Netherlands: Fewer GMO subsidies for Dutch horticulture
GMO
Improving the position of producers, advancing cooperation between growers and stimulate innovation in the sector. These are all objectives of the European GMO subsidies. In 2011, 85% of the Dutch fruit and vegetable production was marketed through producer organizations, most of whom were able to receive the grant because they were GMO-certified. Today, only about 2,100 hectares of greenhouse horticulture is GMO certified in the Netherlands - a significant drop. What has changed in the sector?
Decline in acreage
FresQ, with 1400 hectares the largest producer organization in the country, was suspended from GMO subsidy. At the end of 2012, a number of large companies (including Exsento (Red Star), Seasun and Harting Holland) left the cooperative. In 2013, it became clear that FresQ would no longer be eligible for GMO subsidies in the coming years. Also, there was confusion about the allotment of previous grants. The European Commission is now seeking reimbursement of 22 million Euro from the Dutch government, the majority of which was paid to FresQ growers. The organization was dismantled, and in 2014 two new cooperatives (Harvest House and DOOR) saw the light of day. In 2014 and 2015, both failed to get GMO recognition.
But even outside FresQ, many growers seem to forfeit GMO recognition. The number of unrecognized cooperatives is growing. In 2013, the growers of SweetPoint (25 ha) decided to take marketing into their own hands, away from recognized cooperative The Greenery. They joined the DOOR cooperative in 2014. In 2014, grower Wijnen Square Crops chooses to switch cooperatives, leaving ZON fruit and vegetables for non-GMO certified Harvest House. "We want to produce market-oriented. We have an eye for what is happening in the market and want to be part of that, in close collaboration with the sales team of Harvest House," the company stated. Other individual growers voiced similar sentiments.
Fewer candidates, more funding?
What are the consequences of the present situation? Fewer Dutch candidates for the European grant also means that less subsidy goes to Dutch horticulture. Will this impact innovation in the sector? "It’s fairly realistic to state that some of the investments in sustainable production and other activities took place without GMO subsidies," noted the Agricultural Economics Research Institute in 2013.
A lack of subsidy might actually increase the freedom of growers, a sentiment that is felt strongly in the community. By making use of GMO, growers commit themselves to a single producer organization for a long time. If they want out, they have to pay a fine. By not making use of the subsidy, they’re free to leave any time they want. On the other hand, GMO also regulated market interventions. That became clear last summer, when growers were compensated for the Russian boycott. "The aim of the GMO is to give growers a better position in the market and to realize better prices. For growers united in a recognized association, marketing will no doubt be smoother and more reliable,” Ad Klaassen of DPA stated at the time.
Arlette Sijmonsma
Redacteur Groentennieuws.nl
AGF Nederland | Uitgeverij Boekhout
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