COUNCIL REGULATION (EC) No 852/95 of 10 April 1995 on the grant of  financial assistance to Portugal for a specific programme for the modernization of the Portuguese  textile and clothing industry
THE COUNCIL OF THE EUROPEAN UNION
,
Having regard to the Treaty establishing the European Community, and in particular the last  paragraph of Article 130b thereof,
Having regard to the proposal from the Commission  (1),
Having regard to the opinion of the European Parliament  (2),
Having regard to the opinion of the Economic and Social Committee  (3),
Having regard to the opinion of the Committee of the Regions  (4),
Whereas Community action to achieve economic and social cohesion must be taken in compliance with  the rules of free competition; whereas this programme is an exceptional measure and Community  assistance must accordingly be limited to the necessary measures to enable the Portuguese textile  industry to adapt to the new requirements of the international situation;
Whereas the Portuguese textile and clothing industry, which accounts for a third of the jobs in  Portuguese industry and a third of the country's industrial exports. is highly vulnerable in the  face of the increase in international competition resulting from the GATT agreements; whereas the  implications thereof in this sector, which is of importance to the economic fabric of some  Portuguese regions, might jeopardize the economic and social cohesion of the Community;
Whereas on 15 December 1993 the Council approved the Commission's intention to allocate ECU 400  million to the modernization of the Portuguese textile and clothing industry;
Whereas provision should be made for the possibility of interest subsidies for loans granted by the  European Investment Bank or other financial bodies with a view to achieving the objectives of the  specific programme;
Whereas the Commission has published in the Official Journal of the European Communities Notice  94/C 180/04 to the Member States laying down guidelines for the initiative concerning the  modernization of the Portuguese textile and clothing industry  (5);
Whereas the budgetary authority has agreed to enter the financing for this programme in one of the  chapters of the budget covered by Section 3 of the Financial Perspective annexed to the  Interinstitutional Agreement of 29 October 1993 on budgetary discipline and improvement of the  budgetary procedure  (6);
Whereas a financial reference amount, within the meaning of point 2 of the Declaration of the  European Parliament, the Council and the Commission of 6 March 1995 is inserted in this Regulation  for the whole duration of the programme without affecting the powers of the budget authority  defined in the Treaty;
Whereas the provisions governing the use of these resources should be determined;
Whereas, in order to simplify the administration of these resources, which should be entrusted to  the Commission, and to ensure consistency with the Community's other structural measures, the  Commission should apply by analogy the appropriate provisions governing the Structural Funds, in  particular Regulations (EEC) No 2052/88  (7), (EEC) No 4253/88  (8), (EEC) No 4254/88  (9), (EEC)  No 4255/88  (10), and (EEC) No 1866/90  (11),
A specific programme for the modernization of the Portuguese textile  and clothing industry (the 'programme`) is hereby instituted for the period 1995 to 1999 in order  to facilitate its adaptation to increasing international competition.
The eligible measures, the conditions for granting Community assistance and the  implementing provisions shall be those set out in the Annex hereto.
The programme shall be jointly financed by the Portuguese Republic and the Community.  The financial reference amount for implementing the programme for the 1995 to 1999 period shall be  ECU 400 million at 1994 prices.
The annual appropriations shall be authorized by the budget authority within the limits of the  financial perspectives.
Undertakings benefiting from loans granted by the EIB or other financial bodies for the purposes of  this programme may qualify for interest subsidies, up to a total amount of ECU 100 million, paid  from the allocation provided for in the first paragraph.
The provisions of the Regulations governing the Structural Funds, particularly those  concerning rates of assistance, eligibility of expenditure, monitoring, evaluation, financial  execution and control and indexation shall apply.
The Commission shall, by 31 December 1997 at the latest, submit to the European  Parliament, the Council, the Economic and Social Committee and the Committee of the Regions a  report on the implementation of this Regulation and, as soon as possible, a general assessment  report.
This Regulation shall enter into force on the day of its publication in the Official  Journal of the European Communities.
This Regulation shall be binding in its entirety and directly applicable in all  Member States.