Opinion of the Economic and Social Committee on the 'Communication from the Commission to the Council, the European Parliament, the Economic and Social Committee and the Committee of the Regions 'White Paper on Commerce''
Date: 1999-07-08
Institutions: European Economic and Social Committee
Subjects: common commercial policy, interinstitutional relations

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Official Journal of the European Communities

10.9.1999

Opinion of the Economic and Social Committee on the ‘Communication from the Commission
to the Council, the European Parliament, the Economic and Social Committee and the Committee
of the Regions “White Paper on Commerce”’

(1999/C 258/08)

On 4 March 1999 the Commission decided to consult the Economic and Social Committee, under
Article 198 of the Treaty establishing the European Community, on the above-mentioned proposal.

The Section for the Single Market, Production and Consumption, which was responsible for preparing
the Committee’s work on the subject, adopted its opinion on 10 June 1999. The rapporteurs were Mr
Folias and Mr Regaldo (1).

At its 365th plenary session (meeting of 8 July 1999), the Economic and Social Committee adopted the
following opinion by 79 votes to 0, with 3 abstentions.

1.

Introduction

In its communication ‘White Paper on Commerce’ the
1.1.
Commission once again emphasises the role of the commerce
and distribution sectors in the EU (especially in relation to
job creation) and raises the major issue of commercial
competitiveness in a constantly changing global environment.

7.

8.

the European Parliament Resolution of 24 April 1997 on
the Commission Communication ‘The craft industry and
small enterprises, keys to growth and employment in
Europe’ (COM(95) 502) (5);

the Report of the Committee on Economic and Monetary
Affairs and Industrial Policy and the opinions of the
Committee on Regional Policy (A4-0241/99),

1.1.1.
The ESC welcomes the Council of Ministers’ decision
on the White Paper and asks it to continue its efforts to assist
commerce.

9.

the Council’s conclusions on commerce (6).

1.2.
The ‘White Paper on Commerce’ is the latest in a series
of official documents on the role of the commerce and
distribution sectors, documents which include:

1.

the Commission Green Paper on Commerce (COM(96)
530 — C4-0646/96),

2. Community legislation relating directly to commerce,

The White Paper also attempts to identify the points of
1.3.
contact between commerce and existing Community policies
and to frame new policies where these are required.

The ESC completely agrees with the European Parlia-
1.4.
ment’s view in point 18 of its report on the white paper (7)
that it would be better in the Introduction to talk of enterprises’
ability to stay competitive in the market rather than of their
survival.

3.

4.

5.

6.

the European Parliament Resolution of 19 September
1996 on the proposal for a Council decision on a third
multiannual programme for small and medium-sized
enterprises (SMEs) in the European Union (1997-2000) (2),

1.5.
The White Paper is the first document to analyse and
investigate the links between commerce and other economic
sectors (agriculture, industry, crafts, tourism, services), which
will make it easier to extrapolate and solve potential problems.

the Commission Communication ‘Towards a single market
in distribution’ (COM(91) 41),

the European Parliament Resolution of 24 April 1997 on
the coordination of activities in favour of SMEs and the
craft sector (COM(95) 362) (3),

the European Parliament Resolution of 15 July 1997 on
the Commission Green Paper ‘Commercial Communi-
cations in the Internal Market’ (COM(96) 192) (4),

2. Context and purpose of the Commission communi-

cation

The White Paper on Commerce is a follow-up to the
2.1.
Green Paper on Commerce (8), which was published by the
European Commission on 20 November 1996. The white
paper once again brings to the fore all the major issues
affecting the commerce sector in Europe and presents a general
timetable for the introduction of Commission measures.

(1) Mr Giacomo Regaldo replaced Mr Christos Folias when the latter’s

term of office ended.

(2) OJ C 320, 28.10.1996, p. 153.
(3) OJ C 150, 19.5.1997, p. 50.
(4) OJ C 286, 22.9.1997, p. 43.

(5) OJ C 150, 19.5.1997, p. 44.
(6) Council conclusions 7166/99.
(7) COM(99) 6-C4-0060/99).
(8) COM(96) 530 final.

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2.2.
The main conclusions from the marathon Europe-wide
debate on the issues raised in the Green Paper on Commerce
focused on recognising the role of commerce in European
integrating new technologies into commerce,
economies,
reducing state intervention and improving public services
provided to commerce, and finally the question of competi-
tiveness and protecting SMEs from the anomalous practices of
certain large retailers.

3.2.2.
The structural changes in recent years have made life
particularly difficult for small and medium-sized businesses.
The rapid introduction of new technologies,
intensifying
competition, the shift towards concentration, and increasingly
demanding consumers combine to pose challenges which can
only be met using suitable measures.

2.3.
The ESC feels that the effects of complying with the
Maastricht criteria on commercial enterprises, which have
borne the brunt of economic convergence, have not been
sufficiently assessed, and that commercial enterprises must be
given special assistance so that they can survive and grow in
the new global environment.

3.2.3.
These measures include regular, up-to-date statistical
documentation of concentration trends and of all important
data on employees working in commerce (a European com-
pany register) in addition to — by way of counter-measure
and counter-strategy — traders’ groups, information networks,
effective logistics and better training for owners and employees
of SMEs.

3. Analysis of the sector

3.1.

Importance of the sector

3.1.1.
Unfortunately, the statistics published by Eurostat
once again fail to give an accurate picture of commerce in
Europe because the data on which they are based are incom-
plete, such information being particularly difficult for national
authorities to collect owing to the nature of commercial
activities. The significance of commerce for Europe’s econom-
ies is consequently understated owing to the lack of clear and
reliable comparative data.

In its opinions on the Green Paper on Commerce (1)
3.1.2.
and the Commission Communication ‘A European initiative in
electronic commerce’ (2) the ESC emphasised that Member
States and the Commission must make a special effort to
collect reliable and well-founded data.

The ESC thinks that the EU has taken too long to
3.1.3.
realise the importance of commerce for Europe’s economies
and to take commerce into account when formulating Euro-
pean policies.

3.2. Trends and structural changes

3.2.1.
Economic globalisation is dramatically transforming
the traditional context of commerce, which faces increasing
pressure both from large retailers and from the changing
demands and wants of consumers, whose inclinations and
wishes change according to the culture and technology of the
times.

(1) COM(96) 530 final.
(2) COM(97) 157 final.

3.2.4.
Under the new market conditions, specialised com-
panies must be formed with a strong capital base, through
mergers of SMEs and the creation of partnerships of purchasing
groups, more modern and competitive than those which have
existed for decades, to give companies in the sector the
necessary dynamism and flexibility to cope with current
competitive conditions.

3.2.5.
SMEs must become familiar with the new tech-
nologies and potential offered by the information society as
soon as possible with the help of programmes to improve their
technological infrastructure and continuous lifelong-learning
schemes that will transform their organisational structure and
philosophy.

3.2.6.
Those involved in commerce must understand the
dramatic changes in the environment, as well as the new
demands of consumers in the information society, to which
they must adapt without delay.

3.2.7.
In view of its role as a major employer, commerce
should develop measures to provide more skilled jobs. It
should bear in mind its job-creating role while at the same
time preparing carefully thought-out strategies — such as
improved training, the recruitment of skilled workers and
other enduring investments in human resources — in response
to changing consumer habits and increased competition at
local level.

4. Developing a strategy for commerce: the key issues

4.1.
The basic issues raised at the outset provide a theoreti-
cal starting-point for discussion and consideration. Identifying
problems of competitiveness, as well as ensuring that small
and large entities can co-exist on the market with valid rules
of operation, is the effective aim of the single market.

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5. Major priorities for action

5.2.

Improvement of the administrative, legal and financial environ-
ment

5.1.

Improving the use of policy instruments to assist commerce

5.2.1. S i m p l i f i c a t i o n o f a d m i n i s t r a t i v e p r o -

c e d u r e s

5.1.1. B e t t e r u n d e r s t a n d i n g o f t h e s e c t o r

5.1.1.1.
As pointed out in previous Community papers on
commerce in the EU, both statistics and accounts and records
of the specific features of commercial activity have significantly
misrepresented the actual situation. This is obviously due in
part to the particularly complex and multifaceted nature of
commerce, but it is also true to say that neither national
governments nor the European Commission have developed
the necessary systems for gathering and updating information
and statistics.

5.1.1.2.
The ESC would like to see every effort made to
improve methods of collecting and updating statistics on
commerce, both at national and at European level. It therefore
proposes that, in addition to the measures mentioned in the
White Paper on Commerce, the necessary resources should be
made available to modernise national systems for collecting
statistical data and that a mechanism should be set up at
European level for exchanging information and data between
public administration.

5.1.1.3.
The various national statistics on employment
must be comparable and provide breakdowns of employees
by sex, age, type of employment (full-time, part-time, seasonal)
and occupational status (main occupation, retired, student,
secondary activity, etc.).

5.1.1.4.
The ESC calls upon DG XXIII to continue to
examine the problems of commerce so as to ensure continuous
monitoring of developments.

5.1.2. C h a n g e s i n t h e s t r u c t u r e o f c o m m e r c e :

n e w c h a l l e n g e s f o r p o l i c y

5.1.2.1.
The major changes that have taken place over the
past few years in the commerce sector — especially the
existence of millions of companies with different structures,
infrastructures, turnover and staff numbers — are creating
upheavals, and indeed imbalances, which the Commission is
called upon to rectify through its policies, so as to reinforce
market rules and promote competitiveness.

5.2.1.1.
Irrespective of the method used, it is extremely
difficult to calculate the total annual cost of the administrative
burden on all enterprises in Europe, and the amounts quoted
(ECU 150-250 billion, or around 3 % of Community GDP)
must therefore be treated with particular caution.

The BEST Report should be a useful tool

5.2.1.2.
for
analysing specific binding measures, especially at national
level.

5.2.1.3.
The Committee on Commerce and Distribution
(CCD) must look extremely carefully at the very acute problem
of the administrative burden on the operation of commercial
enterprises, and take on the task of launching a Europe-wide
dialogue and communicating the need for change to national
governments.

5.2.2. A c c e s s t o f i n a n c e

5.2.2.1.
Relations between commerce and the banking
sector remain poor, with commerce still being penalised by
divergent forms of treatment when it comes to credit and
financing facilities.

5.2.2.2.
It is extremely difficult for SMEs to obtain finance
because of the cautious nature and the structure of the vast
firms (personal, single-person or
majority of commercial
family), but above all because they lack the fixed assets that
would theoretically provide the necessary security for banks.
Throughout
the EU, commercial businesses, with certain
exceptions in the high-technology sector, are unable to finance
new activities or to proceed with the necessary updating; this
means that they are left on the margins of new developments,
a situation which directly jeopardises their survival.

The ESC realises that it is difficult to take specific
5.2.2.3.
measures promoting access to bank loans for SMEs, but it
strongly supports the efforts made to continue and step up
dialogue between banks and small businesses.

5.2.2.4.
The ESC identifies an urgent need to set up special
schemes that provide finance to innovative companies that are
advancing research into the use of new technologies in the
development of commerce.

5.1.2.2.
Documenting the changes represents a first step
towards solving the problem, but at the same time develop-
ments must as far as possible be forecast, and above all specific
practical measures must be promoted to support commercial
activities that are undergoing change, where the very survival
of businesses is often at stake.

5.2.2.5.
The ESC thinks that national and Community
competition authorities should intervene in cases where the
banking sector practises unjustified discrimination, behaves in
a monopolistic way or imposes excessive costs on commercial
enterprises.

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5.2.2.6.
The ESC takes the view that specific measures
and funding are required for small traditional firms whose
structures have remained unchanged (1).

5.2.3.

I m p r o v i n g t h e d i a l o g u e b e t w e e n c o m -
m e r c i a l e n t e r p r i s e s a n d t h e i r p a r t n e r s
( e m p l o y e e s , c o n s u m e r s , c r e d i t
i n s t i -
t u t i o n s )

5.2.3.1. Social dialogue

5.2.3.1.1.
Enhancing social dialogue between the bodies
that represent employers and employees is a necessary pre-
requisite for the smooth functioning of commerce, and indeed
for the development of an adequate basis for cooperation.

5.2.3.1.2.
The ESC considers the Commission’s proposal to
reform the Standing Committee on Employment and widen
the participation of bodies representing commerce in the social
dialogue at European level to be of crucial importance.

5.2.3.2. Consumers

5.2.3.2.1.
Dialogue between consumers and traders is the
key to modernising commercial enterprises, and provides the
basic channel for information on prevailing trends and views.

5.2.3.2.2.
It is only through an institutionalised and frank
dialogue that the exceptionally rapid changes in consumer
behaviour and the new demands that are expected from
consumers in the information society will lead to the necessary
changes in the rules, structures and infrastructures of the
commercial sector.

5.2.3.2.3.
meeting their needs are key elements of modern commerce.

The ESC feels that protecting consumers and

The ESC strongly supports dialogue between the
5.2.3.2.4.
Committee on Commerce and Distribution (CCD) and the
Consumer Committee, especially on issues relating to elec-
tronic commerce, where every day sees the appearance of new
rules, standards, conventions and practices.

5.2.3.2.5.
The ESC calls on the Commission to take
immediate steps to clamp down on producers and distributors
of pirated and counterfeit goods, which not only defraud but
also impose costs on consumers and bona fide commercial
enterprises.

5.2.3.2.6.
Commercial enterprises could help to protect
consumer health by promoting ecologically sound products
and avoiding the use of substances or experimental production
methods that can cause serious harm to public health.

(1) OJ C 157, 25.5.1998, p. 65.

5.2.3.2.7.
The ESC fully agrees with the view expressed in
point T of the European Parliament report that it is crucially
important in the Member States’ commercial planning to
ensure that end consumers are guaranteed access to small-,
medium- and large-scale distribution in all its forms, in line
with their socio-economic needs, and that they should have
freedom of choice.

5.2.3.3. Credit institutions

The organisation of an efficient system of pay-
5.2.3.3.1.
ment, to include the use of credit cards in particular, is vital in
order to boost trade.

— Here care must be taken to achieve a balanced relationship
between the institutions that issue cards and the commer-
cial sector so as to respect the legitimate interests of all
parties and encourage smooth cooperation between them.

— Contracts must indicate clearly the obligations of the
respective parties. Confused or abstruse clauses must be
avoided.

— Charges and commission paid by commercial traders for
credit card transactions must be reasonable; at the same
time card issuers must be able to cover their costs and
make an adequate profit.

5.2.3.3.2.
The ESC sees a need for greater transparency and
a more clearly defined framework for credit card transactions,
so that the well-meaning interests of consumers, credit insti-
tutions and traders are fully protected.

5.2.3.3.3.
The impact on the credit card sector of introdu-
cing the euro will have to be assessed as soon as possible so
that the necessary measures can be taken to ensure that
transactions go through correctly.

5.2.3.3.4.
The ESC feels that credit card payment and
electronic transactions must become as widespread as possible
in order to reduce the risk of crime against businesses and
consumers.

The ESC is particularly concerned about financial
5.2.3.3.5.
crime and fraud which create conditions of unfair competition
and of insecurity in transactions.

5.3. Strengthening competitiveness and promoting entrepreneurship

5.3.1. E l e c t r o n i c c o m m e r c e

5.3.1.1.
Electronic commerce is the most modern tool for
traders in the information society and may turn out to be the
main reason for a radical overhaul of commercial systems and
infrastructures.

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5.3.1.2.
The most serious obstacles to the development of
electronic commerce in the EU are inadequate information
and training,
the necessary infrastructure within
commerce, the high cost of telecommunications and absence
of the new philosophy that electronic commerce requires.

lack of

5.3.1.3.
The ESC expressed its views on electronic com-
merce in a comprehensive opinion (1) which describes in detail
the current situation, future prospects and obstacles to the
development of electronic commerce.

The ESC feels that closer cooperation is required
5.3.1.4.
between the relevant Directorates-General of the Commission
(III, XIII, XXIII and XXIV) and other institutional bodies on the
subject of electronic commerce so that the necessary measures
can be put into effect as quickly as possible.

5.3.1.5.
The commerce sector must take an active part in
the 5th Framework Programme for Research and Technologi-
cal Development and in all programmes under development
to promote new technologies, so that it can reap the benefits
of these technologies and use them as a basis for its new
activities.

In order to adapt to the new environment created
5.3.1.6.
by the information society and electronic commerce, the
commerce sector needs:

(a) cheap telecommunications,

(b) training programmes for electronic commerce,

(c) support in experimenting with new technologies on the

basis of clear and practical measures and guidelines,

(d) programmes to upgrade equipment,

rules of healthy competition are concerned, since they do not
hold a dominant position in the market and are not big
enough to constitute harmful monopolies.

5.3.2.4.
The ESC has already supported at an earlier stage
the Commission’s financial approach involving forms of
cooperation in commerce (especially as regards vertical cooper-
ation arrangements). On the basis of the Industry Council’s
recent approval of the new approach to competition policy in
this sector, the ESC will study the matter in greater detail, with
a view to the Commission adopting specific proposals to
replace a number of the current regulations (providing for
exceptions). Once again the ESC’s proposals are intended to
bring about
the removal of obstacles to cooperation in
commerce, and particularly between commercial SMEs.

5.3.3. T r a i n i n g

5.3.3.1.
Training is the only instrument that can be used to
address all aspects of the new environment created by the
introduction of new technologies and to provide the essential
in the
new knowledge and skills required by commerce,
information society. This means that all players in the com-
merce and distribution sectors, if they wish to keep up with
developments, must start a new cycle of retraining, regardless
of their level of expertise, on which there will be no time limit,
but which will evolve into a process of lifelong training.

5.3.3.2.
Training is needed not just for small companies,
but also for firms considered by European standards to be
medium-sized or large. The explosion of new technologies and
continual
introduction of new IT tools create a need for
constant learning.

(e)

low-cost banking facilities for commercial enterprises
involved in electronic commerce.

5.3.3.3.
The ESC thinks that training policies should be
organised on a permanent basis to meet ever-growing needs
but above all to keep up with new developments and changes.

5.3.2. C o o p e r a t i o n b e t w e e n b u s i n e s s e s

5.3.3.4.
programmes should be transformed into lifelong training.

The ESC believes that the majority of training

Cooperation between small commercial businesses
5.3.2.1.
and others of a similar kind or larger is the basic prerequisite
for survival in the present, extremely competitive environment.

The ESC calls on the Commission to do its utmost,
5.3.2.2.
within the bounds of healthy competition, to help commercial
businesses acquire the necessary critical mass and converge to
remain in the market.

5.3.2.3.
The ESC does not feel that mergers, restructuring
and partnerships between small commercial enterprises and
distribution networks pose a particular problem as far as the

(1) OJ C 19, 21.1.1998, p. 72.

5.3.3.5.
The ESC thinks that specialised tertiary-level com-
mercial colleges and new research institutes should be set up
to promote research and information and facilitate further
promotion of new technologies in the sector.

5.3.4. C o m m e r c e i n r u r a l a n d l e s s - f a v o u r e d

u r b a n a r e a s

5.3.4.1.
The particular social role of small commercial
enterprises in rural and less-favoured urban areas is a major
reason why all European institutions are concerned about their
preservation and survival.

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The ESC considers

5.3.4.2.
specific
measures are called for to modernise and to continue to
develop small commercial enterprises in rural and less-
favoured urban areas.

that coordinated,

5.3.4.3.
The ESC asks national governments to make a
record of local problems faced by small commercial enter-
prises, which play a key role in creating jobs in regions facing
social problems, and to identify their specific needs, which are
varied, complex and location-specific.

5.3.4.4.
The Commission is asked to work together with
the Member States’ national governments to support local
commercial enterprises and to provide special funding for this
purpose, through the Structural Funds.

5.3.4.5.
measures to assist disadvantaged urban and rural areas.

The ESC calls upon the Commission to take special

5.3.5. C o m m e r c e a n d t o u r i s m

5.4. Encouraging Europeanisation and internationalisation

5.4.1. T h e e u r o

5.4.1.1.
The euro and electronic commerce together pose
the two major challenges to European commerce and the two
most up-to-date instruments for modernising it.

5.4.1.2.
Preparing commercial enterprises to start using the
euro, first as a banking medium and later as the common
European currency, requires very careful planning and compre-
hensive information so that the problems that will arise can be
tackled effectively and promptly.

Providing information on the euro in all forms,
5.4.1.3.
both to commerce and to the wider consumer public, is the
key to successful transition to the single European currency.

As part of this effort, commercial enterprises in
5.4.1.4.
particular must play a leading role in the process of transition
to the euro because their direct, day-to-day contact with
consumers is an effective way of ‘sensitising’ and ‘informing’
consumers about the euro, as regards both its benefits and to
its use in commercial transactions.

5.3.5.1.
The co-existence of, and cooperation between, the
sectors of commerce and tourism compound the benefits to
the economies of Europe.

5.4.1.5.
before our communications policy is formulated:

It is essential for the following to be determined

5.3.5.2.
The ESC proposes that DG XXIII, which is respon-
sible for both these sectors, and the corresponding national
organisations, should set up joint action, cooperation and
information programmes, especially in those countries where
tourism plays an important role in the national economy.

The interests of commerce would be better served
5.3.5.3.
if the sector had closer links with tourism at European level,
and it is therefore proposed that a consultative body be set up
under the aegis of DG XXIII consisting of representatives from
commerce and tourism.

5.3.6. E n v i r o n m e n t

1. who will be responsible for coordination and implemen-

tation,

2.

the scope i.e. target groups,

3.

the basic content of the ‘information platform’,

4.

the media to be used.

5.4.1.6.
The following practical measures are proposed as
a means of ensuring that the information campaign is really
effective:

(a) Setting up a special steering committee, within the national
coordinating committees for the euro, comprising rep-
resentatives of banks, commerce, the national government
and specialists in communications and publicity.

5.3.6.1.
The commerce sector, being among the social
partners, is asked to play its part in addressing environmental
issues and protecting public health.

(b) Setting up a ‘euro information office’

in the relevant
ministries, employers and employees organisations and
chambers of commerce.

5.3.6.2.
Commerce, within its capabilities and in cooper-
ation with local authorities, can make a substantial contri-
bution to protecting the environment.

5.3.6.3.
Small commercial enterprises are in particular need
of information and support in environmental matters, and, in
tourist areas, they should cooperate closely and effectively
with tourism companies, which usually bear the brunt of
environmental problems and their effects.

(c) Setting up a ‘national euro documentation centre’ in each
Member State which would be a source of information for
public authorities and institutions. The services of this
centre would of course also be available to any professional
organisation.

(d) Appointing a ‘euro officer’ through specific procedures in
industrial, tourist and insurance
the larger commercial,
businesses, a somebody who would be fully informed
about both the problems and advantages of using the euro.

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(e)

Introducing the euro as a subject of study in programmes
at schools of economics, technical colleges, vocational
training colleges and secondary schools with economics
courses.

5.4.2.3.
The ESC takes the view that international represen-
tation of European commerce is a chief priority, and calls
upon the relevant Directorates-General (I and XXIII) to work
together to that end.

5.4.1.7.
must be directed at specific target groups:

To be effective, the ‘euro information campaign’

— heads of enterprises and organisations,

— senior and middle managers, especially of commercial,

tourist and manufacturing businesses,

— consumers, and particularly socially disadvantaged groups.

The ESC considers that an information campaign to
5.4.1.8.
generally shape public opinion and make people ‘euro-minded’
first requires a motivation study, the results of which would
form the basis for the ‘information platform’. This is also
evident from a relatively recent European study which showed
that some 51 % of Europeans are ‘attached’ to their national
currency, mainly for psychological reasons, and are sceptical
about using the new currency.

5.4.1.9.
to bank charges during transition to the euro.

There should be complete transparency with regard

Governments should be required to establish
5.4.1.10.
from the outset what policy they will pursue in introducing
the euro in their countries and to fix the relevant legal
provisions so as to spare commercial enterprises unnecessary
costs and wasted investment.

5.4.1.11.
Governments should provide financial and tax
incentives to help companies make the investments associated
with introducing the euro (adapting software systems, etc.).

5.4.2.

I n t e r n a t i o n a l c o m m e r c e

It

is essential

5.4.2.1.
that European commerce inter-
nationalise in order to grow and above all to ensure that
European products survive in the world economy. The Com-
mission must therefore make every effort to evaluate and
address the problems faced by international European com-
panies in development and establishment.

5.4.2.4.
ation.

The ESC takes a special interest in trade liberalis-

5.4.3. E n l a r g e m e n t o f t h e E u r o p e a n U n i o n

5.4.3.1.
The issue of EU enlargement and associated prob-
lems must be addressed without delay so as to avoid sub-
sequent disruption and distortions affecting European com-
merce.

The ESC believes that dialogue with the commerce
5.4.3.2.
sector in the applicant countries should be stepped up so as to
identify structural and legal problems and to start addressing
these problems through European channels and European
legislation and procedures.

The ESC thinks that the Committee for Commerce
5.4.3.3.
and Distribution should continue its work of
integrating
commerce in the applicant countries into the commerce sector
in the European Union.

5.4.3.4.
The applicant countries will have to make a
considerable effort to ensure that commerce survives in their
countries and grows in the European environment, which is
very different from the environment in which they have been
operating for the last few decades.

5.4.3.5.
Neighbouring EU countries are called upon to play
a key role in helping commerce in the applicant countries
adapt to European conditions, and cross-border initiatives
must therefore be stepped up.

5.4.3.6.
The absence of bodies representing the private
sector in the applicant countries is making it extremely difficult
to consolidate and expand the necessary dialogue. The ESC
proposes financial support for the creation and operation of
such bodies.

The ESC calls on the Commission and the applicant
5.4.3.7.
countries to step up measures to set up and support new,
autonomous bodies representing economic sectors (industry,
commerce, tourism, etc.)

6. Action plan

The action plan prepared by the Commission to
6.1.
effectively promote solutions to the problems faced by the
commerce sector in Europe is considered to be a move in the
right direction. The plan covers a five-year period and can be
considered very ambitious in terms of
the timescale for
implementing actions:

5.4.2.2.
The European Union, through DGI and DG XXIII,
must play a leading role on matters of commerce in the WTO,
the International Labour Office and the UN Conference on
Trade and Development, in order to promote the positions
and views of European businesses in the global dialogue.

6.2.
Even though the action programme is ambitious, it
attaches particular importance to campaigns, reports, meet-
ings, studies, etc., whereas the actual measures to support
commerce are limited. The ESC welcomes the following
specific actions:

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6.2.1.
simplify administrative procedures

Action 3: Training and publicising of measures to

7.1.3.
role of commerce at local and European level.

This is the first European document to highlight the

6.2.2.
initiative

Action 4:

Implementing a second seed capital

6.2.3.
merce and quality labels

Action 8: Pilot projects to promote electronic com-

6.2.4.
promote the euro

Actions 10 and 14: simulation programmes to

6.2.5.
grammes and Structural Funds for SMEs

Action 11:

improving access to Community pro-

7.1.4.
The measures proposed for addressing the chronic
problems faced by commerce include many theoretical sol-
utions that do not directly and obviously help SMEs, which are
particularly vulnerable.

7.1.5.
measures.

Specific funding should be earmarked for certain

7.1.6.
DG XXIII must be given more funding and its staff
and other resources should be reinforced so that it can fulfil its
remit.

6.2.6.
and Cyprus in Community activities to promote commerce.

Action 16: involvement of operators from the CEECs

7.1.7.
the BEST Report must be implemented.

The measures to reduce bureaucracy advocated in

6.2.7.
As regards all the other measures, the ESC proposes
that the emphasis should be shifted from ‘theory’ — which is
of course an indispensable basis — to ‘practice’, which will be
essential for supporting and developing commerce within the
five-year programming period.

Special consultations must

7.1.8.
take place between
national governments and the commerce sector during the
period when both the euro and national currencies are in
circulation.

6.3.
On the assumption that funding will be provided for
the action programme, the ESC asks the Commission to ensure
as far as possible that it provides staff in those departments
responsible for implementing the action programme.

7.1.9.
As regards credit card charges and other banking
costs, there must be a Europe-wide initiative to harmonise
without compromising free market principles, the costs to
commercial enterprises of banking services.

The ESC asks both national governments and commer-
6.4.
cial players to fulfil the crucial role they are required to play so
that this ambitious action plan will have the expected and
necessary outcome to which the white paper aspires.

6.5.
The Action Programme should be supplemented with
specific practical measures that produce results as soon as
possible.

The critical role of commerce in combating unem-
7.1.10.
ployment and creating new jobs is not adequately documented.

The ESC thinks that the White Paper does not
7.1.11.
draw sufficient distinction between commerce as it affects
commercial enterprises and commerce as it affects consumers,
with a view to the necessary measures being taken for both
sides of commerce.

7. Conclusions

7.1.12.
policies relating to or affecting commerce.

DG XXIII must take an active part in all European

7.1.

The ESC has reached the following conclusions:

Unfortunately, the statistics published by Eurostat
7.1.1.
once again fail to give an accurate picture of commerce in
Europe because the data on which they are based are incom-
plete, such information being particularly difficult for national
authorities to collect owing to the nature of commercial
activities. The significance of commerce for Europe’s econom-
ies is consequently understated owing to the lack of clear and
reliable comparative data.

7.1.13.
Once Europe’s economies have converged under
the Maastricht criteria, national governments are asked to
proceed with specific measures to strengthen commerce and
boost demand.

7.1.14.
European commercial enterprises must become
more assertive and take more risks in the current globalised
environment.

The White Paper on Commerce is without doubt an
7.1.2.
important account of the problems faced by the commerce
sector.

7.1.15. Whatever happens, there must be adequate har-
monisation of provisions and practices relating to commerce
at European level. The governments of the Member States are
called upon to initiate a serious and frank dialogue to this end.

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7.1.16.
form of special tax and development measures.

Small commercial enterprises need assistance in the

Equal attention must be given to new forms of
7.1.17.
commercial activity, (e.g. franchising, distance selling), from
both a tax and legal point of view.

The main responsibility for supporting commerce
7.1.18.
must be shouldered by governments, which are asked to
initiate a Europe-wide dialogue immediately so that coherent
and practical measures can be taken.

7.1.19.
After this dialogue on the White Paper has taken
place, DG XXIII must gather the opinions of all concerned and
continue its efforts to devise clear and practical measures that
can be put into effect without delay.

7.1.20.
The Commission (DG XXIII) must keep track of the
rapid changes taking place in commerce in the context of
the information society, and take or propose the necessary
measures, avoiding bureaucratic procedures and encouraging
national governments to move in the right direction.

Brussels, 8 July 1999.

The President

of the Economic and Social Committee

Beatrice RANGONI MACHIAVELLI

APPENDIX

to the opinion of the Economic and Social Committee

The following point in the Section’s opinion was rejected when amendments were voted on at the plenary session,
but received at least a quarter of the votes cast:

‘Point 4.2. It must be stressed that this is the first time a Community paper has so thoroughly traced and described
the role of commerce as an employer and the future prospects of the sector.’

Result of the vote

For: 39, against: 30, abstentions: 4.