July 8, 2020

Eurocmara comes to the aid of Canarian wine at Trump's tariffs – La Provincia

The decision of the Government of the United States to put barriers to the importation of certain agri-food products from countries of the European Union – in the form of tariffs of 25% – has shaken the wine sector of the Canary Islands, which had achieved, not without effort, considerable penetration in the North American market. The inflexibility shown by the president's administrationDonald TrumpIt has now led the European Parliament to come out in defense of community farmers. The European Parliament has adopted a resolution in which it urges the European Union to provide "urgent support" to the injured companies and to deal with this situation in a coordinated and unified manner.

The MEP agreement joins the initiative taken by the Spanish autonomous communities, which they plan to defend this week in the European Committee of the Regions – which will meet in full on Thursday and Friday – a joint position for Brussels to arbitrate palliative measures that mitigate the impact of US tariffs on the primary and agri-food sector of the affected countries.

In the resolution, adopted last Thursday, the European Parliament supports the "efforts" of the Commission and encourages it to persevere in the search for negotiated solutions. The European Parliament strongly criticizes the US position, whose administration accuses "lack of commitment" to negotiation and to try to "divide the position of the Union" by applying tariffs "designed to unevenly affect the different states members". However, it also urges the Community Executive to go further in its support for European farmers and shows its "deep regret" for "the lack of adequate funding" in the EU budgets for 2020 with which to "mobilize rapid support to the most affected sectors. "

Thus, members of the Legislative Chamber recommend that products subject to the high tariffs imposed by the US benefit from additional promotion and commercialization actions, both in North American lands and in the markets of other third countries. To do this, they even suggest that the EU increase the resources directed to these actions – which can reach up to 85% of the total, according to the Promotion Regulation – "to help operators who must intensify their efforts to enter the US market. "and contribute to" mitigate entry barriers ".

Parliament asks the Commission to "closely monitor the EU agri-food market to detect, in a timely manner, the disturbances arising from the application of tariffs" and the accumulation of other trade disputes, such as the embargo on Russia over European food It also proposes that, if necessary, use the tools provided by Community regulations, such as "private storage systems and withdrawal from the market and any new or already available instruments", as well as "relevant measures to address to internal market shocks. "

"In these circumstances – warns the European Parliament in its resolution – it is vital to avoid further cuts to the budget of the CAP (Common Agricultural Policy), since the agricultural sector is increasingly affected by volatility and politically motivated international crises, that require a strong and efficient budget response. "

Tariffs on agricultural products of the EU for 6.9 billion euros came into force on October 18 as a response from the Trump Administration to state aid that several countries, including Spain, granted to Airbus and that theOECDconsidered illegal. The Canarian wine growers – the most affected product in the Islands – have reacted by reducing their profit margins in order to maintain their presence in the country, a measure that, they have warned, cannot be maintained beyond a few months. In the rest of the country Trump's tariff policy especially affects oil, cheeses and spirits.

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