No L 151/8 Official Journal of the European Communities 10. 6. 97 COUNCIL REGULATION (EC) No 1036/97 of 2 June 1997 introducing safeguard measures in respect of imports of rice originating in the overseas countries and territories (OCTs) THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Community, Having regard to Council Decision 91/482/EEC of 25 July 1991 on the association of the overseas countries and territories with the European Economic Com- munity ('), and in particular Article 109 thereof, in conjuction with Annex IV, Article 1(7), Whereas Council Regulation (EC) No 304/97 (¥ intro- ducing safeguard measures in respect of imports of rice originating in the overseas countries and territories for the period from 1 January to 30 April 1997, Whereas, at the end of the period of application of those measures, the serious disruption in the Community rice sector and the risk of a significant deterioration in that sector of economic activity have not been eliminated, in particular with regard to the level of Community prices, the need for significant amounts to be bought into inter- vention and the risk of a great reduction in land under indica rice; Whereas, on 9 April 1997 the Italian Government applied to the Commission, pursuant to Article 109 of Decision 91/482/EEC for the extension of the safeguard measures in respect of imports of rice originating in the overseas countries and territories (hereinafter referred to as OCTs); Whereas the Commission adopted on 23 April 1997 Regulation (EC) No 764/97 (%) introducing safeguard measures for a period of five months in respect of imports of rice originating in the overseas countries and territories; Whereas the governments of the United Kingdom and Spain have referred the said Decision from the Commis- sion to the Council in accordance with Article 1(5) of Annex IV of Decision 91/482/EEC; Whereas pursuant to paragraph 7 of that Article, the Council may adopt a different decision within the time limit indicated; Whereas the rice originating from the OCTs which is exempt from customs duty on import into the Com- munity in accordance with Article 101 (1) of Decision 91/482/EEC is, as a result of the quantities involved, causing a disturbance on the Community market in rice, () OJ No L 263, 19. 9. 1991, p. 1. () OJ No L 51, 21. 2. 1997, p. 1. () OF No L 112, 29. 4. 1997, p. 3. which has experienced a normal harvest of indica rice in 1996/97 after two years of drought; ’ Whereas the Community has provided aid per hectare on a temporary basis to encourage Community producers to grow more indica rice; whereas massive imports of rice from the OCTs under preferential conditions may under- mine these attempts to diversify production, leading European producers initially to put large quantities into intervention and subsequently to return to growing japo- nica rice, for which there is already a surplus; whereas, under those conditions, it is important to maintain produ- cers’ confidence during the sowing period; Whereas the quantities of rice imported from the OCTs are likely to increase still further owing to the producer regions’ unrealized potential; Whereas the first safeguard measures have had a fa- vourable effect on the rice market situation in the Com- munity; whereas, nevertheless, the market price in the Community remains considerably under the intervention price fixed for rice in the Community; Whereas quantities of rice in excess of 70 000 tonnes have been offered at the end of April 1997 for interven- tion and significant supplementary amounts will be offered for intervention in the weeks and months to come; Whereas, consequently, the threat of damage to a sector of the Community economy persists; whereas the applica- tion of safeguard measures to imports into the Com- munity of rice from the OCTs should therefore be ex- tended; Whereas priority should be given to measures which would least disturb the functioning of the association of the OCTs and the Community, in accordance with Article 109 (2) of Decision 91/482/EEC; whereas such measures must, moreover, be limited to what is strictly necessary to remedy the difficulties that have arisen; Whereas the maintenance of a tariff quota would guarantee OCT rice access to the Community market within limits compatible with the stability of that market while preserving preferential treatment for that product consistent with the objectives of Decision 91/482/EEC; Whereas, under these conditions, the limitation of imports to 10 000 tonnes of rice originating from Mont- serrat and the Turks and Caicos Islands and 59 610 tonnes of rice originating from other OCTs for a period of five months, as provided for by Commission Regula-