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DOCUMENTS "COM"
COM(81)798
Vol.1981/0224

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(81)798 final
Brussels,15December1981
Proposalfora
COUNCILREGULATION (EEC)
amendingRegulation (EEC)Nd1785/81onthecommonorganization ofthe
marketsinthesugarsector
(submittedtotheCouncilbytheCommission )
"\
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i- V,t;-,*./
V'.^ K7
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C0M(81)798final

bXKLANATORY MEMORANDUM
1»Article27ofthebasicsugarregulationallows .sugarproducerstocarry
forwardthewholeorpartoftheirproduction outsidetheirAquotasto
thenextmarketingyeartobetreatedaspartofthatyear'sproduction .
Anysugarcarriedforwardmustbestoredfor12consecutive monthsbe­
ginningon1Februaryofthemarketingyearinwhichitwasproduced,
anditbenefitsfromthereimbursement ofstoragecostsduringthatperiod
underthesystemprovidedforinArticle8ofthesameregulation .
It.shouldberecalledthatcarry-forwardarrangements wereinoperation
before1July1981,whenthecurrentbasicregulation enteredintoforce,
butwiththedifferencethatthemaximumquantitythatcouldpreviously
becarriedforwardwaslimitedto10%oftheAquota,andthereimbursement
ofstoragecostsduringthe12-monthperiodwasspecifically excluded (1)„
Article27ofthecurrent 'regulation discontinues thatquantitative limi­
tationbutitprovidesforstoragereimbursement .Thesechangeswereproposed
bytheCommission inordertostrenghthen themeansavailabletothe
Communityofachieving ameasureofcompensation betweengoodcropsand
poorones.
Thepresentproposaldoesnotinvolveanychangeofprinciple ,,Itsimply
aimstoprovideallsugarproducerswiththepossibility ofusingthecarry
forwardprovisions underthesameconditions,irrespective ofthetimeat
whichtheybegintoproducesugarinexcessoftheirAquotas.
ButthepresenttextofArticle27doesnotallowthecarryforwardsystem
tobeadaptedaccordingtothewayinwhichsugarproduction hasevolved
inthevariousregionsoftheCommunity.Forexample,someregionsproduce
sugarabovetheAquotainDecemberorinJanuary,otherproducethemajor
partofsuchsugarinOctober.NowArticle27stipulated thatanydecision
tocarryforwardmustbetakenbefore1Februaryfollowingproduction;that
theobligatory storageperiodmustbeginonthatdateandendonthe
following 31January;andthatstoragecostsshallbereimbursed during
thatperiod.Theoveralleffectis:
-aninequality oftreatment asbetweenCommunitysugarproducers;
-alackof.incentiveforsomeproducerstousethecarryforward
ι
facilitywhich,inturn,hinderstheachievement oftheobjective
referredtoabove-.
(1)Article31ofRegulation (EEC)No3330/74,OJNoL359,31„12.1974,p„1-
nowrepealed

TheCommissionisthereforeproposingpurelytschnicel changest.cArticle
suppression ofthefixeddatesofthestartandsndc>fthestorage,period
Leavingtherequirement ofa12-month sto/ageperiodbutwiththerelevant
datestobedetermined inthedetailedrulesofaDolication*
Inorderthatthesechangescanbeeffectively appliedtothe1981/32
marketingyearitisproposedthateverydecisiontocarrysugarforward
tothe1982/82marketingyearwhichistakenbefore1February1982maybe
regardedasretroactive tothedateonwhichthesugarconcerned wasdecla
tohavebeenproduced.Thismeansthatthe12-monthstorageperiodandthe
storagereimbursements canbothbedeemedtohavebegunonthatdate*
Accordingly,theCommission suggeststhattheseproposals canbeenacted
before1February1982,theCouncilshouldrequestconsultation with
Parliament undertheurgentprocedure.
Financialimplications
2.Giventhattheseproposalsinvolveonlytechnicalmodifications tothe
carryforwardsystem(Article27ofRegulation (EEC)No1785/81)anddo
notchangeeithertheprinciples ofthesystemortheobligatory storag
period,t-heydonotaffectthecosts(storagereimbursements )orthe
receipts(storageLevies)arisingfromthissystem,,

–:;rroDOsat Tor a–
COUNCIL REGULATION (EEC )
amending Regulation (EEC)No1785 /81onthe common organization
ofthe markets inthe sugar sector
THE COUNCIL OFTHi iUROPiAN COMMUNITIES ,
»
Having -regard totheTreaty establishing theEuropean Economic Community ,
and inparticular Article 43thereof .
Having regard totheproposal from theCommission ,
Having regard totheopinion oftheEuropean Parliament ,
. . (1)Whereas Article 27ofCouncil Regulation (EEC )No1785 /81 gives sugar-Producing
undertakings thepossibility tocarry forward' sugar produced inagiven marketing
year tobetreated aspart ofthefollowing year 'sproduction ;whereas that
Article lays down forthe sugar carried forward anobligatory storage period
of12months beginning on1Feb'ruary ofthemarketing year inwhich the sugar
wasproduced with ,asacounterpart ,the reimbursement ofstorage costs during
that period ;whereas only the French departments ofGuadaloupe andMartinique
have aspecific storage period corresponding totheir sugar production period ;
Whereas these mandatory dates fixed forthe start ofthe storage period nolonger
correspond tothe requirements ofsugar production asithasevolved in
thevarious regions ofthe Community ;whereas inorder toavoid inequalities
oftreatment between producers inthese regions according towhether they begin
their production earlier orlater ,andthus toallow theearlier producers to
make use oftheaforesaid possibility from themoment when their production
exceeds their Aquotas ,thedates onwhich theobligatory storage period starts
should henceforth belaid down not inthe said Article 27but,without affecting
theprinciples involved ,inthe relevant detailed rules ofapplication ;
Whereas ,having regard to production inthe 1981 /82marketing year andto
theneed felt byundertakings tocarry sugar forward ,itisnowappropriate
for thecarry-forward tothe 1932 /1983 marketing year .-toprovide measures
which will retroactively allow allCommunity sugar-producing undertakings
tomake arrangements inthis respect ,
HAS ADOPTED THIS REGULATION :
(1)OJnoL177,1.7.1981 ,p=4

Article 1
Article27ofRegulation (EEC)No1785/81isherebyamendedesfollows;
1.Thefirstandsecondsubparagraphs ofparagraph 2shallbereplaced
bythefollowing:
Undertakings whichtakethedecisionreferredtoin
paragraph 1shall:
-informtheMemberStateconcerned,before1February,ofthe
quantityorquantitiesofsugarbeingcarriedforward,
and
-undertaketostoresuchquantity .orquantitiesforaperiodof
12consecutive monthsfromadatetobedetermined ,,Forthis
periodstoragecost,s,includingthoseofanyCsugarcarried
forwardshallbereimbursedundertheprovisionsofArticle8.
Forundertakings situatedintheFrenchdepartments ofGuadeloupe
andMartiniquethedatereferredtointhefirstindent
ofthefirstsubparagraph shallbe1May„"
2„Thefollowing newparagraph4shallbeadded;
"4.Inrespectofsugarcarriedforwardfromthe1981/82marketingyearto
the1982/83marketingyeardecisionsbyundertakingsreferredtoinparagraph 1
shall,attherequestoftheundertakingsconcerned,beregardedas
retroactivetothedate,onwhich .theMemberStateconcerned
determinedthatthesugarcoveredbythosedecisionswasproduced.
Insuchcasesthestorageperiodreferredtointhesecondindent
ofthefirstsubparagraph ofparagraph 2shallbeginonthedate
referredtointheprecedingsubparagraph ."
Article2
ThisRegulationshallenterintoforceonthedayfollowingthatof
itspublication intheOfficialJournaloftheEuropeanCommunities .
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicable
inallMemberStates.
DoneatBrussels, FortheCouncil