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Addressing the EU Council of Ministers in Brussels Friday Competitiveness and Communications Minister Censu Galea stressed the importance of the competitiveness of SMEs, adding that growth-oriented policies must be integrated with macroeconomic policies.
“As economic competitiveness is complementary to social protection and a sustainable development, Malta believes that growth oriented policies need to be firmly planted within macroeconomic policies, particularly in the fiscal sphere, and that they must be complemented with the implementation of the necessary economic structural reforms.
“Giving particular attention to industry and small and medium enterprises (SMEs), such measures will act as a catalyst in subscribing to the Lisbon Agenda, and are precisely what the Maltese government is seriously addressing,” he underlined.
The Council of Ministers is discussing several issues pertinent to the internal market, competitiveness, research and development, innovation, and the progress of member states with regards to the implementation of the Lisbon Agenda. The Council is also discussing the Commission Proposal for a Regulation on the Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH).
The REACH proposal places the responsibility for the management of the risks of substances on the companies that manufacture, import, place on the market or use these substances, with the overall aim of a high level of protection of human health and the environment.
Speaking at the Council Minister Galea said that discussions have to focus on making REACH more cost-effective, in particular for SMEs; elaborate further possibilities for increasing benefits and reducing costs and increase efforts to facilitate accessibility of the REACH legislation and early preparation for implementation.
Within this context he stressed, “A reduction of the direct costs to industry will also result in subsequent reductions of the indirect costs to industry. The competitiveness of the EU industry as well as its ability to innovate will equally benefit from such reductions.”
The Competitiveness and Communications Minister said that initial impact assessments carried out on the proposal indicate that notwithstanding the undeniable benefits of REACH, SMEs will face a proportionately higher cost for its implementation. Therefore, even though the EU proposal is in its initial stages, member states have to ensure that:
• REACH can be implemented in a cost effective manner;
• Ensure its success;
• Maximise its undoubted benefits;
• Make the regulation workable and cost effective, particularly for the large number of SMEs in Europe, whether they are manufacturers, importers or downstream users.
Minister Galea also urged the Council to give effect to the recommendations of the Impact Assessment Workshop and direct the Working Party to:
• Examine in detail possible ways in which the cost effectiveness of REACH could be improved;
• Avoid the submission of duplicate or unnecessary data;
• Introduce mechanisms aimed at providing a degree of flexibility for SMEs.
He concluded his address stating that, “SMEs are the sector that can spearhead innovation and sustainable technologies. The undeniable potential benefits of REACH can only be achieved if European SMEs maintain and enhance their competitiveness. What matters most, therefore, is not comparing costs and benefits, but rather ensuring that businesses in Europe are put in the best possible position to deliver those benefits.
“Legislation alone does not give benefits to society. It is only the successful ability to implement legislation, and simultaneously remain competitive, that will reap the desired benefits to consumers’ health and the global environment.”
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