Commission Regulation (EEC) No 1644/89 of 12 June 1989 amending Regulation (EEC) No 411/88 on the method and the rate of interest to be used for calculating the costs of financing intervention measures comprising buying-in, storage and disposal

COMMISSION  REGULATION (EEC) No 1644/89
of 12 June 1989
amending Regulation (EEC) No 411/88 on the method and the rate of interest to be used for calculating the costs of financing intervention measures comprising buying-in, storage and disposal
THE COMMISSION OF THE EUROPEAN COMMUNITIES
,
Having regard to the Treaty establishing the European Economic Community,
Having regard to Council Regulation (EEC) No 1883/78 of 2 August 1978 laying down general rules for the financing of interventions by the European Agricultural Guidance and Guarantee Fund, Guarantee Section (1), as last amended by Regulation (EEC) No 787/89 (2), and in particular Article 5 thereof,
Whereas Article 5 of Regulation (EEC) No 1883/78 provides that interest charges to be financed by the EAGGF Guarantee Section for funds used for the buying-in of products are, in the case of funds originating in the Member States, to be calculated using a method and an interest rate uniform throughout the Community and whereas that interest rate must be representative of interest rates actually paid;
Whereas Commission Regulation (EEC) No 411/88 (3), as amended by Regulation (EEC) No 439/89 (4), lays down the method and the interest rate to be applied for the calculation of the financing costs mentioned above;
Whereas the interest rates for short-term and long-term financing vary considerably depending on the Member State; whereas a weighting of those interest rates used hitherto has not given satisfactory results;
Whereas the interest rates recorded in recent years for the ecu increasingly reflect the interest rates, subject to a weighting, for currencies which make up the ecu and whereas the interest rates for the ecu may thus be considered representative of interest charges in the Community;
Whereas, in view of the time limits for the financing of capital invested in intervention stocks, the uniform interest rate should reflect the three months' and 12 months' forward rates;
Whereas Article 4 of that Regulation should stipulate the specific rules to be applied for a Member State bearing interest charges lower than those resulting from the application of the uniform interest rates;
Whereas the EAGGF Committee has not delivered an opinion within the time limit set by the chairman,