Temporary scheme for the restructuring of the sugar industry

 The committee adopted the report by Jean-Claude FRUTEAU (PES, FR) amending the proposal under the consultation procedure:

- a new article stipulated that restructuring aid should also be used to finance support measures for employees in sugar farming as well as in the sugar industry;

- the level of restructuring aid should be re-evaluated in order to bring it into line with the new price cuts proposed by the committee for the sugar sector (see CNS/2005/0118) and to maintain the incentive aspect of the restructuring scheme. MEPs proposed that the amount per tonne be set at EUR 800 for 2006/2007 and be reduced gradually to EUR 516 for 2009/2010 (as compared with the Commission's proposals of EUR 730 and EUR 420 respectively);

- at least 50% of the total amount per tonne of quota renounced and made available to the sugar industry for restructuring should be for sugar beet and chicory growers;

- the abandonment of production should also require measures aimed at facilitating the redeployment of the workforce or compensating for job losses suffered by workers of the undertakings concerned;

- restructuring plans should be submitted for approval to the relevant national authorities and be signed inter alia by sugar beet and chicory growers, as regards their aid entitlements, and by employees of sugar factories, as regards labour-related matters;

- specific conditions should be laid down for the abandonment of production with a view to producing bio-ethanol for energy purposes, i.e. industrial facilities must be converted into bio-ethanol distilleries in order to ensure that the aid granted for restructuring is indeed used to that end.