No L 329/6 Official Journal of the European Communities 20. 11. 87 COUNCIL REGULATION (EEC) No 3465/87 of 17 November 1987 amending Regulation (EEC) No 389/82 on producer groups and associations thereof in the cotton sector ! THE COUNCIL OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, Having regard to the Act of Accession of Greece, and in particular paragraphs 9 and 11 of Protocol 4 thereto, as amended by Protocol 14 to the Act of Accession of Spain and Portugal, Having regard to the proposal from the Commission ('), Having rcgard to the opinion of the European Parli- ament (%), Whereas, pursuant to paragraph 11 of Protocol 4, no later than five years after the implementation of the system introduced pursuant to that Protocol, the system is to be the subject of a review; Whereas, in accordance with the abovementioned Protocol, the common measures provided for by Regula- tion (EEC) No 389/82 (°) apply also in Spain and conse- quently the needs of cotton production in this Member State should be taken into account; Whereas, in accordance with the said Regulation, Greece adopted provisions for the establishment of groups and associations thereof in the cotton sector and implemented an aid programme for investments by those groups and associations thereof ; ' Whereas the implementation of the common measures provided for has aroused great interest among cotton producers, particularly as regards investments by cotton producer groups in mechanized harvesting equipment ; Whereas, taking into account the specificity of producer groups in Spain and in particular the importance of their economic activity, conditions relating to the minimum relating to the minimum size of associations of producer groups should be adapted to the current situation in that Member State ; Whereas, in order to accelerate the application of the measures provided for in Articles 4 and 5§ of Regulation (EEC) No 389/82, certain conditions, in particular those relating to the duration and the limits on the aid for the launching of groups and associations thereof, should be relaxed ; () OJ No C 237, 3. 9. 1987, p. 8. () OJ No C 305, 16. 10. 1987. () OJ No L 51, 23. 2. 1982, p. 1. Whereas producer groups and associations thereof may often not be established while complying with the condi- tions laid down in Article 2 (1) (b) of Regulation (EEC) No 389/82 in order to qualify for certain aids for invest- ments, in particular in packaging, ginning and storage facilities ; whereas taking into account the specific character of the cotton sector, access to such aids should consequently be extended to other undertakings also, on condition that the participation of producers of the basic product in the economic advantages arising from their investments is ensured ; Whereas the encouragement of cotton production in the Community constitutes a worthwhile alternative to the replacement of intensive irrigated crops of which there is often a surplus in the Community; Whereas, to achieve that objective, efforts in this sector should be intensified taking into account in addition the limited financial resources of the regions concerned; whereas as a consequence the common measures should be extended, adequate financial resources should be provided for the requirements of those regions and the Community rates of contribution should -be raised from 40 % to 50 % of eligible expenditure by the Member States, HAS ADOPTED THIS REGULATION : Article 1 Regulation (EEC) No 389/82 is hereby amended as follows : 1. The following indent shall be added to the second subparagraph of Article 2 (1) (b): ‘— associations in Spain must represent least seven groups and control an annual volume of at least 20 000 tonnes of unginned cotton.’ 2..In Article 4: (a) paragraphs (1) and (2) shall be reple;ced by the follo- wing : ‘1. The Member States concerned shall grant aid to groups and associations, in respect of the five years following the date of their recognition, to encourage their formation and to facilitate their administrative operation. Such aid may be paid over seven years following the date of recognition. 2. The amount of aid granted to groups and associations for the first, second, third, fourth and fifth years respectively :