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TITLE IVGENERAL, TRANSITIONAL AND FINAL PROVISIONS

CHAPTER 1General provisions

Article 36State aid

1.Unless this Regulation provides otherwise, Articles 87, 88 and 89 of the Treaty shall apply to the production of and trade in the products listed in Article 1(1), except for the State aid laid down in paragraphs 2 and 3 of this Article.

2.Member States which reduce their sugar quota by more than 50 %, may grant temporary State aid during the period for which the transitional aid for beet growers is being paid in accordance with chapter 10f of Council Regulation (EC) No 319/2006 of 20 February 2006 amending Regulation (EC) No 1782/2003 establishing common rules for direct support schemes under the common agricultural policy and establishing certain support scheme for farmers(1). The Commission shall, on the basis of an application by any Member State concerned, decide on the total amount of the State aid available for this measure.

For Italy, the temporary aid referred to in the first subparagraph, shall not exceed a total of EUR 11 per marketing year per tonne of sugar beet to be granted to sugar beet growers and for the transport of sugar beet.

3.Finland may grant aid up to EUR 350 per hectare per marketing year to sugar beet growers.

4.The Member States concerned shall inform the Commission within 30 days of the end of each marketing year of the amount of State aid actually granted in that marketing year.

Article 37Disturbance clause

When a substantial rise or fall in prices is recorded on the Community market and:

further necessary measures may be taken.

Article 38Communication

Member States and the Commission shall provide each other with any information necessary for the application of this Regulation and for complying with the international obligations concerning the products referred to in Article 1(1).

Article 39Management Committee for Sugar

1.The Commission shall be assisted by a Management Committee for Sugar (hereinafter referred to as ‘the Committee’).

2.Where reference is made to this paragraph, Articles 4 and 7 of Decision 1999/468/EC shall apply.

The period laid down in Article 4(3) of Decision 1999/468/EC shall be set at one month.

3.The Committee shall adopt its Rules of Procedure.

Article 40Implementing rules

1.Detailed rules for the implementation of this Regulation shall be adopted in accordance with the procedure referred to in Article 39(2). They shall include in particular:

(a)detailed rules for the application of 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);

(b)detailed rules for the application of Articles 7 to 10;

(c)detailed rules for the application of Articles 12, 13, 14 and 15, and in particular the conditions for granting production refunds, the amounts of such refunds and the eligible quantities;

(d)detailed rules regarding the establishment and the communications of the amounts referred to in Articles 8, 9, 15 and 16;

(e)detailed rules for the application of Articles 26, 27 and 28. These rules may include in particular:

(i)

any suspension referred to in Article 26(2) and (3) which could be determined by a tendering procedure;

(ii)

the specification of the products to which additional import duties may be applied under Article 27;

(iii)

the annual tariff quotas under Article 28(1), if necessary suitably phased over the year, and the determination of the administrative method to be used which, where appropriate, shall include:

  • guarantees covering the nature, provenance and origin of the product;

  • recognition of the document used for verifying the guarantees referred to in the first indent;

  • the conditions under which import licences shall be issued and their term of validity;

(f)detailed rules for the application of Articles 36 and 38;

(g)detailed rules for the application of the provisions of Chapter 3 of Title III. These rules may include in particular:

(i)

detailed rules on the redistribution of exportable quantities which have not been allocated or utilised;

(ii)

the appropriate measures as referred to in Article 35.

2.The following may in addition be adopted in accordance with the procedure referred to in Article 39(2):

(a)criteria to be applied by the sugar undertakings when allocating among beet sellers the quantities of beet to be covered by pre-sowing delivery contracts as referred to in Article 6(4);

(b)amendments to Annexes I and II;

(c)a derogation from the dates laid down in Article 14(2);

(d)detailed rules for the application of Articles 16 to 19 and, in particular:

(i)

the supplementary information to be submitted by the approved operators;

(ii)

the criteria for sanctions, suspensions and withdrawal of approval of the operators;

(iii)

the granting of aids and the amount of aids for private storage provided for in Article 18(1);

(iv)

the minimum quality and quantity requirements, the price increases and reductions applicable, and the procedures and requirements for taking over by the intervention agencies, and for intervention buying in provided for in Article 18(2);

(v)

the percentage of withdrawn quota sugar referred to in Article 19(1);

(vi)

the conditions for the payment of the minimum price in case the withdrawn sugar is being sold on the Community market under Article 19(4);

(e)rules for the application of the derogation provided for in Article 23(1);

(f)detailed rules for the application of Articles 29 and 30 and, in particular, to comply with international agreements:

(i)

amendments to the definition provided for in Article 2(11);

(ii)

amendments to Annex VI;

(g)measures in application of Article 37.

Article 41Amendment to Regulation (EC) No 247/2006

Regulation (EC) No 247/2006 is hereby amended as follows:

1)

The following paragraph shall be added to Article 16:

3.France may grant national aid for the sugar sector in the French outermost regions, of up to EUR 60 million for the marketing year 2005/2006 and up to EUR 90 million for the marketing years 2006/2007 onwards.

Articles 87, 88 and 89 of the Treaty shall not apply to the aid referred to in this paragraph.

France shall inform the Commission within 30 days of the end of each marketing year of the amount of aid actually granted.;

2)

Article 23(2) shall be replaced by the following:

2.The Community shall finance the measures provided for in Titles II and III of this Regulation up to an annual maximum as follows:

(million EUR)
Financial year 2007Financial year 2008Financial year 2009Financial year 2010 and further
French overseas departments126,6133,5140,3143,9
Azores and Madeira77,978,078,178,2
Canary Islands127,3127,3127,3127,3

Article 42Specific measures

Measures which are both necessary and justifiable in an emergency, in order to resolve practical specific problems shall be adopted in accordance with the procedure referred to in Article 39(2).

Such measures may derogate from provisions of this Regulation, but only to the extent that, and for such a period, as is strictly necessary.

Article 43Financial provisions

Regulation (EC) No 1258/1999 and, as from 1 January 2007, Regulation (EC) No 1290/2005, and the provisions adopted for the implementation thereof shall apply to the expenditure incurred by the Member States in carrying out obligations under this Regulation.

CHAPTER 2Transitional and final provisions

Article 44Transitional measures

In accordance with the procedure referred to in Article 39(2), measures may be adopted:

(a)

to facilitate the transition from the market situation in the marketing year 2005/2006 to the market situation in the marketing year 2006/2007, in particular by reducing the quantity that may be produced under quota, and the transition from the rules provided for in Regulation (EC) No 1260/2001 to those established by this Regulation,

and

(b)

to ensure compliance by the Community with its international obligations with regard to C sugar referred to in Article 13 of Regulation (EC) No 1260/2001 while avoiding any disruption of the sugar market in the Community.

Article 45Repeal

Regulation (EC) No 1260/2001 shall be repealed.

Article 46Entry into force

This Regulation shall enter into force on the third day following that of its publication in the Official Journal of the European Union.

It shall apply from the marketing year 2006/2007. However, Articles 39, 40, 41 and 44 shall apply from the date of entry into force of this Regulation. Title II shall apply until the end of marketing year 2014/2015.

(1)

See page 32 of this Official Journal.