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Image header Agence Europe
Europe Daily Bulletin No. 8702
Contents Publication in full By article 21 / 52
GENERAL NEWS / (eu) eu/agriculture

State aid in Spanish olive oil sector

Brussels, 07/05/2004 (Agence Europe) - On Friday, the European Commission gave its approval to Spanish state aid in favour of olive oil producer organisations in Extremadura. The aid amounts to EUR 120,000 annually, benefiting 11,500 producers (on average, 10.4 euros per beneficiary and per year). This is the first case of Commission clearance of "de minimis" State aid in the farm sector. Given the low amount per beneficiary, its allocation arrangements and its general level, the Commission concluded that it did not constitute State aid under the terms of the Treaty, given that it does not affect trade between the Member States and does not distort competition. Furthermore, the Commission authorised that same day aid of EUR 30 million in favour of Spanish extraction, refining and bottling plants for olive pomace oil. The aid is to offset the effect of suspended sales after the detection, in 2001, of benzopyrene in a number of batches of olive pomace oil.

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