Reduced rate of excise duty on locally produced and consumed alcohol in the autonomous regions of Madeira and the Azores (2014-2020)

2014/0064(CNS)

The Committee on Regional Development adopted, in the framework of a special legislative procedure (Parliament consultation), the report by Danuta Maria HÜBNER (EPP, PL) on the proposal for a Council decision authorising Portugal to apply a reduced rate of excise duty in the autonomous region of Madeira on locally produced and consumed rum and liqueurs and in the autonomous region of the Azores on locally produced and consumed liqueurs and eaux-de-vie.

To recall, Council Decision 2009/831/EC authorised Portugal, up to 31 December 2013, to apply a reduced rate of excise duty in the outermost regions of Madeira and Azores on locally produced and consumed rum and liqueurs, and on locally produced and consumed liqueurs and eaux-de-vie, respectively, on the grounds of the small size, fragmented nature and low mechanisation of agricultural holdings, and in order to compensate for the additional costs incurred in the transport of raw material and installation of equipment in those remote insular regions.

Portugal requested the renewal of this authorisation until 31 December 2020, and the Commission found the renewal to be justified.

Given that this measure is intended to continue to stimulate economic activity in outermost regions, and does not have a distortive effect on the internal market, the committee proposed that this proposal be adopted without amendment.