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The recently passed cotton subsidy reform case is similar to the 2004 version, and the subsidy for cotton farmers will be reduced from 65% to 35% according to cotton production. The new subsidy measure will be implemented starting in January next year and will be based on current cotton production. There are 250,000 hectares of cotton fields in Greece, 48,000 hectares in Spain, 3,342 hectares in Bulgaria, and 360 hectares in Portugal.
The Council of Ministers also agrees with the country’s annual cotton production reorganization budget. Since the fiscal year 2010, Greece has set a value of 4 million euros, Spain’s 6 million euros, improved execution performance, suppressed excess ginning capacity, and marketing promotion. The cotton industry is more developmental.
EU Passes Cotton Subsidy Reform Bill
After the European Court of Justice ruled that the 2004 version of the cotton subsidy reform bill was illegal two years ago, the European Commission recently passed a reform on the cotton subsidy system. Previously, the European Court of Justice ruled that the 2004 version of the cotton subsidy reform case was flawed due to lack of impact assessment and consultation. However, the reform case passed by the EU Council of Ministers on June 23 this year did not have this problem.