesoftheStates
concerned,producers'associations,thefinancialauth­
oritiesandtheCommunityeconomicoperatorspresent
intheregion.

20.2.93 OfficialJournaloftheEuropeanCommunities NoC50/11
Article12
Atregularintervalsofnotmorethanoneyear,the
Commission shallforwardtotheMemberStatesthe
informationavailabletoitonthesectors,projectsand
measuresalreadyidentifiedwhichcouldbegranted
financialassistanceundertheprogramme .
Article13
TheCommissionshallsubmitanannualreporttothe
EuropeanParliamentandtheCouncilontheimplemen­
tationoftheprogramme .Thatreportshalloutlinethe
resultsoftheimplementation oftheresourcesintermsof
commitmentsandpayments,progressinutilizationofthe
resourcesandmeasuresfinancedduringtheyear.Itshallcontainaccurate,detailedinformationonawardsof
contractsfortheimplementation ofthemeasures
financed.
Article14
ThisRegulationshallenterintoforceontheseventhday
followingitspublicationintheOfficialJournalofthe
EuropeanCommunities .
TheapplicabilityofthepresentRegulationisconditional
onthatofCouncilRegulation(EEC)No...(onthe
commonorganizationofthemarketinbananas).
ThisRegulationshallbebindinginitsentiretyand
directlyapplicableinallMemberStates.
ANNEX
ListofrecipientcountriesprovidedforinArticle1
Panama Colombia
CostaRica Venezuela
Nicaragua Ecuador
Honduras Peru
ElSalvador Bolivia
Guatemala