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Image header Agence Europe
Europe Daily Bulletin No. 9869
Contents Publication in full By article 18 / 31
GENERAL NEWS / (eu) eu/state aid

Commission approves €800 million public funding for Spanish textile sector

Brussels, 25/03/2009 (Agence Europe) - On Tuesday 24 March, the European Commission authorised public funding of €800 million for a comprehensive support programme aimed at the Spanish textile and clothing sector.

The programme was in force from June 2006 to 31 December 2008 and was not notified to the Commission. It promoted research, the reindustrialisation of areas affected by structural changes, loans granted by the Empresa Nacional de Inovación S.A. (ENISA) for the modernisation of SMEs, preferential loans by ICO for innovation, collective participation in fairs and consultancy regarding the export potential, specific training and the keeping of aged workers in their jobs.

The Commission opened an in-depth investigation on 13 November 2007, as it had doubts in particular regarding the possible cumulation of the different measures offered by the programme. During the investigation, the Spanish authorities clarified the relations between the textile programme and existing aid schemes already approved by the Commission, the de minimis aid regulation cumulation requirements and EC Treaty rules allowing state aid to facilitate the development of certain economic activities (Article 87(3)(c)). In particular, the Spanish authorities provided evidence that the de minimis threshold of maximum €200,000 aid over three years per company had been respected on an individual and cumulated basis. As regards the training measure, its intensity was well below the thresholds imposed by analogy by the EU Training Aid Regulation and General Block Exemption Regulation. Concerning the measure to maintain the employment of aged workers, it applied mainly to micro-enterprises and its impact on the market was very limited, in line with the Commission decision of 10 December 2008 authorising aid aimed at furthering the training and employment of aged workers in the Spanish footwear, tanning and leather sector. The Commission therefore concluded that the positive effects of the measure would outweigh any potential distortion of competition it might create. (O.L./transl.jl)

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