3.2.94 Official Journal of the European Communities No L 30/7 COUNCIL REGULATION (EC) No 232/94 of 24 January 1994 amending Regulation (EEC) No 1765/92 establishing a support system for producers for certain arable crops THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Community, and in particular Articles 42 and 43 thereof, Having regard to the proposal from the Commission ('), Having regard -to the opinion of the European Par- liament (3, Whereas the European Community concluded an Agree- ment, in the framework of the General Agreement on Tariffs and Trade, with the United States of America, concerning certain oilseeds ; whereas the Agreement took the form of a Memorandum of Understanding on oilseeds approved by Decision 93/355/EEC (°); whereas . it is necessary to amend Regulation (EEC) No 1765/92 (%), in order to give effect to the terms of that Memorandum of Understanding ; whereas it would be appropriate to apportion the areas agreed in the Memorandum of Under- standing between Member States in the form of national reference areas which reflect historic data and develop- ments within the context of the reform of the Common Agriculturla Policy ; Whereas Regulation (EEC) No 1765/92 could lead to an . increase in sowings of soya beans, rape seed and colza seed and sunflower seed, so that adjustments should be made to the benefits accuring to producers under that Regulation in respect of crop-specific oilseed payments ; wheras maximum guaranteed areas should be established for those crops; whereas in the event of an increase in sowings of those crops above the level of the maximum guaranteed areas, the compensatory payments should be. reduced ; whereas the reduction in the compensatory payments should be such as to discourage a level of sowing in excess of the maximum guaranteed areas; whereas the cultivation of confectionary sunflower seed should be excluded from the benefits of such support with effect from sowings for harvest in 1994, () OJ No C 266, 1. 10. 1993, p. 12. () OJ No C 329, 6. 12. 1993 () OJ No L 147, 18. 6. 1993, p. 2. () OJ No.L 181, 1. 7. 1992, p. 12. Regulation as last amended by Regulation (EEC) No 1552/93 (OJ No L 154, 25. 6. 1993, p- 19). . HAS ADOPTED THIS REGULATION : Article 1 Regulation (EEC) No 1765/92 is hereby amended as follows : 1. the following subparagraphs shall be added at the end of Article 5 (1): ‘(e) from the 1994/95 marketing year, maximum guaranteed areas (MGA) shall be established for the crop-specific oilseed payments. They shall be equal in size to the areas of land set out in Annex IV, reduced by the rate of rotational set-aside appli- cable for that marketing year, or by 10 % if that rate is less than 10 %. If after the application of _Article 2 (6) first indent those maximum guaran-. " teed areas are exceeded, the Commission shall reduce the final regional reference amounts for oilseeds in accordance with the provisions of subparagraphs (f} and (g); ' (f) if the area of oilseeds already determined as eligible for compensatory payments in any year exceeds such maximum guaranteed areas, the Commission shall reduce, by 1 % for each percen- tage point by which the maximum guaranteed area is exceeded, the relevant final regional reference amounts for that year. With effect from the 1994/95 marketing year, if the maximum guaranteed area is exceeded by more than a thre- shold percentage, special rules shall apply. Up to the threshold percentage, the reduction of the final regional reference amounts shall be uniform in all Member States. Beyond the threshold percentage, appropriate additional reductions shall apply in those Member States which have exceeded the national reference areas set out in Annex V, reduced by the rate referred to in subpa- ragraph (e). The Commission shall, in accordance with the procedure laid down in Article 38 of Regulation 136/66/EEC, establish the size and distribution of the appropriate reductions to be applied and shall, in particular, ensure that the weighted average reduction for the Community has a whole is equal to the percentage by which the maximum guaranteed area has been exceeded ; @ S— the threshold percentage provided for in subpara- graph (f) shall be 0 %. By 31 December 1996 the Commission shall submit a report to the European Parliament and to the Council on the application of this provision accompanied, it necessary, by an appropriate proposal ; '