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Parliamentary questions
17 April 2008
H-0306/08
ORAL QUESTION for Question Time at the part-session in May 2008 pursuant to Rule 109 of the Rules of Procedure by Linda McAvan to the Commission

 Subject: Biofuel trading practices
 Answer 

What action is the Commission taking to stop the reported biofuels trading practice that exploits US agricultural subsidies?

The practice involves shipping biodiesel from Europe to the US where some fuel is added, allowing traders to claim 11p a litre of US subsidy. It is then shipped back and sold below domestic prices. It is estimated that up to 10% of exports of biofuels from the US to Europe are part of this rogue scheme. This is not an illegal act, but puts the European biofuel industry at risk. It also involves unnecessary shipping across the Atlantic, which increases emissions of greenhouse gases.

Will the sustainability criteria as proposed by the Commission solve this problem and make it illegal to sell biofuels on the European market that have been involved in this practice?

Last updated: 22 April 2008Legal notice