31. 3. 88 Official Journal of the European Communities No C 84/31 
ensure the transition from the arrangements 
applicable during the verification of convergence 
phase or the first stage to the second phase or 
stage. 
5. The provisions of this Article shall not apply to 
tomatoes, satsumas, Clementines, mandarins and 
nectarines during the period of application of Articles 
16(3a) and 16a.' 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European 
Economic Community, and in particular Article 43 thereof, 
Having regard to the proposal from the Commission, 
In cooperation with the European Parliament, 
Having regard to the opinion of the Economic and Social 
Committee, 
Whereas, in order to curb any increase in the Community's 
tobacco production and at the same time to discourage the 
growing of varieties which are difficult to dispose of, 
provision should be made for a proportional reduction in 
the prices and premiums if production exceeds a maximum 
guaranteed quantity fixed for each harvest; whereas certain 
costs are added to the intervention price to obtain the 
derived intervention price; whereas the application of the 
reduction coefficient to the derived intervention price must 
not affect such costs; 
Whereas the maximum quantity must be established in the 
light of production statistics and the market situation; 
whereas in order to continue to implement a policy aimed 
at encouraging the most sought-after varieties and to take 
account of specific regional features of tobacco production, 
a maximum guaranteed quantity should be fixed for each 
variety or group of varieties; whereas provision should be 
made, for a limited period, for a ceiling on any reduction in 
the prices and premiums; whereas Regulation (EEC) No 
727/70 should be amended accordingly, 
HAS ADOPTED THIS REGULATION: 
Article 1 
Regulation (EEC) No 727/70 is hereby amended as 
follows: Article 2 
This Regulation shall enter into force on the third day 
following its publication in the Official Journal of the 
European Communities. 
This Regulation shall be binding in its entirety and directly 
applicable in all Member States. 
The following paragraph 5 is added to Article 4: 
'5. Each year and in accordance with the procedure 
provided for in Article 43(2) of the Treaty, the Council 
shall fix a maximum guaranteed quantity in particular 
in the light of market requirements for each variety or 
group of varieties of Community-produced tobacco for 
which prices and premiums are fixed. The overall 
maximum quantity for the Community shall be fixed at 
385 000 tonnes of leaf tobacco for each of the 1988, 
1989 and 1990 harvests. 
Without prejudice to the provisions of Articles 12a and 
13, for each 1 % by which the maximum guaranteed 
quantity is exceeded per variety or group of varieties, 
the norm and intervention prices and the premiums 
concerned shall be reduced by 1 %. The reduction shall 
not exceed 5 % for the 1988 harvest and 15 % for the 
1989 and 1990 harvests. 
For the purposes of applying this paragraph, the 
Commission shall establish before 31 July whether 
production exceeds the maximum guaranteed quantity 
for a variety or group of varieties. 
Detailed rules for the application of this paragraph shall 
be adopted in accordance with the procedure laid down 
in Article 17.' 
Article 2 
This Regulation shall enter into force on the third day 
following its publication in the Official Journal of the 
European Communities. 
This Regulation shall be binding in its entirety and directly 
applicable in all Member States. Proposal for a Council Regulation (EEC) amending Regulation (EEC) No 727/70 on the 
common organization of the market in raw tobacco 
COM(88) 84 final 
(Submitted by the Commission to the Council on 25 February 1988) 
(88/C 84/18)