Local view for "http://purl.org/linkedpolitics/eu/plenary/1999-10-05-Speech-2-252"
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"en.19991005.10.2-252"2
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"Mr President, as regards flax cultivation and the problems in Spain in connection with this, the Commission has already, within the framework of the prices package for the year 1996, proposed to the Council that a guaranteed ceiling be established for flax cultivation and, over and above that, that flax – with the exception of flax pulled in the traditional way – be assigned a lower level of support.
The Council should have adopted a position on this proposal by the end of 1996. The Council did not endorse this proposal. As a result, the Commission sought to implement other measures so that premium hunting – as it is termed generally – in this area could be curtailed. Here, I would like to stress particularly that we introduced compulsory supply contracts between the producers and the primary processors, and we then also introduced the principle that every primary processor requires a licence. Finally, in addition, we also introduced a processing commitment for the harvested flax and a minimum yield. Besides this, the system of explanations of sowing areas, controls and sanctions was reinforced.
On top of that, within the framework of the EAGGF statement of accounts for the budget years 1994 and 1995, the Commission services cut back the expenditure declared by Spain by 10% due to deficiencies in the checking system.
Years 1996 to 1998 are currently undergoing inspection. The inspection has not yet been completed. We will then see what amounts can be paid out definitively. In addition, in February of this year, we asked the Spanish authorities to supervise the conditions of cultivation, harvesting and processing particularly carefully in order to prevent premium hunting. Just today I learnt from the newspapers that currently only one region in Spain has acted accordingly in this area and has withdrawn support from various producers.
We all know, then, that in the Spanish Parliament a committee of inquiry was set up which has looked into these matters as well. On the part of the European Union, the anti-fraud office, OLAF, was commissioned to arrange for the Spanish judicial authorities to conduct investigations as to whether the Community aid for textile flax had been administered and monitored properly and whether incidents under assessment were to be noted as criminal offences. These investigations are still underway and are being monitored attentively by OLAF.
But, over and above this, I would like to say in conclusion that we still see a need for fundamental rehabilitation in this area and that the Commission, by the end of this year, will therefore be putting forward a proposal for a comprehensive reform of the aid system and the market organisation system in the area of flax and hemp."@en1
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