9. 4. 86 Official Journal of the European Communities No L 94/9 COUNCIL REGULATION (EEC) No 1010/86 of 25 March 1986 laying down general rules for the production refund on certain sugar products used in the chemical industry THE COUNCIL OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, Having regard to Council Regulation (EEC) No 1785/81 of 30 June 1981 on the common organization of the markets in the sugar sector ('), as last amended by Regula- tion (EEC) No 934/86 (%), and in particular Articles 9 (5) and 28 (5) thereof, Having regard to the proposal from the Commission, Whereas under Article 9 (3) of Regulation (EEC) No 1785/81 it may be decided to grant production refunds on sugar, unprocessed isoglucose and syrups covered by that Regulation which are used in the manufacture of certain products of the chemical industry; Whereas the third subparagraph of Article 28 (5) of Regu- lation (EEC) No 1785/81 states that provision may be made for all or part of the financial losses resulting from the granting of any production refunds to be borne by the beet growers and the manufacturers ; whereas use should be made of this possibility for the sugar used by the chemical industry over and above the usual quantities ; Whereas a system of production refunds should be intro- duced which will enable the outlets for sugar to expand beyond the usual quantities; whereas, to this end, the products in question should henceforth be made available to the chemical industry at a lower price level; Whereas sugar can be used as a basic product by the chemical industry in the same way as starch products; whereas a harmonious development should therefore be assured for the use of these basic products; whereas, to that end, provision should be made for the application of a system of production refunds taking account of the price of sugar, the value of maize needed for the manufac- ture of the chemical products in question, the production refunds granted for starch products under Council Regu- lation (EEC) No 1009/86 of 25 March 1986 laying down general rules applicable to production refunds for cereals and rice (%) and the trend in world sugar prices ; whereas in view of the links between the system of production () OJ No L 177, 1. 7. 1981, p. 4. () OJ No L 87, 2. 4. 1986, p. 1. (®) See page 6 of this Official Journal. refunds in the sugar sector and in the cereals sector, it should be laid down for the purposes of the system provided for in this Regulation that the marketing year is to be that defined by Council Regulation (EEC) No 2727/75 of 29 October 1975 on the common organization of the market in cereals (*) as last amended by Regulation (EEC) No 1006/86 (') ; Whereas arrangements similar to those laid down for white sugar used by the chemical industry should be laid down for unprocessed isoglucose ; Whereas raw sugar and syrups with a high degree of purity, calculated in accordance with Article 1 (5) of Regulation (EEC) No 1443/82(°), as last amended by Regulation (EEC) No 3819/85 ("), should also qualify for the production refunds if used in the chemical industry ; whereas the production refund on these basic products should therefore be that for white sugar, adjusted by reference to yield or sucrose content as appropriate ; whereas, as far as isoglucose is concerned, production refunds should be granted subject to the same conditions as the export refunds on that product; Whereas, to prevent abuses, provision should be made for the production refund to be granted only if other uses are excluded by means of controls; whereas, if such controls are to be possible, the production refund should be paid only to the processor and on application by the processor ; Whereas controls may, in certain cases, be rendered more effective if provision is also made for an approval pro- cedure ; whereas the Member State in the territory of which processing takes place should therefore be free to decide whether or not processors must obtain such approval ; Whereas, to keep pace with technological developments in this sector, provision should be made for changes to the original list of the chemical products in question to be made in accordance with the procedure laid down in Article 41 of Regulation (EEC) No 1785/81; () OJ No L 281, 1. 11. 1975, p. L. () See page 1 of this Official Journal. ) OJ No L 158, 9. 6. 1982, p. 17. () O] No L 368, 31. 12. 1985, p. 2.