A4-0015/95

Resolution on the Commission communication to the Council and the European Parliament on the development and future of Community policy in the fruit and vegetables sector (COM(94)0360 - C4-0094/94)

The European Parliament,

- having regard to the Commission communication to the Council and the European Parliament (COM(94)0360 - C4-0094/94),

- having regard to Commission Regulation (EC) No. 3223/94 ((OJ L 337, 24.12.1994, p. 66.)) of 21 December 1994 on detailed rules for the application of the import arrangements for fruit and vegetables,

- having regard to the report of the Committee on Agriculture and Rural Development (A4-0015/95),

A. whereas the existing COM does not accord with the realities of Community production as currently constituted, either as regards external protection or in terms of market support, and whereas this applies both to the product range and to production schedules,

B. whereas the new COM must accord with the realities of Community production as currently constituted, as regards both products and production schedules, using the room for manoeuvre which exists within the Aggregate Support Measure granted in the context of GATT and/or by means of 'green box' measures,

C. whereas the new framework arising from the reform of the common agricultural policy and the conclusion of the Uruguay Round necessitates urgent action to modify those COMs which have not yet been reformed, so as to enable producers to adapt themselves swiftly to the new situation while maintaining their income and avert undesirable discrimination between the various agricultural sectors in the Union,

D. whereas at the Jumbo Council of September 1993 the Commission and the Council undertook to ensure, for the sectors still to be reformed, the application of the principles which have hitherto inspired the reform of the common agricultural policy, namely Community preference and financial solidarity, particularly by means of direct aid, with a view to protecting agricultural producers' income levels; whereas these principles should therefore govern future legislative proposals for reform of the common market in fruit and vegetables,

E. whereas one of the bases of the future reform will be the producers' organizations; whereas the criteria for recognition of such organizations should be standardized and redefined, so as to promote their economic viability and their capacity to contribute to concentration of supply, by means of effective commercial capacity, planning and discipline in the field of production and the effective administration of structural measures aimed at benefiting their members,

F. whereas the producer organization recognition criteria should also make it easier for most producers and production to be included within producers' organizations with a view to ensuring orderly management of most of the supply and developing an effective sectoral policy in accordance with the market,

G. whereas, in view of the varying levels of development and implantation of the producers' organizations and the varied legal structure of such organizations at Member State level, it will be necessary for the Commission to propose specific measures, to be funded from the Community budget, as well as temporary adaptation programmes tailored to the various different regional circumstances, with the aim of encouraging the creation, development and integration of producers' organizations and cooperatives on a market-oriented basis,

H. having regard to the important role played by cooperatives, both in their intervention in the sector and from the point of view of civil and democratic involvement on the part of producers,

I. whereas, in the interests of effective management of the sector, it is necessary to strengthen the interprofessional associations in those Member States where they exist, on the basis of extension of the rules or interprofessional agreements based on individual products, wherever they are not prejudicial to trade, and the establishment of subscriptions to finance joint actions aimed at improving market planning,

J. whereas, in those regions where it is considered necessary, for concrete socio-political, economic, commercial or employment-related reasons and owing to the inadequate functioning or transparency of the local producers' organizations, it should be possible for the Commission, in cases of urgent need, to authorize the appropriate regional authorities, on the basis of a justified procedure and specific programmes, to grant, in special circumstances and on a temporary basis, direct aid, including income support, for certain products,

K. whereas it should be possible to achieve closer coordination and consistency of the structural measures, improve cultivation and step up support for small-scale products via organic farming methods, integrated production systems, environment-friendly production methods, promotion actions, etc., on the basis of the inclusion of such elements in the action plans of producers' organizations and regional programmes,

L. whereas the structural and organizational measures required by the sector should be redefined so that the investment policy pursued by producers' organizations is in line with the new, significantly more competitive international environment and enables adjustments to be made in the medium term to the lower level of protection resulting from implementation of the GATT agreements,

M. whereas above all the fresh and processed fruit and vegetables sector requires control of the quality and quantity of production rather than management of surpluses, and the Commission should:

- define quality on the basis of new principles, taking better account of consumer protection,

- redefine biological and ecophysiological standards for fruit and vegetables,

- take decisions on a determined policy of conservation of biodiversity (preserving genes and orchards of local and regional varieties),

- promote Community preference in this field, particularly to maintain culinary and gastronomic cultural traditions,

N. whereas specific treatment is required for surpluses according to whether they are short-term or structural; whereas, to this end, the withdrawal of short-term surpluses should be continued as a safety net to be financed in full from the Community budget; whereas only surplus produce of an agreed marketable quality should be eligible for withdrawal payments; whereas, for products and varieties considered to suffer from structural surpluses, other measures should be devised to eliminate those surpluses,

O. whereas there should be a longer period for the possible reduction of withdrawal prices,

P. whereas improved market transparency aimed at facilitating trade and enhancing consumer product quality should upgrade the image of Community production and lead to increased consumption; whereas, with this in view, harmonization should be adapted to current market needs and the necessary means should be provided to monitor it,

Q. whereas so-called quality standards for fruit and vegetables have hitherto been concerned primarily with the requirements of the processing industry and wholesalers and not with consumers' needs,

R. whereas standardization should be concerned not merely with the size or appearance of products but also with their taste, ripeness and other aspects, thereby performing a positive role in protecting consumers,

S. whereas, in the interests of consumers, standardization should be accompanied by better labelling of both fresh and processed products,

T. whereas, with respect to the statistical deficiencies of the sector as a whole, especially as regards data concerning trade, both within the Community and with third countries, consumption and production capacity (areas and yields), the Commission, in association with the Member States and with the involvement of producers' organizations, should make efforts to fill this gap, since it makes it more difficult to analyse sectoral trends or to propose suitable administrative and structural measures,

U. whereas the European Union should become financially committed to improving the information available concerning markets (interconnection of reference market locations, etc.), even though it would be difficult to obtain full information in every sector; whereas this commitment should make it possible to identify trends more effectively and to prevent structural surpluses and manage markets better; whereas information about production capacities could be improved by means of a flexible system of declarations, which could confer entitlement to the short-term and structural aids provided for in the fruit and vegetables sector,

V. whereas effective external protection in the fruit and vegetables sector has become a matter of survival for all producers,

W. whereas the development of vegetable and fruit producers and processors, given the fact that production costs are much higher than those for the international competition, will only be ensured if mechanisms are introduced to provide suitable guarantees in practice for Community preference, without prejudicing respect for the GATT agreements,

X. whereas, although the Commission expects a considerable increase in external competition, it only refers, in Regulation (EC) No. 3223/94 on detailed rules for the application of the import arrangements for fruit and vegetables, to protection mechanisms in the form of customs duties and entry prices (which are falling and cover only a limited group of products); whereas the regulation does not provide comprehensive and effective control arrangements, which makes it impossible to analyse and assess the future workings of the COM with any degree of precision,

Y. whereas the formula in Regulation (EC) No. 3223/94 which is used for calculating the standard import value on the basis of Class 1 prices and does not take Class 2 prices into account as a matter of course entails, in practice, an artificial increase in average reference selling prices and reduced Community protection,

Z. whereas there are inherent dangers in the possibility provided for in Regulation (EC) No. 3223/94 concerning the choice by the importer of the classification system (FOB price or customs value), since importers will always choose the system which is more beneficial to them. This will make it easier for them to manipulate the system by transferring prices from one lot to another, thus rendering the entry price mechanism virtually powerless to protect the Community market from sales at extremely low prices,

AA. whereas the lodging of security should be a requirement whenever the entry price is exceeded; whereas the Commission rule which requires security only in cases where the FOB price is more than 8% higher than the entry price allows an excessive margin of fluctuation which, in practice, leads to a further reduction in the entry price,

AB. whereas the increase in international competition and the reduced level of external protection should be compensated by GATT 'green box' measures and offset by stepping up monitoring of the internal workings of the COM, with a view to maximizing efficiency and eliminating fraud,

AC. whereas it is essential to improve the functioning of the monitoring systems of the Member States and to strengthen the deterrent effect of penalties; whereas, to this end, a genuine Community inspection corps must be created, to be entrusted, in cooperation with the authorities of the Member States, with responsibilities in such areas as the definition and coordination of the various monitoring activities, the provision of information on the rules, monitoring methods, staff training, etc.,

AD. having regard to the crucial role in generating added value and creating employment in the countryside which is played by the processing industry, which absorbs 50% of total production for tomatoes, 24% for asparagus, 38.4% for satsumas and 32.5% for apricots, amongst other products, thus contributing to market regulation; whereas, as regards certain vegetables such as peas, green beans, etc, processing can account for over 90% of the volume of the product placed on the market,

AE. whereas the processing industry is generally characterized by specific problems distinct from those of the market in fresh produce; whereas, given the basically satisfactory functioning of the COM in processed products, it appears acceptable that the new Commission proposals should retain a separate regulation for the processing sector, without prejudice to certain specific adjustments relating to the needs of the various sectors, which also takes into account, from the production stage onwards, the characteristics and requirements of certain products which are mainly intended for processing, while ensuring that the system is consistent overall,

AF. having regard to the opinions and concerns expressed by the representatives of the professional organizations at the hearing organized by the Committee on Agriculture and Rural Development on 22 and 23 November 1994,

I. General Considerations:

The main principles which should govern the future COM

1. Endorses the Commission's view as regards the satisfactory general functioning to date of the COM concerned, as forming a dynamic market-oriented sector, characterized by minimal intervention and not representing a major burden to the EAGGF (Guarantee Section); considers, however, that the functional imbalance between supply and demand and the likely rise in third-country exports could be serious threats to producer incomes, constituting problems requiring immediate action; therefore careful consideration should be given as to appropriate action, bearing in mind the economic situation of the third countries concerned as well as of the Member States so affected;

2. Considers, nonetheless, that the Commission is not without responsibility for the above problems, which have repeatedly arisen in the sector without solutions having been adopted;

3. Takes the view that the Commission communication does not contain sufficient guarantees concerning the level of producers' incomes, financial solidarity and Community preference;

4. Considers that the new Commission proposals should preserve and strengthen those provisions of the COM which have proved their effectiveness; considers that assessment should be made on the basis of three factors, namely:

(a) their appropriateness from the viewpoint of improving the competitive position of the Community production and processing sector, and of ensuring market balance;

(b) their compatibility with the agreements reached by the Commission and Council at the Jumbo Council of 20 September 1993 concerning retention in the second stage of the reform of the common agricultural policy of the agricultural and financial principles applied to the sectors already reformed, with a view to the survival and income stability of producers;

(c) their budgetary implementation, from the viewpoint of correcting the imbalance in the financial treatment accorded under the common agricultural policy to a sector which, while accounting for over 16% of final agricultural production, receives less than 5% of total EAGGF (Guarantee Section) funding;

5. Takes the view that the introduction of cofinancing of market management is not acceptable, either for Member States or for producers, because it violates the principle of financial solidarity (under a common policy, market management should be funded solely from the Community budget) and creates discrimination between the policies applicable to the production of different crops and also between different Member States, according to their economic capacity;

6. Considers that, if the sector is to continue and develop in the face of the constant scaling down of Community preference, there is a need for public incentives and suitable financial support for producers, Community fruit and vegetable research centres, etc., so as to ensure the permanent adaptation of technology and productive structures, the aim being to offer as much diversity, quantity and product quality produced in an environmentally friendly way as the market calls for, and stresses that the areas most in need (in general, Objective 1 and extremely remote regions), do not possess the resources required, either regionally or nationally, and that specific aid from the Union is therefore necessary;

7. Considers it essential that the Commission should set up a programme to improve statistics on fruit and vegetable production and imports in the Community, and to distribute such data to the parties concerned;

8. Urges that the constant undermining of Community preference be halted, particularly as regards imports from countries with which the EU has concluded or will conclude preferential trade agreements; draws particular attention to imports from countries with low wages and weak currencies, which supply growing quantities of garlic and processed asparagus to the EU; urges in this connection that the entry price system for certain types of fresh vegetables and fruit be implemented effectively, especially for tomatoes, citrus fruit, apples and pears;

9. Calls for support to be granted to small-scale products, either fresh or intended for processing, which play a key role in regional and local terms, such as dried fruit, asparagus, etc., and are not protected by market support mechanisms or entry prices, in the form of structural adjustment schemes and/or direct support measures to help modernize holdings, encourage the formation of producer cooperatives or similar larger units to rationalize storage and marketing, and schemes to promote designations of origin; considers that the Commission should create a legal framework and a market monitoring system in respect of all products of social and economic importance to enable it to take rapid action in support of the market in the products concerned in moments of severe crisis and guarantee Community preference;

10. Considers that regional sector rationalization plans should be drawn up which could include, where necessary, in special circumstances and on a temporary basis, direct aid or income support conditional on the implementation of structural measures, voluntary grubbing-up schemes, integrated organic production or production improvement methods, operational and/or specific programmes for crop development, with incentives coordinated with other support measures such as, inter alia, those provided for in Regulation (EEC) No. 2078/92 ((OJ L 215, 30.7.1992, p. 85.));

II. Standardization

11. Considers that the Commission should submit proposals for the purpose of bringing current quality rules into line with the new requirements of the market and extending them to residues and to detectable organoleptic characteristics, on the basis of market requirements, and introduce standardization for more products (namely avocados, dried fruits, pomegranates, mangos, papayas, grapefruit, melons, watermelons, broccoli, etc.), with a view to regulating marketing conditions;

12. Considers that a requirement should be established to implement standardization at source in order to facilitate monitoring at every stage of the marketing process;

13. Considers that standardization should apply in all countries of the European Union and to all products; checks for compliance with measures should be carried out both internally and externally, to ensure that products circulating in the European Union meet the same criteria; imports from third countries must meet the same standardization criteria as apply to products exported from the Union;

14. Considers, moreover, that these rules should also take into account the taste, ripeness and other characteristics of products, both fresh and for processing, with the twofold aim of protecting consumers and limiting and improving production;

15. Takes the view that standardization must be accompanied by better labelling of products, both fresh and processed, to aid consumer choice, and that the Commission should adopt, in conjunction with producers' organizations, a programme to inform the general public about product quality;

16. Calls on the Commission to draw up quality standards based on consumers' requirements and taking into account genuine quality criteria such as taste, freshness, aroma, juiciness etc.;

III. Producers' Organizations (P.O.)

17. Considers that producers' organizations should be bodies in which, without prejudice to the legal form deemed most suitable:

- all members are producers of vegetables and/or fruit and statutory provision exists for management and decision-making to be carried out on a democratic basis and in the interests of the majority of producers;

- producers/members are obliged to place a minimum of 90% of their production on the market via their producers' organization; the remaining percentage must in any case be sold directly to the consumer;

- at least 75% of the total volume placed on the market directly or through controlled companies consists of the contributions of members;

- a common price-fixing system is operated;

18. Considers that the powers of Producers' Committees may be exercised by cooperatives, in accordance with the legislation in force in the various Member States;

19. Considers that, given the lack of adequate infrastructure characterizing producers' organizations in certain regions of the Union (for the most part coinciding with Objective 1 and extremely remote regions), the Commission should propose programmes to be funded from the Community budget, including measures for improving the structures of the producers' organizations, with a view to improving the production and marketing of their products, and encouraging their development and integration on a market-oriented basis; considers that the fulfilment of the objectives of the programmes should be periodically reviewed by the relevant authorities in the Member States and the Commission;

20. Stresses that the strengthening of interprofessional arrangements may play an important role in the setting of fair prices between producers and distributors, contribute to the smooth, stable operation of the market and establish quality standards which help tailor products to changes in market demands; whereas, for this purpose, the involvement thereof in quality control activities is of major importance;

21. Calls for the Commission to recognize, define and encourage joint trade organizations, whether they are based on regions or product sectors;

22. Takes the view that in countries where cooperative marketing is not very well developed and the central national organizations of producers' associations employ few staff, if any, with a knowledge of how to set up and undertake nationwide coordination of activities by producers' associations to promote marketing, it seems desirable that the Commission should make funds available from the Structural Funds or the EAGGF, Guidance Section, at least during the transitional period, to enable such staff with knowledge of the vegetable and fruit market to be appointed or trained;

IV. Intervention and Operational Funds

23. Considers that the producers' organizations could, up to a maximum of 20% of their marketing volume, undertake short-term withdrawals from the market of produce of marketable quality only in return for payment from an intervention fund financed in full by the Union to a level no lower, in general, than current institutional prices (subject to revision for certain varieties); considers it essential for melons and kiwi fruit to be included in the intervention scheme on the grounds of their importance and their seasonal nature;

24. Calls for the intervention periods to be adapted to ensure equal treatment for all Union produce; at all events, welcomes the possibility referred to by the Commission of leaving the producers' organizations free to determine the withdrawal periods, within the volume limits to be established;

25. Considers that structural measures (as distinct from intervention), as well as withdrawals concerning products and volumes not covered by the short-term withdrawal arrangements, should - once the latter arrangements have been adjusted to bring them into line with the current realities of Community production - be the responsibility of an operational fund which would be co- financed by the producers' organizations, on the one hand, and Member States and the Union, on the other, with the Member States' contribution reduced to the minimum in the case of Objective 1 regions, in accordance with the co-financing arrangements provided for these regions;

V. External aspects: GATT, trade agreements and Community preference

26. Considers that the Commission should define and guarantee Community preference for each individual product, for which reason a prices monitoring system, similar to the one used in respect of products to which an entry price applies, should be set up in respect of all products of social and economic importance in order to facilitate the monitoring of markets on a permanent basis and the speedy adoption of other import control measures;

27. Insists that a system is required under which the Commission would calculate average values for each origin and product category in the representative markets; whereas, after deduction of the relevant costs, this value should apply at the frontiers so as to obtain an average import value for each origin, to be obtained via a weighted average of all the classes sold on the representative markets and, if necessary, modified daily; whereas this average import value should be compared with the entry price, taking into account the updated costs (transport and insurance) to be deducted from the representative prices, and serve as a basis for application of the relevant tariff rates;

28. Considers that the Commission should take account, when calculating entry prices and tariff rates, of the different forms under which imports are effected (consignments imported without an invoice, or shipments imported on the basis of a firm order with an invoice); whereas, in order to ensure the protection permitted under the GATT Agreements, which diminishes with time, though without incurring further reductions in addition to those agreed upon, and to guarantee the reliability of the system, there should be a requirement to deposit guarantees in cases where the average import value is less than the entry price, without introducing margins of fluctuation around a fixed average import value, without prejudice to whatever tariff classification system is chosen by each operator for each marketing year and without allowing changes in the course of a given marketing year in order to facilitate monitoring;

29. Maintains, in addition, that rules should be introduced to establish an auditing and invoice verification system in respect of undertakings' accounts, linked to anti-fraud penalties;

30. Maintains that, in the case of products to which neither an entry price nor special safeguard clauses apply, imports should be monitored by means of import certificates guaranteeing distribution at the time of entry of the goods, and whereas it must be ensured that the general safeguard clause contained in Regulation (EEC) No. 1035/72 ((OJ L 118, 20.5.1972, p. 1.)) operates effectively;

31. Considers that reducing border protection for both fresh and processed products requires great care when bilateral trade agreements are formalized or tariff preferences are granted, especially in the case of sensitive products, and that, in any event, any concession must be balanced by special compensation for the sector;

32. Takes a poor view of the fact that the Commission makes no reference in its analysis to the preferential trade agreements with third countries in which too many concessions have already been granted for both fresh and processed produce, coinciding for the most part with the production periods and products of the Mediterranean countries;

33. Reiterates that the Commission must take measures to provide compensation for the reduction in external protection conceded during the Uruguay Round negotiations and the possible ineffectiveness of the new system of entry prices or compensation for the adverse effects of the preferential agreements signed with third countries;

34. Considers that the GATT-determined reduction in export refunds should be compensated for by suitable trade and export promotion measures in order to maintain existing positions on external markets and take advantage of the new export opportunities created by GATT, measures which are to be implemented via producers' organizations;

VI. Processing

35. Considers that a distinction should be made between the respective COMs for fresh fruit and vegetables (currently regulated by Regulation (EEC) No. 1035/72) on the one hand and processed fruit and vegetables (currently regulated by Regulation (EEC) No. 426/86 ((OJ L 49, 27.2.1986, p. 1.))) on the other, and that the COM in fresh fruit and vegetables should also include specific provisions in respect of fruit and vegetables which are mainly intended for industrial processing; however, it is not always possible to make a clear distinction between the COM in fresh fruit and vegetables and the COM in processed fruit and vegetables and, in certain cases, such as citrus fruits, the processing sector clearly helps to regulate the market in fresh produce;

36. Stresses that, in view of the basically satisfactory functioning of the COM in processed products, as governed by Regulation (EEC) No. 426/86, the guidelines and measures laid down in the regulation should be included in the new COM, thus incorporating the flexibilization measures suggested by the Commission and aimed at facilitating market adaptation of products and enhancing the competitiveness of Community production;

37. Considers that the main objectives which have hitherto governed the establishment of processing aid have on the one hand been to promote supplies to industry at competitive prices and, on the other, to guarantee a minimum price to producers; in this context it is essential that any future changes to the processing rules should strengthen these aspects and promote the transfer of aid to producers via the producer organizations, establish multiannual contracts in favour of an adequate minimum income for producers and establish specific agreements concerning the quality of products destined for processing, which would have favourable repercussions on the quality of the end product;

38. Considers that preference should be given to the policy of contractualization as a means of promoting fluidity and equilibrium between the fresh and processed product sectors;

39. Considers that the definition of products processed from the same raw material must be made more flexible so as to facilitate the adaptation of production to consumer demands;

40. Agrees with the criticisms expressed by the Commission regarding inflexible systems, such as those relating to production or processing quotas, which may damage the competitiveness of the Community agro-industry, and also notes the concerns regarding the establishment of suitable quality standards, appropriate producer prices, product flow and market balance;

41. Maintains that, in the tomato sector, any changes made must be in accordance with two basic criteria in particular: the competitiveness of the sector and the balanced management of the market and consequent allocation of blame for any infringement of the rules; calls, in the case of citrus fruit, for the processing aids to be extended to cover all forms of processing of the five citrus groups (mandarins, clementines, oranges, lemons and grapefruit), without specifying varieties and with a single minimum price level and financial compensation level for each group; whereas, in addition, measures should be proposed to improve product quality, to promote fresh and pasteurized natural-type juices and to introduce labelling rules;

42. Maintains that, in order to harmonize the production and processing of fruit and vegetable products both in Europe and at international level, appropriate Community regulations should be drawn up to determine which health protection and other products may be used in the production, preservation and processing of fruit and vegetables, and also to establish the permitted limits for residues; whereas, in the international sphere, the Commission and the Council are called upon to implement the Marrakesh agreements on international trade (WTO) in cases where there is provision for the adoption of single parameters relating to the qualitative and plant health aspects of foodstuffs;

43. Considers that processed products, both those (such as citrus fruit) covered by Regulation (EEC) No. 1035/72 and those (such as apricots, asparagus and bigarreau cherries) for which no regulation exists, should be regulated where relevant by arrangements based on the principles of Regulation (EEC) No. 426/86; whereas, in particular, preference should be given to the processing option rather than to withdrawal and destruction;

44. Requests that since the market in processed products may be disturbed by the entry of products obtained from the processing of fresh fruit and vegetables which have benefited from withdrawal, such processed products should be intended for the destitute and needy in the Union;

45. Calls, in view of the Union's substantial deficit in quality juices at a time of rising demand, for measures to be maintained to support the processing of citrus-based juices and new measures to be introduced to support the processing into juice of fresh apples, pears, peaches and apricots, in view of the high costs borne by processors on account of the need to use top-quality raw materials; whereas the considerable quantities of produce absorbed by juice manufacture contribute to the elimination of surpluses while avoiding the environmental problems and negative social image associated with destruction;

46. Calls for the juice support measures to include a quality, control and origin label introduction policy and a structural variety adaptation policy for the conversion of fruit into juice;

VII. Monitoring

47. Considers it necessary:

- to establish a specific body of Community inspectors to carry out duties, in partnership with the authorities of the Member States, with regard to defining and coordinating the various activities involved in monitoring and dissemination of rules, inspection methods, training of staff, etc.;

- to increase the deterrent effect of penalties;

VIII. Other general remarks

48. Considers that, in the case of specific regional varieties, the Commission should make provision for a special system of support for the organization of the production, promotion and marketing thereof;

49. Considers that rules on integrated production should be drawn up as a set of regulations which will ensure that sound agricultural practices which do not damage the environment or the health of either producers or consumers are followed, and that the aid referred to in paragraph 10 is channelled effectively;

50. Calls on the Commission, in the interests of environmental and consumer protection, to limit the use of pesticides and artificial fertilizers, which is particularly intensive in the case of specialized crops, and to adopt or step up measures to promote organic farming and other environment-friendly production methods;

51. Calls on the Commission to ensure that the common organization of the market does not limit but enhances the diversity of surviving fruit and vegetable species and varieties;

52. Takes the view that insurance systems should be introduced to cover producers for the risk of natural disasters (including hail damage), with the European Union and the Member States contributing to the premiums;

53. Considers it important that the European Union should, through its social policy, take more account of the overall situation of agricultural workers, especially in the fruit and vegetables sector, which is highly labour- intensive, to improve working conditions and curb social dumping;

54. Considers that measures should be taken to encourage improved marketing of fresh produce, as opposed to processed foods, to ensure that consumers are aware of the benefits to health of a diet rich in fresh fruit and vegetables, thus increasing demand and so helping to reduce current surpluses;

55. Considers that measures should be taken to support and coordinate fruit and vegetable research and development on a long-term basis, to improve product quality and storage methods, to develop new strains resistant to pests, thus reducing the use of pesticides, and thereby enable Community producers to compete more effectively on world markets;

56. Instructs its President to forward this resolution to the Commission and the Council.