The European Commission yesterday launched its plans for a dramatic shake-up of the sugar industry, which has been blamed for falsely raising consumer prices and hurting farmers in developing countries.
The Commission has proposed a substantial cut back in sugar exports and export refunds and a reduction of EU production from 17.4m tonnes to 14.6m tonnes.
The Commission also stated that: “EU sugar beet farmers will be partially compensated for the income loss in the form of a fully decoupled payment. EU consumers and the sugar consuming industry will see lower prices.”
It stated that one of the aims of the radical overhaul is to allow the 49 poorest countries to be able to export more sugar duty-free to the EU.
It proposes that the changes should be implemented over a four-year period to give all parties time to adjust.