Commission Regulation (EC) No 1624/1999 of 23 July 1999 amending Regulation (EEC) No 1201/89 laying down rules implementing the system of aid for cotton
Date: 1999-07-23
Institutions: European Commission
Subjects: agri-monetary policy, aid system, cotton, world market price

24. 7. 1999

EN

Official Journal of the European Communities

L 192/39

COMMISSION REGULATION (EC) No 1624/1999

of 23 July 1999

amending Regulation (EEC) No 1201/89 laying down rules implementing the system of aid for
cotton

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European
Community,

Having regard to the Act of Accession of Greece, and in
particular Protocol 4 on cotton, as last amended by Council
Regulation (EC) No 1533/95 (1),

Having regard to Council Regulation (EC) No 1554/95 of 29
June 1995 laying down the general rules for the system of aid
for cotton and repealing Regulation (EEC) No 2169/81 (2), as
last amended by Regulation (EC) No 1419/98 (3), and in partic-
ular Article 11(1) thereof,

Having regard to Council Regulation (EC) No 2799/98 of 15
December 1998 establishing agrimonetary arrangements for
the euro (4), and in particular Article 9 thereof,

(1) Whereas Article 1 of Commission Regulation (EEC) No
1201/89 of 3 May 1989 laying down rules imple-
menting the system of aid for cotton (5), as last amended
by Regulation (EC) No 1664/98 (6),
lays down the
arrangements for determining the world market price for
unginned cotton; whereas Commission Regulation (EC)
No 2808/98 of 22 December 1998 laying down detailed
rules for the application of the agrimonetary system for
the euro in agriculture (7), as amended by Regulation
(EC) No 1410/1999 (8), provides for the use of the daily
dollar-euro exchange rate and thus no longer allows, as
was previously the case,
the average change in the
dollar-ecu rate over a 10-day period to be taken into
account; whereas the henceforth daily monitoring of the
change in the dollar-euro exchange rate has led to the
world market price for ungilmed cotton and the resul-
tant advances on the aid being fixed many times;
whereas, to simplify administration, the arrangements
for determining the world market price should be
such adjustment must
adjusted; whereas, however,
enable any sudden major shifts in the various factors
affecting that price to be taken into account;

(2) Whereas Article 9(2) of Regulation (EEC) No 1201/89
lays down a time limit for the lodging of applications for
supervised storage; whereas, however, to prevent the

(1) OJ L 148, 30.6.1995, p. 45.
(2) OJ L 148, 30.6.1995, p. 48.
(3) OJ L 190, 4.7.1998, p. 4.
(4) OJ L 349, 24.12.1998, p. 1.
(5) OJ L 123, 4.5.1989, p. 23.
(6) OJ L 211, 29.7.1998, p. 9.
(7) OJ L 349, 24.12.1998, p. 36.
(8) OJ L 164, 30.6.1999, p. 53.

excessive withholding of unginned cotton by producers,
Member States have the possibility of setting an earlier
date for the country as a whole; whereas experience has
shown the need to take account of regional weather
variations and to provide for the Member State, in the
event of unfavourable weather conditions, to derogate
from its decision and to authorise for a brief period
thereafter the placing under supervised storage of cotton
originating in such regions;

(3) Whereas Article 15 of Regulation (EEC) No 1201/89
provides that
the rate for converting the euro into
national currency to be applied to the minimum price,
the amount of the advance on the aid and the aid itself,
is to be that in force on the day the unginned cotton is
taken into supervised storage; whereas taking into super-
vised storage is an operative event that may vary daily in
certain months of
to
prevent variations that could affect the daily deliveries of
one and the same producer, it is necessary to lay down a
specific operative event;

the marketing year; whereas,

(4) Whereas the measures provided for in this Regulation
are in accordance with the opinion of the Management
Committee for Flax and Hemp,

HAS ADOPTED THIS REGULATION:

Article 1

Regulation (EEC) No 1201/89 is amended as follows:

1. Article 1(1) is replaced by the following:

The Commission shall determine the world market
‘1.
price for unginned cotton in euro for
the period 1
September to 31 March. The price shall be determined on
the last working day preceding the first, 11th and 2lst of each
month and shall enter into force on the day following the
date on which it is determined. The working days taken into
account shall be those applied by the Commission. The
exchange rate for the euro used to determine the world
market price shall be that applicable on the day on which
the offers and quotations referred to in Article 2 are estab-
lished. However, in the event of significant changes in the
world market price referred to in the first subparagraph, the
Commission may amend the said price without delay.'.

L 192/40

EN

Official Journal of the European Communities

24. 7. 1999

2. In the second subparagraph of Article 9(2), the following sentence is added:

‘However, in the event of unfavourable weather conditions, Member States may, during the last five
working days in March, authorise the placing under supervision of the cotton concerned. In such case,
Member States shall

inform the Commission thereof no later than 10 days before that period'.

3. Article 15 is replaced by the following:

‘Article 15

The exchange rate for the euro to be applied to the minimum price, the amount of the advance and the
aid shall be that of the date of entry into force of the world market price for unginned cotton applicable
when the consignment of cotton in question is placed under supervised storage'.

This Regulation shall enter into force on the seventh day following its publication in the Official Journal of
the European Communities.

It shall apply from 1 September 1999.

Article 2

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, 23 July 1999.

For the Commission

Franz FISCHLER

Member of the Commission