THE BUDGET AMOUNT FOR 2009 PROMOTE TO THE 22,65 MILLION EUROS.

The long-awaited Decree on transport aid for agricultural goods was approved in the last Council of Ministers 13 February. This Royal Decree will be applied retroactively to the date of 1 in January of 2007 and will be a great relief for the tomato and flower sector.

This new regulation replaces the Royal Decree of 11 February's 2000, by which they were established, until now, public aid aimed at reducing the effective cost of maritime and air transport of goods between the Canary Islands, between these and the rest of Spain, or with another Member State of the European Union

Content of the new regulations

The eligible products are agricultural products and plants, flowers and cuttings from the Canary Islands., as well as feed and livestock feeding products that are transported from the rest of Spain to the Canary Islands..

The main modifications that this Royal Decree introduces on the previous regulations are the following:

  • The maximum applicable subsidy percentages are unified upwards, that are all located in the 50 by 100. Currently, They range between 33 and 50 by 100, depending on the type of product and journey: interisland, peninsula, rest of europe.
  • The cost components subject to subsidy are expanded, incorporating new concepts not contemplated until now such as port or airport handling costs, the surcharge for increased fuel costs, security rates (if there were) and the cost of renting specialized transport equipment. Currently, only freight and port taxes are subsidized.
  • The management procedure is improved, reinforcing the documentary control of the applications submitted and speeding up the processing of aid through the application of computer methods, which will allow the reduction of the collection period for subsidies.
  • The Canarian banana, until now excluded from this subsidy regime for enjoying specific protection systems, may join it, at the proposal of the Ministry of Environment and Rural and Marine Environment, and under the conditions established, when there is a significant reduction in the aforementioned protection systems or in their prices in traditional markets.

Este Real Decreto será seguido en breve plazo por otro, in the same line, aplicable al transporte de mercancías no agrícolas.