IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 22 Dec 2009 | Removal date: 22 Dec 2011
Still in force

Loan guarantee

On 24 December 2010 the Dutch authorities contacted the European Commission regarding their intention to extend the scheme 'Limited amounts of compatible aid (guarantees for working capital) for undertakings active in the primary production of agricultural products'. The scheme will be effective until 31 December 2011.
 
Bynotification of 5 November 2009, the Dutch authorities notified a temporary aid scheme for granting limited amounts of compatible aid under the Temporary Framework for State aid measures to support access to finance in the current financial and economic crisis."
 
The Dutch authorities consider that the crisis resulted in severe adverse market conditions in agriculture with market prices dropping in several sub-sectors (in particular dairy, pork, vegetables and flower bulbs, which, together, account for about two thirds of the total Dutch agricultural production) below cost prices.
 
The aid will be provided in the form of working capital guarantees. The notified measure has a budget of EUR2.81 million. The beneficiaries of the notified scheme will be small and medium-sized undertakings active in the primary production of agricultural products.
 
The Commission concluded that the measure contains state aid and gave the following assessment:
 
"The aid at issue is financed out of State resources and benefits certain undertakings. Pursuant to the case law of the Court of Justice, aid to an undertaking is deemed to affect trade between Member States if that undertaking operates in a market open to intra-Union trade. The mere fact that the competitive position of an undertaking is strengthened compared with other competing undertakings, by giving it an economic benefit which it would not otherwise have
received in the normal course of its business, points to a possible distortion of competition. The beneficiaries of the aid at issue operate on a market where intra- Union trade takes place. The aid measure could therefore distort competition and affect trade between Member States and consequently constitutes aid pursuant to Article 107(1) of the TFEU." (par. 26 of the letter from the European Commission to the Netherlands -Brussels, C (2009))
 
Article 107(3)(b) TFEU enables the Commission to declare aid compatible with the Common Market if it is "to remedy a serious disturbance in the economy of a Member State." This aid has to be applied restrictively and must tackle a disturbance in the entire economy of the Member State according to the interpretation of the Article 107 (3)(b) by the Court of First Instance.
 
The Commission referred to its Communication on the financial crisis (Temporary Framework) and concluded that the Measure complies with the conditions laid therein. Therefore, despite the measure constituting State aid pursuant to the Article 107 (1) TFEU, it is compatible with the internal market according to the Article 107 (3)(b) TFEU. The Commission raises no objections against the measure at issue and authorizes it as emergency intervention in the face of the current financial crisis. (par. 27-39 of the letter ).
 
A state measure in the GTA database is assessed solely in terms of the extent to which its implementation affects the extent of discrimination against foreign commercial interests. On this metric, the state aid proposed here is discriminatory.
 

AFFECTED COUNTRIES

MAP
TABLE
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AFFECTED SECTORS AND PRODUCTS

012 Vegetables
0702 Tomatoes, fresh or chilled.
070200 Tomatoes, fresh or chilled.
0703 Onions, shallots, garlic, leeks and other alliaceous vegetables, fresh or chilled.
070310 Onions and shallots
070320 Garlic
070390 Leeks and other alliaceous vegetables
0704 Cabbages, cauliflowers, kohlrabi, kale and similar edible brassicas, fresh or chilled.
070410 Cauliflowers and headed broccoli
070420 Brussels sprouts
070490 Other
0705 Lettuce (Lactuca sativa) and chicory (Cichorium spp.), fresh or chilled.
070511 Cabbage lettuce (head lettuce)
070519 Other
070521 Witloof chicory (Cichorium intybus var. foliosum)
070529 Other
0706 Carrots, turnips, salad beetroot, salsify, celeriac, radishes and similar edible roots, fresh or chilled.
070610 Carrots and turnips
070690 Other
0707 Cucumbers and gherkins, fresh or chilled.
070700 Cucumbers and gherkins, fresh or chilled.
0708 Leguminous vegetables, shelled or unshelled, fresh or chilled.
070810 Peas (Pisum sativum)
070820 Beans (Vigna spp., Phaseolus spp.)
0709 Other vegetables, fresh or chilled.
070920 Asparagus
070930 Aubergines (eggplants)
070940 Celery other than celeriac
070951 Mushrooms of the genus Agaricus
070959 Other
070960 Fruits of the genus Capsicum or of the genus Pimenta
070970 Spinach, New Zealand spinach and orache spinach (garden spinach)
070991 Globe artichokes
070993 Pumpkins, squash and gourds (Cucurbita spp.)
070999 Other
015 Edible roots & tubers with high starch or inulin content
0701 Potatoes, fresh or chilled.
070190 Other
0714 Manioc, arrowroot, salep, Jerusalem artichokes, sweet potatoes and similar roots and tubers with high starch or inulin content, fresh, chilled, frozen or dried, whether or not sliced or in the form of pellets; sago pith.
071410 Manioc (cassava)
071420 Sweet potatoes
017 Pulses (dried leguminous vegetables)
0713 Dried leguminous vegetables, shelled, whether or not skinned or split.
071310 Peas (Pisum sativum)
071331 Beans of the species Vigna mungo (L.) Hepper or Vigna radiata (L.) Wilczek
071333 Kidney beans, including white pea beans (Phaseolus vulgaris)
071339 Other
071340 Lentils
071390 Other
019 Forage; natural rubber; living plants; raw vegetable materials
0601 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, dormant, in growth or in flower; chicory plants and roots other than roots of heading 12.12.
060110 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, dormant
060120 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, in growth or in flower; chicory plants and roots
0602 Other live plants (including their roots), cuttings and slips; mushroom spawn.
060210 Unrooted cuttings and slips
060220 Trees, shrubs and bushes, grafted or not, of kinds which bear edible fruit or nuts
060240 Roses, grafted or not
060290 Other
0603 Cut flowers and flower buds of a kind suitable for bouquets or for ornamental purposes, fresh, dried, dyed, bleached, impregnated or otherwise prepared.
060311 Roses
060312 Carnations
060313 Orchids
060315 Lilies (Lilium spp.)
060319 Other
060390 Other
023 Eggs of hens or other birds in shell, fresh
0407 Birds' eggs, in shell, fresh, preserved or cooked.
040711 Of fowls of the species Gallus domesticus
040719 Other
040721 Of fowls of the species Gallus domesticus
040729 Other
029 Other animal products
0409 Natural honey.
040900 Natural honey.
032 Non-wood forest products
0604 Foliage, branches and other parts of plants, without flowers or flower buds, and grasses, mosses and lichens, being goods of a kind suitable for bouquets or for ornamental purposes, fresh, dried, dyed, bleached, impregnated or otherwise prepared.
060420 Fresh
060490 Other
211 Meat & meat products
0201 Meat of bovine animals, fresh or chilled.
020110 Carcasses and halfcarcasses
020120 Other cuts with bone in
020130 Boneless
0202 Meat of bovine animals, frozen.
020210 Carcasses and halfcarcasses
020220 Other cuts with bone in
020230 Boneless
0203 Meat of swine, fresh, chilled or frozen.
020311 Carcasses and halfcarcasses
020312 Hams, shoulders and cuts thereof, with bone in
020319 Other
020321 Carcasses and halfcarcasses
020322 Hams, shoulders and cuts thereof, with bone in
020329 Other
0204 Meat of sheep or goats, fresh, chilled or frozen.
020410 Carcasses and halfcarcasses of lamb, fresh or chilled
020422 Other cuts with bone in
020423 Boneless
020442 Other cuts with bone in
020443 Boneless
0205 Meat of horses, asses, mules or hinnies, fresh, chilled or frozen.
020500 Meat of horses, asses, mules or hinnies, fresh, chilled or frozen.
0206 Edible offal of bovine animals, swine, sheep, goats, horses, asses, mules or hinnies, fresh, chilled or frozen.
020610 Of bovine animals, fresh or chilled
020630 Of swine, fresh or chilled
020649 Other
0207 Meat and edible offal, of the poultry of heading 01.05, fresh, chilled or frozen.
020711 Not cut in pieces, fresh or chilled
020712 Not cut in pieces, frozen
020713 Cuts and offal, fresh or chilled
020714 Cuts and offal, frozen
020726 Cuts and offal, fresh or chilled
020727 Cuts and offal, frozen
020741 Not cut in pieces, fresh or chilled
020744 Other, fresh or chilled
020745 Other, frozen
020760 Of guinea fowls
0208 Other meat and edible meat offal, fresh, chilled or frozen.
020810 Of rabbits or hares
020890 Other
0210 Meat and edible meat offal, salted, in brine, dried or smoked; edible flours and meals of meat or meat offal.
021011 Hams, shoulders and cuts thereof, with bone in
021012 Bellies (streaky) and cuts thereof
021019 Other
021020 Meat of bovine animals
021099 Other
213 Prepared & preserved vegetables, pulses & potatoes
0710 Vegetables (uncooked or cooked by steaming or boiling in water), frozen.
071021 Peas (Pisum sativum)
071022 Beans (Vigna spp., Phaseolus spp.)
071030 Spinach, New Zealand spinach and orache spinach (garden spinach)
071040 Sweet corn
071080 Other vegetables
071090 Mixtures of vegetables
0711 Vegetables provisionally preserved (for example, by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption.
071140 Cucumbers and gherkins
071151 Mushrooms of the genus Agaricus
071190 Other vegetables; mixtures of vegetables
0712 Dried vegetables, whole, cut, sliced, broken or in powder, but not further prepared.
071220 Onions
071239 Other
071290 Other vegetables; mixtures of vegetables
215 Animal fats
0209 Pig fat, free of lean meat, and poultry fat, not rendered or otherwise extracted, fresh, chilled, frozen, salted, in brine, dried or smoked.
020910 Of pigs
221 Processed liquid milk, cream & whey
0401 Milk and cream, not concentrated nor containing added sugar or other sweetening matter.
040110 Of a fat content, by weight, not exceeding 1 %
040120 Of a fat content, by weight, exceeding 1 % but not exceeding 6 %
040140 Of a fat content, by weight, exceeding 6 % but not exceeding 10 %
040150 Of a fat content, by weight, exceeding 10 %
0404 Whey, whether or not concentrated or containing added sugar or other sweetening matter; products consisting of natural milk constituents, whether or not containing added sugar or other sweetening matter, not elsewhere specified or included.
040410 Whey and modified whey, whether or not concentrated or containing added sugar or other sweetening matter
222 Other dairy products
0402 Milk and cream, concentrated or containing added sugar or other sweetening matter.
040210 In powder, granules or other solid forms, of a fat content, by weight, not exceeding 1.5 %
040221 Not containing added sugar or other sweetening matter
040229 Other
040291 Not containing added sugar or other sweetening matter
040299 Other
0403 Buttermilk, curdled milk and cream, yogurt, kephir and other fermented or acidified milk and cream, whether or not concentrated or containing added sugar or other sweetening matter or flavoured or containing added fruit, nuts or cocoa.
040310 Yogurt
040390 Other
0404 Whey, whether or not concentrated or containing added sugar or other sweetening matter; products consisting of natural milk constituents, whether or not containing added sugar or other sweetening matter, not elsewhere specified or included.
040490 Other
0405 Butter and other fats and oils derived from milk; dairy spreads.
040510 Butter
040590 Other
0406 Cheese and curd.
040610 Fresh (unripened or uncured) cheese, including whey cheese, and curd
040620 Grated or powdered cheese, of all kinds
040630 Processed cheese, not grated or powdered
040640 Blueveined cheese and other cheese containing veins produced by Penicillium roqueforti
040690 Other cheese
223 Eggs, in shell, preserved or cooked
0407 Birds' eggs, in shell, fresh, preserved or cooked.
040790 Others
239 Food products n.e.c.
0408 Birds' eggs, not in shell, and egg yolks, fresh, dried, cooked by steaming or by boiling in water, moulded, frozen or otherwise preserved, whether or not containing added sugar or other sweetening matter.
040811 Dried
040891 Dried
040899 Other

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