CELEX: 21978A0724(01)
Language: en
Date: 1978-07-24 00:00:00
Title: Agreement in the form of an exchange of letters between the European Economic Community and Barbados, the People's Republic of the Congo, Fiji, the Cooperative Republic of Guyana, Jamaica, the Republic of Kenya, the Democratic Republic of Madagascar, the Republic of Malawi, Mauritius, the Republic of Surinam, the Kingdom of Swaziland, the United Republic of Tanzania, Trinidad and Tobago and the Republic of Uganda, on the guaranteed prices for cane sugar for 1978/79

27 . 7 . 78                          Official Journal of the European Communities                            No L 203 / 5
                                                      AGREEMENT
             in the form of an exchange of letters between the European Economic Commu­
             nity and Barbados, the People's Republic of the Congo, Fiji , the Cooperative
             Republic of Guyana, Jamaica, the Republic of Kenya, the Democratic Republic
             of Madagascar, the Republic of Malawi , Mauritius, the Republic of Surinam , the
             Kingdom of Swaziland, the United Republic of Tanzania, Trinidad and Tobago
              and the Republic of Uganda, on the guaranteed prices for cane sugar for 1978/79
                                                        Letter No 1
                                                                                            Brussels,
            Sir,
             1 . The representatives of the ACP States referred to in Protocol 3 on ACP sugar annexed
                 to the ACP-EEC Convention of Lomé, and of the Commission, on behalf of the Euro­
                 pean Economic Community, have, within the framework of the negotiations provided
                 for in Article 5 (4) of the said Protocol , agreed the following :
                 — For the period 1 July 1978 to 30 June 1979, the guaranteed prices referred to in
                     Article 5 (4) of the Protocol shall, for the purposes of intervention within the terms
                     of Article 6 of the Protocol, be
                     (a) for raw sugar, 27.81 units of account per 100 kilograms ;
                     (b) for white sugar, 34.49 units of account per 100 kilograms.
                 These prices, which represent an increase of about 2 % over those of last year, shall
                 refer to sugar of standard quality as defined in Community legislation , unpacked, cif
                 European ports of the Community.
            2. Having regard to market conditions generally, and to other relevant factors, it is
                 expected that the above guaranteed prices for ACP sugar will enable the ACP States
                 concerned to secure on Community markets, during the delivery period 1978 /79 ,
                 prices in excess of the market prices for the delivery period 1977/78 , as estimated at
                 the time of last year's negotiations .
            3 . It is agreed that the decision not to provide for retroactivity in respect of the 1978 /79
                 prices does not prejudice the position of the ACP States in relation to retroactivity in
                 any future negotiations in accordance with Article 4 (3) of Protocol 3 to the Conven­
                 tion of Lomé .
            4. The ACP States point out that, as long as the above prices refer to sugar offered on a
                 cif European port basis, they will have to carry the full burden of freight charges. As a
                 result, their ex-factory prices have been substantially lower than the ex-factory prices of
                 European beet producers. The ACP States therefore request that the Community
                 consider appropriate ways and means of providing some compensation for these
                 charges. The Community takes note of this request.
            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 ACP
            States referred to in the said Protocol and the Community.
            Please accept, Sir, the assurance of my highest consideration .
                                                                            For the Council
                                                                     of the European Communities
 ---pagebreak--- No L 203 / 6                           Official Journal of the European Communities                            27 . 7 . 78
                                                           Letter No 2
                                                                                               Brussels,
             Sir,
             I have the honour to acknowledge receipt of your letter of today which reads as follows :
                  ' 1 . The representatives of the ACP States referred to in Protocol 3 on ACP sugar
                        annexed to the ACP-EEC Convention of Lomé, and of the Commission , on behalf
                        of the European Economic Community, have, within the framework of the negotia­
                        tions provided for in Article 5 (4) of the said Protocol, agreed the following :
                        — For the period 1 July 1978 to 30 June 1979, the guaranteed prices referred to
                            in Article 5 (4) of the Protocol shall, for the purposes of intervention within
                            the terms of Article 6 of the Protocol , be
                            (a) for raw sugar, 27-81 units of account per 100 kilograms ;
                            (b) for white sugar, 34.49 units of account per 100 kilograms.
                        These prices, which represent an increase of about 2 % over those of last year,
                        shall refer to sugar of standard quality as defined in Community legislation ,
                        unpacked, cif European ports of the Community.
                    2. Having regard to market conditions generally, and to other relevant factors, it is
                        expected that the above guaranteed prices for ACP sugar will enable the ACP
                        States concerned to secure on Community markets, during the delivery period
                        1978 /79, prices in excess of the market prices for the delivery period 1977/78 , as
                        estimated at the time of last year's negotiations .
                    3 . It is agreed that the decision not to provide for retroactivity in respect of the
                        1978 /79 prices does not prejudice the position of the ACP States in relation to
                        retroactivity in any future negotiations in accordance with Article 4 (3) of Protocol
                        3 to the Convention of Lomé .
                   4. The ACP States point out that, as long as the above prices refer to sugar offered on
                        a cif European port basis, they will have to carry the full burden of freight charges.
                        As a result, their ex-factory prices have been substantially lower than the ex-factory
                        prices of European beet producers. The ACP States therefore request that the
                        Community consider appropriate ways and means of providing some compensa­
                        tion for these charges. The Community takes note of this request.
                  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
                  ACP States referred to in the said Protocol and the Community.'
             I have the honour to confirm the agreement of the ACP States referred to in the said
             Protocol with the foregoing.
             Please accept, Sir, the assurance of my highest consideration .
                                                                            For the Governments
                                                                             of the ACP States