27. 1. 94 Official Journal of the European Communities No L 22/7 COUNCIL REGULATION (EC) No 133/94 of 24 January 1994 amendxng Regulation (EEC) No 1785/81 on the common organization of the markets in the sugar sector 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 Parliament (3), Having regard to the opinion of the Economic and Social Committee (%), Whereas Article 23 of Council Regulation (EEC) No 1785/81 (*) continues the production quota arrange- ments for the sector in the 1993/1994 marketing year and also stipulates that before 1 January 1994 the Council is to determine the arrangements to be applied to sugar and isoglucose from 1-July 1994; Whereas the present sugar-production arrangements pre- clude any risk of sudden change in areas planted and their provisions on self-financing make producers financi- ally responsible for disposal of surplus Community production ; whereas it is therefore possible for these arrangements to co-exist with those for other arable crops ; Whereas it is thus desirable to extend the existing production arrangements to the 1994/95 marketing year, together with the preferential arrangements for importa- tion of third country raw sugar into Portugal, the Com- munity refining aid arrangements and the authorizations to grant national aid in Germany, Italy and the United Kingdom ; . Whereas the said Article 23 stipulates that the Council shall also adopt before 1 January 1994 production arrangements for inulin syrup; whereas continuation of the existing production quota arrangements for sugar and () OJ No C 312, 18. 11. 1993, p. 10. () OJ No C 20, 24. 1. 1994 () OJ No C 34, 2. 2. 1994 () OJ No L 177, 1. 7. 1981, p. 4. Regulation as last amended by Regul)atlon (EEC) No 1548/93 (OJ No L 154, 25. 6. 1993, p. 10). isoglucose for the 1994/95 marketing year requires that similar arrangements be applied to the production of inulin syrup, which as a direct substitute for isoglucose and liquid sugar would otherwise be in direct competition with these products on unequal terms of treatment, detri- mental to them, since in view of the Community’s surplus production of sugar any production of inulin syrup would necessarily result in exportation of a certain volume of sugar at the expense of producers of sugar and isoglucose alone and would risk a serious disturbance of the market ; Whereas as regards trade and also intervention, prices and storage the provisions covering isoglucose should, given the great similarity of the two products, also be applicable to inulin syrup; . Whereas apart from one fairly long-established produc- tion unit in one Member State inulin syrup production has commenced fairly recently in the other Member States ; whereas it is accordingly equitable to assign to each producer quotas in line with his production in the most recent period possible, namely, as specified in Article 23 (4) of Regulation (EEC) No 1785/81, his output in the period 1 July 1992 to 30 June 1993 ; whereas in the case of ‘B’ quotas reference should be made to the treatment of isoglucose production ; whereas for the sake of economic equity, quotas should be determined in the same way as was done for isoglucose, using as corrective for the undertakings in question their installed techmcal production capacity on 1 October 1992; Whereas to make this corrective uniform throughout the Community, production capacity claims by firms applying for quotas that are not fully justified should, as far as possible, be discounted; whereas to this end ‘production capacity’ should be defined by reference to conversion of the basic agricultural product into inulin syrup in a continuous and complete process extending from cropping of the agricultural product to final proces- sing; Whereas this Regulation should be applied under the best possible conditions; whereas certain transitional measures may accordingly prove necessary ; whereas these should be adopted in accordance with the procedure laid down in Article 41 of Regulation (EEC) No 1785/81,