CELEX: 31989R2796
Language: en
Date: 1989-09-16 00:00:00
Title: Commission Regulation (EEC) No 2796/89 of 15 September 1989 fixing the aid for cotton

16 . 9 . 89                                Official Journal of the European Communities                              No L 269/29
                                       COMMISSION REGULATION (EEC) No 2796/89
                                                        of 15 September 1989
                                                      fixing the aid for cotton
THE COMMISSION OF THE EUROPEAN COMMUNITIES,                           be established on the basis of the most recent price deter­
                                                                      mined ;
Having regard to the Treaty establishing the European
Economic Community,
                                                                      Whereas the world market price for unginned cotton is
Having regard to the Act of Accession of Spain and                    equal to the sum of the values for ginned cotton and
Portugal,                                                             cotton seed defined in Article 1 of Commission Regula­
                                                                      tion (EEC) No 1201 /89 of 3 May 1989 laying down rules
Having regard to the Act of Accession of Greece, and in               implementing the system of aid for cotton (6), as amended
particular paragraphs 3 and 10 of Protocol 4 on cotton                by Regulation (EEC) No 2733/89 Q, minus the cost of
annexed thereto, as amended by Protocol 14 annexed to                 ginning ;
the Act of Accession of Spain and of Portugal, and Regu­
lation (CEE) No 4006/87 0),
                                                                      Whereas the above values are established on the basis of
Having regard to Council Regulation (EEC) No 2169/81                  the prices determined in accordance with Articles 2 and 3
of 27 July 1981 laying down the general rules for the                 of Commission Regulation (EEC) No 1201 /89 ; whereas
system of aid for cotton (2), as last amended by Regulation           the world market price is determined on the basis of the
(EEC) No 791 /89 (3), and in particular Article 5 (1 ) thereof,       most favourable offers and quotations recorded, excluding
                                                                      offers and quotations which cannot be regarded as repre­
Having regard to the opinion of the Monetary Committee,               sentative of the real market trend ;
Whereas,     under Article 5 of Regulation (EEC) No
2169/81 ,   aid must be granted for unginned cotton                   Whereas the necessary adjustments must be made in cases
harvested    in the Community when the world market                   where the offers and quotations recorded do not satisfy
price for   unginned cotton is below the guide price ;                the requirements indicated above ;
Whereas the aid is equal to the difference between these
two prices ;                                                          Whereas, under Article 4 (4) of Regulation (EEC) No
                                                                      2169/81 , if there are no suitable offers or quotations for
Whereas the guide price for the 1989/90 marketing year                determining the world market price for cotton seed, that
was fixed by Council Regulation (EEC) No 1241 /89 (4) ;               price shall be established on the basis of the most            i
                                                                      favourable offers and quotations for cotton seed recorded
Whereas, under the system of maximum guaranteed                       on the Community market or, if those offers and quota­
                                                                      tions cannot be established on the basis of the value of
quantities, the amount of the aid is subject to the reduc­
tion provided for in Commission Regulation (EEC) No                   the products obtained from processing the seed in the
2624/89 (*) as regards cotton seed ;                                  Community, less the processing cost ; whereas this value
                                                                      is determined in accordance with Article 4 of Regulation
                                                                      (EEC) No 1201 /89 ;
Whereas the world market price for unginned cotton is
determined periodically on the basis bf the world market
prices recorded for ginned cotton and cotton seed, taking
into account the estimated yield of the Community                     Whereas, if the subsidy system is to operate normally,
harvest in cotton seed and in ginned cotton and also the              subsidies should be calculated on the following basis :
net cost of ginning ;
Whereas the world market price for ginned cotton and                  — in the case of currencies which are maintained in rela­
cotton seed is determined in accordance with Article 4 of                  tion to each other at any given moment within a band
Regulation (EEC) No 2169/81 ;                                              of 2,25 %, a rate of exchange based on their central
                                                                           rate, multiplied by the corrective factor provided for in
Whereas, if the world market price for unginned cotton                     the last paragraph of Article 3 (1 ) of Council Regula­
cannot be determined as described above, this price shall                  tion (EEC) No 1676/85 (8), as last amended by Regula­
                                                                           tion (EEC) No 1636/87 (9),
(') OJ   No L  377, 31 . 12. 1987, p. 48 .
0   OJ   No L  211 , 31 . 7. 1981 , p. 2.                             0   OJ  No  L  123, 4. 5. 1989, p. 23.
0   OJ   No L  85, 30. 3. 1989, p. 7.                                 0   OJ  No  L  263, 9. 9. 1989, p. 15.
(4) OJ   No L  129, 11 . 5. 1989, p. 1 .                              (8) OJ  No  L  164, 24. 6. 1985, p. 1 .
0   OJ   No L  254, 31 . 8. 1989, p. 8.                               0   OJ  No  L  153, 13. 6. 1987, p. 1 .
 ---pagebreak--- No L 269/30                          Official Journal of the European Communities                            16. 9 . 89
— for other currencies, an exchange rate based on the          HAS ADOPTED THIS REGULATION :
    arithmetic mean of the spot market rates of each of
    these currencies recorded over a given period in rela­
                                                                                      Article 1
    tion to the Community currencies referred to in the
    previous indent, and the aforesaid coefficient ;
                                                               The aid for unginned cotton provided for in Article 5 of
Whereas the aid must be fixed once a month, and in such        Regulation (EEC) No 2169/81 shall be 40,006 ECU per
a way that it can be applied from the first day of the          100 kilograms.
month following the date of fixing ; whereas it may be
altered between fixings ;
                                                                                      Article 2
Whereas it follows from applying these provisions to the
offers and quotations known to the Commission that the         This Regulation shall enter into force on 16 September
aid for cotton should be as set out in this Regulation,         1989.
                This Regulation shall be binding in its entirety and directly applicable in all Member
                States.
                Done at Brussels, 15 September 1989.
                                                                        For the Commission
                                                                          Ray MAC SHARRY
                                                                    Member of the Commission