Texts adopted - COM in the sugar sector *

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Procedure : 2000/0250(CNS)

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Document selected : A5-0081/2001
Texts tabled : A5-0081/2001		Debates :		Votes :		Texts adopted : P5_TA(2001)0121

Texts adopted

Tuesday, 13 March 2001 - Strasbourg

COM in the sugar sector *

P5_TA(2001)0121

A5-0081/2001

		Text
		Resolution

Proposal for a Council regulation on the common organisation of the markets in the sugar sector (COM(2000) 604 - C5-0534/2000 - 2000/0250(CNS) )

The proposal was amended as follows:

Text proposed by the Commission(1)

Amendments by Parliament

Amendment 1
Recital 2

(2)

In order to achieve the objectives of the common agricultural policy, and in particular to ensure that Community growers of sugar beet and sugar cane continue to benefit from the necessary guarantees in respect of employment and standards of living, the market in sugar should be stabilised. This objective can be attained by allowing intervention agencies to buy in sugar. For this purpose, an intervention price for white sugar should be fixed for areas having no deficit, as well as an intervention price for raw sugar, and, every year for each of the deficit areas, a derived intervention price for white sugar and, if necessary, for raw sugar. The intervention price must be fixed at a level which will ensure a fair income for sugar-beet and sugar-cane producers while taking account of the interests of consumers. Such price guarantees for sugar also benefit sugar syrups, isoglucose and inulin syrup, the prices of which are based on sugar prices. In view of the financial perspective and the budgetary rules adopted by the European Council in Berlin in March 1999, the support prices in the sugar sector should be fixed for the whole duration of the new arrangements.

(2)

In order to achieve the objectives of the common agricultural policy, and in particular to ensure that Community growers of sugar beet and sugar cane continue to benefit from the necessary guarantees in respect of employment and standards of living, the market in sugar should be stabilised. This objective can be attained by allowing intervention agencies to buy in sugar. Moreover, a compensation system for storage costs for sugar produced both from raw materials of Community origin, including molasses, and preferential sugar could serve the same purpose. For this purpose, an intervention price for white sugar should be fixed for areas having no deficit, as well as an intervention price for raw sugar, and, every year for each of the deficit areas, a derived intervention price for white sugar and, if necessary, for raw sugar. The intervention price must be fixed at a level which will ensure a fair income for sugar-beet and sugar-cane producers while taking account of the interests of consumers. Such price guarantees for sugar also benefit sugar syrups, isoglucose and inulin syrup, the prices of which are based on sugar prices.

(2a) In view of the financial perspective and the budgetary rules adopted by the European Council in Berlin in March 1999, there is no need to make any substantive changes to the common organisation of the market in sugar as regards its operating principles, but the support prices in the sugar sector should be fixed for the whole duration of the new arrangements.

Amendment 63
Recital 5

(5)

These rules should ensure fair treatment for both manufacturers and producers of the basic products. In addition to the basic price derived from the intervention price for white sugar and fixed values representing the processing margin, the yield, undertakings' receipts from sales of molasses and, where applicable, the cost incurred in delivering beet to undertakings, minimum prices should therefore be fixed for A beet intended for processing into A sugar and for B beet intended for processing into B sugar, to be paid by sugar manufacturers buying beet. Specific instruments are needed to ensure a fair balance of rights and obligations between manufacturers and growers, in particular standard Community provisions should be laid down to govern the contractual relations between buyers and sellers of beet and adequate measures adopted for the same purpose for sugar cane. In order to comply with the obligations arising from the agreements concluded on the basis of the multilateral trade negotiations (WTO), the scope of the exception provided for in Article 6 of Regulation (EC) No. 2820/981 , as amended by Regulation (EC) No. 416/20012 , for products originating in the least-developed countries, should not be extended until after 2006 and following the Commission's conclusions on the future of the sugar quota system.

__________________
1 OJ L 357, 30.12.1998, p. 1.
1 OJ L 60, 1.3.2001, p. 43.

Amendment 64
Recital 7

(7)

The agreement on agriculture concluded under the GATT agreements (hereinafter called as "the Agreement”) in particular requires the Community to gradually reduce its export support for agricultural products and in particular for sugar under guarantee of production quotas. The Agreement provides for export support to be reduced, in terms of both the quantities covered and the level of the subsidies involved, over a transitional period. As a first step in adjusting the guarantees, the difference recorded for a given marketing year between the Community's exportable volume and the amount set in the Agreement should be apportioned between sugar, isoglucose and inulin syrup according to the percentages which the quotas of each represent in the total quota set for all three products for the Community. However, such a system should apply for a limited period only and should be regarded as transitional. In view, in particular, of the financial perspective and the budgetary rules adopted by the European Council in Berlin in March 1999 and the need to take account of the progress of negotiations under the WTO, the quota system should be maintained for the 2001/02 and 2002/03 marketing years . However, the situation should be reviewed in 2003.

(7)

The agreement on agriculture concluded under the GATT agreements (hereinafter called as "the Agreement”) in particular requires the Community to gradually reduce its export support for agricultural products and in particular for sugar under guarantee of production quotas. The Agreement provides for export support to be reduced, in terms of both the quantities covered and the level of the subsidies involved, over a transitional period. As a first step in adjusting the guarantees, the difference recorded for a given marketing year between the Community's exportable volume and the amount set in the Agreement should be apportioned between sugar, isoglucose and inulin syrup according to the percentages which the quotas of each represent in the total quota set for all three products for the Community. However, such a system should apply for a limited period only and should be regarded as transitional. In view, in particular, of the financial perspective and the budgetary rules adopted by the European Council in Berlin in March 1999 and the need to take account of the progress of negotiations under the WTO, the quota system should be maintained for the marketing years 2001/02 to 2005/06 and the scope of the exception provided for in Article 6 of Regulation (EC) No. 2820/98, as amended by Regulation (EC) No 416/2001, for products originating in the least-developed countries, should not be extended until after 2006 and following the Commission's conclusions on the future of the sugar quota system.

Amendment 3
Recital 7a (new)

(7a) Community territories such as the Canary Islands, Ceuta and Melilla are currently supplied with sugar from third countries or C sugar. It would therefore be appropriate to ensure that they are supplied with Community sugar in order to reduce the amount of surplus EU sugar passed on to third countries, while taking account of the initial obligations arising from the agreements negotiated in the course of the Uruguay Round.

Amendment 5
Recital 13a (new)

(13a) The common organisation of the market in sugar established a compensation system for storage costs. It is appropriate to make it clear that sugar which formed the subject of the reduction of guarantees under obligations arising from undertakings given in the context of the Agreement may continue to be eligible for reimbursement of storage costs under the said system.

Amendment 6
Recital 18a (new)

(18a) In order to ensure normal supplies to the Community as a whole or to one of its areas, a minimum stock system would be an effective measure. It would also be appropriate, in order to achieve this objective, to lay down provisions which would enable appropriate intervention measures to be taken under certain conditions. It is possible that the minimum stock system will not be sufficient to ensure supplies to one or more regions if natural disasters strike the said regions. It would therefore be desirable to allow undertakings established in those regions to use blocked carryover stocks to that end by authorising them to dispose of the sugar in question before the end of the compulsory storage period.

Amendment 66
Recital 21a (new)

(21a) Further tariff concessions for non-member countries, particularly the total exemption from customs duties for a certain number of least developed countries, must not be allowed to trigger a serious crisis for Community beet sugar production or impose an intolerable strain on the Community budget, estimated at more than one billion euro.

Amendment 7
Recital 26

(26)

Examination of supplies to port refineries throughout the Community suggests that special priority access should be given to raw cane sugar originating in the ACP States party to Protocol No 3 and India, under special agreements negotiated between the Community and the countries referred to in Protocol No 3 and/or other countries and based on an estimate of the Community's requirements once all available raw cane and beet sugar in the Community and preferential sugar has been refined. It should be pointed out that these special agreements are not necessary to ensure the supply of sugar to the Community but relate to the development aid policy which the Community conducts under the Lomé Convention, the Cotonou Agreements, the ACP-EC Partnership Agreement and the agreement between the European Community and the Republic of India on sugar cane.

Amendment 8
Recital 27

(27)

Until the 2000/01 marketing year, the refining industry received Community adjustment aid for refining preferential raw cane sugar and raw sugar from cane and beet harvested in the Community. In the light of experience, this aid should continue and provision should be made for it to be adjusted to take account of economic trends in the sugar sector, particularly manufacturing and refining margins.

(27)

Hitherto it has been possible to adjust this aid for any given marketing year in line with the storage levy set for that year and/or any change in the refining margin resulting from the prices set for the marketing year in question. In the light of experience, this aid should continue. Given the direct impact on the refining margin of changes in the storage levy, it should be made compulsory for the adjustment aid to be altered in line with that levy in the case of refining of raw sugar covered by Community price guarantees or imported from the ACP states as preferential sugar.

Amendment 9
Recital 27a (new)

(27a) By comparison with other crops the sugar cane sector encounters specific difficulties in the European Union which jeopardise its survival. Therefore, in order to enable the small-scale production of this crop to continue, national aid of EUR 7.25 per 100 kilograms of white sugar produced by the sector should be authorised.

Amendment 10
Recital 27b (new)

(27b) The previous basic regulation (EC) No 2038/1999 authorised the granting of adjustment aid to sugar beet producers in respect of production in certain regions of southern Europe. Such aid should continue to be made available to southern Italy for the entire period of application of the current regulation in view of the specific characteristics of production in that region and the need to continue the process of structural adjustment in the sector. Similarly, Article 53(2)(c) of Regulation (EC) No 2038/1999 should remain in force for the entire period of application of the current regulation but not be extended.

Amendment 11
Recital 30

(30)

In order to take account of environmental objectives, Member States should draw up and implement suitable environmental measures concerning the use of agricultural land for the production of the products referred to in Article 1. In future, Member States must introduce measures to promote production in accordance with objective environmental criteria and remind producers of the need to comply with the legislation in force. The Member States must submit a report on the impact of national environmental measures on the sugar sector.

Deleted

Amendment 12
Recital 33

(33)

The support arrangements introduced by this Regulation replace the arrangements provided for by Council Regulation (EC) No 2038/1999 of 13 September 1999 on the common organisation of the markets in the sugar sector, which must be repealed along with Regulations (EEC) No 206/68, (EEC) No 431/68, (EEC) No 447/68, (EEC) No 2049/69, (EEC) No 793/72, (EEC) No 741/75, (EEC) No 1358/771 , (EEC) No 1789/812 , (EEC) No 193/82, (EEC) No 1010/863 and (EEC) No 2225/864 laying down the general rules for its implementation.

_______________________
1 Council Regulation (EEC) No 1358/77 of 20 June 1977 laying down general rules for offsetting storage costs for sugar and repealing Regulation (EEC) No 750/68 (OJ L 156, 25.6.1977, p. 4). Regulation last amended by Regulation (EEC) No 3042/78 (OJ L 361, 23.12.1978, p. 8)
2Council Regulation (EEC) No 1789/81 of 30 June 1981 laying down general rules concerning the system of minimum stocks in the sugar sector (OJ L 177, 1.7.1981, p. 39). Regulation last amended by Regulation (EC) No 725/97 (OJ L 108, 25.4.1997, p. 13).
3 Council Regulation (EEC) No 1010/86 of 25 March 1986 laying down general rules for the production refund on certain sugar products used in the chemical industry (OJ L 94, 9.4.1986, p. 9). Regulation last amended by Regulation (EC) No 1888/2000 (OJ L 227, 7.9.2000, . 15).
4 Council Regulation (EEC) No 2225/86 of 15 July 1986 laying down measures for the marketing of sugar produced in the French overseeas departments and for the equalisation of the price conditions with preferential raw sugar (OJ L 194, 17.7.1986, p. 7).

(33)

The support arrangements introduced by this Regulation replace the arrangements provided for by Council Regulation (EC) No 2038/1999 of 13 September 1999 on the common organisation of the markets in the sugar sector, which must be repealed along with Regulations (EEC) No 206/68, (EEC) No 431/68, (EEC) No 447/68, (EEC) No 2049/69, (EEC) No 793/72, (EEC) No 741/75 and (EEC) No 193/82 laying down the general rules for its implementation.

Amendment 14
Recital 33a (new)

(33a) For the production of sugar from sugar cane, the unitary amount of aid made available in the 2001/02 to 2005/06 marketing years should not exceed EUR 7.25 per 100 kilograms of white sugar.

Amendment 13
Recital 34

(34)

Regulation (EC) No 2038/1999 provided for a system for compensating storage costs. Since the regime to be introduced by this Regulation does not include such a system, transitional provisions should be adopted to ease the transition from the old system to the new one. To that end, firstly, the balance of the old compensation system for storage costs should be charged, if negative, or credited, if positive, to the system for financing the disposal of surplus Community production in the sugar sector and, secondly, the date of disposal for the purposes of paying the storage levy for sugar in storage at the date of entry into application of this Regulation should be deemed to be the last day of the 2000/01 marketing year.

Deleted

Amendments 15 and 68
Article 2(1), introduction

For the 2001/02 and 2002/03 marketing years, for white sugar:

For the marketing years 2001/02 to 2005/06 inclusive , for white sugar:

Amendments 16 and 69
Article 2(2), subparagraph 1

For the 2001/02 and 2002/03 marketing years, the intervention price for raw sugar shall be EUR 52.37/100 kg.

For the marketing years 2001/02 to 2005/06 inclusive , the intervention price for raw sugar shall be EUR 52.37/100 kg.

Amendments 17 and 70
Article 3(1), subparagraph 1

For the 2001/02 and 2002/03 marketing years, the basic price for beet of the standard quality shall be EUR 47.67 per tonne delivered to the collection centre.

For the marketing years 2001/02 to 2005/06 inclusive , the basic price for beet of the standard quality shall be EUR 47.67 per tonne delivered to the collection centre.

Amendments 18 and 71
Article 4(1), introduction

For the 2001/02 and 2002/03 marketing years:

For the marketing years 2001/02 to 2005/06 inclusive:

Amendment 19
Article 6a (new)

Article 6a

A compensation system for storage costs, comprising flat-rate reimbursement to be financed by means of a levy, shall be provided for under the conditions set out in this Article.

Storage costs in respect of:

white sugar,

raw sugar,

syrups obtained prior to the crystallising stage,

syrups obtained by dissolving crystallised sugar,

manufactured from beet or cane harvested in the Community shall be reimbursed at a flat rate by the Member States.

The Member States shall impose a levy on each sugar manufacturer, as appropriate:

per unit of weight of sugar produced,

per unit of weight of the syrups referred to in the first subparagraph which are produced prior to the crystallising stage and marketed in their natural state.

The amount of the reimbursement shall be the same for the whole Community. This rule of uniformity shall also apply in respect of the levy.

Paragraph 2 shall not apply to flavoured or coloured sugars falling within CN code No 1701 or to flavoured or coloured syrups falling within subheading 2106 90 59 of the CN code.

The Council, acting by a qualified majority on a proposal from the Commission, shall:

(a)

adopt the general rules for the application of this Article;

(b)

fix the reimbursement amount simultaneously with the derived intervention prices.

The amount of the levy shall be fixed each year in accordance with the procedure laid down in Article 42. The other detailed rules for the application of this Article shall be adopted according to the same procedure.

Amendment 20
Article 7(4), third subparagraph

For the purposes of this Article, "refinery” means a production unit whose sole activity consists in refining either raw sugar or syrups produced prior to the crystallising stage.

For the purposes of this Article, "refinery” means a production unit whose sole activity consists in refining either raw sugar or syrups produced prior to the crystallising stage. The sugar-producing undertaking situated in the autonomous region of the Azores shall be treated as a refinery.

Amendment 21
Article 9a (new)

Article 9a

In order to ensure normal supplies to the Community as a whole or to one of its areas, there shall be a standing obligation to maintain, in the European territory of the Community, minimum stocks:

(a)

of beet sugar produced in the Community;

(b)

of cane sugar produced in the French overseas departments and of the preferential sugar referred to in Article 35.

This minimum stock of the sugar referred to in (a) above shall, on a fixed date, be equal to a percentage of the A quota of each sugar-producing undertaking or to the same percentage of its production of A sugar where this is less than its A quota.
The percentage fixed may be reduced.
The minimum stock of the sugar referred to in the first subparagraph under (b) shall be equal to a percentage of the quantity of sugar in question refined by an undertaking over a fixed period.

The Council, acting by a qualified majority on a proposal from the Commission, shall adopt general rules for the application of this Article and, in particular, shall fix the date and the percentage referred to in the second subparagraph of paragraph 1 and the percentage and the period referred to in the fourth subparagraph of paragraph 1.

In accordance with the same procedure, an obligation equivalent to the obligation to maintain a minimum stock may be laid down for the products referred to in Article 1(1)(f) and (h).

Detailed rules for the application of this Article and, in particular, the reduction of the percentage referred to in the third subparagraph of paragraph 1 shall be adopted in accordance with the procedure laid down in Article 42.

Amendment 22
Article 10(1)

Chapter 2 shall apply to the 2001/02 and 2002/03 marketing years.

Chapter 2 shall apply to the marketing years 2001/02 to 2005/06 inclusive .

Amendment 23
Article 11(2), points 1 and 2

Text proposed by the Commission

Basic quantities A

Regions

(a)

Basic quantity A for sugar

(b)

Basic quantity A for isoglucose

(c)

Basic quantity A for inulin syrup

Denmark
Germany
Greece
Spain
France (metropolitan)
French overseas departments
Ireland
Italy
Netherlands
Austria
Portugal (mainland)
The autonomous region of the Azores
Finland
Sweden
Belgium/Luxembourg Economic Union
United Kingdom

325 000.0
2 612 913.3
288 638.0
957 082.4
2 506 487.4
463 872.0
181 145.2
1 310 903.9
684 112.4
314 028.9
63 380.2
9 048.2
132 806.3
334 784.2
674 905.5
1 035 115.4

28 643.3 10 435.0
74 619.6
15 747.1

16 432.1 7 364.6

8 027.0

10 792.0

56 150.6 21 502.0

19 847.1

65 519.4

174 218.6

Basic quantities B

Regions

(a)

Basic quantity B for sugar

(b)

Basic quantity B for isoglucose

(c)

Basic quantity B for inulin syrup

Denmark
Germany
Greece
Spain
France (metropolitan)
France overseas departments
Ireland
Italy
Netherlands
Austria
Portugal (mainland)
The autonomous region of the Azores
Finland
Sweden
Belgium/Luxembourg Economic Union
United Kingdom

95 745.5
803 982.2
28 863.8
39 878.5
752 259.5
46 372.5
18 114.5
246 539.3
180 447.1
73 297.5
6 338.0

904.8

13 280.4 33 478.0
144 906.1
103 511.5

6 745.8 2 457.5
7 959.4
4 098.6

3 869.8 1 734.5

1 890.3

1 079.7

15 441.0 5 735.3

4 674.2

15 430.5

41 028.2

Amendments by Parliament

Basic quantities A

Regions

(a)

Basic quantity B for sugar

(b)

Basic quantity B for isoglucose

(c)

Basic quantity B for inulin syrup

328 000.0
2 637 703.0
290 000.0
960 000.0
2 530 000.0
466 000.0
182 000.0
1 320 000.0
690 000.0
316 529.0
63 636.4
9 090.9
133 433.0
336 364.0
680 000.0
1 040 000.0

28 882.0 10 522.0
75 000.0
15 887.0

16 569.0 7 426.0

8 093.9

10 845.0

56 667.0 21 696.0

19 991.0

65 994.0

175 577.0

Basic quantities B

Regions

(a)

Basic quantity B for sugar

(b)

Basic quantity B for isoglucose

(c)

Basic quantity B for inulin syrup

96 629.3
811 609.9
29 000.0
40 000.0
759 232.8
46 600.0
18 200.0
248 250.0
182 000.0
73 881.0
6 363.6

909.1

13 343.0 33 636.0
146 000.0
104 000.0

6 802.0 2 478.0
8 000.0
4 135.0

3 902.0 1 749.0

1 906.1

1 085.0

15 583.0 5 787.0

4 708.0

15 542.0

41 348.0

Amendment 24
Article 11(3)

Without prejudice to Article 10(3), (4), (5) and (6) and Article 12, the A and B quotas of undertakings producing sugar, undertakings producing isoglucose and undertakings producing inulin syrup shall be those assigned by the Member States for the 2000/01 marketing year before application of Article 26(5) of Regulation (EC) No 2038/1999, adjusted according to the basic quantities fixed in paragraph 2 in accordance with the procedure laid down in Article 10(5).

For the period referred to in Article 10(1) and without prejudice to Article 10(3), (4), (5) and (6) and Article 12, the A and B quotas of undertakings producing sugar, undertakings producing isoglucose and undertakings producing inulin syrup shall be those assigned by the Member States for the 2000/01 marketing year before application of Article 26(5) of Regulation (EC) No 2038/1999, in accordance with the procedure laid down in Article 10(5).

Amendment 25
Article 14(2), first subparagraph, second indent

undertake to store such quantity or quantities for a period of 11 consecutive months from a date to be determined.

undertake to store such quantity or quantities for a period of 11 consecutive months from a date to be determined. For this period, storage costs for C sugar carried forward and for A sugar and B sugar which have become carried-forward C sugar after application of Article 10(3), (4), (5) and (6) shall also be reimbursed under Article 6a.

Amendment 26
Article 15(2), introduction

Before the end of the 2002/03 marketing year and without prejudice to Article 10(3), (4), (5) and (6), the following shall be recorded cumulatively for the 2001/02 and 2002/03 marketing years:

Before the end of the 2005/06 marketing year and without prejudice to Article 10(3), (4), (5) and (6), the following shall be recorded cumulatively for the marketing years 2001/02 to 2005/06 inclusive :

Amendment 27
Article 33(1), first subparagraph

Where the price of sugar on the world market is higher than the intervention price, an export levy may be applied to the sugar concerned. Such a levy shall be compulsory when the cif price of white or raw sugar is higher than the intervention price plus an amount equal to the sum of 10 % of the intervention price and the storage levy applicable during the marketing year concerned.

Amendment 28
Article 33(2), first subparagraph

Where the cif price of white or raw sugar is higher than the intervention price plus 10% , the Council may decide, acting on a proposal from the Commission in accordance with the voting procedure laid down in Article 37(2) of the Treaty, to grant an import subsidy for the product in question.

Where the cif price of white or raw sugar is higher than the intervention price plus an amount equal to the sum of 10 % of the intervention price and the storage levy applicable during the marketing year concerned , the Council may decide, acting on a proposal from the Commission in accordance with the voting procedure laid down in Article 37(2) of the Treaty, to grant an import subsidy for the product in question.

Amendment 29
Article 38(1)

During the 2001/02 and 2002/03 marketing years, adjustment aid shall be granted as an intervention measure to the industry refining preferential raw cane sugar imported into the Community for that purpose under Article 35.

During the marketing years 2001/02 to 2005/06 inclusive , adjustment aid shall be granted as an intervention measure to the industry refining preferential raw cane sugar imported into the Community for that purpose under Article 35.

Amendment 30
Article 38(4)

The adjustment aid and the additional aid may be adjusted to take account of economic trends in the sugar sector, particularly manufacturing and refining margins.

The adjustment aid and the additional aid may be adjusted for a particular marketing year in the light of the storage levy fixed for that year, any previous adjustments and, where appropriate , economic trends in the sugar sector, particularly manufacturing and refining margins.

Amendment 31
Article 39(2)(a), (b), (c) and (d)

(a)

Finland, shall be 59 925 tonnes,

(b)

metropolitan France, shall be 296 627 tonnes,

(c)

mainland Portugal, shall be 291 633 tonnes,

(d)

the United Kingdom, shall be 1 128 581 tonnes.

(e)

Finland, shall be 60 000 tonnes,

(f)

Metropolitan France, shall be 297 000 tonnes,

(g)

Mainland Portugal, shall be 292 000 tonnes,

(h)

The United Kingdom, shall be 1 130 000 tonnes.

Amendment 32
Article 39a (new)

Article 39a
Refunds relating to the export of quantities of sugar imported under preferential import schemes shall be charged not to the EAGGF budget but to the development aid budget.

Amendment 33
Article 39b (new)

Article 39b
Any new preferential agreement for the import of sugar from third countries must be included in Articles 35 to 39 concerning preferential import arrangements.

Amendment 77
Article 40

Any measures needed to prevent the market in sugar being disturbed by changes in price levels at the changeover from one marketing year to the next or during a single marketing year may be adopted in accordance with the procedure referred to in Article 42(2).

Any measures needed to prevent the market in sugar being disturbed by changes in price levels, quantities imported and preferential duties applied to any non-Community countries may be adopted in accordance with the procedure referred to in Article 42(2).

Amendment 52
Article 45(4a) (new)

4a. The Commission shall submit, at the latest by the end of 2002, a report setting out, by means of different scenarios, the impact of a reform on sugar producers, processors and consumers. Specific attention shall be paid to ensuring that reductions in production prices are passed on to the sugar prices paid by consumers.

Amendment 53
Article 45(4b) (new)

4b. The Commission shall submit, at the latest by the end of 2002, a report on the impact on sugar producers, processors and consumers of turning the national quota system into a European quota system.

Amendment 54
Article 45(4c) (new)

4c. The Commission shall submit, at the latest by the end of 2002, a report on concentration and internal competition in the sugar market in the Member States.

Amendment 55
Article 45(4d) (new)

4d. The Commission shall submit, at the latest by the end of 2002, a report setting out, by means of different scenarios, the impact on ACP economies of a reform of the sugar sector.

Amendment 35
Article 45(4e) (new)

4e. The Commission shall submit, by the end of 2002 at the latest, a report on the financial impact on ACP countries of the preferential access of ACP sugar to the internal market. This report shall include an analysis of the sectors in local communities which benefit most from the Cotonou sugar protocol.

Amendment 36
Article 45(4f) (new)

4f. The Commission shall adjust annually the national quota levels to comply with WTO requirements.

Amendment 34
Article 45a (new)

Article 45a
The Commission shall undertake a study of the current regime and possible alternative mechanisms, looking at the impact on the EU's overall economic welfare. This shall include a review of the quota system, including the system of production levies, an examination of concentration and prices in the sugar sector and the degree to which current mechanisms, or alternatives (e.g. 1992 and Agenda 2000) are appropriate.

Amendments 44, 51 and 79
Article 45b (new)

Article 45b
The Commission shall submit by 31 December 2002 a report on the fairness of the system for allocating production levies.

Amendment 37
Article 45c (new)

Article 45c
In order to maintain the current balance, the existing national aid available in Spain, Italy and Portugal in accordance with Regulations (EC) Nos 2038/1999 and 2613/971 shall be extended for a period of at least 5 years.
________________
1 OJ L 353, 24.12.1997, p. 3.

Amendment 38
Article 45d (new)

Article 45d

Italy shall be authorised, under the conditions set out in paragraphs 2 and 3, to grant adjustment aid in the case referred to in paragraph 2 to producers of sugar beet as well as, where appropriate, to sugar producers.

The aid referred to in paragraph 1 may be granted only in respect of sugar produced within the limit of the A and B quotas of each sugar-producing undertaking.

For the production referred to in the first subparagraph in southern Italy, the unit amount of aid may not exceed EUR 5.43 per 100 kilograms of white sugar during the marketing years referred to in this Regulation.

Italy may adjust the aid referred to in paragraph 2 where this is necessitated by exceptional requirements connected with restructuring the sugar sector in that part of Italy. Pursuant to Articles 87, 88 and 89 of the Treaty, the Commission shall assess in particular whether such aid is consistent with the restructuring plans.

For the purpose of paragraphs 1, 2 and 3, 'southern Italy' means Abruzzo, Molise, Apulia, Sardinia, Campania, Basilicata, Calabria and Sicily.

Italy shall notify the Council, in respect of each marketing year, of the measures taken in application of paragraphs 1, 2 and 3.

Amendment 39
Article 46

Article 46
The balance remaining from the compensation system for storage costs applied during the 2000/01 marketing year under Regulation (EC) No 2038/1999 shall be charged, if negative, or credited, if positive, under the system referred to in Articles 15 and 16 of this Regulation for the 2001/02 marketing year.
In the case of sugar in storage at 30 June 2001 under the compensation system for storage costs provided for in Regulation (EC) No 2038/1999, the date of disposal for the purposes of collecting the storage levy shall be 30 June 2001.

Deleted

Amendment 40
Article 47, paragraph 1

Regulations (EC) No 2038/1999, (EEC) No 206/68, (EEC) No 431/68, (EEC) No 447/68, (EEC) No 2049/69, (EEC) No 793/72, (EEC) No 741/75, (EEC) No 1358/77, (EEC) No 1789/81 , (EEC) No 193/82, (EEC) No 1010/86 and (EEC) No 2225/86 are hereby repealed.

Regulations (EC) No 2038/1999, (EEC) No 206/68, (EEC) No 431/68, (EEC) No 447/68, (EEC) No 2049/69, (EEC) No 793/72, (EEC) No 741/75 and (EEC) No 193/82 are hereby repealed.

(1)	OJ C 29 E, 30.1.2001, p. 315.

European Parliament legislative resolution on the proposal for a Council regulation on the common organisation of the markets in the sugar sector (COM(2000) 604 - C5-0534/2000 - 2000/0250(CNS) )

(Consultation procedure)

The European Parliament,

- having regard to the Commission proposal to the Council (COM(2000) 604 (1) ),

- having been consulted by the Council pursuant to Articles 36 and 37 of the EC Treaty (C5-0534/2000 ),

- having regard to Rule 67 of its Rules of Procedure,

- having regard to the report of the Committee on Agriculture and Rural Development and the opinions of the Committee on Budgets and the Committee on Industry, External Trade, Research and Energy (A5-0081/2001 ),

1. Approves the Commission proposal as amended;

2. Calls on the Commission to alter its proposal accordingly, pursuant to Article 250(2) of the EC Treaty;

3. Calls on the Council to notify Parliament should it intend to depart from the text approved by Parliament;

4. Calls for the conciliation procedure to be initiated should the Council intend to depart from the text approved by Parliament;

5. Asks to be consulted again if the Council intends to amend the Commission proposal substantially;

6. Instructs its President to forward its position to the Council and Commission.

(1)	OJ C 29 E, 30.1.2001, p. 315.

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