France studies VAT reduction on fruit & veg
France
Thursday 15 October 2009
Proposal of reduction of VAT on fruit & veg to 2.1% under consideration in France
To defeat the crisis that is affecting the fresh produce sector, a proposal has been submitted in France to reduce VAT on fruit and vegetables to 2.1% (instead of 5.5%) so to recover consumption.
At early September, France’s member of Parliament Jacques Remiller has submitted to the government a report on the status of the fruit and vegetables sector, which analyses the current crisis and proposes to reduce VAT on fruit and vegetables from 5.5% to 2.1% to make fruit and vegetables more accessible to consumers.
It also proposes the creation of an agency to classify, manage and inform about the product brands in order to encourage consumer confidence.
Other measures described in the report are the creation of a credit fund to support farmers who use alternative methods to pesticides and strengthening the public research in agriculture, as related in particular to plant genetics.
At early September, France’s member of Parliament Jacques Remiller has submitted to the government a report on the status of the fruit and vegetables sector, which analyses the current crisis and proposes to reduce VAT on fruit and vegetables from 5.5% to 2.1% to make fruit and vegetables more accessible to consumers.
It also proposes the creation of an agency to classify, manage and inform about the product brands in order to encourage consumer confidence.
Other measures described in the report are the creation of a credit fund to support farmers who use alternative methods to pesticides and strengthening the public research in agriculture, as related in particular to plant genetics.