Brussels, 24/02/2011 (Agence Europe) - Shortfall on the Community market, world prices higher than those of the EU: in the face of such exceptional circumstances, in the management committee on Thursday 24 February, EU member states approved a measure which will allow 500,000 tonnes of out-of-quota sugar to be put on the market in Europe. And in two weeks' time, the European Commission will table a more controversial proposal to open a zero duty import quota of 300,000 tonnes of raw or refined sugar (see EUROPE 10321).
COPA-COGECA have welcomed the decision on the sale of out-of-quota sugar on the EU market (the minimum beet price must be guaranteed, they state). It was not happy with the proposal to open an autonomous reduced-rate quota for sugar from third countries “as there is a lack of availability on the global market”.
The management committee voted for the proposal to put 500,000 tonnes of out-of-quota sugar and 26,000 tonnes of out-of-quota isoglucose up for sale on the Community market. The regulation on the marketing of out-of-quota sugar from the 2010-2011 marketing year is due to be adopted next week and will come into effect around 7 March. Licences for the out-of-quota sugar will be issued, with applications able to be submitted weekly. There will be exemption from the €500/tonne levy, unless the volumes of sugar requested are not sold, in which case the €500 penalty will apply.
Spain voted against the measure, pointing out that it could derive no benefit as a result of the later start of the marketing year in that country. Portugal and the United Kingdom abstained as they would have liked a decision on the other measure - opening an import quota - to have been taken on the same day.
The Commission is determined to present a proposal to the management committee in two weeks' time to open an import quota for 300,000 tonnes of raw or refined sugar at zero duty. This quota will be open to all non-EU supplier countries and will be managed on a monthly basis. There was no vote on this proposal as the Commission slightly changed its proposal. It will have to present it before voting can take place. It opted for an import quota at zero duty, in preference to a tender scheme so that small dealers would not be excluded. The Commission undertook to closely monitor the market situation and, if required, propose additional import quotas later in the marketing year. At the Agriculture Council of 21 February, several countries (France, Poland, Austria, the Czech Republic and Slovakia) were against opening a sugar import quota. Voting on this measure is sure, then, to be tight. (L.C./transl.rt)