(Consultation procedure)

The European Parliament,

–   having regard to the Commission proposal to the Council (COM(2005)0263)(1),

–   having regard to Articles 36 and 37 of the EC Treaty, pursuant to which the Council consulted Parliament (C6-0243/2005),

–   having regard to Rule 51 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 Development, the Committee on Budgets, the Committee on Budgetary Control and the Committee on International Trade (A6-0391/2005),

1.  Approves the Commission proposal as amended;

2.  Records that the appropriations shown in the proposal for a regulation are for guidance only until such time as an agreement has been reached on the financial perspective for the period covering 2007 onwards;

3.  Asks the Commission, once the next financial perspective has been adopted, to confirm the amounts shown in the proposal for a regulation or, where appropriate, to submit the adjusted amounts for the approval of the European Parliament and the Council, thereby ensuring compatibility with the relevant ceilings;

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

5.  Considers it unacceptable that the Council should have announced a political agreement on sugar reform, with far-reaching implications for the future of the industry in many Member States, without first having obtained the opinion of the European Parliament; the Council may never conclude a final political agreement before consultation of the European Parliament has been completed;

6.  Calls on the Council to notify Parliament if it intends to depart from the text approved by Parliament;

7.  Asks the Council to consult Parliament again if it intends to amend the Commission proposal substantially;

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

Text proposed by the Commission   Amendments by Parliament Amendment 1 Recital 2 (2)  The sugar market in the Community is based on principles which for other common market organisations have been substantially reformed in the past. In order to pursue the objectives set out in Article 33 of the Treaty, and notably in order to stabilise the markets and to ensure a fair standard of living for the agricultural community within the sugar sector, it is necessary to fundamentally review the common organisation of the market in the sugar sector. (2)  The sugar market in the Community is based on principles which for other common market organisations have been reformed in the past. In order to pursue the objectives set out in Article 33 of the Treaty, and notably in order to stabilise the markets and to ensure a fair standard of living for the agricultural community within the sugar sector, it is necessary to introduce modifications to the common organisation of the market in the sugar sector. Amendment 2 Recital 3 a (new) (3a) The Community sugar market is likely to be particularly volatile for the first four years of the reform (2006 to 2010), whilst the restructuring scheme is put into operation. The reference price system has not been successful in other agricultural sectors in either stabilising markets or establishing a floor price on the market. It is therefore necessary to retain the intervention price system for the four-year period from 2006 to 2010, with provision being made, where necessary, for sugar being bought in by the intervention agencies. To this end, intervention prices should be set for both white and raw sugar at a level that ensures a fair income for sugar beet and sugar cane producers, while protecting the interests of consumers. Such price guarantees for sugar in practice also benefit sucrose syrups and isoglucose and inuline syrup, the prices of which are dependent on the price of sugar. As from the marketing year 2010/2011, a reference price should be established in place of the intervention system. Amendment 3 Recital 5 a (new) (5a) In order to ensure a fair standard of living for beet producers, a minimum price should be fixed for quota beet which takes account of the intervention price for white sugar and the estimated Community yield of 130 kg of sugar per tonne of standard quality beet. Amendment 4 Recital 6 a (new) (6a) As only a small proportion of the reduction in sugar prices will be passed on to the European consumer (1.5% for white sugar, which accounts for 70% of sugar production; 5% for raw sugar, which accounts for the remaining 30%), the reference or intervention price and the minimum price for beet should be established primarily on the basis of the trends in quantities produced, imports and consumption, in such a way as to ensure balance on the Community market. Amendment 5 Recital 7 (7)  Specific instruments are needed to ensure a fair balance of rights and obligations between sugar undertakings and sugar beet growers. Therefore, standard provisions should be laid down to govern the contractual relations between buyers and sellers of sugar beet. The diversity of natural, economic and technical situations makes it difficult to provide for uniform purchase terms for sugar beet throughout the Community. Agreements within the trade already exist between associations of sugar beet growers and sugar undertakings. Therefore, framework provisions should only define the minimum guarantees required by both sugar beet growers and the sugar industry to ensure a smooth functioning of the sugar market with the possibility to derogate from some rules in the context of an agreement within the trade. (7)  Specific instruments are needed to ensure a fair balance of rights and obligations between sugar undertakings and sugar beet growers. Therefore, standard provisions should be laid down to govern the contractual relations between buyers and sellers of sugar beet. If specific economic difficulties arise for which the framework provisions cannot provide a valid solution, it should be possible for agreements within the trade to introduce, following consultation of the Commission's services, derogations from certain rules provided they are proportionate and of limited duration. Amendment 6 Recital 8 (8)  The reasons which in the past led the Community to adopt a production quota system for sugar, isoglucose and inuline syrup still remain valid. However, due to developments within the Community and internationally, it is necessary to adjust the production system in order to provide for new arrangements and reductions of the quotas. In line with the previous quota system, a Member State should allocate quotas to the undertakings established within its territory. The new common organisation of the markets in the sugar sector should maintain the legal status of the quotas in so far as, according to the case-law of the Court of Justice, the system of quotas constitutes a mechanism for regulating the market in the sugar sector which aims to ensure the attainment of public interest objectives. (8)  The reasons which in the past led the Community to adopt a production quota system for sugar, isoglucose and inuline syrup still remain valid. However, due to developments within the Community and internationally, it is necessary to adjust the production system, in particular the quotas, with a view to ensuring balance on the markets in the sugar sector. In line with the previous quota system, a Member State should allocate quotas to the undertakings established within its territory. The new common organisation of the markets in the sugar sector should maintain the legal status of the quotas in so far as, according to the case-law of the Court of Justice, the system of quotas constitutes a mechanism for regulating the market in the sugar sector which aims to ensure the attainment of public interest objectives. Amendment 7 Recital 8 a (new) (8a) The introduction by the European Union in 2000 of a regime based on unlimited zero-duty access to sugar from the Balkan countries resulted in an unprecedented rise in imports, due, in particular, to irregular trade practices which remained undetected for a considerable time. The return to controlled imports in 2005 has made it possible to block illegal imports of sugar into the Community and to ensure balance on the internal market. Amendment 8 Recital 8 b (new) (8b) There are objective risks that the irregular trade practices that developed following the opening-up of the Community market to zero-duty, quota-free sugar imports from the Balkan countries could reappear with the full entry into force of the "Everything But Arms" initiative for the least developed countries (LDCs). If the Community is to adapt its production quotas in an effective and rational fashion, it will need suitable regulatory instruments, which enable it to keep control over the supply of sugar on its market and to eliminate all irregular trade practices, given that the latter disturb the market and unbalance the Community's production system. Developing countries will also require substantial assistance so that they can guard against these practices and take full advantage of the "Everything But Arms" initiative. Amendment 9 Recital 8 c (new) (8c) In the case of the "Everything But Arms" initiative, under which the LDCs will be able to import sugar free of tariffs and quotas, there is some risk of three-way trading, which would be virtually impossible to detect under reasonable financial conditions and which could potentially undermine the stability of the Community market. This three-way trading might also threaten development itself in the LDCs, since it would benefit only the major international operators, whilst having no positive effect on the local communities dependent on sugar production. Given that many developing countries are in fact dependent on sugar under purely export-oriented production regimes, it is crucial to ensure that the threat of three-way trading does not hinder developing countries" access to EU markets. Amendment 10 Recital 9 (9)  Following the recent decisions on export subsidies of the World Trade Organisation Panel and the Appellate Body on EU export subsidies for sugar and in order for Community operators to ensure a smooth change-over from the previous quota system to the present system, it should be possible during the marketing year 2006/2007 for sugar undertakings that produced C sugar in the marketing year 2004/2005 to be allocated an additional quota under conditions that take the lower value of C sugar into account. deleted Amendment 11 Recital 9 a (new) (9a) The depletion of oil resources worldwide has led to an unprecedented rise in the price of crude oil. In this climate, alcohol production in the sugar sector is a major asset for the development of alternative energies. Given the impact of the reform of the common organisation of markets at production level, it is important to anticipate and reinforce these trends by opening up prospects for the sugar sector and clearly including the bioethanol outlet within production outside the quota. Amendment 78 Recital 9 b (new) (9b) The EU should seek to abolish export subsidies as soon as possible, and at the latest by 2013. Amendment 12 Recital 10 a (new) (10b) Undertakings that are allocated an additional isoglucose quota should agree in advance to renounce the subsidy provided for under the temporary scheme for the restructuring of the sugar industry. Amendment 13 Recital 11 (11)  To ensure that the Community's production of sugar, isoglucose and inuline syrup is reduced sufficiently, the Commission should be entitled to adjust the quotas to a sustainable level after the termination of the restructuring fund in 2010. (11)  To ensure balance on the Community market if the situation so warrants the Council should be entitled, on a proposal from the Commission and after consulting the European Parliament, to adjust the quotas for sugar, isoglucose and inuline syrup, and to set them at a sustainable level after the termination of the restructuring fund in 2010. Amendment 14 Recital 15 a (new) (15a) Steps should be taken to ensure that the chemical and pharmaceutical industries can obtain supplies of sugar at the world market price. Amendment 15 Recital 28 a (new) (28a) The rules of origin should be tightened in order to prevent the acquisition of origin being determined by the refining process. Amendment 16 Recital 29 (29)  The Community has several preferential market access arrangements with third countries which allow those countries to export cane sugar to the Community under favourable conditions. Therefore, it is necessary to evaluate refiners" need for sugar for refining and, under certain conditions, to reserve import licences to full-time refiners in the Community. (29)  The Community has several preferential market access arrangements with third countries which allow those countries to export cane sugar to the Community under favourable conditions. Therefore, it is necessary to evaluate refiners" need for sugar for refining and, under certain conditions, to reserve import licences to full-time refiners in the Community. However, as from the marketing year 2009/2010 import licences should be issued to other sugar factories as well. Amendment 17 Recital 29 a (new) (29a) Preferential access by LDCs to EU markets in respect of sugar products should be temporarily withdrawn in cases where their exports to the EU exceed their domestic production capacity, without regard to sugar products otherwise disposed of, primarily through domestic consumption and exports to third countries. The Commission should therefore receive statistical information from beneficiary countries about their domestic sugar production and consumption, as well as their sugar imports and exports. These statistics should also include sugar in processed products. Amendment 18 Recital 29 b (new) (29b) Beneficiary countries of the Generalised System of Preferences should be prohibited from using sugar from third countries that do not belong to the group of LDCs for products that they intend to sell to the EU under the preferential access scheme. Amendment 20 Recital 32 (32)  Compliance with the quantity limits should be ensured by a reliable and effective system of monitoring. To that end, the granting of export refunds should be made subject to an export licence. Export refunds should be granted up to the limits available, depending on the particular situation of each product concerned. Exceptions to that rule should be permitted only for processed products not listed in Annex I to the Treaty, to which volume limits do not apply. Provision should be made for derogating from strict compliance with management rules where exports benefiting from export refunds are not likely to exceed the quantity laid down. (32)  Compliance with the quantity limits should be ensured by a reliable and effective system of monitoring. To that end, the granting of both export refunds and non- quota exports should be made subject to an export licence. Export refunds should be granted up to the limits available, depending on the particular situation of each product concerned. Exceptions to that rule should be permitted only for processed products not listed in Annex I to the Treaty, to which volume limits do not apply. Provision should be made for derogating from strict compliance with management rules where exports benefiting from export refunds are not likely to exceed the quantity laid down. Amendment 21 Recital 34 (34)  It is appropriate to provide for measures to be taken when a substantial rise or fall in prices disturbs or threatens to disturb the Community market. These measures may include the opening of a quota at reduced tariff for imports of sugar from the world market for the time necessary. (34)  It is appropriate to provide for measures to be taken when a substantial rise or fall in prices disturbs or threatens to disturb the Community market. Should there be a deficit in Community production, these measures may include the opening of a quota at reduced tariff for imports of sugar from the world market for the time necessary. Amendment 22 Recital 38 (38)  The characteristics of sugar production in the outermost regions of the Community distinguish that production from sugar production in the rest of the Community. Financial support should therefore be given to the sector by allocating resources to farmers in those regions after the entry into force of the support programmes to assist local production which Member States draw up under Council Regulation (EC) No ..../2005 of […] laying down specific measures for agriculture in the outermost regions of the Union. (38)  The characteristics of sugar production in the outermost regions of the Community distinguish that production from sugar production in the rest of the Community. Financial support should therefore be given to the sector by allocating resources to farmers in those regions after the entry into force of the support programmes to assist local production which Member States draw up under Council Regulation (EC) No ..../2005 of […] laying down specific measures for agriculture in the outermost regions of the Union. Provision should also be made for specific aid schemes for Community areas and regions facing economic and social hardship. Amendment 23 Recital 40 (40)  The change-over from the arrangements in Regulation (EC) No 1260/2001 to those provided for in this Regulation could give rise to difficulties which are not dealt with in this Regulation. In order to deal with such difficulties, the Commission should be enabled to adopt transitional measures. (40)  The change-over from the arrangements in Regulation (EC) No 1260/2001 to those provided for in this Regulation could give rise to difficulties which are not dealt with in this Regulation, such as the uncertainty with respect to the marketing year 2006/2007 in those areas in which autumn sowing is practiced. In order to deal with such difficulties, the Commission should be enabled to adopt transitional measures. Amendment 24 Recital 40 a (new) (40a) In the context of the restructuring of the European sugar industry, the Council must mobilise the Union's Structural Funds and all the social cohesion policy instruments, with a view to optimising the management of the restructuring and encouraging job creation. Given the extent of the proposed reform, over a short period, especially in rural areas, and covering various types of economic activity, it will be vital to develop regional programmes quickly, with the support of the EU's Structural Funds and of all the social cohesion policy instruments. That is in line with the objectives of the Lisbon Strategy, the European Employment Strategy, and the Commission's cohesion guidelines for 2007-2113, and reflects, in particular, the terms of the Commission communication on restructuring and employment1. That communication stresses that the EU should, as a matter of consistency, assume the costs of the policies it implements (point 1.1), and draws attention to the need to make use of all the Community financial instruments available to the Member States in a complementary and integrated fashion, with a view to managing economic change and optimising the impact on employment (point 2.1.3). ___________ 1 Commission communication entitled "Restructuring and employment - Anticipating and accompanying restructuring in order to develop employment: the role of the European Union", (COM(2005)0120). Amendment 25 Article 1, paragraph 1 a (new) 1a. The common organisation of markets in the sugar sector shall seek to pursue the objectives set out in Article 33 of the Treaty, and notably, to stabilise the markets, to increase the market orientation of the Community sugar regime, and to ensure a fair standard of living for the agricultural community within the sugar sector. Amendment 26 Article 2, point (6 a) (new) (6a) "exported sugar", "exported isoglucose" and "exported inuline syrup" mean the quantity of sugar, isoglucose or inuline syrup exported to third countries during a given marketing year within the limits of the agreements concluded pursuant to Article 300 of the Treaty; Amendment 27 Article 2, point (7) (7) "surplus sugar", "surplus isoglucose" and "surplus inuline syrup" mean any quantity of sugar, isoglucose or inuline syrup production attributed to a specific marketing year over and above the respective quantities referred to in points (5) and (6); (7) "surplus sugar", "surplus isoglucose" and "surplus inuline syrup" mean any quantity of sugar, isoglucose or inuline syrup production attributed to a specific marketing year over and above the respective quantities referred to in points (5), (6) and (6a); Amendment 28 Article 2, point (11 a) (new) (11a) "Preferential sugar originating from the least developed countries (LDCs)" means sugar produced and exported by a particular LDC in excess of its consumption as notified to the International Sugar Organisation. Amendment 29 Article 2 a (new) Article 2a Price system 1.  During the marketing years 2006/2007, 2007/2008, 2008/2009 and 2009/2010, an intervention system based on an intervention price shall be established in accordance with the procedures laid down in Article 17a. 2.  As from the marketing year 2010/2011, the intervention system shall be replaced by a system based on a reference price. Amendment 30 Article 3 Reference price Reference or intervention price 1.  For white sugar, the reference price shall be: 1.  For white sugar, the reference or intervention price shall be: (a)  EUR 631.9 per tonne for the marketing year 2006/2007; (a)  EUR 631.9 per tonne for the marketing year 2006/2007; (b)  EUR 476.5 per tonne for the marketing year 2007/2008; (b)  EUR 571.2 per tonne for the marketing year 2007/2008; (c)  EUR 449.9 per tonne for the marketing year 2008/2009; (c)  EUR 525.8 per tonne for the marketing year 2008/2009; (d)  EUR 385.5 per tonne as from the marketing year 2009/2010. (d)  EUR 442.3 per tonne as from the marketing year 2009/2010; 2.  For raw sugar, the reference price shall be: 2.  For raw sugar, the reference or intervention price shall be: (a)  EUR 496.8 per tonne for the marketing year 2006/2007; (a)  EUR 496.8 per tonne for the marketing year 2006/2007; (b)  EUR 394.9 per tonne for the marketing year 2007/2008; (b)  EUR 496.8 per tonne for the marketing year 2007/2008; (c)  EUR 372.9 per tonne for the marketing year 2008/2009; (c)  EUR 441.2 per tonne for the marketing year 2008/2009; (d)  EUR 319.5 per tonne as from the marketing year 2009/2010. (d)  EUR 366.6 per tonne as from the marketing year 2009/2010. 3.  The reference prices referred to in paragraphs 1 and 2 shall apply to unpacked sugar, ex-factory, loaded on to a means of transport chosen by the purchaser. They shall apply to white sugar and raw sugar of the standard quality described in Annex I. 3.  The reference or intervention prices referred to in paragraphs 1 and 2 shall apply to unpacked sugar, ex-factory, loaded on to a means of transport chosen by the purchaser. They shall apply to white sugar and raw sugar of the standard quality described in Annex I. Amendment 31 Article 5, paragraph 1 1.  The minimum price for quota beet shall be: 1.  The minimum price for quota beet shall be: (a)  EUR 32.86 per tonne for the marketing year 2006/2007; (a)  EUR 32.86 per tonne for the marketing year 2006/07; (b)  EUR 25.05 per tonne as from the marketing year 2007/2008. (b)  EUR 31.6 per tonne as from the marketing year 2007/08; (ba)  EUR 30.6 per tonne as from the marketing year 2008/09; (bb)  EUR 29.4 per tonne as from the marketing year 2009/10. However, the minimum price for quota beet may be reduced by a maximum of 10% by way of an agreement within the trade. Amendment 32 Article 5, paragraph 2 2.  The minimum price referred to in paragraph 1 shall apply to sugar beet of the standard quality described in Annex I. 2.  The minimum price referred to in paragraph 1 shall apply to sugar beet of the standard quality described in Annex I and shall correspond to a yield of 130 kg of quota sugar. This price shall apply to the "delivery to the place of delivery" stage. Amendment 33 Article 5, paragraph 4 4.  For the quantities of sugar beet corresponding to the quantities of industrial sugar or surplus sugar that are subject to the surplus amount provided for in Article 15, the sugar undertaking concerned shall adjust the purchase price so that it is at least equal to the minimum price for quota beet. 4.  For the quantities of sugar beet corresponding to the quantities of industrial sugar, the sugar undertaking concerned shall be required to pay at least the price set by agreements within the trade, bearing in mind the added value of the sugar concerned, the relationship between the institutional sugar prices and quota beet after the restructuring period, and the conventional yield of 130 kg per tonne of beet with 16% sugar content. Amendment 34 Article 5, paragraph 4 a (new) 4a. For the surplus quantities of sugar beet, which, as provided for in Article 15, are subject to levies on surpluses or which are sold on the Community market free from the levy on surpluses, the undertaking concerned shall adjust the purchase price so that it is at least equal to the minimum price for quota beet. Amendment 36 Article 8 Article 8 deleted Additional sugar quota 1.  By 31 July 2006 at the latest, sugar undertakings that produced C sugar under Regulation (EC) No 1260/2001 during the marketing year 2004/2005 may request from the Member State where they are established the allocation of an additional quota for a total as set out in Annex IV. The additional quotas shall be allocated according to objective and non discriminatory criteria. 2.  If the demand for additional quotas exceeds the available national quantity, the Member State concerned shall provide for a proportional reduction of the quantities to be allocated. 3.  A one-off amount shall be levied on the additional quotas that have been allocated to undertakings in accordance with paragraphs 1 and 2. This amount shall be set at an amount equal to the level of the restructuring aid applicable in the marketing year 2006/2007. It shall be collected per tonne of additional quota allocated. 4.  The totality of the one-off amount paid in accordance with paragraph 3 shall be charged by the Member State to the undertakings on its territory that have been allocated an additional quota. The payment of the one-off amount by a sugar undertaking concerned shall be made by a deadline to be determined by the Member States. The deadline shall not be later than 28 February 2007. 5.  If the sugar undertaking has not paid the one-off amount before 28 February 2007 the additional quotas shall not be considered as allocated to the sugar undertaking concerned. Amendment 37 Article 9 Article 9 deleted Additional isoglucose quota In the marketing year 2006/2007 an isoglucose quota of 100 000 tonnes is added to the total of the isoglucose quota fixed in Annex III. In each of the marketing years 2007/2008 and 2008/2009 a further isoglucose quota of 100 000 tonnes is added to the quota of the preceding marketing year. Member States shall allocate the additional quotas to undertakings, proportionately to the isoglucose quota that have been allocated in accordance with Article 7(2). Amendment 38 Article 10, paragraph 2 2.  Taking into account the results of the restructuring scheme provided for in Council Regulation (EC) No …./2005 (restructuring scheme), the Commission shall decide by the end of February 2010 at the latest, in accordance with the procedure referred to in Article 39(2), the common percentage needed to reduce the existing quotas for sugar, isoglucose and inuline syrup per Member State or region with a view to avoid market imbalances in the marketing years as from 2010/2011. 2.  On a proposal from the Commission and after consulting the European Parliament, and taking into account the results of the restructuring scheme provided for in Council Regulation (EC) No …./2005 (restructuring scheme), the Council shall decide by the end of February 2010 at the latest, in accordance with the procedure referred to in Article 39(2), the common percentage needed to reduce the existing quotas for sugar, isoglucose and inuline syrup per Member State or region with a view to avoid market imbalances in the marketing years as from 2010/2011. Amendment 39 Article 12, point (ca) (new) ca) exported to third countries, subject to the conditions laid down in this Regulation. Amendment 40 Article 12 a (new) Article 12a Outlets for sugar surpluses The Commission shall carry out a study in order to identify transitional outlets for sugar surpluses for energy use. Amendment 41 Article 13, paragraph 1, point (a) (a) it has been subject to a delivery contract concluded before the end of the marketing year between a producer and a user which have both been granted approval under Article 17; (a) it has been subject to a delivery contract concluded before the end of the marketing year between a producer and/or supplier and a user which have been granted approval under Article 17; Amendment 42 Article 13, paragraph 2, point (a) (a) alcohol, rum, live yeast and "Rinse appelstroop"; (a) alcohol, bioethanol for energy purposes, rum, yeast and "Rinse appelstroop"; Amendment 43 Article 13, paragraph 2, point (b) (b) industrial products without sugar content but the processing of which uses a quantity of sugar, isoglucose or inuline syrup higher than 50% of the weight of the final product; (b) industrial products without sugar content but the processing of which uses sugar, isoglucose or inuline syrup as the base product; Amendment 44 Article 13, paragraph 3, subparagraph 1 3.  A production refund may be granted on the products listed in Article 1(1)(b) to (e) if surplus sugar, surplus isoglucose or surplus inuline syrup is not available at a price corresponding to the world price for the manufacturing of products referred to in paragraph 2 points (b) and (c) of this Article. 3.  A production refund shall be granted on the products listed in Article 1(1)(b) to (e) if surplus sugar, surplus isoglucose or surplus inuline syrup is not available at a price corresponding to the world price for the manufacturing of products referred to in paragraph 2 points (b) and (c) of this Article. Amendment 45 Article 13, paragraph 3, subparagraph 3 The production refund shall be fixed taking into account in particular the costs arising from the use of imported sugar which the industry would have to bear in the event of supply on the world market and the price of the surplus sugar available on the Community market or the reference price if there is no surplus sugar. The production refund shall be fixed taking into account in particular the costs arising from the use of imported sugar which the industry would have to bear in the event of supply on the world market and the price of the surplus sugar available on the Community market or the reference or intervention price if there is no surplus sugar. Amendment 46 Article 14, paragraph 2, first subparagraph, point (a) (a) inform the Member State concerned by 31 January of the current marketing year at the latest, of the quantities of sugar, isoglucose or inuline syrup being carried forward; (a) inform the Member State concerned by 15 February of the current marketing year at the latest, of the quantities of sugar, isoglucose or inuline syrup being carried forward; Amendment 47 Article 14, paragraph 2, second subparagraph, introductory wording However, the date of 31 January referred to in point (a) of the first subparagraph shall be replaced: However, the date of 15 February referred to in point (a) of the first subparagraph shall be replaced: Amendment 48 Article 14, paragraph 2, second subparagraph, point (b) (b) for undertakings established in the United Kingdom, by 15 February; deleted Amendment 49 Article 15, paragraph 1, point (a) (a) surplus sugar, surplus isoglucose and surplus inuline syrup produced during any marketing year, except quantities carried forward to the quota production of the following marketing year and stored in accordance with Article 14 or quantities referred to in Article 12(c); (a) surplus sugar, surplus isoglucose and surplus inuline syrup produced during any marketing year, except quantities exported to third countries within the limits of the agreements concluded pursuant to Article 300 of the Treaty, carried forward to the quota production of the following marketing year and stored in accordance with Article 14, referred to in Article 12(c), or the quantities whose export is permitted as indicated in Article 12(ca); Amendment 50 Article 15, paragraph 1, point (b) (b) industrial sugar, industrial isoglucose and industrial inuline syrup for which no proof has been supplied, by a date to be determined, that it has been processed in one of the products referred to in Article 13(2); (b) industrial sugar, industrial isoglucose and industrial inuline syrup for which no proof has been supplied by the user undertaking, by a date to be determined, that it has been processed in one of the products referred to in Article 13(2); Amendment 51 Article 15, paragraph 1, point (c a) (new) (ca) surplus sugar, surplus isoglucose and surplus inuline syrup for which proof of export has not been provided within the time-limit prescribed. Amendment 52 Article 15, paragraph 3 3.  The surplus amount paid in accordance with paragraph 1 shall be charged by the Member State to the undertakings on its territory according to the quantities of production referred to in paragraph 1 that have been established for the undertakings for the marketing year concerned. 3.  The surplus amount paid in accordance with paragraph 1 shall be charged by the Member State to the undertakings on its territory according to the quantities of production referred to in paragraph 1 that have been established for the undertakings for the marketing year. Moreover, for the quantities referred to in paragraph 1(b) the surplus amount shall be charged to the user undertakings. Amendment 53 Article 16, paragraph 4 4.  Community sugar and inuline syrup undertakings may require sugar-beet or sugar-cane growers or chicory suppliers to bear 50% of the production charge concerned. 4.  In the context of interprofessional agreements, Community sugar and inuline syrup undertakings may share the burden of the production charge with sugar-beet or sugar-cane growers or chicory suppliers. The participation of sugar-beet or sugar-cane growers or chicory suppliers may not exceed 50% of the production charge concerned. Amendment 54 Article 17 a (new) Article 17a Intervention scheme 1.  During the marketing years 2006/2007, 2007/2008, 2008/2009 and 2009/2010, the intervention agency appointed by each sugar-producing Member State shall be required, in accordance with the procedure referred to in Article 39(2), to purchase the white sugar and raw sugar produced under quota and manufactured from sugar beet and sugar cane harvested in the Community that is offered to it, subject to prior conclusion of a storage contract between the seller and the said agency for the sugar in question. If the sugar quality differs from the standard quality for which the intervention price has been fixed, the latter shall be adjusted by application of bonuses or deductions. 2.  During the marketing years 2006/2007, 2007/2008, 2008/2009 and 2009/2010, the intervention agencies shall, where appropriate, buy at the intervention price valid for the area in which the sugar is located at the time of purchase. 3.  During the marketing years 2006/2007, 2007/2008, 2008/2009 and 2009/2010, the intervention agencies may sell sugar only at a price higher than the intervention price. Amendment 55 Article 19, paragraph 1, subparagraph 1 1.  In order to preserve the structural balance of the market at a price level which is close to the reference price, taking into account the obligations of the Community resulting from agreements concluded in accordance with Article 300 of the Treaty, a percentage, common to all Member States, of quota sugar, quota isoglucose and quota inuline syrup may be withdrawn from the market until the beginning of the following marketing year. 1.  In order to preserve the structural balance of the market at a price level which is close to the reference or intervention price, taking into account the obligations of the Community resulting from agreements concluded in accordance with Article 300 of the Treaty, a percentage, common to all Member States, of quota sugar, quota isoglucose and quota inuline syrup may be withdrawn from the market until the beginning of the following marketing year. Amendment 56 Article 19, paragraph 3, subparagraph 2, indent 2 - supplementary quota production; - supplementary quota production up to 105%; Amendment 57 Article 25, paragraph 1 a (new) 1a. Should imports from one of the LDCs exceed the volumes guaranteeing a net balance between normal internal production capacity and normal internal consumption in the country concerned, the Commission shall suspend such imports from that country. Amendment 58 Article 25, paragraph 2, subparagraph 1 2.  If the situation referred to in paragraph 1 arises, the Commission shall, at the request of a Member State or on its own initiative, decide upon the necessary measures. 2.  If the situation referred to in paragraph 1 and paragraph 1a arises, the Commission shall, at the request of a Member State or on its own initiative, decide upon the necessary measures. Amendment 59 Article 25 a (new) Article 25a Volume of preferential imports Where Article 18 applies or where preferential imports exceed the volume laid down in Article 19, the Commission shall adopt the measures required to apply Article 27(2) and (3). Amendment 60 Article 26, paragraph 3 3.  If the production refund provided for in Article 13(3) does not guarantee the supply necessary for the manufacturing of products referred to in Article 13(2), the Commission may suspend in whole or in part for certain quantities the application of import duties on white sugar falling within CN code 1701 and isoglucose falling within codes 1702 30 10, 1702 40 10, 1702 60 10 and 1702 90 30. 3.  If the production refund provided for in Article 13(3) does not guarantee the supply necessary for the manufacturing of products referred to in Article 13(2), the Commission may suspend the application of import duties on sugar falling within CN code 1701 and isoglucose falling within codes 1702 30 10, 1702 40 10, 1702 60 10 and 1702 90 30. Amendment 61 Article 27 a (new) Article 27a Imports from LDCs 1.  Imports of sugar from LDCs shall be subject to duties under the Common Customs Tariff on the basis of the existing levels until 1 July 2012. Duties under the Common Customs Tariff shall be reduced by 20% on 1 July 2012, 50% on 1 July 2013 and 80% on 1 July 2014. As from 1 July 2015 they shall be completely phased out. 2.  Pending the complete phasing-out of duties under the Common Customs Tariff in accordance with paragraph 1, for each marketing year a zero-rated global tariff quota shall be opened for products corresponding to tariff heading 1701 originating in least developed countries. The initial tariff quota for the marketing year 2006/2007 for products corresponding to tariff heading 1701 shall be 149 212 tonnes, expressed in white sugar equivalent. For each of the following marketing years the tariff quota for products corresponding to heading 1701 shall be raised by 27% as compared to the quota for the previous marketing year. 3.  As from the marketing year 2010/2011, should sugar imports from least developed countries be in excess of the levels guaranteeing a net balance between internal production and consumption in one or more of the countries concerned, as determined from its declarations to the International Sugar Organisation, the Commission may suspend such imports in accordance with the procedures set out in Article 25, at the request of a Member State or on its own initiative. Amendment 62 Article 28, paragraph 1 1.  Tariff quotas for imports of products listed in Article 1(1) resulting from agreements concluded in accordance with Article 300 of the Treaty or from any other act of the Council shall be opened and administered by the Commission under detailed rules adopted in accordance with the procedure referred to in Article 39(2) of this Regulation. 1.  Tariff quotas for imports of products listed in Article 1(1) resulting from agreements concluded in accordance with Article 300 of the Treaty or from any other act of the Council shall be opened and administered by the Commission under detailed rules adopted in accordance with the procedure referred to in Article 39(2) of this Regulation and pursuant to Articles 308a, 308b and 308c of Commission Regulation (EEC) No 2454/93 of 2 July 1993 establishing certain implementing provisions for Council Regulation (EEC) No 2913/92 establishing the Community Customs Code1. ____________________ 1 OJ L 253, 11.10.1993, p. 1. Regulation as last amended by Regulation (EC) No 883/2005 (OJ L148, 11.6.2005, p. 5). Amendment 63 Article 28, paragraph 3 a (new) 3a. Where the Commission finds that there is sufficient evidence of fraud or failure to provide administrative cooperation as required for the verification of evidence of origin, or that there is a massive increase in exports into the Community above the level of normal production and export capacity, it may take measures to suspend in whole or in part the application of tariff quotas for a period of six months, provided that it has first: (a) informed the Committee referred to in Article 39(1); (b) called on the Member States to take such precautionary measures as are necessary in order to safeguard the Community's financial interests; (c) published a notice in the Official Journal of European Union stating that there are grounds for reasonable doubts about the lawful implementation of tariff quotas, which call into question the right of the beneficiary country or territory to continue enjoying the benefits of such arrangements. Amendment 64 Article 29, paragraph 2, subparagraph 1 2.  Import licences for sugar for refining shall be issued only to full-time refiners provided that the concerned quantities are below the traditional supply need referred to in paragraph 1. The licences in question shall be issued for 75% of the ACP/Indian sugar before being available for any other sugar. They may be transferred only between full-time refiners and their validity expires at the end of the marketing year for which they have been issued. 2.  Import licences for sugar for refining shall be issued only if the quantities concerned are below the traditional supply need referred to in paragraph 1. The licences in question shall be issued for 75% of the ACP/Indian sugar before being available for any other sugar. They may be transferred only between full-time refiners and their validity expires at the end of the marketing year for which they have been issued. Amendment 72/rev. Article 29, paragraph 2, subparagraph 2 This paragraph shall apply for the marketing years 2006/2007, 2007/2008 and 2008/2009, and for the first three months of each of the following marketing years. In areas where a deficit exists, sugar manufacturers shall be permitted to carry out refining activities, on a part-time basis and for imported sugar. Amendment 66 Article 31 a (new) Article 31a Checks on preferential imports Preferential imports from the LDCs shall not exceed the quantities of sugar produced locally and shall be separate from the volumes required for internal consumption in the countries concerned. Amendment 67 Article 40, paragraph 1, point (a) (a) detailed rules for applying Articles 3 to 6, in particular those concerning increases and reductions of prices to be applied for deviations from the standard of the reference price referred to in Article 3(3) and the minimum price referred to in Article 5(3); (a) detailed rules for applying Articles 3 to 6, in particular those concerning increases and reductions of prices to be applied for deviations from the standard of the reference or intervention price referred to in Article 3(3) and the minimum price referred to in Article 5(3); Amendment 68 Article 40, paragraph 1, point (c) (c) detailed rules for applying Articles 13, 14 and 15, and in particular the conditions for granting production refunds, the amounts of sugar refunds and eligible quantities; (c) detailed rules for applying Articles 13, 14 and 15, and in particular the conditions for the grant of export licences for non-quota sugar and non-quota isoglucose, the conditions for granting production refunds, the amounts of sugar refunds and eligible quantities; Amendment 69 Article 44 In accordance with the procedure referred to in Article 39(2), transitional measures may be adopted to facilitate the transition from the rules provided for in Regulation (EC) No 1260/2001 to those established by this Regulation. In accordance with the procedure referred to in Article 39(2), transitional measures may be adopted to facilitate the transition from the rules provided for in Regulation (EC) No 1260/2001 to those established by this Regulation. In particular, the quotas for the marketing year 2005/2006 shall be increased in those Member States practising autumn sowing, in proportion to the volume of sugar produced from ground beet prior to 30 September 2006. Such sugar beet shall be subject to the price and regulatory conditions laid down in Regulation (EC) No 1260/2001.

(1) Not yet published in OJ.