Food processors which import raw materials to make food products for export to non EU countries will get relief from import charges from the beginning of September. The European Commission has decided to introduce the measure on its own initiative, following the failure of the member states to reach agreement on the proposal. Since the commission limited the payment of export subsidies on processed foods (so-called Non-Annex 1 products) it has been under pressure from the industry to lighten the burden of the CAP on its raw material costs. This so-called "inward processing relief" is its partial answer. It will still, however, be difficult for processors to obtain relief from high import charges because they will have to apply for it from member state governments. Governments anxious to protect their farmers from "cheap" imports will still be able to block the concession. The commission could also pay direct subsidies to exporting food companies to compensate for the high cost of CAP products. This would depend on the state of the farm budget and the market. {{NEWS }}