WRITTEN QUESTION E-3490/03 by Ilda Figueiredo (GUE/NGL) to the Commission. Regulating the market and olive growers' incomes under the reform of the COM in olive oil.
Date: 2003-11-24
Institutions: European Parliament, Provisional data
Subjects: Portugal, aid to agriculture, common organisation of markets, economic analysis, export refund, farmers' income, intervention price, olive oil, olive-growing, production refund, reform of the CAP

C 78 E/564

Official Journal of the European Union

EN

27.3.2004

As regards redress procedures for citizens having problems with banks in Spain, they must first contact
their bank, and if they are not satisfied with the reply they receive, they may complain to the Complaints
Department at the Banco de España (C/Alcalá No 50, 28014 Madrid), stating their reasons and supplying
the documents in their possession relating to the matter in dispute.

(2004/C 78 E/0599)

WRITTEN QUESTION E-3490/03

by Ilda Figueiredo (GUE/NGL) to the Commission

(24 November 2003)

Subject: Regulating the market and olive growers’ incomes under the reform of the COM in olive oil

The Commission Communication on ‘accomplishing a sustainable agricultural model for Europe through
the reform of the CAP (cid:1) the tobacco, olive oil, cotton and sugar sectors’ (1) states that ‘adhesion to the
single farm payment’ (cid:1) instead of the existing production-linked payments (cid:1) ‘enables low input olive oil
producing regions to maintain their overall
level of income support’. Furthermore, the Commission
proposes that ‘the refunds relating both to export and to manufacture of certain preserved food should be
repealed’, and that other market policies ‘should be kept intact’.

The Commission:

1. How does it assess the impact of eliminating the previous reform’s intervention price in the olive oil
sector, given the pattern of prices paid to producers, and their impact on olive growers’ incomes?
Does it believe that the existing regulatory mechanisms, resting as they do on private storage
subsidies, are enough to achieve the objective of regulating the market during and between marketing
seasons?

2. What does it believe the impact of the current proposal will be on Portuguese olive growers’ incomes?

3. What is its reason for abolishing export refunds in the olive oil sector, specifically with regard to the
manufacture of certain preserved food, given that this subsidy has an effect on the promotion of the
use of olive oil? Does it not believe that reintroducing the abolished consumption aids would provide
a solution, not only in terms of promoting olive oil, but also of controlling its production?

(1) COM(2003) final.

Answer given by Mr Fischler on behalf of the Commission

(22 December 2003)

The intervention mechanism was abolished at the time of the 1998 reform. Since then, except for very
limited periods, market prices have been higher than the former intervention price. Olive growers have
therefore not suffered a loss of income, and it has been possible to avoid encouraging production based on
quantity rather than quality and oriented towards sales to intervention agencies. Such production could
have led to a general fall in the prices paid to growers and hence to a reduction in their income.

The principles of the latest reform involves regulating production according to market demand, as is
already largely the case in the olive-oil sector. It therefore does not appear necessary to change the current
situation, and the Commission proposes maintaining the private storage system simply as a safety net to
be activated in the event of a crisis.

27.3.2004

EN

Official Journal of the European Union

C 78 E/565

Since the olive-oil sector is already strongly oriented towards the market, the Commission does not expect
significant reductions in production levels in Portugal after the reform comes into effect. The Commission
proposal also includes maintaining the current level of support for the olive-oil sector in each producer
Member State, while decoupling will enable the grower support level to stabilise regardless of annual
harvest fluctuations.

The Commission considers that equilibrium will be achieved if the whole olive-oil sector is committed to
continuous quality improvement, thereby stimulating sustained growth in demand.

Since export refunds ceased in 1998, sales of Community olive oil in third countries have increased by
50 %. This proves most clearly the instrument’s lack of effectiveness as regards promoting growth in
Community olive oil exports. It therefore seems appropriate to abolish a mechanism which no longer
serves a useful purpose.

The Commission considers that refunds for the manufacture of certain olive-oil preserves are no longer
necessary because olive oil’s good image means that consumers are now prepared to pay more for
foodstuffs containing it. Once again, market demand based on product quality will be determinant in
developing outlets for olive-oil use.

By the same token, there is no apparent justification for reintroducing olive-oil consumption aid. It would
not help to control production and would entail the management problems familiar from past experience.

(2004/C 78 E/0600)

WRITTEN QUESTION E-3494/03

by José Ribeiro e Castro (UEN) to the Commission

(24 November 2003)

Subject: Cuba (cid:1) political prisoners

According to information provided by the members of
Ibarra Roque,
Honorary President of the Partido Democrático 30 de Noviembre ‘Frank País’ (PD-30-N) was tortured,
shackled and dragged along the floor of the Combinado des Este prison in Havana on 16 October 2003,
the day on which he began a hunger strike as a form of protest, demanding respect for (his) human rights,
separate custody from common criminals, who are threatening and insulting him, and his right to refuse
to wear the same uniform as the other prisoners.

the Cuban resistance, Rafael

Pedro Argüelles Morán, editor of the Cooperativa Avilena de Periodistas Independientes (CAPI), one of the
26 independent journalists arrested and sentenced during the wave of persecution last March, who is also
being held in a punishment cell in the same block of the prison, has apparently joined this hunger strike.

Reports on the two prisoners’ health are alarming. Both are heavily dehydrated, and they have been
refused any form of medical assistance.

Since October 14, Arturo Suárez Ramos has been in the same situation.

Five other members of the Cuban resistance, who are imprisoned in Holguin, and are also on hunger
strike, likewise deserve particular attention.

The Commission:

(cid:1) what information does it have as to the health of these political prisoners? What information does it
have about the ill treatment and abuse to which Cuban political prisoners are subjected on a daily
basis;