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State subsidies for regional products compatible with EU law

Buying products from the region strengthens regional economic cycles and is kinder on the climate. However there has been some debate within the EU whether the subsidising of regional products by members state governments actually obstructed the European single market.
A study commissioned by Germany's Federal Environmental Agency entitled "State Aid for Regional Products - A Legal Analysis" now shows that it is possible to subsidise regional products without affecting free competition within Europe.
The study can be downloaded in English and in German free of charge at: www.umweltbundesamt.de/uba-info-medien/index.
Source: Umweltbundesamt Berlin, 10.11.2004, www.umweltbundesamt.de/uba-info-presse/2004 (de)