Dáil debates

Thursday, 11 November 2010

EU Sugar Market Reform: Statements

 

5:00 pm

Photo of Brendan SmithBrendan Smith (Cavan-Monaghan, Fianna Fail)

The Commission stated:

For reasons of efficiency and transparency the Commission opted for a reform model in which the final decision for keeping, reducing or abandoning production would be taken by individual sugar companies, against the background of a future characterised by substantially lower prices. In addition, a financial incentive was provided by companies that decided to surrender quota. This model does not require an analysis of the current profitability and prospects of every individual sugar producer in the EU. Therefore, the Commission did not consider it necessary to collect such data on productivity and efficiency for the model chosen. Moreover, such an analysis would concern confidential aspects of private business and comparisons between companies based thereon would not be exempt from controversy.

It then goes on to refer to as incontestable the gains in competitiveness of the EU sugar industry after the reform. That is the reply of the Commission in response to some of the comments of the Court of Auditors.

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