German sugar industry files state aid complaint with the EU Commission

Tuesday, March 22, 2022
Wirtschaftliche Vereinigung Zucker (WVZ, German Economic Association for Sugar) has filed a complaint with the European Commission against coupled payments for the cultivation of sugar beets. ‘The current practice of coupled payments for sugar beet cultivation skews competition. According to the provision, premiums should only be granted in exceptional cases. In many member states, however, they have become standard. This violates European subsidy law. Science and politics have long recognised the rise in unfair competition. Nevertheless, nothing has changed. That’s why we now filed a complaint against government subsidy with the EU Commission’, comments WVZ Chairman Dr Hans-Jörg Gebhard. ‘We demand that EU Competition Commissioner Margrethe Vestager and her counterpart Janusz Wojciechowski finally create fair competition at EU level. The previous funding practice must be corrected. Moreover, this competition-distorting practice must not be allowed to continue to be reflected in the national strategy plans for the Common Agricultural Policy from 2023 onwards.’
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