(1)

Whereas aid to producers should be used principally to ensure higher and more stable incomes; whereas any amount withheld with a view to attaining the aims of producer groups as laid down in Article 7 (1) (a) to (d) of Regulation (EEC) No 1696/71 ( 4 ) must accordingly be subject to a fair ceiling; whereas Article 7 (1a) of that Regulation must be amended accordingly;

(2)

Whereas increasing aid for other varieties is likely to result in a considerable rise in the areas under those varieties to the detriment of the quality produced; whereas, given overplentiful supply and weak demand, prices for such varieties could plummet, forcing producer groups to exercise their right of veto and to buy back the hops; whereas such hops may not find purchasers on the market and major stocks of varieties of poorer quality are liable to build up within producer groups; whereas this could destabilize the market; whereas, to prevent such a situation from arising, producer groups should decide what varieties can be grown by their members; whereas, to that end, Article 7 (1) (d) and the first subparagraph of Article 7 (3) (b) should be amended;

(3)

Whereas Article 7 (3) (b) of Regulation (EEC) No 1696/71 provides for an obligation in principle on producers who are members of groups and on recognized producer groups which are members of unions to sell all their produce through the group or union; whereas the application of that principle has proved highly problematic for Community producers, a majority of whom are members of one and the same group; whereas the transitional period laid down in the last subparagraph of the abovementioned provision, during which the members of a recognized group may, on condition they are so authorized by the latter, market all or part of their produce themselves in accordance with the rules laid down and under the group's supervision, expires on 31 December 1996; whereas, as a consequence, a decision should be taken on the arrangements to apply from 1 January 1997 and Article 7 (3) (b) should be amended accordingly;

(4)

Whereas it would be detrimental to withdraw recognition from producer groups, which, moreover, diligently perform all their other tasks, such as the administration of aid to producers and the attainment of their aims as referred to above; whereas members of recognized producer groups should accordingly be granted the option of marketing all or part of their produce themselves, without suffering any reduction in the aid by way of a penalty, where they are so authorized by the group and on condition that the latter enjoys the right to monitor prices negotiated between producers and traders and can veto them; whereas in the same connection producers so desiring should be allowed to sell part of their produce through another producer group designated by their own group where products with special characteristics not necessarily covered by the commercial activities of the latter are concerned;

(5)

Whereas each producer group has its own special characteristics as regards conditions of production and marketing; whereas it is accordingly in the best position to take a decision at any time on behalf of its members as to what steps should be taken quickly to adapt production to market requirements; whereas this latitude presupposes the introduction of some flexibility as regards budget funds and management;

(6)

Whereas, to that end, the aid must be paid at the time of the harvest concerned, no distinction being made between groups of varieties; whereas this implies abandoning the method of calculation laid down in Article 12 (5) (a) and (b), which is based on declarations by the Member States; whereas it should be replaced by flat-rate aid per hectare calculated on the basis of historical averages; whereas, in the event of market disturbance, the aid can be paid in respect of only part of the areas under hops; whereas it should also be possible in such cases to vary the aid; whereas paragraph 6 of that Article should be amended and paragraph 7 deleted;

(7)

Whereas producer groups should be able to decide whether to pay the flat-rate aid in full to their members in proportion to area cultivated or only a percentage of between 80 % and 100 % thereof; whereas Article 7 (1) (e) relating to the administration of the aid scheme should accordingly be adapted;

(8)

Whereas producer groups should be able to withhold up to 20 % of the aid with a view to achieving the aims set out in ►C1  Article 7 (1) (a) - (d), mainly or exclusively for purposes of varietal conversion, where there is still a need; whereas, among the other special measures, it is possible to develop research in the plant health field; whereas that research should concentrate on the use of environmentally-friendly techniques and methods; whereas to that end the expression ‘Integrated Crop Protection’ can be used;

(9)

Whereas, where producer groups do not market all the produce of their members, the abovementioned option becomes an obligation; whereas it should be incorporated in Article 12 (5);

(10)

Whereas the aid withheld can be accumulated over a maximum period of five years; whereas at the end of that period all aid withheld must have been spent; whereas this point should be incorporated in Article 12 (5);

(11)

Whereas, with a view to rationalization and simplification, payments should henceforth be made once a year only and should cover both aid to producers and aid for varietal conversion; whereas such payments should be made soon after the harvest and in any case by 31 December of the year concerned; whereas, however, that date has already passed as regards the 1996 harvest and a suitable solution should therefore be found; whereas Article 17 should be amended to that end;

(12)

Whereas provision should be made to assess the measures introduced and their impact on the economic situation of the sector and proposals should be made, if appropriate; whereas that obligation should be incorporated in Article 18,