Introductory text

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 37 thereof,

Having regard to the proposal from the Commission,

Having regard to the opinion of the European Parliament^f1,

Whereas:

The Annex to Council Regulation (EC) No 1868/94^f2 fixes the potato starch quotas for producer Member States for the 2005/2006 and 2006/2007 marketing years.

In accordance with Article 3(2) of Regulation (EC) No 1868/94 the allocation of quotas within the Community is based on a report from the Commission to the Council. According to the report presented to the Council, the recent reform of the common market organisation in the sugar sector should be taken into account in the analysis of developments on the starch market. However, the sugar reform would become fully applicable gradually over a transitional period. Therefore, pending indication of the initial effects of this reform on the potato starch sector, the quotas for the 2006/2007 marketing year should be rolled over for two more years.

Producer Member States should allocate their quotas for a period of two years among all potato starch manufacturers on the basis of the quotas for the 2006/2007 marketing year.

Quantities used by potato starch manufacturers in excess of the sub-quotas available in the 2006/2007 marketing year should be deducted in the 2007/2008 marketing year in accordance with Article 6(2) of Regulation (EC) No 1868/94.

Regulation (EC) No 1868/94 should therefore be amended accordingly,

HAS ADOPTED THIS REGULATION: