L 20/16 Official Journal of the European Communities 27. 1. 98 COUNCIL REGULATION (EC) No 192/98 of 20 January 1998 amending Regulation (EC) No 3072/95 on the common organisation of the market in rice and Regulation (EEC) No 2358/71 on the common organisation of the market in seeds THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Community, and in particular Article 43 thereof, Having regard to the proposal from the Commission ('), Having regard to the opinion of the European Par- liament (3, Having regard to the opinion of the Economic and Social Committee (%), Whereas the system of compensatory payments intro- duced by Article 6 of Regulation (EC) No 3072/95 (%) should be extended to cover producers of rice in the husk (paddy or rough rice) for sowing; whereas the fall in prices attendant on the reduction in the intervention price provided for in Article 3 of that Regulation has an impact on prices of rice for sowing; whereas, given the lack of adequate compensation, there is a risk that the result would be lower use of certified seed and a deterioration in rice quality; Whereas rice for sowing should be included among the products covered by Regulation (EC) No 3072/95 solely so it can qualify for compensatory payments; whereas it should be remembered that the product qualifies for production aid for seeds under Regulation (EEC) No 2358/71 (), Whereas Article 3 of Regulation (EC) No 3072/95 fixes the intervention price for paddy rice at the same level for the 1999/2000 and subsequent marketing years; whereas provision should be made at the same time for the compensatory payments fixed in Article 6(1) of that Regu- lation to remain the same for the 1999/2000 and subse- quent marketing years; Whereas, pursuant to Article 6(4) of Regulation (EC) No 3072/95, the system of compensatory payments is to 1 (") OJ C 312, 14. 10. 1997, p. 18. (%) Opinion delivered on 14 January 1998 (not yet published in the Official Journal). (®) Opinion delivered on 10 December 1997 (not yet published in the Official Journal). (") OJ L 329, 30. 12. 1995, p. 18. Regulation as last amended by Regulation (EC) No 613/97 (O] L 94, 9. 4. 1997, p. 1). () OJ L 246, 5. 11. 1971, p. 1. Regulation as last amended by Re- gulation (EC) No 3290/94 (O] L 349, 31. 12. 1994, p. 105). be applied on the basis of an area established by producer Member State; whereas provision should accordingly be made for the reduction applying in the event of an overrun in that area to be determined by the Member State concerned; Whereas Article 6(5) of Regulation (EC) No 3072/95 provides for information to be forwarded by the Member States on the basis of declarations from producers and processors; whereas that provision should be amended to delete any reference to the national base area; Whereas it seems economically justified for export refunds to be granted subject to provision of proof that the product has been wholly obtained in the Community within the meaning of Council Regulation (EEC) No 2913/92 of 12 October 1992 establishing the Community Customs Code (°); whereas that obligation does not apply in the event of re-export; Whereas, following the extension of the system of compensatory payments to rice for sowing and in order to ensure balance on the market for rice seed, in particular to safeguard possibilities of disposal in line with the base area established in Article 6 of Regulation (EC) No 3072/95, it seems justified to introduce a mechanism to stabilise production of rice seed; whereas provision should be made for the system of compensatory payments to be extended and for the stabilisation mechanism es- tablished to apply from the beginning of the 1998/99 marketing year, HAS ADOPTED THIS REGULATION: Article 1 Regulation (EC) No 3072/95 is hereby amended as follows: 1. in Article 1: (a) paragraph 1 shall be replaced by the following: (©) OJ L 302, 19. 10. 1992, p. 1. Regulation as last amended by Regulation (EC) No 82/97 (OJ L 17, 21. 1. 1997, p. 1).