COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 21.03.1997 
COM(97) 114 final 
97/ 0109 (ACC) 
Proposal for a 
COUNCIL DECISION 
on the conclusion of the Agreements in the form of an Exchange of Letters 
between the European Community and, on the one hand, 
Barbados, Belize, the Republic of the Congo, 
Fiji, the Cooperative Republic of Guyana, 
the Republic of Côte d'Ivoire, Jamaica, the Republic of Kenya, 
the Republic of Madagascar, the Republic of Malawi, 
the Republic of Mauritius, the Republic of Suriname, 
Saint Christopher and Nevis, the Kingdom of Swaziland, 
the United Republic of Tanzania, the Republic of Trinidad and Tobago, 
the Republic of Uganda, the Republic of Zambia and the Republic of Zimbabwe and, 
on the other hand, the Republic of India on the guaranteed prices 
for cane sugar for the 1996/97 delivery period 
(presented by the Commission) 

EXPLANATORY MEMORANDUM 
Protocol No 8 on ACP sugar annexed to the Fourth ACP-EEC Convention and the 
agreement on sugar between the European Community and the Republic of India 
provide for a Community undertaking to purchase and import at guaranteed prices 
cane sugar which the exporting countries concerned cannot market in the 
Community at prices equivalent to or higher than the guaranteed prices. 
For the 1996/97 delivery period, the Commission has negotiated guaranteed prices 
with the ACP States and the Republic of India pursuant to Articles 5(4) of Protocol 
No 8 on ACP sugar and the agreement with India on cane sugar as well as in 
conformity with the guidelines for negotiations given by the Council on 22.9.1996. 
The Commission therefore proposes that the Council adopt the proposal for a 
decision on the conclusion of the agreements in the form of an exchange of letters 
as set out in Annex 1. 
4. Financial impact: These proposals have no financial impact other than that taken into 
account within the framework of the 1997 budget. 
ci 
Proposal for a 
COUNCIL DECISION (EC) N. 
of 
on the conclusion of the Agreements in the form of an Exchange of Letters 
between the European Community and, on the one hand, 
Barbados, Belize, the Republic of the Congo, 
Fiji, the Cooperative Republic of Guyana, 
the Republic of Côte d'Ivoire, Jamaica, the Republic of Kenya, 
the Republic of Madagascar, the Republic of Malawi, 
the Republic of Mauritius, the Republic of Suriname, 
Saint Christopher and Nevis, the Kingdom of Swaziland, 
the United Republic of Tanzania, the Republic of Trinidad and Tobago, 
the Republic of Uganda, the Republic of Zambia and the Republic of Zimbabwe and, 
on the other hand, the Republic of India on the guaranteed prices 
for cane sugar for the 1996/97 delivery period 
THE COUNCIL OF THE EUROPEAN UNION, 
Having regard to the Treaty establishing the European Community, and in particular 
Article 113, in conjunction with the first sentence of Article 228(2), thereof, 
Having regard to the proposal from the Commission, 
Whereas implementation of Protocol 8 on ACP Sugar annexed to the Fourth ACP-EEC 
Convention (1) and of the Agreement between the European Economic Community and the 
Republic of India on cane sugar (2) is carried out, in accordance with Article 1 (2) of each, 
within the framework of the management of the common organization of the sugar market; 
Whereas it is appropriate to approve the Agreements in the form of an Exchange of Letters 
between the Community and, on the one hand, the States referred to in the Protocol and, 
on the other hand, the Republic of India on the guaranteed prices for cane sugar for the 
1996/97 delivery period, 
HAS DECIDED AS FOLLOWS: 
(1) OJ No L 229, 17.8.1991, p. 216. 
(2) OJ No L 190, 22.7.1975, p, 35. 
3 
Article 1 
The Agreements in the form of an Exchange of Letters between the European Community 
and, on the one hand, Barbados, Belize, the Republic of the Congo, Fiji, the Cooperative 
Republic of Guyana, the Republic of Côte d'Ivoire, Jamaica, the Republic of Kenya, the 
Republic of Madagascar, the Republic of Malawi, the Republic of Mauritius, the Republic of 
Suriname, Saint Christopher and Nevis, the Kingdom of Swaziland, the United Republic of 
Tanzania, the Republic of Trinidad and Tobago, the Republic of Uganda, the Republic of 
Zambia and the Republic of Zimbabwe and, on the other hand, the Republic of India on the 
guaranteed prices for cane sugar for the 1996/97 delivery period are hereby approved on 
behalf of the Community. 
The text of the Agreements is attached to this Decision. 
Article 2 
The President of the Council is hereby authorized to designate the person empowered to 
sign the Agreements referred to in Article 1 in order to bind the Community. 
Article 3 
This Decision will be published in the Official Journal of the European Communities. 
Done at Brussels, 
For the Council 
4 
Text No I 
AGREEMENT 
IN THE FORM OF AN EXCHANGE OF LETTERS 
BETWEEN THE EUROPEAN COMMUNITY AND BARBADOS, 
BELIZE, THE REPUBLIC OF THE CONGO, FIJI, 
THE COOPERATIVE REPUBLIC OF GUYANA, THE REPUBLIC OF CÔTE D'IVOIRE, 
JAMAICA, THE REPUBLIC OF KENYA, 
THE REPUBLIC OF MADAGASCAR, THE REPUBLIC OF MALAWI, 
THE REPUBLIC OF MAURITIUS, THE REPUBLIC OF SURINAME, 
SAINT CHRISTOPHER AND NEVIS, THE KINGDOM OF SWAZILAND, 
THE UNITED REPUBLIC OF TANZANIA, THE REPUBLIC OF TRINIDAD 
AND TOBAGO, THE REPUBLIC OF UGANDA, THE REPUBLIC OF ZAMBIA 
AND THE REPUBLIC OF ZIMBABWE 
ON THE GUARANTEED PRICES FOR CANE SUGAR 
FOR THE 1996/97 DELIVERY PERIOD 
A. Letter No 1 
Brussels, 
Sir, 
The representatives of the ACP States referred to in Protocol 8 on ACP sugar annexed to 
the Fourth ACP-EEC Convention and of the Commission, acting on behalf of the European 
Community, have agreed, pursuant to the provisions of the said Protocol, on the following: 
For the delivery period 1 July 1996 to 30 June 1997, the guaranteed prices referred to in 
Article 5(4) of the Protocol shall, for the purpose of intervention within the terms of Article 6 
of the Protocol, be: 
(a) for raw sugar: ECU 52,37 per 100 kilograms; 
(b) for white sugar: ECU 64,65 per 100 kilograms. 
These prices shall refer to sugar of standard quality as defined in Community legislation, 
unpacked, cif, free out of European ports of the Community. The introduction of these 
prices in no way prejudices the respective positions of the Contracting Parties in respect of 
the principles appertaining to the determination of the guaranteed prices. 
I should be obliged if you would acknowledge receipt of this letter and confirm that this letter 
and your reply constitute an Agreement between the Governments of the 
abovementioned ACP States and the Community. 
Please accept, Sir, the assurance of my highest consideration. 
On behalf of the Council 
of the European Union 
fT 
B. Letter No 2 
Brussels, 
Sir, 
I have the honour to acknowledge receipt of your letter of today which reads as follows: 
"The representatives of the ACP States referred to in Protocol 8 on ACP sugar 
annexed to the Fourth ACP-EEC Convention and of the Commission, acting on behalf 
of the European Community, have agreed, pursuant to the provisions of the said 
Protocol, on the following: 
For the delivery period 1 July 1996 to 30 June 1997, the guaranteed prices referred 
to in Article 5(4) of the Protocol shall, for the purpose of intervention within the terms 
of Article 6 of the Protocol, be: 
(a) for raw sugar: ECU 52,37 per 100 kilograms; 
(b) for white sugar: ECU 64,65 per 100 kilograms. 
These prices shall refer to sugar of standard quality as defined in Community 
legislation, unpacked, cif, free out of European ports of the Community. The 
introduction of these prices in no way prejudices the respective positions of the 
Contracting Parties in respect of the principles appertaining to the determination of the 
guaranteed prices. 
I should be obliged if you would acknowledge receipt of this letter and confirm that this 
letter and your reply constitute an Agreement between the Governments of the 
abovementioned ACP States and the Community." 
I have the honour to confirm the agreement of the Governments of the ACP States referred 
to in this letter with the foregoing. 
Please accept, Sir, the assurance of my highest consideration. 
For the Governments 
of the ACP States 
referred to in Protocol 8 
C 
Text No II 
AGREEMENT 
IN THE FORM OF AN EXCHANGE OF LETTERS 
BETWEEN THE EUROPEAN COMMUNITY 
AND THE REPUBLIC OF INDIA 
ON THE GUARANTEED PRICES FOR CANE SUGAR 
FOR THE 1996/97 DELIVERY PERIOD 
A. Letter No 1 
Brussels, 
Sir, 
The Representatives of India and of the Commission, acting on behalf of the European 
Community, have agreed within the framework of the negotiations provided for in Article 5(4) 
of the Agreement between the European Economic Community and the Republic of India 
on cane sugar, on the following: 
For the delivery period 1 July 1996 to 30 June 1997, the guaranteed prices referred to in 
Article 5(4) of the Agreement shall, for the purpose of intervention within the terms of 
Article 6 of the Agreement, be: 
(a) for raw sugar: ECU 52,37 per 100 kilograms; 
(b) for white sugar: ECU 64,65 per 100 kilograms. 
These prices shall refer to sugar of standard quality as defined in Community legislation, 
unpacked, cif, free out of European ports of the Community. The introduction of these 
prices in no way prejudices the respective positions of the Contracting Parties in respect of 
the principles appertaining to the determination of the guaranteed prices. 
I should be obliged if you would acknowledge receipt of this letter and confirm that this letter 
and your reply constitute an Agreement between your Government and the Community. 
Please accept, Sir, the assurance of my highest consideration. 
On behalf of the Council of the 
European Union 
1~ 
B. Letter No 2 
Brussels, 
Sir, 
I have the honour to acknowledge reoeipt of your letter of today which reads as follows: 
"The Representatives of India and of the Commission, acting on behalf of the 
European Community, have agreed within the framework of the negotiations 
provided for in Article 5(4) of the Agreement between the European Economic 
Community and the Republic of India on cane sugar, on the following: 
For the delivery period 1 July 1996 to 30 June 1997, the guaranteed prices 
referred to in Article 5(4) of the Protocol shall, for the purpose of intervention within 
the terms of Article 6 of the Protocol, be: 
(a) for raw sugar: ECU 52,37 per 100 kilograms; 
(b) for white sugar: ECU 64,65 per 100 kilograms. 
These prices shall refer to sugar of standard quality as defined in Community 
legislation, unpacked, cif, free out of European ports of the Community. The 
introduction of these prices in no way prejudices the respective positions of the 
Contracting Parties in respect of the principles appertaining to the determination 
of the guaranteed prices. 
I should be obliged if you would acknowledge receipt of this letter and confirm that 
this letter and your reply constitute an Agreement between your Government and 
the Community.". 
I have the honour to confirm the agreement of my Government with the foregoing. 
Please accept, Sir, the assurance of my highest consideration. 
For the Government of 
the Republic of India 
? 
FINANCIAL STATEMENT 
BUDGET HEADING: 11 APPROPRIATIONS: 
ECU 1.833,5 million 
TITLE: 
Council Decision on the conclusion of the Agreements in the form of an exchange of letters between the European 
Community and, on the one hand, the ACP States and, on the other hand, the Republic of India on the guaranteed 
prices for cane sugar for the 1996/97 delivery period. 
LEGAL BASIS: Article 113 of the Treaty 
AIMS: 
To guarantee cif prices for the ACP States and the Republic of India for their deliveries of white sugar and raw cane 
sugar to the Community which are comparable with the prices guaranteed to sugar producers in the Community for the 
1996/97 delivery period. 
FINANCIAL IMPLICATIONS: PERIOD OF 
12 MONTHS 
(ECU million) CURRENT 
FINANCIAL 
YEAR (97) 
(ECU million) FOLLOWING 
FINANCIAL 
YEAR (98) 
(ECU million) 
5.0. EXPENDITURE 
- CHARGED TO THE EC BUDGET 
(REFUNDS/INTERVENTION) 
- NATIONAL AUTHORITIES 
-OTHER 648,4 616,0 32,4 
5.1. REVENUE 
- OWN RESOURCES OF THE EC 
(LEVIES/CUSTOMS DUTIES) 
- NATIONAL 
1999 
5.0.1. ESTIMATED EXPENDITURE 
5.1.1. ESTIMATED REVENUE 2000 2001 2002 
5.2. METHOD OF CALCULATION: 
1,3 million t x ECU 470/t (refunds) 
1,3 million t x ECU 24,2/t (refining aid) x 1,009 (DT) = ECU 616,5 million (B) 
x 1,014 (DT) = ECU 31,9 million (B) 
ECU 648,4 million (B) 
95% of the expenditure is to be charged to the 1997 financial year and 5% to the 1998 financial year. 
6.0. CAN THE PROJECT BE FINANCED FROM APPROPRIATIONS ENTERED IN THE RELEVANT 
CHAPTER OF THE CURRENT BUDGET? YES 
6.1 CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF THE CURRENT 
BUDGET? YES/NO 
6.2. WILL A SUPPLEMENTARY BUDGET BE NECESSARY? NO 
6.3. WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY? YES 
OBSERVATIONS This is an implementing regulation under Protocol 8 annexed to the Fourth Lomé Convention. 
Accordingly, it has no new financial impact compared with the previous situation. 
The cost of re-exporting equivalent quantities of Community sugar and of aid for the refining of raw sugar, 
will be taken into account in the 1997 budget. 
9 

ISSN 0254-1475 
C0M(97) 114 final 
DOCUMENTS 
EN 03 11 
Catalogue number : CB-CO-97-107-EN-C 
ISBN 92-78-17167-0 
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