Brussels, 15/03/2001 (Agence Europe) - In compliance with what the Heads of State or Government agreed at the European Council of Nice in December 2000, the European Commission adopted a draft regulation on Thursday aimed at exonerating milk producers in the Azores (Portugal) for the payment of the "additional levy" normally demanded of countries exceeding their production quota. This measure amounts to excluding, discounting from the national quota, a volume of 73,000 tonnes of milk (3.86% of the Portuguese quota) corresponding to the level of total consumption on the islands. The excess by 58,000 tonnes of the quota in 1999/2000, which would have meant Portugal paying a fine (in fact, a reduction on advances on premiums) of EUR 20.6 million in 2000, has in a way disappeared thanks to this technical manoeuvering. This exemption is planned for a transitional 4-year period. The Commission wonders in the corridors about the reaction that could arise in certain Member states, like Italy, which have paid up their additional levies for many years now.
The Commission states that it presented this proposal in view of "facilitating restructuring in the sector in that region whose agricultural activity is very dependent on the production of milk products". It adds that this measure should not affect the smooth running of the scheme and complements a draft regulation, presented on 29 November of last year, on "specific measures concerning certain agricultural products in favour of the Azores and Madeira" ("Poseima" regulation).