MercoPress. South Atlantic News Agency

EU plans hiking aid per fishing vessel to help with fuel cost

The European Parliament (EP) on Thursday proposed increasing fishing sector aid up to EUR 100,000 (from 30.000 EUR) per vessel, instead of per company – as is the case today - in order to alleviate the effect of rising fuel prices.

In the common resolution approved by the EP plenary, EP Members (MEPs) called on the European Commission (EC) to revise direct 'de minimus' aid, aid Community governments can grant without previously notifying Brussels. They further request that more authority be granted to fishers in the establishment of wholesale catch prices, and so urge the Commission to present its fish products revision proposal to the Common Markets Organisation (CMO). The two measures would increase fishing sector returns, which have been hard hit by a more than 300% fuel price increase in the last five years and a more than 40% price surge since January, stated the European Parliament, which also pointed to falling fish prices as a major factor behind the ongoing sector crisis. One of the causes for the drop in fish prices is the massive import of cheap illegally-caught fish products, the MEPs mentioned. Therefore, the EP urges that illegal fishing controls be reinforced and improved and that country-of-origin labeling on fish imports be made compulsory. The EP also requests that Member States launch fleet adjustment plans and apply new Community directives on tax deductions and social costs reductions for European vessels that fish outside of Community waters. In related news La Voz de Galicia reports that coastal fishing vessels will significantly reduce their fuel bills (up to 55%) following an agreement of local authorities with Spain's ministers of Industry and Economy. This basically means eliminating much of the fuel tax which will be reimbursed to fishers as happens with farming and transport. However before the system becomes operational a census of vessels with access to the potential benefit (approximately 1.800) has to be elaborated and also an estimate of tax losses for the Spanish Treasury. This could take up to 12 months. Elena Espinosa, head of Spain's Fisheries Ministry recently informed the Spanish congress that since 2004 direct aid to the fishers sector in the country had reached 44 million EUR plus 535 million EUR in soft loans plus compensations equivalent to 100 million EUR, plus another 19 million to counter losses because of fuel increases. (FIS/MP).-