Brussels, 27/02/2002 (Agence Europe) - With the adoption, on Monday, of the report by Maria del Pilar Ayuso Gonzalez (EPP-ED, Spain), the European Parliament's Committee on Agriculture unanimously rejected (less one abstention) the European Commission's proposal to create a common market organisation (CMO) for alcohol of agricultural origin, mainly because it does not cover synthetic alcohol (used by the pharmaceuticals, chemicals and cosmetics industries), which represents 50% of EU demand for alcohol. In a compromise amendment, MEPs felt that the Commission proposal does not meet the aim of regulating the whole alcohol market in the EU, including with a view to enlargement. They call on the Commission to withdraw its proposal and to submit a new proposal that meets the concerns expressed.
Rejection of the proposal also allows account to be taken of the fears expressed by Germany and Italy that the creation of a CMO would possibly bring into question not only the particularities of the German monopoly regime on alcohol ("Branntweinmonopol") but also the granting of national aid by the Italian government (see EUROPE of 11 October, p.14, on the report on discussions of the preparatory group of the Agriculture Council). The report by Ms Ayuso Gonzalez will be examined by the Parliament during its April plenary session. EUROPE recalls that five last attempts to create a CMO for alcohol failed at Council level.