31989R1176

29 . 4 . 89 Official Journal of the European Communities No L 121 /49

COMMISSION REGULATION (EEC) No 1176/89 of 28 April 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 equal to the sum of the values for ginned cotton and Having regard to the Act of Accession of Spain and cotton seed defined in Article 1 of Commission Regula­ Portugal, tion (EEC) No 2183/81 of 30 July 1981 laying down rules implementing the system of aid for cotton (4), as last Having regard to the Act of Accession of Greece, and in amended by Regulation (EEC) No 2993/88 (*), minus the particular paragraphs 3 and 10 of Protocol 4 on cotton cost of ginning ; annexed thereto, as amended by Protocol 14 annexed to the Act of Accession of Spain and of Portugal, and Regu­ Whereas the above values are established on the basis of lation (CEE) No 4006/87 ('), the prices determined in accordance with Articles 2 and 3 of Commission Regulation (EEC) No 2183/81 ; whereas Having regard to Council Regulation (EEC) No 2169/81 the world market price is determined on the basis of the of 27 July 1981 laying down the general rules for the most favourable offers and quotations recorded, excluding system of aid for cotton (2), as last amended by Regulation offers and quotations which cannot be regarded as repre­ (EEC) No 791 /89 (3), and in particular Article 5 ( 1 ) thereof, sentative of the real market trend ;

Having regard to the opinion of the Monetary Committee, Whereas the necessary adjustments must be made in cases where the offers and quotations recorded do not satisfy Whereas, under Article 5 of Regulation (EEC) No the requirements indicated above ; 2169/81 , aid must be granted for unginned cotton harvested in the Community when the world market Whereas, under Article 4 (4) of Regulation (EEC) No price for unginned cotton is below the guide price ; 2169/81 , if there are no suitable offers or quotations for determining the world market price for cotton seed, that Whereas the aid is equal to the difference between these price shall be established on the basis of the most two prices ; favourable offers and quotations for cotton seed recorded on the Community market or, if those offers and quota­ Whereas in the absence of the guide price for cotton tions cannot be established on the basis of the value of applicable during the 1989/90 marketing year, the aid the products obtained from processing the seed in the amount have been fixed on the basis of the Commission's Community, less the processing cost ; whereas this value latest proposals to the Council ; whereas this amount is determined in accordance with Article 4 of Regulation must be provisionally applied and confirmed or altered (EEC) No 2183/81 ; when the 1989/90 marketing year prices are known ; Whereas, if the subsidy system is to operate normally, Whereas the abatement of the subsidy which arises, where subsidies should be calculated on the following basis : appropriate, from the system of maximum guaranteed — in the case of currencies which are maintained in rela­ quantities for the 1989/90 year, has not, to date, been fixed ; whereas the amount of the subsidy for the 1 989/90 tion to each other at any given moment within a band year has been provisionally calculated on the basis of an of 2,25 % , a rate of exchange based on their central abatement of 24,005 ECU per 100 kilograms ; rate, multiplied by the corrective factor provided for in the last paragraph of Article 3 ( 1 ) of Council Regula­ Whereas the world market price for unginned cotton is tion (EEC) No 1676/85 (6), as last amended by Regula­ determined periodically on the basis of the world market tion (EEC) No 1 636/87 0, prices recorded for ginned cotton and cotton seed, taking — for other currencies, an exchange rate based on the into account the estimated yield of the Community arithmetic mean of the spot market rates of each of harvest in cotton seed and in ginned cotton and also the these currencies recorded over a given period in rela­ net cost of ginning ; tion to the Community currencies referred to in the previous indent, and the aforesaid coefficient ; Whereas the world market price for ginned cotton and cotton seed is determined in accordance with Article 4 of Whereas the aid must be fixed once a month, and in such Regulation (EEC) No 2169/81 ; a way that it can be applied from the first day of the month following the date of fixing ; whereas it may be Whereas, if the world market price for unginned cotton altered between fixings ; cannot be determined as described above, this price shall

(4) OJ No L 211 , 31 . 7. 1981 , p. 35. (') OJ No L 377, 31 . 12. 1987, p. 48. 0 OJ No L 270, 30 . 9 . 1988, p. 61 . 0 OJ No L 211 , 31 . 7. 1981 , p. 2. («) OJ No L 164, 24. 6. 1985, p. 1 . 0 OJ No L 85, 30. 3. 1989, p. 7. O OJ No L 153, 13. 6. 1987, p. 1 .

No L 121 / 50 Official Journal of the European Communities 29 . 4. 89

Whereas it follows from applying these provisions to the 2. However, the amounts of the aid will be confirmed offers and quotations known to the Commission that the or replaced with effect from 1 May 1989 to take account aid for cotton should be as set out in this Regulation, of the guide price of cotton adopted in respect of the 1989/90 marketing year and, as the case may be, which appear to have been offered in the largest quantities. HAS ADOPTED THIS REGULATION : Article 2 Article 1 This Regulation shall enter into force on the day of its publication in the Official Journal of the European 1 . The aid for unginned cotton provided for in Article Communities. 5 of Regulation (EEC) No 2169/81 shall be 40,833 ECU per 100 kilograms. It shall apply with effect from 1 May 1989 .

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

Done at Brussels, 28 April 1989. For the Commission Ray MAC SHARRY Member of the Commission