31989R1353

19 . 5 . 89 Official Journal of the European Communities No L 135/ 13

COMMISSION REGULATION (EEC) No 1353/89 of 18 May 1989 fixing the aid for cotton

THE COMMISSION OF THE EUROPEAN COMMUNITIES, Whereas the world market price for unginned cotton is equal to the sum of the values for ginned cotton and Having regard to the Treaty establishing the European cotton seed defined in Article 1 of Commission Regula­ Economic Community, tion (EEC) No 1201 /89 of 3 May 1989 laying down rules implementing the system of aid for cotton (*), minus the Having regard to the Act of Accession of Spain and cost of ginning ; Portugal, Whereas the above values are established on the basis of Having regard to the Act of Accession of Greece, and in particular paragraphs 3 and 10 of Protocol 4 on cotton the prices determined in accordance with Articles 2 and 3 annexed thereto, as amended by Protocol 14 annexed to of Commission Regulation (EEC) No 1201 /89 ; whereas the Act of Accession of Spain and of Portugal, and Regu­ the world market price is determined on the basis of the lation (CEE) No 4006/87 ('), most favourable offers and quotations recorded, excluding offers and quotations which cannot be regarded as repre­ sentative of the real market trend ; Having regard to Council Regulation (EEC) No 2169/81 of 27 July 1981 laying down the general rules for the system of aid for cotton (2), as last amended by Regulation Whereas the necessary adjustments must be made in cases (EEC) No 791 /89 (3), and in particular Article 5.(1 ) thereof, where the offers and quotations recorded do not satisfy the requirements indicated above ; Having regard to the opinion of the Monetary Committee,

Whereas, under Article 5 of Regulation (EEC) No Whereas, under Article 4 (4) of Regulation (EEC) No 2169/81 , if there are no suitable offers or quotations for 2169/81 , aid must be granted for unginned cotton harvested in the Community when the world market determining the world market price for cotton seed, that price for unginned cotton is below the guide price ; price shall be established on the basis of the most favourable offers and quotations for cotton seed recorded Whereas the aid is equal to the difference between these on the Community market or, if those offers and quota­ tions cannot be established on the basis of the value of two prices ; the products obtained from processing the seed in the Whereas the guide price for the 1989/90 marketing year Community, less the processing cost ; whereas this value was fixed by Council Regulation (EEC) No 1241 /89 (4) ; is determined in accordance with Article 4 of Regulation (EEC) No 1201 /89 ; Whereas the abatement of the subsidy which arises, where appropriate, from the system of maximum guaranteed Whereas, if the subsidy system is to operate normally, quantities for the 1989/90 year, has not, to date, been subsidies should be calculated on the following basis : fixed ; whereas the amount of the subsidy for the 1989/90 year has been provisionally calculated on the basis of an — in the case of currencies which are maintained in rela­ abatement of 24,005 ECU per 100 kilograms ; tion to each other at any given moment within a band Whereas the world market price for unginned cotton is of 2,25 %, a rate of exchange based on their central determined periodically on the basis of the world market rate, multiplied by the corrective factor provided for in prices recorded for ginned cotton and cotton seed, taking the last paragraph of Article 3 (1 ) of Council Regula­ into account the estimated yield of the Community tion (EEC) No 1676/85 (6), as last amended by Regula­ harvest in cotton seed and in ginned cotton and also the tion (EEC) No 1636/87 0, net cost of ginning ; — for other currencies, an exchange rate based on the . arithmetic mean of the spot market rates of each of Whereas the world market price for ginned cotton and these currencies recorded over a given period in rela­ cotton seed is determined in accordance with Article 4 of tion to the Community currencies referred to in the Regulation (EEC) No 2169/81 ; previous indent, and the aforesaid coefficient ; Whereas, if the world market price for unginned cotton Whereas the aid must be fixed once a month, and in such cannot be determined as described above, this price shall be established on the basis of the most recent price deter­ a way that it can be applied from the first day of the mined ; month following the date of fixing ; whereas it may be altered between fixings ; (') 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. (3) OJ No L 85, 30. 3. 1989, p. 7. (6) OJ No L 164, 24. 6. 1985, p. 1 . (<) OJ No L 129, 11 . 5. 1989, p. 1 . O OJ No L 153, 13. 6. 1987, p. 1 .

No L . 135/ 14 Official Journal of the European Communities 19 . 5. 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 19 May 1989 to take account aid for cotton should be as set out in this Regulation, of the 1989/90 marketing year, as the case may be, which appear to have been offered in the largest quantities.

HAS ADOPTED THIS REGULATION :

Article 1 Article 2 1 . The aid for unginned cotton provided for in Article 5 of Regulation (EEC) No 2169/81 shall be 38,743 ECU per 100 kilograms. This Regulation shall enter into force on 19 May 1989.

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

Done at Brussels, 18 May 1989 . For the Commission Ray MAC SHARRY Member of the Commission