WRITTEN QUESTION No. 3124/98 by Cristiana MUSCARDINI to the Commission. Oligopolies and milk market in Italy
Date: 1998-10-16
Institutions: European Parliament, MUSCARDINI
Subjects: European Commission, Italy, State aid, consumer protection, control of State aid, milk, oligopoly, restriction on competition

15.10.1999

EN

Official Journal of the European Communities

C 297/49

The selection process timetable adopted for the placement and exchange programme under strand I
3.
allows young people following a one-year basic training course to participate in a short-duration Leonardo da
Vinci programme. It is in fact possible to submit applications before the start of basic training courses, and
promoters do make use of this possibility in practice.

4.
The Leonardo da Vinci programme has introduced decentralised management of strand I mobility
programmes in (at the moment) 24 countries. This arrangement has been operating satisfactorily for several
years. It is not a question of organisations playing an intermediary role; it is the NCUs themselves which are
responsible for managing mobility programmes.

The Commission’s proposal for the establishing of the second phase of the Leonardo da Vinci programme
from the year 2000 includes simplification and further decentralisation of programme management and
measures in order to improve access to the programme.

(1999/C 297/064)

WRITTEN QUESTION E-3124/98

by Cristiana Muscardini (NI) to the Commission

(16 October 1998)

Subject: Oligopolies and milk market in Italy

The milk market in Italy seems to be dominated by an oligopoly formed by two or three big names. When
municipal milk marketing boards were privatised these few names managed to offer very large sums with
which rival associations of agricultural producers were unable to compete. For one northern Italian board
more than three times the reserve price was paid.

It is evident that it is the consumers that will have to pay, and so-called quality milk will cost a small fortune
although the difference in price is not justified by the difference in quality.

Can the Commission answer the following:

1.

Is it aware of this situation?

2. Could it go into the dynamics of the market and check the possibility of basic competition?

3. How can an oligopoly situation guarantee the interests of consumers in the use of an essential basic

foodstuff?

4. Can it confirm whether it has investigated the acquisition of the Rome milk marketing board?

Answer given by Mr Van Miert on behalf of the Commission

(20 November 1998)

1. to 3.
The Commission would inform the Honourable Member that it is unaware of any business practices
on the Italian milk market that could be caught by Article 85 or 86 of the EC Treaty. It would point out in this
connection that an oligopoly situation is not in itself contrary to either article. It can therefore intervene on an
oligopolistic market only in cases where it has in its possession particulars showing that businesses are
conducting themselves in a manner contrary to Articles 85 and 86.

4.
The Commission would inform the Honourable Member that it decided on 25 March 1998 to institute
proceedings under Article 93(2) of the EC Treaty in respect of aid granted for the privatisation of Centrale del
Latte di Roma. It is currently examining the comments received from interested parties. In accordance with the
procedure under Article 93(2), it will then take a final decision on the aid in question.