Unit of account and the conversion rates to be applied for the purposes of the CAP

Parliament approved the Commission's proposal subject to the eleven amendments it had introduced. The aims of these were: - to include in the recitals a reference to Article 39 of the Treaty which sets as an objective of the common agricultural policy that of ensuring that the farming community has an equitable standard of living; The Commission rejected the amendment. - to underline that the switch-over mechanism had led to a 20% increase in prices between 1982 and 1994 and that it was essential to return to a system which was more market based; The Commission rejected this amendment. - to point out that if the mobilization of the monetary reserve provided by the budget proved necessary in the event of agricultural expenditure exceeding the guidelines as a result of modifications to the EMS pivot rate, the Commission should initiate the procedures provided for under point 15 of the Interinstitutional Agreement of 29 October 1993; The Commission rejected this amendment. - to withdraw the 0.5 point reduction applying to the allowance referred to in Paragraph 5; The Commission accepted this amendment. - to withdraw the provision contained in Article 7, point 9, concerning the increase in ecus of the aid or amounts in accordance with the procedure referred to in Article 12, and provided for in the event that the agricultural conversion rate applying to an amount of a structural or environmental nature should undergo an appreciable fall; The Commission accepted this amendment. - to extend from three to four years the period during which the Member States can grant compensatory aid to farmers; The Commission rejected this amendment. - to withdraw the mechanism for the reduction in successive annual instalments provided for when the agricultural conversion rate, as applicable to flat-rate aid determined by hectare or by unit of large livestock, and to compensatory premiums for sheep and goats, undergoes an appreciable fall; The Commission accepted this amendment. - to delete paragraph 3 of Article 8 of the proposal; The Commission accepted this amendment. - to increase to 100 % the Commission's contribution to the financing of the compensatory aid which is effectively granted to farmers; The Commission rejected this amendment. - to give the Council responsibility for taking all necessary measures in the event of an appreciable revaluation, while authorizing the former to implement the necessary derogations in order to ensure that the agreements concluded under the GATT and the budgetary discipline arrangements were respected; these derogations should however not lead to an increase in the allowance; The Commission accepted this amendment. �